High Court of KeralaDivision BenchAppeal allowed; suit restored on terms with cos...

Mangalam Muraleedharan v. Bharathi

Case / Petition Number:FAO No.14 of 2018

Case Details & Bench

Court
High Court of Kerala
Hon'ble Judges
  • P. N. Ravindran
  • R. Narayana Pisharadi
Judgment Date
2018-01-22
Court Decision / Holding
Appeal allowed. The impugned order restoring the suit was set aside and the suit restored to file on terms. The appellant/plaintiff must deposit Rs. 7,500 as costs to be paid to the respondent in the trial court by 19 March 2018. The trial court shall verify deposit, and if satisfied, proceed to try and dispose of the suit on merits expeditiously. If the default occurs in depositing costs, the appeal shall stand dismissed.
Final Disposition
Appeal allowed; suit restored on terms with costs; expeditious disposal mandated; failure to deposit costs within the stipulated time may result in dismissal of the appeal.

Parties to the Case

Appellants / Petitioners

  • Mangalam Muraleedharan

Respondents

  • Bharathi

Legal Representation & Advocates

Counsels for Petitioners

  • • Sri M.R. Venugopal
  • • Smt. Dhanya P. Ashokan

Counsels for Respondents

  • • Sri U. Balagangadharan

Case Synopsis & Summary

This Kerala High Court judgment, delivered on 22 January 2018, concerns an appeal from an order dismissing a restoration application under Order IX Rule 9 CPC in a suit for specific performance (OS No.772/2012). The appellant-plaintiff, Mangalam Muraleedharan, had entered into a sale agreement on 17 January 2011 and paid Rs. 5,00,000 as advance; she produced fixed deposit receipts to show funds for the balance and paid Rs.1,38,400 as court fee. The suit was listed for trial on 14 January 2016 and adjourned to 15 March 2016 at the plaintiff’s request, but she was absent on 15 March 2016 and the suit was dismissed for default. She moved under Order IX Rule 9 CPC for restoration (IA 1442/2016); the trial court dismissed this restoration on 21 October 2017. On appeal, the High Court, noting her counsel’s presence and her non-dilatory explanation for the absence (she had to go abroad to Kuwait to be with her ailing husband), reviewed authorities including G.P. Srivastava v. R.K. Raizada (AIR 2000 SC 1221) and Plantation Corporation of Kerala Ltd. v. Hussain (1998(1) KLT 1008). It held that Order IX Rule 9 should be liberally construed and restoration can be allowed on terms where malafide is not shown. The appeal is allowed; the impugned order is set aside and the suit restored on conditions, including a deposit of Rs. 7,500 as costs by 19 March 2018, with expeditious disposal of the suit.

Provisions of Law Cited

Order IX Rule 9, Code of Civil Procedure (CPC) (liberal construction when restoring dismissed for default)

Legal Doctrines & Maxims

  • Liberal construction of Order IX Rule 9 CPC in restoration petitions.
  • Restoration of suit on terms to meet ends of justice (as stated in Plantation Corporation of Kerala Ltd. v. Hussain).
  • Ex parte decrees set aside when not malafide (G.P. Srivastava v. R.K. Raizada).
  • Bona fide purchaser doctrine (relevance to third-party transfers post-dismissal).

Submissions & Arguments

Contentions of Appellants / Petitioners

The appellant contends that the dismissal for default on 15 March 2016 occurred when she was compelled to travel to Kuwait to be with her ailing husband; she sought restoration under Order IX Rule 9 CPC; she argues that the absence was not malafide or deliberate and that she had paid the entire court fee (Rs. 1,38,400) and had Rs. 10,00,000 balance for consideration ready in fixed deposits. She submits that liberal construction of Order IX Rule 9 and supportive precedents (G.P. Srivastava; Plantation Corporation) require restoration on reasonable terms, especially since the defendant’s later transfer of property should not bar restoration absent a bona fide challenge. She seeks opportunity to have the merits decided and argues that irreparable injury would result if restoration is denied.

