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Showing contexts for: validity of compromise in M/S. Sree Surya Developers And ... vs N. Sailesh Prasad on 9 February, 2022Matching Fragments
3.5 Shri Rohatgi, learned Senior Advocate has further submitted that even otherwise the impugned judgment and order passed by the High Court is unsustainable. It is submitted that in the entire judgment, there is no discussion by the High Court on the maintainability of the suit and/or any discussion on Order XXIII Rule 3A CPC on the basis of which the Trial Court rejected the plaint.
3.6 It is submitted that on the contrary, the High Court has gone into the validity of the Compromise Decree considering Order XXXII Rules 1 to 7 CPC and the High Court has virtually given the findings relying upon Order XXXII Rule 7 CPC that the Compromise Decree was not binding to the plaintiff. It is submitted that the High Court ought to have addressed itself to the maintainability of the suit and at this stage the High Court was not required to consider at all on the validity of the Compromise Decree.
3.7 Number of other submissions have been made by learned counsel appearing on behalf of the appellant on the validity of the Compromise Decree. However, for the reasons stated hereinbelow, we propose to consider the only issue with respect to maintainability of the suit and the issue before this Court is not on the validity of the Compromise Decree, therefore, we do not propose to deal with any of the submissions on merits on the validity of the Compromise Decree.
4. Present appeals are vehemently opposed by Shri B. Adinarayana Rao, learned Senior Advocate appearing on behalf of the original plaintiff(s).
5. We have heard the learned counsel appearing on behalf of the respective parties at length.
6. At the outset, it is required to be noted that in the present case, the Trial Court rejected the plaint of O.S. No.537 of 2018 in exercise of powers under Order VII Rule 11 CPC on the ground that the said suit would not be maintainable in view of specific bar under Order XXIII Rule 3A CPC. The High Court by the impugned judgment and order has set aside the said order and has remanded the matter to the Trial Court by observing that while passing the order rejecting the plaint, the Trial Court had not considered the provisions of Order XXXII Rules 1 to 7 CPC. However, it is required to be noted that while passing the impugned judgment and order, the High Court has not at all dealt with and considered the provisions of Order XXIII Rule 3A CPC and has not considered at all whether in fact the suit challenging the Compromise Decree and/or for the reliefs sought in the suit would be maintainable or not. What was required to be considered by the High Court was whether the independent suit questioning the Compromise Decree would be maintainable or not. The aforesaid crucial aspect has not been dealt with by the High Court at all and High Court has gone into the validity of the Compromise Decree in view of Order XXXII Rule 7 CPC. At the stage of deciding the application under Order VII Rule 11 CPC, the only thing which was required to be considered by the High Court was whether the suit would be maintainable or not and that the suit challenging the Compromise Decree would be maintainable or not in view of Order XXIII Rule 3A CPC and at this stage, the High Court / Court was not required to consider on merits the validity of the Compromise Decree.
13. In view of the above and for the reasons stated above, the present appeals succeed. The impugned judgment and order passed by the High Court allowing the appeal and quashing and setting aside the order passed by the II Additional District Judge, Ranga Reddy District passed on 02.05.2019 in I.A. No. 108 of 2019 in O.S. No.537 of 2018 is hereby quashed and set aside. The order passed by the Trial Court dated 02.05.2019 in I.A. No.108 of 2019 in O.S. No. 537 of 2018 rejecting the plaint is hereby restored. However, it is observed that we have not expressed anything on merits on validity of the Compromise Decree and the same shall have to be decided and considered by the Court which passed the decree in an application under Order XXIII Rule 3A CPC, which as observed hereinabove has been filed by the original plaintiff and the said application be decided and disposed of by the concerned Court in accordance with law and on its own merits and the contentions/defences which may be available to the respective parties on the validity of the Compromise Decree are kept open to be considered by the concerned Court in accordance with law and on its own merits.