Bombay High Court Allows Redemption of Mortgage Despite Delay in Filing Final Decree Application — Limitation Not Applicable to Order 34 Rule 8 CPC Proceedings. The court held that an application for final decree of redemption is a step in the suit and not an independent proceeding, hence not subject to limitation under the Limitation Act, 1963.

High Court: Bombay High Court Bench: BOMBAY
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Case Note & Summary

The case involves a second appeal against the judgment of the 2nd Additional District Judge, Satara, which allowed the respondent's appeal and set aside the trial court's order passing a final decree of redemption in favour of the appellant. The appellant, Manik Dagadu Shaikh (since deceased through LRs), had filed a suit for redemption of mortgage in 1975, which was decreed on 26/10/1978 with a direction to deposit Rs.200/- mortgage money within six months. The appellant deposited the amount on 11/06/1978, before the preliminary decree was prepared on 27/12/1978. However, he filed the application for final decree under Order 34 Rule 8 CPC on 03/07/1990, i.e., after a delay of about 12 years. The trial court allowed the application and passed a final decree, but the appellate court reversed it on the ground of limitation. The High Court held that the application for final decree is not governed by the Limitation Act as it is a continuation of the suit. The court also noted that the respondent had not raised any objection regarding delay before the trial court and the appellant had shown sufficient cause. The High Court set aside the appellate judgment and restored the trial court's order, allowing the appeal.

Headnote

A) Civil Procedure Code - Redemption of Mortgage - Final Decree - Limitation - Application under Order 34 Rule 8 CPC for passing final decree of redemption is not governed by the Limitation Act, 1963, as it is a step in the suit and not an independent proceeding. The court held that the period of limitation for such application is not prescribed and the court can condone delay if sufficient cause is shown. (Paras 5-10)

B) Civil Procedure Code - Order 34 Rule 8 - Final Decree - Delay Condonation - The court has inherent power to condone delay in filing final decree application if the delay is explained and no prejudice is caused to the opposite party. In this case, the appellant deposited the mortgage money within time but filed final decree application after 12 years; the delay was condoned as the respondent had not raised any objection earlier and the appellant had shown sufficient cause. (Paras 11-15)

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Issue of Consideration

Whether the application for final decree of redemption under Order 34 Rule 8 CPC is governed by the law of limitation, and if so, whether the delay in filing such application can be condoned.

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Final Decision

The High Court allowed the appeal, set aside the judgment of the 2nd Additional District Judge, Satara, dated 06/05/2000, and restored the order of the Civil Judge Junior Division, Phaltan, dated 06/07/1994, thereby passing the final decree of redemption in favour of the appellant.

Law Points

  • Redemption of mortgage
  • Final decree
  • Limitation Act
  • Order 34 Rule 8 CPC
  • Delay condonation
  • Sufficient cause
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Case Details

2018 LawText (BOM) (08) 104

SECOND APPEAL NO. 738 OF 2001

2018-08-02

DR.SHALINI PHANSALKAR-JOSHI, J.

Mr.Vishwanath Talkute for the Appellant(s), Mr.Uday Warurnjikar for the Respondent

Manik Dagadu Shaikh (Since deceased Through LRs.)

Sopan Tatyaba Wadhmode

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Nature of Litigation

Second Appeal against judgment and decree in a redemption of mortgage suit.

Remedy Sought

Appellant sought final decree of redemption and possession of suit land.

Filing Reason

Appellant filed application for final decree under Order 34 Rule 8 CPC after depositing mortgage money.

Previous Decisions

Trial court passed preliminary decree on 27/12/1978 and final decree on 06/07/1994; appellate court set aside final decree on 06/05/2000.

Issues

Whether the application for final decree of redemption under Order 34 Rule 8 CPC is governed by the law of limitation. Whether the delay in filing the final decree application can be condoned.

Submissions/Arguments

Appellant argued that the application for final decree is not governed by limitation as it is a step in the suit. Respondent contended that the application was barred by limitation and no sufficient cause was shown.

Ratio Decidendi

An application for final decree of redemption under Order 34 Rule 8 CPC is not an independent proceeding but a step in the suit, and therefore, the law of limitation does not apply. The court has inherent power to condone delay if sufficient cause is shown.

Judgment Excerpts

The application for final decree is not governed by the Limitation Act as it is a continuation of the suit. The court has inherent power to condone delay if sufficient cause is shown.

Procedural History

Appellant filed Regular Civil Suit No.205 of 1975 for redemption of mortgage. Preliminary decree passed on 26/10/1978. Appellant deposited mortgage money on 11/06/1978. Filed final decree application on 03/07/1990. Trial court allowed application on 06/07/1994. Respondent appealed; appellate court allowed appeal on 06/05/2000. Appellant filed Second Appeal No.738 of 2001 in High Court.

Acts & Sections

  • Code of Civil Procedure, 1908 (CPC): Order 34, Rule 8(1)
  • Limitation Act, 1963:
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