Holding

A suit for mandatory and prohibitory injunction must be valued according to the reliefs claimed, not the market value of the property, and therefore the High Court’s order was set aside.

Summary

The plaintiff filed a suit for mandatory and prohibitory injunction, together with damages, to evict licensees from his plot. The defendant challenged the suit's pecuniary jurisdiction, arguing that the valuation should be based on the market value of the property (Rs. 1.8 crore) rather than the nominal amounts claimed for injunction (Rs. 250 each) and damages (Rs. 1 lakh). The trial court rejected the objection, holding that valuation must follow the reliefs claimed, but the High Court reversed, deeming the valuation arbitrary and ordering the plaint to be re‑filed in a higher court. On appeal, the Supreme Court held that for suits seeking injunctions, the Court Fees Act requires valuation based on the nature of relief, not the market value of the immovable property. Consequently, the High Court’s order was set aside and the trial court’s decision restored. The appeal was allowed without costs.

Issues considered

The appropriate method of valuing a suit for mandatory and prohibitory injunction under Section 7(iv)(d) of the Court Fees Act, 1870.
Whether the market value of the immovable property governs the suit valuation for injunction reliefs.
Whether the High Court erred in holding the plaintiff's valuation arbitrary and directing the plaint to be re‑filed.
Whether the trial court had pecuniary jurisdiction to entertain the suit.

Legislation cited

Code of Civil Procedure, 1908s. Order 14 Rule 5, s. Order VII Rule 11
Court Fees Act, 1870s. 7(iv)(d), s. 7(v)
Suits Valuation Acts. 9

Subjects

Court Fees Actsuit valuationmandatory injunctionprohibitory injunctionpecuniary jurisdictionOrder VII Rule 11market valuerelief-based valuation

Judgment

1156 [2022]
SUPREME COURT 7 S.C.R. 1156
REPORTS [2022] 7 S.C.R.

A BHARAT BHUSHAN GUPTA
v.
PRATAP NARAIN VERMA & ANR.
(Civil Appeal No. 4577 of 2022)
B JUNE 16, 2022
[DINESH MAHESHWARI AND VIKRAM NATH, JJ.]
Court Fees Act, 1870: ss. 7(iv)(d), 7(v) – Computation of fees
payable in certain suits – Valuation of – On facts, suit for mandatory
and prohibitory injunction and also for damages for use and
C
occupation of the suit by appellant against the respondent – During
the pendency, an application u/or. 7 r.11 CPC filed by the respondent
for want of pecuniary jurisdiction on the ground that the value of
the suit property is not taken while computing the court fees –
Rejected by the trial court, however, the High Court returned the
D plaint for filing the same in the court of appropriate jurisdiction –
On appeal, held: Suit for mandatory and prohibitory injunction is
not required to be valued at the market value of the property – It is
the nature of relief claimed in the plaint which is decisive of the
question of suit valuation– Market value does not become decisive
of suit valuation merely because an immovable property is the
E
subject-matter of litigation – Market value of the immovable property
involved in the litigation might have its relevance depending on the
nature of relief claimed but, ultimately, the valuation of any particular
suit has to be decided primarily with reference to the relief/reliefs
claimed – On facts, the appellant has valued the reliefs of mandatory
F and prohibitory injunction at the nominal Rs. 250 but, at the same
time, has also valued the suit with reference to the claim of damages
at Rs. 1 lakh and had paid the Court fees accordingly–High Court
relied only upon the market value of the property to hold the
valuation of the present suit to be arbitrary, which does not stand
in conformity with law – Thus, the order passed by the High Court
G
is set aside.
Allowing the appeal, the Court
HELD: 1.1 The impugned order as passed by the High
Court with reference to the statement made by the plaintiff in his
H
1156
BHARAT BHUSHAN GUPTA v. PRATAP NARAIN VERMA 1157
& ANR.

cross-examination on the value of the suit property, does not A
stand in conformity with law and cannot be sustained. [Para
7][1169-F-G]
1.2 The nature of the present suit, makes it evident on the
face of record that the plaintiff-appellant has sought the reliefs of
mandatory injunction against the defendants for removing B
themselves and their belongings from the plot in question, while
alleging that the defendants were in occupation thereof only as
licensees; and were obliged to remove themselves after
termination of respective licenses. The plaintiff has also prayed
for the relief of perpetual prohibitory injunction that the
defendants may not create any third-party rights in the suit C
property or raise any construction thereon. The plaintiff has
valued the suit for the purpose of Court fees and jurisdiction at
Rs. 250 for each of the reliefs for injunction and at Rs. 1 lakh for
damages; and has paid the Court fees accordingly. [Para 9][1170-
C-E] D
1.3 It remains trite that it is the nature of relief claimed in
the plaint which is decisive of the question of suit valuation. As a
necessary corollary, the market value does not become decisive
of suit valuation merely because an immovable property is the
subject-matter of litigation. The market value of the immovable
property involved in the litigation might have its relevance E
depending on the nature of relief claimed but, ultimately, the
valuation of any particular suit has to be decided primarily with
reference to the relief/reliefs claimed. [Para 9.1][1170-F]
1.4 So far as the present suit is concerned, the plaintiff has
alleged the defendants to be the licensees and has sought F
mandatory injunction obliging them to remove themselves and
their belongings. With such pleadings, claim of relief of mandatory
injunction is not unknown to the legal process. [Para 9.2][1170-
G-H]
1.5 The discussion as regards maintainability of suit for G
mandatory injunction does not require much elaboration for the
settled position of law as also for the relevant fact that even in
the order impugned, the High Court has not stated anything to
the contrary, so far as the question of maintainability of the suit
seeking relief of mandatory injunction is concerned. The High
H
1158 SUPREME COURT REPORTS [2022] 7 S.C.R.