Contentions of Respondents

The respondent contends that there is no justifiable basis for restoration given the plaintiff’s absence on 15 March 2016 and the potential prejudice from restoring on terms after the defendant’s transfer of the suit schedule property; the court’s discretion should not override the defendant’s rights or prejudice the transferee unless the plaintiff can show a bona fide purchase. The respondent emphasizes that malafide absence cannot be presumed and that the trial court’s order refusing restoration was appropriate under the circumstances.

Cited Precedents (2)

Case NameCitationTreatmentExplanation
G.P. Srivastava v. R.K. RaizadaAIR 2000 SC 1221PositiveCited to support liberal restoration of a suit under Order IX Rule 9 when absence is not malafide; the court notes that restoration may be granted within time limits.
Plantation Corporation of Kerala Ltd. v. Hussain1998(1) KLT 1008PositiveHeld that a plaintiff may be restored to file even if sufficient cause is not fully established, depending on the facts, reinforcing liberal restoration under Order IX Rule 9.

Diagnostic Tool

Beta

Does this judgment govern your specific facts?

Don't risk relying on a distinguishable precedent. Enter your facts or proposition below. We will test it against Mangalam Muraleedharan v. Bharathi and instantly map out authorities that support, challenge, or govern your position.

Extracted Judgment Text

Exact text extracted from official judgment records.

