Mr. S.P. Minocha vs Lila Ram on 5 April, 2002
"Appellants have argued that to allow a party
to go back upon what he has orally agreed in
open Court would be unjust and that strict
compliance with Order 23 Rule 3 was not
required. But then, the language of Order 23
Rule 3 is quite clear that the compromise must
be in writing and signed. Further the facts
in the judgment of Supreme Court in Gurpreet
Singh v. Chatur Bhuj Goel -,
are almost similar and show that strict
compliance with Order 23 Rule 3 is necessary.
In that case too, before a Division Bench
which heard the appeal parties or counsel made
oral submissions on 28.1.1987 stating that the
appeal could stand dismissed as respondent
agreed to receive Rs. 2,25,000/- from
appellant. The case was adjourned to
17.3.1987 to check if the money as agreed to
on 28.1.87 was paid. But later the respondent
went back, taking advantage of Order 23 Rule