A Court rather placed this aspect of the matter beyond the pale of
doubt while observing, after its extensive reference to the various
decisions, that the facts of the present case and that of the case
of Mulk Raj Khullar’s case were in parimateria. To this extent,
the consideration of the High Court had been in tune with the
applicable legal principles. However, immediately on the next
B step, the High Court, with respect, committed serious error by
referring to a passage in Mulk Raj Khullar’s case in isolation and
detached from the substance, where the Court had indicated want
of any argument about whimsical valuation. That observation in
the decision of Mulk Raj Khullar’s case came in the context of
C observations in another decision of Delhi High Court in the case
of Padmavati Mahajan v. Yogender Mahajan & Anr., wherein the
Court had observed that a suit for injunction could be valued by
the plaintiff in his/her discretion subject to the condition that such
discretion ought not to be whimsical. The use of generalised
expression “whimsical”, without specifications, has been picked
D up by the High Court in the impugned order and then, the market
value of the plot in question, as stated by the plaintiff in his cross-
examination, has been taken by the Court to be indicative of
arbitrariness in valuation. With respect, the High Court even
missed out the relevant statement of law in the very passage
E reproduced in Mulk Raj Khullar, wherein it was stated in clear
terms that such a suit was ‘not required to be valued at the market
value of the property’. [Para 9.5][1172-D-H; 1173-A]
1.6 The High Court has not even considered the overall
circumstances of the present case where the plaintiff has valued
the reliefs of mandatory and prohibitory injunction at the nominal
F Rs. 250 but, at the same time, has also valued the suit with
reference to the claim of damages at Rs. 1 lakh and had paid the
Court fees accordingly. It is apparent on the face of the record
that despite unquestionable principle of law that such a suit for
mandatory and prohibitory injunction is not required to be valued
G at the market value of the property, the High Court relied only
upon the market value of the property to hold the valuation of
the present suit to be “arbitrary”. Such a conclusion of the High
Court neither stands in conformity with law nor with the frame
and the nature of the present suit. [Para 10][1173-B-D]

H
BHARAT BHUSHAN GUPTA v. PRATAP NARAIN VERMA 1159
& ANR.

1.7 The observations in Commercial Aviation case were, A
in fact, taken note of by the High Court in the impugned judgment
too but they cannot be read to mean that in a suit for mandatory
injunction concerning a property and thereby seeking certain
mandates over the acts/omissions of the defendant, the suit is
required to be valued as per the market value of the property.
B
Such a proposition, for suit valuation on the market value of the
property involved, irrespective of the nature of relief claimed, if
accepted, would render the whole scheme of the Court Fees Act
concerning suit valuation with reference to the nature of relief
going haywire. [Para 11.2][1174-G-H; 1175-A]
1.8 The submission made on behalf of respondent No. 1 C
concerning want of framing of the necessary issues by the trial
court despite his prayer does not require much comments. This
is for the simple reason that irrespective of the issues framed,
the respondent No. 1, while contesting the suit, chose to raise
the objection regarding suit valuation and jurisdiction of the trial D
court by way of the application under Order VII Rule 11 CPC
during the course of cross-examination of the plaintiff. That
application was rightly rejected by the trial court. The High
Court’s decision to the contrary is not being approved by us.
That being the position, the contention about want of framing of
issues does not hold water any more. [Para 13][1175-C-E] E

1.9 The High Court has totally omitted to consider the
applicable provision of law i.e., Section 7(iv)(d) of the Court Fees
Act as also the principles of law stated in the very same decision
being referred to and relied upon in the impugned order itself.
Thus, the impugned order is set aside and that of the trial court F
is restored. [Paras 14, 15][1175-E-G]
Mulk Raj Khullar v. Anil Kapur & Ors. in CS (OS) No.
1855 of 2011 (2013) 139 DRJ 303; Sant Lal Jain v.
Avtar Singh AIR 1985 SC 857 : [1985] 3 SCR 184;
Maria Margarida Sequeira Fernandes & Ors. v. Erasmo G
Jack de Sequeira (dead) through LRs. 2012 (5) SCC
370 : [2012] 3 SCR 841; Malik Mohd Tanveer v. Uzma
Malik & Anr. CM(M) 663 of 205; Commercial Aviation

H
1160 SUPREME COURT REPORTS [2022] 7 S.C.R.

A and Travel Company and Ors. v. Vimla Pannalal : 1988
(3) SCC 423 : [1988] 1 Suppl. SCR 431; Mahant
Purshottam Dass & Ors. v. Har Narain & Anr. AIR 1978
Delhi 114; Joseph Severance & Ors. v. Benny Mathew
& Ors. (2005) 7 SCC 667 : [2005] 3 Suppl. SCR 429;
Padmavati Mahajan v. Yogender Mahajan & Anr.
B
(2008) 152 DLT 363 – referred to.
Case Law Reference
[1985] 3 SCR 184 referred to Para 4.1
[2012] 3 SCR 841 referred to Para 5.1
C
[1988] 1 Suppl. SCR 431 referred to Para 6.2
[2005] 3 Suppl. SCR 429 referred to Para 9.4
CIVIL APPELLATE JURISDICTION : Civil Appeal No.4577
of 2022.
D
From the Judgment and Order dated 18.03.2019 of the High Court
of Delhi at New Delhi in Civil Miscellaneous Main Petition bearing number
CM(M) No.961 of 2018.
Arun Mohan, Sr. Adv., Ruchira Gupta, Divyam Agarwal, Anurag
Sharma, Rajvansh Singh, Advs. for the Appellant.
E
Gopal Jha, Gautam Singh, Shreyash Bhardwaj, Nishant Verma,
Advs. for the Respondents.
The Judgment of the Court was delivered by
DINESH MAHESHWARI, J.
F
Leave granted.
2. This appeal arises out of a suit for mandatory and prohibitory
injunction as also recovery of damages for use and occupation of the
suit property, as filed by the plaintiff-appellant against the defendants-
respondents1 wherein, an application filed by the contesting defendant
G
(respondent No.1 herein) under Order VII Rule 11 of the Code of Civil
Procedure, 19082 during the course of plaintiff’s evidence, for rejection