# **IN THE HIGH COURT OF KERALA AT ERNAKULAM** **PRESENT:** **THE HONOURABLE MR.JUSTICE P.N.RAVINDRAN** **& THE HONOURABLE MR. JUSTICE R. NARAYANA PISHARADI** **MONDAY, THE 22ND DAY OF JANUARY 2018 / 2ND MAGHA, 1939** **FAO.No. 14 of 2018** **(AGAINST THE ORDER DATED 21.10.2017 IN IA NO.1442/2016 IN O.S.NO.772/2012 ON THE FILE OF THE PRINCIPAL SUBORDINATE JUDGE, PALAKKAD)** ## **APPELLANT(S)/PETITIONER:** **MANGALAM MURALEEDHARAN AGED 47 YEARS, W/O.MURALEEDHARAN, SRI DWADASI, 21/719, MUTHUKULATHU, NOORANI POST, PALAKKAD TALUK, PALAKKAD DISTRICT.** **BY ADVS.SRI.M.R.VENUGOPAL SMT.DHANYA P.ASHOKAN** ## **RESPONDENT/RESPONDENT:** **BHARATHI, AGED 65 YEARS, W/O.K.K.SANKARANARAYAN, HOUSE NO.267/7, SB NAGAR, THIRUMULLAVAYAL, CHENNAI-62, TAMILNADU.** **THIS FIRST APPEAL FROM ORDERS HAVING COME UP FOR ADMISSION ON 22-01-2018, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING:** ss ## **P.N.RAVINDRAN, J &** ## **R.NARAYANA PISHARADI, J** **--------------------------------** ----------------------------------- **F.A.O.No.14 of 2018** ------------------------------------------------------------------Dated this the 22[nd] day of January, 2018 ## **JUDGMENT** ## _**P.N.Ravindran, J**_ The appellant is the plaintiff in O.S.No.772 of 2012 on the file of the Court of the Principal Subordinate Judge of Palakkad, a suit instituted by her for specific performance of an agreement for sale entered into with the defendant on 17.1.2011. She had in the plaint averred that on the date of the agreement the sum of Rs.5,00,000/- was paid as advance. She had produced along with the plaint, copies of two fixed deposit receipts to show that she possesses the means to pay the balance sale consideration. She had paid a total court fee of Rs.1,38,400/- on the plaint. 2. Upon receipt of summons, the defendant entered appearance and filed a written statement resisting the suit. After issues were framed and the balance court fee was paid, the suit stood listed for trial on 15.03.2016. On that day, though learned counsel on both sides were present, the plaintiff was absent. Consequently, the trial court dismissed the suit for default. It is relevant in this context to note that the plaintiff had on 15.03.2016 filed I.A.No.1024 of 2016 praying that the suit may be removed from the list, in view of the fact that she has to leave immediately 2 ## **F.A.O.No.14 of 2018** for Kuwait to be with her ailing husband, who was laid up with jaundice. In the affidavit filed in support of the application, she had prayed for an adjournment of the suit by a month. That application was numbered only on 23.03.2016 and therefore it was not taken up for consideration before the request for adjournment was rejected and the suit was dismissed for default on 15.03.2016. The application was thereafter closed in view of the fact that the suit was dismissed for default on 15.03.2016. The plaintiff thereupon filed I.A.No.1442 of 2016 under Order IX Rule 9 of the Code of Civil Procedure, within the time limit stipulated, with a prayer that the suit may be restored to file. The defendant opposed the application. After considering the rival contentions, the trial court dismissed the said application by order passed on 21.10.2017. The plaintiff has, aggrieved thereby, filed this appeal. 3. We heard Smt.Dhanya P.Ashokan, learned counsel appearing for the appellant and Sri.U.Balagangadharan, learned counsel appearing for the respondent. We have also gone through the pleadings and the materials on record. The proceedings paper discloses that the suit was listed for trial for the first time on 14.01.2016. It was adjourned to 15.03.2016 at the plaintiff's request. On that day, as she was absent, notwithstanding the fact that her counsel was present, the suit was dismissed for default. 3 ## **F.A.O.No.14 of 2018** The case put forward by the appellant in the application for restoration filed in the court below was that it has become necessary for her to go abroad to be with her ailing husband who is suffering from jaundice. The case now stated before us is that though the appellant had planned to go to Kuwait to be with her ailing husband, she could not go on 15.03.2016 as planned due to non-availability of flight ticket and that her counsel who did not properly understand her instructions, had filed an affidavit in the trial court to the effect that she has to go abroad on 15.03.2016. Learned counsel submitted with reference to a copy of the plaintiff's passport that she came back to India on 07.03.2016 and returned to Kuwait only on 31.03.2016 and that she was in India on 15.03.2016. Learned counsel submitted that the averment in the affidavit dated 14.03.2016, sworn to by the plaintiff that she has to go to Kuwait on 15.03.2016 was made without properly understanding the instructions given by her to her counsel and therefore it should not be held out against her. Learned counsel also submitted that the entire balance sale consideration has been kept ready and the said amount of Rs.10,000,00/- is even today lying in fixed deposit, that the plaintiff has paid the sum of Rs.1,38,400/towards court fee and if for want of proper pleadings, the impugned order is not set aside, the appellant will suffer irreparable injury and 4 ## **F.A.O.No.14 of 2018** loss. Referring to the decision of the Apex Court in _**G.P Srivastava v. R.K.Raizada** (AIR 2000 SC 1221)_ , learned counsel submitted that as the application is one filed within time, in the absence of any pleading by the defendant that the plaintiff's absence was malafide, the appeal may be allowed, the impugned order may be set aside and the suit restored to file, at least on terms. 