Bombay High Court Allows Writ Petition Challenging Trial Court Order Refusing to Strike Off Defence for Non-Payment of Rent Under Order XV Rule 5 CPC. Held that the Trial Court's discretion under Order XV Rule 5 CPC must be exercised judicially and not arbitrarily, and that the defence can be struck off only if there is willful default in payment of rent.

High Court: Bombay High Court Bench: GOA In Favour of Prosecution
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Case Note & Summary

The present writ petition was filed by the petitioner, Chowgule and Company Limited (now Chowgule and Company Private Limited), challenging the order dated 22/07/2015 passed by the Civil Judge, Senior Division, at Margao, in Regular Civil Suit No. 123/2010. The petitioner is the original plaintiff in the suit, which was filed for eviction and recovery of possession of a property. The respondents are the original defendants, who are tenants in the suit property. During the pendency of the suit, an interim order was passed directing the defendants to pay rent at a certain rate. The defendants failed to comply with this order, leading the plaintiff to file an application under Order XV Rule 5 of the Code of Civil Procedure, 1908 (CPC) to strike off the defence of the defendants. The trial court, by the impugned order, rejected this application. The petitioner challenged this order before the High Court. The High Court examined the provisions of Order XV Rule 5 CPC, which empowers the court to strike off the defence of a tenant who fails to pay rent as directed by the court. The court noted that the discretion under this provision must be exercised judicially and not arbitrarily. The court found that the trial court had failed to consider the material on record, including the conduct of the defendants and the reasons for non-payment. The High Court held that the trial court's order was not sustainable as it did not apply its mind to the facts of the case. Consequently, the High Court allowed the writ petition, set aside the impugned order, and remanded the matter back to the trial court for fresh consideration in accordance with law. The court directed the trial court to pass a fresh order after giving an opportunity of hearing to both parties and considering the material on record.

Headnote

A) Civil Procedure - Order XV Rule 5 CPC - Striking off defence - The trial court's discretion under Order XV Rule 5 CPC to strike off defence for non-compliance with interim order regarding payment of rent must be exercised judicially and not arbitrarily. The court must consider whether the default was willful and deliberate. In the present case, the trial court's order refusing to strike off defence was set aside as it failed to consider the material on record and the conduct of the defendants. (Paras 1-10)

B) Civil Procedure - Interim Orders - Compliance - The purpose of Order XV Rule 5 CPC is to ensure compliance with interim orders passed by the court. The provision is meant to be a deterrent against willful disobedience of court orders. The court must examine the facts and circumstances to determine if the default was intentional. (Paras 5-8)

C) Civil Procedure - Discretion of Court - Judicial exercise - The discretion conferred on the court under Order XV Rule 5 CPC must be exercised in a judicial manner, based on the facts and circumstances of each case. The court cannot refuse to strike off defence without considering the material on record and the conduct of the parties. (Paras 6-9)

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Issue of Consideration

Whether the trial court was justified in refusing to strike off the defence of the respondents under Order XV Rule 5 of the Code of Civil Procedure, 1908, for non-payment of rent as directed by the interim order.

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Final Decision

The High Court allowed the writ petition, set aside the impugned order dated 22/07/2015, and remanded the matter back to the trial court for fresh consideration in accordance with law. The trial court was directed to pass a fresh order after giving an opportunity of hearing to both parties and considering the material on record.

Law Points

  • Order XV Rule 5 CPC
  • discretion must be exercised judicially
  • willful default necessary for striking off defence
  • purpose of Order XV Rule 5 is to ensure compliance with interim orders
  • trial court's order must be based on material on record
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Case Details

2018 LawText (BOM) (01) 116

WRIT PETITION NO.798 OF 2016

2018-01-18

NUTAN D. SARDESSAI, J.

Shri S.D. Lotlikar, Senior Advocate with Ms. A. Naik, Advocate for the petitioners; Shri H.D. Naik, Advocate for the respondents

Chowgule and Company Limited now Chowgule and Company Private Limited

Mrs. Nina De Conceicao Menezes E Antao @ Nina Antao (since deceased) represented by her legal representatives and others

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Nature of Litigation

Civil writ petition challenging trial court order refusing to strike off defence under Order XV Rule 5 CPC for non-payment of rent.

Remedy Sought

Petitioner sought to set aside the trial court order dated 22/07/2015 and to strike off the defence of the respondents.

Filing Reason

The trial court refused to strike off the defence of the respondents despite their failure to pay rent as directed by the interim order.

Previous Decisions

The trial court passed an interim order directing payment of rent, which was not complied with. The application under Order XV Rule 5 CPC was rejected by the trial court on 22/07/2015.

Issues

Whether the trial court was justified in refusing to strike off the defence of the respondents under Order XV Rule 5 CPC for non-payment of rent as directed by the interim order.

Submissions/Arguments

Petitioner argued that the respondents willfully failed to pay rent despite the interim order, and the trial court erred in not striking off their defence. Respondents argued that there was no willful default and that the trial court exercised its discretion correctly.

Ratio Decidendi

The discretion under Order XV Rule 5 CPC to strike off defence for non-payment of rent must be exercised judicially, considering whether the default was willful. The trial court's order was set aside as it failed to apply its mind to the facts and material on record.

Judgment Excerpts

The petitioners have taken exception to the legality and propriety of the order dated 22/07/2015 passed by the Civil Judge, Senior Division, at Margao, in Regular Civil Suit No. 123/2010. The discretion under Order XV Rule 5 CPC must be exercised judicially and not arbitrarily.

Procedural History

The petitioner filed Regular Civil Suit No. 123/2010 for eviction and recovery of possession. An interim order was passed directing payment of rent. The respondents failed to comply. The petitioner filed an application under Order XV Rule 5 CPC to strike off defence. The trial court rejected the application on 22/07/2015. The petitioner challenged this order by filing Writ Petition No. 798 of 2016 before the High Court of Bombay at Goa.

Acts & Sections

  • Code of Civil Procedure, 1908: Order XV Rule 5
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