1
Hereinafter, the parties have also been referred to as ‘the plaintiff’ or ‘the defendant
No. 1’ or ‘the defendant No. 2’, as per their status in the suit.
H 2
‘CPC’, for short.
BHARAT BHUSHAN GUPTA v. PRATAP NARAIN VERMA 1161
& ANR. [DINESH MAHESHWARI, J.]

of the plaint for want of pecuniary jurisdiction of the Trial Court, was A
considered and rejected by the Trial Court on 11.07.2018 but, the High
Court has taken a different view of the matter in its impugned order
dated 18.03.2019 with reference to the statement made by the plaintiff
in his cross-examination as regards the value of the suit property; and
has ordered return of the plaint for filing the same in the Court of
B
appropriate jurisdiction.
2.1. It may be observed at the outset that after examining the
petition seeking special leave to appeal in this matter on 26.04.2019, this
Court, while issuing notice, stayed the operation of the impugned order
of the High Court. It has been pointed out during the course of submissions
that after the stay order of this Court, the trial of the subject suit proceeded C
further and ultimately, the suit was decreed on 31.08.2021; and the appeal
filed by the contesting defendant (respondent No. 1 herein) is pending.
3. In the given set of circumstances, we do not propose to dilate
on all the factual aspects of the case as the matter is said to be pending
in appeal and all the relevant aspects are required to be left open for D
examination by the First Appellate Court. The discussion herein, therefore,
is confined only to the correctness and validity of the order passed by
the High Court in regard to the suit valuation and not beyond. Thus, only
a brief reference to the factual aspects, to the extent relevant for the
present purpose, would suffice. E
3.1. The plaintiff-appellant had filed the subject suit bearing No.
427419 of 2016 in the Court of Senior Civil Judge, South West District,
Dwarka, New Delhi for mandatory and prohibitory injunction and
recovery of damages. The nature of the suit is specified in the caption of
the plaint that reads as under: - F
“Suit for mandatory injunction directing the Defendant No. 1 to
remove himself with all his stuff from one room and open space
(shown as ‘A’ and ‘B’ in the map plan) and the Defendant No. 2
to remove himself with all his stuff from two rooms (shown as
‘C’ and ‘D’ in the map plan) located in Plot No. RZ-28, Indira G
Park Extension, Near Hanuman Mandir, Uttam Nagar, New Delhi
- 110059 measuring 252 sq. yards, and for permanent prohibitory
injunction restraining both of them from creating any third party
rights therein or raising any construction thereon, and for payment
of damages with interest and cost.”
H
1162 SUPREME COURT REPORTS [2022] 7 S.C.R.

A 3.2. The plaintiff averred that he was the owner of Plot No. RZ-
28, Indira Park Extension, Near Hanuman Mandir, Uttam Nagar, New
Delhi admeasuring 252 sq. yards, for having purchased the same in the
year 1981. The plaintiff further averred that he had raised three-rooms
tin shed on the said plot in the year 1983-84; that since the plot was lying
unutilised, the defendant No. 1 (respondent No. 2 herein), elder brother
B
of the plaintiff, made a request for using the plot for storage purposes in
connection with his work as building contractor. Accordingly, the
defendant No. 1 was admitted as a gratuitous licensee at will on the plot
in question. The plaintiff further averred that in the year 1989-90, the
defendant No. 1 again approached him with a request to permit the
C defendant No. 2 (respondent No. 1 herein), who was said to be working
as Munshi with the defendant No. 1, to reside in two rooms of the tin
shed, till such time when the plaintiff himself would require the same.
The plaintiff alleged that the defendant No. 2 was, accordingly, permitted
to reside in two rooms on the plot in question with the understanding that
he would vacate the same as and when asked to do so; and he was also
D
admitted as a gratuitous licensee at will.
3.3. The plaintiff alleged that later on, when he planned to raise
construction and asked the defendants to remove themselves and their
belongings from the plot, they did not do so. The plaintiff further alleged
that the defendant No. 2 himself had built and acquired his own double
E storey house opposite to the plot in question and yet did not remove
himself with his belongings from the plot in question. It was also averred
that the defendant No. 1 had stopped working as contractor since the
year 2005 and did not require the plot any more but, he also did not
remove himself with his building material despite repeated assurances.
F 3.4. In reference to the above-stated background, the plaintiff
averred that he got served legal notice dated 09.08.2016 terminating
licenses of the defendants and asking them to remove themselves and
also stated his entitlement to claim damages for unauthorised use and
occupation of the plot in question after expiry of the period of notice.
G The plaintiff stated his grievance that after service of notice, when he
visited the plot in question on 25.09.2016, the defendants were found
planning to raise construction on the plot in question and to create third
party rights so as to defeat the legal rights of the plaintiff. Suspecting
foul play by the defendants, the plaintiff filed suit in question for mandatory
and prohibitory injunction against the defendants as also for recovery of
H damages. The relevant plaint averments concerning cause of action,
BHARAT BHUSHAN GUPTA v. PRATAP NARAIN VERMA 1163
& ANR. [DINESH MAHESHWARI, J.]