4. _Per contra_ , learned counsel appearing for the respondent/defendant submitted that the plaintiff has not made out a case warranting interference, that the defendant has after the suit was dismissed for default, transferred the plaint schedule property to a third party on 30.05.2016 and therefore, the defendant will be put to serious prejudice if at this distance of time, the suit is restored to file. Learned counsel also submitted that as the plaintiff had come to court with a case that she had gone abroad on 15.03.2016, she was rightly non-suited by the court below. 5. We have considered the submissions made at the Bar by learned counsel appearing on either side. We have also gone through the pleadings and the materials on record. The materials on record disclose that the plaintiff has paid a total court fee of Rs.1,38,400/-. She has in the plaint averred that the balance sale consideration of Rs.10,00,000/- is ready with her and the said amount is lying in deposit. She has produced documents to prove 5 ## **F.A.O.No.14 of 2018** that fact. The Apex Court has in _**G.P Srivastava v. R.K.Raizada** (AIR 2000 SC 1221)_ , held that in a case where the defendant approaches the court immediately and within the time specified to have the exparte decree set aside, the discretion is normally exercised in his favour provided the absence was not malafide or intentional. The same principle will in our opinion apply in the case of an application by a plaintiff for an order restoring the suit to file. A Division Bench of this court has in _**Plantation Corporation of Kerala Ltd., v. Hussain** (1998(1) KLT 1008),_ held that even in cases where the plaintiff is not able to establish sufficient cause, the court should, depending upon the facts of the case, exercise its discretion to restore the suit. It was held, that is the reason why the legislature has given power to the court to set aside the order of dismissal “on such terms as to costs or otherwise as it thinks fit”. K.S.Radhakrishnan, J (as His Lordship then was) speaking for the Bench has observed that Order IX Rule 9 should receive a liberal construction when a party moves the court for restoration of the suit which was dismissed for default. 6. In the instant case, as stated earlier, the plaintiff has paid a court fee of Rs.1,38,400/-. The plaint was rejected on an earlier occasion, for non-payment of the balance court fee. The suit was restored to file on the balance court fee being paid. Thereafter, 6 ## **F.A.O.No.14 of 2018** the suit was listed on 14.01.2016 and removed from the list and adjourned to 15.03.2016 on the plaintiff's request. The plaintiff thereupon moved to have the suit adjourned on the ground that it has become necessary for her to go over to Kuwait on 15.03.2016 to be with her ailing husband. The suit was dismissed due to her non-appearance on 15.03.2016. She filed an application to have the suit restored to file on 19.03.2016 within the time limit stipulated for the purpose. It was only thereafter that the defendant disposed of his property to a third person on 30.05.2016. As a party to the suit, the defendant should have taken note of the fact that the plaintiff has the option of applying to have the order dismissing the suit for default, set aside. Such being the situation, we are of the opinion that merely for the reason that the defendant has transferred the property to a third party, the suit for specific performance should not be restored. Unless the transferee pleads and proves that she is a _bona fide_ purchaser, the plaintiff can be given a decree for specific performance in the event of her contentions being accepted. The plaintiff can in the event of specific performance being declined seek return of the advance money paid, together with interest. The advance amount paid is Rs.5,00,000/-. The defendant does not dispute having received the sum of Rs.5,00,000/- more than six years ago. Having regard to the 7 ## **F.A.O.No.14 of 2018** circumstances set out above, we are of the opinion that unless the suit is restored to file and the plaintiff is granted an opportunity to have the suit filed by her tried and disposed of on the merits, she will be put to irreparable injury and loss. It is evident from the fact that the plaintiff’s counsel was present in court on 15.03.2016, that it is not a case where the plaintiff was deliberately keeping away on lame excuses. The defendant has also not produced any material to show that the plaintiff was adopting dilatory tactics or acting with malafides. Having regard to the totality of the facts and circumstances of the case, we are of the opinion that to meet the ends of justice, the impugned order should be set aside and the suit restored to file on terms. We accordingly allow the appeal, set aside the impugned order and restore the suit to file subject to the condition that the appellant/plaintiff shall deposit the sum of Rs.7,500/- as costs for payment to the respondent/defendant in the trial court, on or before 19.03.2018. The court below shall for the purpose of verifying whether the sum of Rs.7,500/- has been deposited as costs within the time limit stipulated above, call the suit on 20.03.2018, and if on such verification it is found that the appellant has complied with the stipulation regarding deposit of costs, try and dispose of the suit on the merits. Having regard to the fact that the suit was instituted 8 ## **F.A.O.No.14 of 2018** in the year 2012, the learned trial Judge shall endeavor to try and dispose of the suit expeditiously. Needless to say, in the event of default on the part of the appellant to deposit the sum of Rs.7,500/as costs within the time limit stipulated above, the instant appeal shall stand dismissed. _Sd/-_ **(P.N.Ravindran, Judge)** _Sd/-_ **(R. Narayana Pisharadi, Judge)** _//True Copy//_ _P.A. To Judge_ ss