Bombay High Court Allows Revision Against Order Returning Plaint in Property Dispute — Jurisdiction of Civil Court Barred Under Section 163 of Maharashtra Cooperative Societies Act, 1960. Dispute Relating to Property Owned by Cooperative Society Must Be Tried by Cooperative Court, Not Civil Court.

High Court: Bombay High Court Bench: BOMBAY In Favour of Accused
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Case Note & Summary

The case involves a civil revision application filed by Sanjivani Kailas Borade (applicant) challenging an order of the District Judge-1, Solapur, dated 21st August 2015. The District Judge had allowed a miscellaneous civil appeal filed by the respondents (original plaintiffs) and set aside the trial court's order dated 28th November 2014, which had returned the plaint under Order 7 Rule 10 of the Code of Civil Procedure, 1908 (CPC) for presentation before the appropriate cooperative court. The subject matter of the suit was a plot bearing No.9/16, admeasuring 92.98 sq.mtrs., out of Survey No.32/A1/3, along with a building constructed thereon, situated at Nehru Nagar, Solapur. The property was owned by 'Mukundrao Ambedkar Sahakari Gruhrachna Sanstha Maryadit', a cooperative society. The respondents had filed Regular Civil Suit No.409 of 2013 before the 8th Joint Civil Judge, Junior Division, Solapur, seeking reliefs including declaration of ownership and injunction. The trial court, by order dated 28th November 2014, returned the plaint holding that the dispute fell within the exclusive jurisdiction of the cooperative court under Section 163 of the Maharashtra Cooperative Societies Act, 1960. The respondents appealed, and the District Judge reversed the order, holding that the civil court had jurisdiction. The applicant then filed this revision. The High Court, after hearing both sides, held that the property belonged to a cooperative society and any dispute touching its business or property is exclusively triable by the cooperative court. The civil court's jurisdiction is barred under Section 163 of the Act. The High Court allowed the revision, set aside the appellate order, and restored the trial court's order returning the plaint. The court directed that the plaint be returned to the respondents for presentation before the appropriate cooperative court.

Headnote

A) Civil Procedure - Return of Plaint - Order 7 Rule 10 CPC - Jurisdictional Bar - The trial court returned the plaint for presentation before the appropriate cooperative court, holding that the subject property was owned by a cooperative society and the dispute fell within the exclusive jurisdiction of the cooperative court under Section 163 of the Maharashtra Cooperative Societies Act, 1960. The appellate court reversed this order, but the High Court restored the trial court's order, holding that the civil court lacks jurisdiction. (Paras 3-12)

B) Cooperative Societies - Jurisdiction - Section 163 Maharashtra Cooperative Societies Act, 1960 - Dispute Relating to Property of Society - The suit pertained to a plot owned by a cooperative society. The High Court held that any dispute touching the business or property of a cooperative society is exclusively triable by the cooperative court, and the civil court's jurisdiction is barred. (Paras 5-12)

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Issue of Consideration

Whether the civil court has jurisdiction to entertain a suit concerning property owned by a cooperative society, given the bar under Section 163 of the Maharashtra Cooperative Societies Act, 1960.

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Final Decision

The High Court allowed the revision application, set aside the order of the District Judge-1, Solapur dated 21st August 2015, and restored the order of the trial court dated 28th November 2014 returning the plaint under Order 7 Rule 10 CPC. The plaint is to be returned to the respondents for presentation before the appropriate cooperative court.

Law Points

  • Jurisdiction of civil court is barred under Section 163 of Maharashtra Cooperative Societies Act
  • 1960 for disputes relating to cooperative society's property
  • Order 7 Rule 10 CPC
  • Section 115 CPC
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Case Details

2018 LawText (BOM) (03) 58

Civil Revision Application No.44 of 2016

2018-03-05

Dr. Shalini Phansalkar-Joshi, J.

Mr. Suhas S. Inamdar for the Applicant, Ms. Saloni Ghule i/by Mr. Himanshu Kode for the Respondents

Sanjivani Kailas Borade

Kashinath Huseni (Waghe) Valher (since deceased, through L.R. Ashok Kashinath Waghe) and Ashok Kashinath Waghe

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Nature of Litigation

Civil revision application challenging appellate order setting aside trial court's order returning plaint for lack of jurisdiction.

Remedy Sought

Applicant sought to set aside the appellate order and restore the trial court's order returning the plaint.

Filing Reason

The trial court returned the plaint holding that the civil court lacked jurisdiction as the property belonged to a cooperative society; the appellate court reversed that order.

Previous Decisions

Trial court (8th Joint Civil Judge, Junior Division, Solapur) returned plaint on 28th November 2014; District Judge-1, Solapur allowed appeal on 21st August 2015 and set aside that order.

Issues

Whether the civil court has jurisdiction to entertain a suit concerning property owned by a cooperative society in light of Section 163 of the Maharashtra Cooperative Societies Act, 1960.

Submissions/Arguments

Applicant argued that the property belongs to a cooperative society and the dispute is exclusively triable by the cooperative court under Section 163 of the Maharashtra Cooperative Societies Act, 1960. Respondents argued that the civil court has jurisdiction as the suit involves declaration of ownership and injunction.

Ratio Decidendi

The civil court has no jurisdiction to entertain a suit relating to property owned by a cooperative society, as such disputes are exclusively triable by the cooperative court under Section 163 of the Maharashtra Cooperative Societies Act, 1960. The trial court correctly returned the plaint under Order 7 Rule 10 CPC.

Judgment Excerpts

By this Revision Application, preferred under Section 115 of the Civil Procedure Code, 1908, the Applicant is challenging the order dated 21st August 2015 passed by the District Judge-1, Solapur, thereby allowing Miscellaneous Civil Appeal No.9 of 2015 preferred by the Respondents herein and setting aside the order dated 28th November 2014 passed by the 8th Joint Civil Judge, Junior Division, Solapur, below 'Exhibit-1' in Regular Civil Suit No.409 of 2013. The subject matter of the Suit is a plot bearing No.9/16, admeasuring 92.98 sq.mtrs., out of Survey No.32/A1/3 (Old Survey No.307/A1/3), along with a building constructed thereon, admeasuring 250 sq.ft., situate at Nehru Nagar, Solapur. The said property is stated to be owned by 'Mukundrao Ambedkar Sahakari Gruhrachna Sanstha Maryadit'.

Procedural History

The respondents filed Regular Civil Suit No.409 of 2013 before the 8th Joint Civil Judge, Junior Division, Solapur. The trial court, by order dated 28th November 2014, returned the plaint under Order 7 Rule 10 CPC for presentation before the appropriate cooperative court. The respondents appealed, and the District Judge-1, Solapur, by order dated 21st August 2015, allowed Miscellaneous Civil Appeal No.9 of 2015 and set aside the trial court's order. The applicant then filed Civil Revision Application No.44 of 2016 before the Bombay High Court, which was allowed on 5th March 2018, restoring the trial court's order.

Acts & Sections

  • Code of Civil Procedure, 1908: Section 115, Order 7 Rule 10
  • Maharashtra Cooperative Societies Act, 1960: Section 163
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