jurisdiction of the Trial Court and suit valuation and Court fees, as A
contained in paragraphs 10 to 12 of plaint, read as under: -
“10. That a cause of action accrued to the Plaintiff against the
Defendants on 27.08.2016 with the expiry of the 15 days
notice period from the date of the receipt thereof, and also
on 25.09.2016 as stated above. B
11. That this Hon’ble Court has territorial as well as pecuniary
jurisdiction to try the present suit.
12. That the value for the purpose of court fees and jurisdiction
is fixed as Rs. 250 for each relief for injunction and as Rs.
1 lac for damages, and court fees worth Rs. 3443.80 is C
attached.”
3.5. The plaintiff claimed the reliefs in the following terms: -
“It is very humbly prayed before Your Honour to pass a decree
for: - D
i. mandatory injunction directing the Defendant No. 1 to
remove himself with all his stuff from one room and open
space (shown as ‘A’ and ‘B’ in the map plan) located in
Plot No. RZ-28, Indira Park Extension, Near Hanuman
Mandir, Uttam Nagar, New Delhi –110059 measuring 252
E
sq. yards;
ii. mandatory injunction directing the Defendant No. 2 to
remove himself with all his stuff from two rooms (shown
as ‘C’ and ‘D’ in the map plan) located in Plot No. RZ-28,
Indira Park Extension, Near Hanuman Mandir, Uttam
F
Nagar, New Delhi-110059 measuring 252 sq. yards;
iii. permanent prohibitory injunction restraining the Defendants
1 & 2 from creating any third party rights therein or raising
any construction thereon;
iv. recovery of damages to the tune of Rs. 1 lac for the period G
from 28.08.2016 to 27.09.2016; and
v. recovery of further damages @ Rs. 1 lac per month w.e.f.
28.09.2016 till the actual vacation of the premises by the
Defendants;
with interest and cost of litigation.” H
1164 SUPREME COURT REPORTS [2022] 7 S.C.R.

A 3.6. The defendant No. 2 (respondent No. 1 herein) took up the
contest of the suit with the allegations, inter alia, that the plaintiff was
having no right in the suit property and that the suit was based on false
and fabricated documents; and further that the suit was filed by the
plaintiff just to grab the suit property in connivance with his brother, the
defendant No. 1. The defendant No. 2 also alleged that he was in hostile
B
and undisputed possession of the plot in question.
3.7. The defendant No. 2 further alleged that there was no cause
of action to file the suit; and, as regards valuation, the defendant No. 2
took the averments to the following effect: -
C “5. That the suit value of the suit property for which the plaintiff
has claiming possession is more than Rs.2.5 Crores, hence this
Hon’ble court has no pecuniary jurisdiction to try, entertain and
adjudicate the present suit.”
3.8. The following issues were framed on 28.11.2017 in this case
D when the parties went to trial3: -
“I Whether the suit is maintainable in the present form? OPD
II Whether the plaintiff is entitled to decree of mandatory injunction
against defendant no. 1, as prayed for in prayer clause (i)? OPP
III Whether the plaintiff is entitled to a decree of mandatory
E
injunction against defendant no. 2, as prayed for in prayer clause
(ii)? OPP
IV Whether the plaintiff is entitled to a decree of permanent
injunction against defendant no. 1, as prayed for in prayer clause
(iii)? OPP
F
V Whether the plaintiff is entitled to a decree of recovery of
damages alongwith cost of litigation, as prayed for in prayer clause
(iv) & (v)? OPP
VI Relief.”
G 3.8.1. We may, in the passing, also point out that at the late stage
in the suit, the defendant No. 2 also moved an application under Order
XIV Rule 5 CPC, seeking orders for framing additional issues. This

3
The issues have been extracted from the copy of judgment dated 31.08.2021, as placed
H on record with an application for permission to file additional documents.
BHARAT BHUSHAN GUPTA v. PRATAP NARAIN VERMA 1165
& ANR. [DINESH MAHESHWARI, J.]

application was dismissed by the Trial Court by a separate order dated A
31.08.2021.
3.9. Reverting to the proceedings leading to the present appeal, it
is noticed that on 20.03.2018, during the cross-examination of the plaintiff,
a question was put to him as regards market value of the suit property at
the time of filing of the suit, which he stated to be around Rs. 1.8 crores. B
The said question and its answer read as under: -
“Q. What was the market value of the suit property at the time of
filing of the suit?
A. The approximate value of the suit property was around Rs.
1.8 crores, at the time of filing the suit.” C

3.10. After the answer aforesaid, the defendant No. 2 moved an
application under Order VII Rule 11 CPC with the submissions that as
per the admitted value of the property at Rs. 1.8 crores, the suit was not
of the jurisdiction of the Trial Court and hence, the plaint was required to
be rejected. This application was duly contested by the plaintiff and was D
rejected with costs by the Trial Court after noticing that the suit had
been valued as per the reliefs claimed in the plaint. The Trial Court
observed and concluded as under: -
“4. For the purpose of deciding an application under Order 7 Rule
11 CPC, only the plaint has to be looked into and the pleadings of E
defendant or the evidence led by the parties cannot be looked
into. Further, on consideration of the plaint filed by the plaintiff,
this court is of the view that the same does disclose a cause of
action. Further, the plaint has been properly valued as per the
reliefs claimed in the plaint. Therefore, the application of defendant F
no.2 under Order 7 Rule 11 CPC is found to be not maintainable
and the same is dismissed with a cost of Rs.2000/- to be deposited
with the DLSA.”
4. The order aforesaid was challenged by the defendant No. 2 in
the High Court. Long drawn submissions were made by the respective
G
parties which were dealt with by the High Court in its impugned detailed
order dated 18.03.2019 with extensive extractions from the cited
decisions.
4.1. The High Court took note of its previous decisions including
that in the case of Mulk Raj Khullar v. Anil Kapur & Ors. in CS (OS)
H
1166 SUPREME COURT REPORTS [2022] 7 S.C.R.

