Case Note & Summary
The appeal was directed against the judgment of the High Court of Delhi, which upheld the dismissal of a suit filed by the appellants for declaratory relief regarding the ownership of a residential plot. The suit was dismissed by the Trial Court on the grounds of limitation, a decision that was confirmed by the First Appellate Court. The appellants contended that the issue of limitation should not have been determined as a preliminary issue under the Code of Civil Procedure, 1908. The court noted that the predecessor-in-interest of the appellants had executed a relinquishment deed in favor of the fifth respondent, which was claimed to have been obtained fraudulently. The court found that the cause of action arose when the appellants became aware of the relinquishment deed, and the suit was filed beyond the three-year limitation period. The court also held that Article 136 of the Limitation Act was not applicable in this case, as it pertains to execution of decrees rather than the initiation of suits. Ultimately, the court dismissed the appeal, affirming the concurrent findings of the lower courts regarding the issue of limitation.
Headnote
A) Civil Procedure - Preliminary Issue - Determination of Limitation - Code of Civil Procedure, 1908, Order XIV, Rule 2 - The court held that the issue of limitation can be determined as a preliminary issue if it can be decided based on admitted facts. The concurrent findings of the Trial Court, First Appellate Court, and High Court were upheld, confirming that the suit was barred by limitation. (Paras 8-19) B) Limitation - Applicability of Articles - Limitation Act, 1968, Articles 136, 17, 65 - The court found that Article 136 of the Limitation Act was not applicable as it pertains to execution of decrees, not initiation of suits. The plaintiffs could not claim a larger period of limitation based on this article. (Paras 20-21) C) Declaratory Relief - Nature of Suit - Limitation Act, 1968 - The court determined that the suit was declaratory in nature and the period of limitation was three years from the date of knowledge of the alleged fraud. The suit was filed beyond this period, thus barred by limitation. (Paras 26-27)
Issue of Consideration
Whether the issue of limitation can be determined as a preliminary issue under Order XIV, Rule 2 of the Code of Civil Procedure, 1908?
Final Decision
The Supreme Court dismissed the appeal, affirming the concurrent findings of the lower courts that the suit was barred by limitation. The court held that the issue of limitation could be determined as a preliminary issue under Order XIV, Rule 2 of the Code of Civil Procedure, 1908, and that Article 136 of the Limitation Act was not applicable in this case.
Law Points
- Limitation
- Preliminary Issue
- Declaratory Relief
- Concurrent Findings
- Article 136
- Code of Civil Procedure
- 1908
- Limitation Act
- 1968