A No. 1855 of 2011 decided on 03.10.2013 [reported as (2013) 139 DRJ
303] as also the decision of this Court in the case of Sant Lal Jain v.
Avtar Singh:AIR 1985 SC 857. The High Court, inter alia, observed
that in terms of the decision in Sant Lal Jain (supra), the suit for
mandatory injunction had not been filed after much delay of termination
of alleged licenses. The High Court also observed that though the
B
contesting defendant had denied the factum of license but, all such aspects
could only be determined in trial.
4.2. The High Court further proceeded to observe that the facts
of the present case were in pari materia with those of the case of
Mulk Raj Khullar (supra) and as a consequence, the suit for mandatory
C injunction had appropriately been instituted, where the plaintiff had the
discretion to value the suit for the purpose of Court fees and jurisdiction.
To this extent, the High Court expressed its disinclination to accept the
submissions of the contesting defendant but, thereafter, took note of the
observations in Mulk Raj Khullar (supra) that there was no argument
D therein to the effect that the suit for mandatory injunction was valued in
a whimsical manner. After reproducing such a passage from the cited
decision, the High Court referred to the statement made by the plaintiff
about market value of the suit property being around Rs. 1.8 crores at
the time of filing of the suit and for this reason, the High Court abruptly
arrived at the conclusion that the valuation of the suit for the purpose of
E Court fees and jurisdiction at Rs. 250 for each of the reliefs of the
injunction was wholly arbitrary.
4.3. With the aforementioned discussion and reasoning, the High
Court ordered return of the plaint so as to be filed in an appropriate
Court as per valuation. The relevant passages from the impugned order,
F as regards reasoning and conclusion of the High Court, could be usefully
extracted as under: -
“17. However, it cannot be overlooked that the reliance that has
been placed on behalf of the respondent no.1 on the verdict of
this Court in “Mulk Raj Khullar Vs. Anil Kapur & Ors.” (supra)
G though in facts virtually in pari materia with the facts of the instant
case, as a consequence of which, presently, the suit would have
to be held to be one filed for a mandatory injunction and
appropriately so instituted and thus, granting a discretion to the
respondent no.1 herein to value the suit for the purpose of Court
H fees and jurisdiction, yet it cannot be overlooked that in the said
BHARAT BHUSHAN GUPTA v. PRATAP NARAIN VERMA 1167
& ANR. [DINESH MAHESHWARI, J.]

verdict relied upon “Mulk Raj Khullar Vs. Anil Kapur & Ors.” A
(supra) itself vide para 30 thereof, it has been observed to the
effect: -
“30. There is no argument stating that the plaintiff has
not valued the suit for mandatory injunction in any
whimsical manner. I hold that the plaintiff has properly B
valued the suit for the purposes of Court Fee and
jurisdiction.”
18. In the facts and circumstances of the instant case, the testimony
of the plaintiff has been recorded and the plaintiff has himself
stated to the effect that the market value of the suit property was C
around Rs.1.8 crores at the time of the filing of the suit. It is
apparent thus, that the valuation of the suit for the purpose of
Court Fees and jurisdiction at Rs.250 for each of the reliefs of
injunction is wholly arbitrary.
19. In view of the valuation of the property at being thus, at Rs. D
1.8 crores as per the testimony of the plaintiff himself, the plaint is
directed to be returned by the learned Trial Court to the plaintiff
of the said suit to be filed before a Court of appropriate jurisdiction.
20. The learned Trial Court that would be seized of the matter
where the plaint is instituted after appropriate valuation within a
E
period of 30 days from the date of return of the plaint by the
learned Trial Court, shall proceed with the proceedings from the
stage where the proceedings were last fixed before the learned
Trial Court with all the evidence recorded therein, to be also read
in the case.
F
21. The petition is disposed of accordingly.”
5. Seeking to challenge the order so passed by the High Court,
learned senior counsel for the appellant has made elaborate submissions
as regards merits of the case while controverting the case of the
contesting defendant-respondent. These submissions concerning merits
do not require any comment herein because, as already noticed, an appeal G
against the judgment and decree of the Trial Court is pending; and all the
relevant aspects of merits need to be left open for examination by the
First Appellate Court.
5.1. Learned counsel for the appellant has also made extensive
submissions concerning maintainability of the suit seeking the reliefs of H
1168 SUPREME COURT REPORTS [2022] 7 S.C.R.

A injunction, particularly in the case of a license. The learned counsel would
argue that there lies difference between a title suit for possession and a
suit for mandatory injunction against a licensee to remove himself and
his belongings from the premises after determination of license. The
learned counsel has particularly referred to the decisions in Maria
Margarida Sequeira Fernandes & Ors. v. Erasmo Jack de Sequeira
B
(dead) through LRs.: 2012 (5) SCC 370 and Sant Lal Jain (supra).
In this regard too, it is noticed that in the impugned order, the High Court
has not decided the question of maintainability of the suit against the
plaintiff-appellant.
5.2. As regards valuation, learned counsel for the appellant has
C referred to Section 7(iv)(d) of the Court-fees Act, 18704 and has submitted
that the relief of mandatory injunction to direct the defendants to remove
the belongings and to vacate the premises after termination of license is
maintainable; and the present suit has, accordingly, been valued for the
purpose of the reliefs of injunction in terms of Section 7(iv)(d) of the
D Court Fees Act and is not required to be valued under Section 7 (v)
thereof. That being the position, according to the learned counsel, the
present suit cannot be considered as undervalued; and there is no such
requirement of law for valuation of such a suit for injunction as per the
market value of the property in question. Apart from the decision of this
Court in Sant Lal Jain (supra), the learned counsel has referred to
E various decisions of Delhi High Court, including those in the cases of
Mulk Raj Khullar (supra) and Malik Mohd Tanveer v. Uzma Malik
& Anr.: CM(M) 663 of 205, decided on 18.07.2016.
6. Per contra, learned counsel for the defendant-respondent No.
1 has also attempted to make several submissions in relation to the merits
F of the case with reference to the assertions that the contesting defendant
is in an undisputed possession of the suit property for last 30 years. As
observed, these aspects pertaining to the merits of the case are being
left without any comment, for their appropriate consideration by the Court
dealing with the pending appeal against decree.
G 6.1. As regards suit valuation, learned counsel would submit that
the impugned order calls for no interference under Article 136 of the
Constitution of India for the reason that the suit property was admittedly
having the market value of more than Rs. 1.8 crores and the pecuniary

4
H Hereinafter also referred to as ‘the Court Fees Act’.
BHARAT BHUSHAN GUPTA v. PRATAP NARAIN VERMA 1169
& ANR. [DINESH MAHESHWARI, J.]

jurisdiction of the Senior Civil Judge, Dwarka, New Delhi was only Rs. A
3 lakhs and hence, the suit could not have been tried by the said Court.
6.2. According to the learned counsel, the suit having not been
properly valued, the plaint has rightly been ordered to be returned for
presentation in the appropriate Court after proper valuation. Learned
counsel has referred to the decision of this Court in the case of B
Commercial Aviation and Travel Company and Ors. v. Vimla
Pannalal: 1988 (3) SCC 423 to submit that there cannot be any arbitrary
valuation even in terms of Section 7(iv)(d) of the Court Fees Act. It has
also been submitted that for construing the plaint, substance thereof has
to be examined, as observed by the Full Bench of Delhi High Court in
the case of Mahant Purshottam Dass & Ors. v. Har Narain & Anr.: C
AIR 1978 Delhi 114.
6.3. Learned counsel for the respondent No. 1 would submit that
in the present case, the plaintiff is, in fact, seeking possession of the suit
property in the garb of mandatory injunction; that the respondent No. 1
was in undisputed possession of the suit property for more than 12 years; D
and that the ownership of the appellant and the relationship of licensor
and licensee has never been accepted by the contesting defendant. Thus,
according to the learned counsel, the present suit for mandatory injunction
is not maintainable and in the garb of mandatory injunction, the appellant
is seeking recovery of possession whereas such a relief is beyond the
jurisdiction of the Trial Court. It has also been urged that despite objection E
by the respondent No. 1, the Trial Court did not frame the issue on the
point of jurisdiction and even the prayer for framing of additional issue
was erroneously rejected.
7. Having given thoughtful consideration to the rival submissions
and having examined the material placed on record with reference to F
the law applicable, we are clearly of the view that the impugned order
dated 18.03.2019, as passed by the High Court with reference to the
statement made by the plaintiff in his cross-examination on the value of
the suit property, does not stand in conformity with law and cannot be
sustained.
G
8. While dealing with the rival submissions, it would be relevant to
take note of the provisions as contained in Section 7(iv)(d) of the Court
Fees Act, which would read as under: -
“7. Computation of fees payable in certain suits. - The amount
of fee payable under this Act in the suits next hereinafter
mentioned shall be computed as follows: - H
1170 SUPREME COURT REPORTS [2022] 7 S.C.R.

A ………
(iv) In suits-
….
for an injunction. – (d) to obtain an injunction,
B …..
according to the amount at which the relief sought is valued in the
plaint or memorandum of appeal;
In all such suits the plaintiff shall state the amount at which he
values the relief sought;”
C
9. The nature of the present suit, as noticed hereinabove, makes it
evident on the face of record that the plaintiff-appellant has sought the
reliefs of mandatory injunction against the defendants for removing
themselves and their belongings from the plot in question, while alleging
that the defendants were in occupation thereof only as licensees; and
D were obliged to remove themselves after termination of respective
licenses. The plaintiff has also prayed for the relief of perpetual
prohibitory injunction that the defendants may not create any third-party
rights in the suit property or raise any construction thereon. The plaintiff
has valued the suit for the purpose of Court fees and jurisdiction at Rs.
250 for each of the reliefs for injunction and at Rs. 1 lakh for damages;
E
and has paid the Court fees accordingly.
9.1. It remains trite that it is the nature of relief claimed in the
plaint which is decisive of the question of suit valuation. As a necessary
corollary, the market value does not become decisive of suit valuation
merely because an immovable property is the subject-matter of litigation.
F
The market value of the immovable property involved in the litigation
might have its relevance depending on the nature of relief claimed but,
ultimately, the valuation of any particular suit has to be decided primarily
with reference to the relief/reliefs claimed.
9.2. So far as the present suit is concerned, the plaintiff has alleged
G the defendants to be the licensees and has sought mandatory injunction
obliging them to remove themselves and their belongings. Not much of
discussion is required to find that with such pleadings, claim of relief of
mandatory injunction is not unknown to the legal process. For ready
reference, we may refer to the relevant passage from the decision in
H Maria Margarida Sequeira Fernandes (supra) as under: -
BHARAT BHUSHAN GUPTA v. PRATAP NARAIN VERMA 1171
& ANR. [DINESH MAHESHWARI, J.]

“65. A suit can be filed by the title-holder for recovery of possession A
or it can be one for ejectment of an ex-lessee or for mandatory
injunction requiring a person to remove himself or it can be a suit
under Section 6 of the Specific Relief Act to recover possession.”
9.3. Further in the case of Sant Lal Jain (supra), this Court referred
to a decision of the Jammu & Kashmir High Court5 with approval and B
held as under: -
“…In Milka Singh v. Diana AIR 1964 J & K 99, it has been
observed that the principle that once a licencee always a licensee
would apply to all kinds of licenses and that it cannot be said that
the moment the licence is terminated, the licensee’s possession C
becomes that of a trespasser. In that case, one of us (Murtaza
Fazal Ali, J. as he then was) speaking for the Division Bench has
observed:
“After the termination of the licence, the licensee is under a
clear obligation to surrender his possession to the owner and if
D
he fails to do so, we do not see any reason why the licensee
cannot be compelled to discharge this obligation by way of a
mandatory injunction under S. 55 of the Specific Relief Act.
We might further mention that even under the English Law a
suit for injunction to evict a licensee has always been held to
be maintainable. E
…where a licenser approaches the court for an injunction within
a reasonable time after the licence is terminated, he is entitled
to an injunction. On the other hand, if the licenser causes huge
delay, the court may refuse the discretion to grant an injunction
on the ground that the licenser had not been diligent and in that F
case, the licenser will have to bring a suit for possession which
will be governed by Section 7 (v) of the Court-Fees Act.”
7. In the present case it has not been shown to us that the appellant
had come to the Court with the suit for mandatory injunction after
any considerable delay which will disentitle him to the discretionary G
relief. Even if there was some delay, we think that in a case of
this kind attempt should be made to avoid multiplicity of suits and
the licensor should not be driven to file another round of suit with
all the attendant delay, trouble and expense. The suit is in effect
5
In the case of Milka Singh v. Diana : AIR 1964 J & K 99 H
1172 SUPREME COURT REPORTS [2022] 7 S.C.R.

A one for possession though couched in the form of a suit for
mandatory injunction as what would be given to the plaintiff in
case he succeeds is possession of the property to which he may
be found to be entitled. Therefore, we are of the opinion that the
appellant should not be denied relief merely because he had
couched the plaint in the form of a suit for mandatory injunction.”
B
9.4. In fact, in the case of Mulk Raj Khullar (supra) as referred
by the High Court in its impugned order, the aforesaid decision in Sant
Lal Jain as also another decision in the case of Joseph Severance &
Ors. v. Benny Mathew & Ors.: (2005) 7 SCC 667 were taken note
of and the High Court concluded as follows: -
C
“16. The legal position that follows is that where a suit is filed
with promptitude against a licensee whose license is terminated,
a Suit for mandatory injunction is maintainable…..”
9.5. The aforesaid discussion as regards maintainability of suit for
D mandatory injunction does not require much elaboration for the settled
position of law as also for the relevant fact that even in the order impugned,
the High Court has not stated anything to the contrary, so far as the
question of maintainability of the suit seeking relief of mandatory
injunction is concerned. The High Court rather placed this aspect of the
matter beyond the pale of doubt while observing, after its extensive
E reference to the various decisions, that the facts of the present case and
that of the case of Mulk Raj Khullar (supra) were inpari materia. To
this extent, the consideration of the High Court had been in tune with the
applicable legal principles. However, immediately on the next step, the
High Court, with respect, committed serious error by referring to a
F passage in Mulk Raj Khullar’s case in isolation and detached from the
substance, where the Court had indicated want of any argument about
whimsical valuation. That observation in paragraph 30 in the decision of
Mulk Raj Khullar’s case came in the context of observations in another
decision of Delhi High Court in the case of Padmavati Mahajan v.
Yogender Mahajan & Anr.: (2008) 152 DLT 363, wherein the Court
G had observed that a suit for injunction could be valued by the plaintiff in
his/her discretion subject to the condition that such discretion ought not
to be whimsical. The use of generalised expression “whimsical”, without
specifications, has been picked up by the High Court in the impugned
order and then, the market value of the plot in question, as stated by the
H plaintiff in his cross-examination, has been taken by the Court to be
BHARAT BHUSHAN GUPTA v. PRATAP NARAIN VERMA 1173
& ANR. [DINESH MAHESHWARI, J.]

indicative of arbitrariness in valuation. With respect, the High Court even A
missed out the relevant statement of law in the very passage reproduced
in Mulk Raj Khullar, wherein it was stated in clear terms that such a suit
was ‘not required to be valued at the market value of the property’.
10. The High Court has not even considered the overall
circumstances of the present case where the plaintiff has valued the B
reliefs of mandatory and prohibitory injunction at the nominal Rs. 250
but, at the same time, has also valued the suit with reference to the claim
of damages at Rs. 1 lakh and had paid the Court fees accordingly. It is
apparent on the face of the record that despite unquestionable principle
of law that such a suit for mandatory and prohibitory injunction is not
required to be valued at the market value of the property, the High Court C
has relied only upon the market value of the property to hold the valuation
of the present suit to be “arbitrary”. Such a conclusion of the High Court
neither stands in conformity with law nor with the frame and the nature
of the present suit.
11. The decision in the case of Commercial Aviation (supra) D
does not further the cause of the respondent No. 1 in any manner
whatsoever. The said decision related with a suit for rendition of accounts,
which is one of the species of the suits envisaged by clause (iv) of
Section 7 of the Court Fees Act. Even in that context, this Court,
interalia, observed that the plaintiff’s assessment in such a plaint about E
the amount due to his share was a guesswork in the absence of any
cogent material and would not constitute objective standard of valuation.
This Court explained the principles governing the valuation of the suits
falling under Section 7(iv) of the Court Fees Act in the following terms:
“7. So far as suits coming under Section 7(iv) of the Court Fees F
Act are concerned, the legislature has left the question of valuation
of the relief sought in the plaint or memorandum of appeal to the
plaintiff. The reason is obvious. The suits which are mentioned
under Section 7(iv) are of such nature that it is difficult to lay
down any standard of valuation. Indeed, the legislature has not
laid down any standard of valuation in the Court Fees Act. Under G
Section 9 of the Suits Valuation Act, the High Court may, with the
previous sanction of the State Government, frame rules for the
valuation of suits referred to in Section 7(iv) of the Court Fees
Act. Although the Punjab High Court has framed rules under
Section 9 of the Suits Valuation Act which are applicable to the
H
1174 SUPREME COURT REPORTS [2022] 7 S.C.R.

A Union Territory of Delhi, such rules do not lay down any standard
of valuation with regard to suits coming under Section 7(iv) of the
Court Fees Act. It has already been noticed that under Rule 4(i) of
the Punjab High Court Rules, the value of suit for accounts for
purposes of court fee will be as determined by the Court Fees Act,
which means that the valuation of the relief will have to be made by
B
the plaintiff under Section 7(iv)(f) of the Court Fees Act.”
11.1. The observations occurring in paragraph 13 of the said
decision, which are sought to be relied upon by the contesting respondent,
read as under: -
“13. But, there may be cases under Section 7(iv) where certain
C positive objective standard may be available for the purpose of
determination of the valuation of the relief. If there be materials
or objective standards for the valuation of the relief, and yet the
plaintiff ignores the same and puts an arbitrary valuation, the court,
in our opinion, is entitled to interfere under Order VII, Rule 11(b)
D of the Code of Civil Procedure, for the court will be in a position
to determine the correct valuation with reference to the objective
standards or materials available to it. In Urmilabala Biswas,
v. Binapani Biswas [AIR 1938 Cal 161: 42 CWN 192: 177 1C
893] a suit was instituted for declaration of title to provident fund
money amounting to a definite sum with a prayer for injunction
E restraining the defendant from withdrawing the said money. It
was held that there was no real distinction between the right to
recover money and the right to that money itself, and that the
relief should have been valued at the provident fund amount to
which title was claimed by the plaintiff. Thus, it appears that
F although in that case the suit was one under Section 7(iv) (c) of
the Court Fees Act, there was an objective standard which would
enable the plaintiff and the court too to value the relief correctly
and, in such a case, the court would be competent to direct the
plaintiff to value the relief accordingly.”
11.2. These observations were, in fact, taken note of by the High
G
Court in the impugned judgment too but they cannot be read to mean
that in a suit for mandatory injunction concerning a property and thereby
seeking certain mandates over the acts/omissions of the defendant, the
suit is required to be valued as per the market value of the property.
Such a proposition, for suit valuation on the market value of the property
H involved, irrespective of the nature of relief claimed, if accepted, would
BHARAT BHUSHAN GUPTA v. PRATAP NARAIN VERMA 1175
& ANR. [DINESH MAHESHWARI, J.]

render the whole scheme of the Court Fees Act concerning suit valuation A
with reference to the nature of relief going haywire. This argument is
required to be rejected.
12. The decision of the Full Bench of Delhi High Court in the
case of Mahant Purushottam Dass (supra) has also been unnecessarily
cited. The suit therein was for declaration and perpetual injunction where B
the Court found that the plaintiff could not have asked for the relief of
injunction without seeking declaration and the suit, on its nature, was
held to be governed by clause (v) of the Section 7 of the Court Fees Act.
The said decision has no relevance or application to the present case.
13. Before concluding, we may also observe that the submission
made on behalf of respondent No. 1 concerning want of framing of the C
necessary issues by the Trial Court despite his prayer does not require
much comments. This is for the simple reason that irrespective of the
issues framed, the respondent No. 1, while contesting the suit, chose to
raise the objection regarding suit valuation and jurisdiction of the Trial
Court by way of the application under Order VII Rule 11 CPC during D
the course of cross-examination of the plaintiff. That application was
rightly rejected by the Trial Court. The High Court’s decision to the
contrary is not being approved by us. That being the position, the
contention about want of framing of issues does not hold water any
more.
E
14. For what has been discussed hereinabove, we may simply put
the upshot in other words that the High Court has totally omitted to
consider the applicable provision of law i.e., Section 7(iv)(d) of the Court
Fees Act as also the principles of law stated in the very same decision
being referred to and relied upon in the impugned order itself. Thus, the
impugned order deserves to be set aside. F
15. Accordingly, and in view of the above, this appeal succeeds
and is allowed; the impugned order dated 18.03.2019 is set aside and
that of the Trial Court dated 11.07.2018 is restored. Needless to observe
that we have not made any observations relating to the merits of the
case, which shall remain open for examination in pending appeal before G
the First Appellate Court.
15.1. There shall be no order as to costs of this appeal.

Nidhi Jain Appeal allowed.
(Assisted by : Shashwat Jain, LCRA)
H