Holding

A plaint may be rejected under Order VII Rule 11(d) only on the basis of its own averments; the limitation issue, being a mixed question of law and fact, cannot be decided as a preliminary issue under Order XIV Rule 2, and Order XII Rule 6 cannot be invoked absent a specific admission, rendering the High Court's orders void.

Summary

Saranpal Kaur Anand filed a suit in 2012 seeking a declaration that a 1969 sale deed and a 1995 deed were void, and an injunction against the defendants. The defendants moved to reject the plaint on the ground of limitation under Order VII Rule 11(d). The Delhi High Court Single Judge framed a preliminary issue under Order XIV Rule 2, considered the defendants' written statements and other documents, and rejected the plaint as time‑barred; the Division Bench affirmed and also invoked Order XII Rule 6. The Supreme Court held that a limitation plea is a mixed question of law and fact and cannot be decided as a preliminary issue under Order XIV Rule 2, and that rejection under Order VII Rule 11(d) must be based solely on the averments in the plaint, not on extraneous documents. It further ruled that Order XII Rule 6 cannot be applied where it was not raised before the trial court. Consequently, the High Court orders were set aside, the suit was restored, and the appeal was allowed.

Issues considered

Whether the trial court could frame a preliminary issue under Order XIV Rule 2 to decide limitation, a mixed question of law and fact, for the purpose of rejecting the plaint under Order VII Rule 11(d).
Whether the appellate court could invoke Order XII Rule 6, which was not before the trial court, to reject the plaint.
Whether reliance on the defendants' written statements and documents not annexed to the plaint is permissible when rejecting a plaint under Order VII Rule 11(d).
Whether the exception under Section 17 of the Limitation Act for fraud or concealment applies to the plaintiff's claim.

Legislation cited

Code of Civil Procedure, 1908s. Order VII Rule 11(d), s. Order VI Rule 17, s. Order VI Rule 4, s. Order XII Rule 6, s. Order XIV Rule 2
Limitation Act, 1963s. Article 58, s. Section 17(1)

Subjects

limitationOrder VII Rule 11Order XIV Rule 2Order XII Rule 6fraud exceptionSection 17 Limitation Actdemurrerpreliminary issuecivil procedure

Judgment

100 [2022]REPORTS
SUPREME COURT 19 S.C.R. 100 [2022] 19 S.C.R.

A SARANPAL KAUR ANAND
v.
PRADUMAN SINGH CHANDHOK AND OTHERS
(Civil Appeal No. 2573 of 2022)
B MARCH 28, 2022
[SANJIV KHANNA AND BELA M. TRIVEDI, JJ.]
Code of Civil Procedure, 1908: Or. VII r. 11(d), Or. XII r. 6 –
Rejection of plaint on the ground of limitation – Admission of fact
in the plaint – On facts, the appellant-plaintiff filed a suit against
C
respondent nos 1 to 9-defendant Nos. 1 to 9 seeking a decree of
declaration that the suit property is a joint undivided family property
of the plaintiff and defendant Nos. 3 to 9 being the successors of
the parents of the plaintiff; decree of declaration that the purported
sale deed dated 23.08.1969 executed by late mother of the plaintiff
D through her alleged attorney in favour of her brother-defendant
no. 1 and the purported sale deed dated 12.10.1995 executed by
the brother in favour of his son-defendant no. 2 is null and void;
and a decree for permanent injunction against defendant Nos.1
and 2, restraining them from raising/constructing/adding/ altering
or entering into any agreement to sell or creating any third party
E
interest in respect of any portion of the suit property –Defendant
No. 1 and 2 filed written statements as also an application for
rejection of the plaint on the ground of limitation – Plaintiff filed
two applications u/Or. VI r. 17 seeking amendment of the plaint for
incorporating relief of possession and amending the cause of action
F clause – Thereafter, the Single Judge of the High Court decided the
preliminary issue holding that the suit being barred by time, the
plaint was liable to be rejected; and the amendment applications
were dismissed as mala fide and not maintainable – Division Bench
upheld the said order – As regards the issue-whether the Single
Bench could have framed the preliminary issue u/Or. XIV r. 2 with
G
regard to the issue of limitation for rejecting the plaint u/Or. VII r.
11(d);whether the Division Bench could have taken recourse to Or.
XII r. 6, which was not the issue before the Single Bench, for rejecting
the plaint; and whether Single Bench and Division Bench erred in
referring to the written statements and the other documents which
H were not part of the plaint while rejecting the plaint on the ground
100
SARANPAL KAUR ANAND v. PRADUMAN SINGH 101
CHANDHOK AND OTHERS

that the suit was barred by limitation, in view of difference of opinion A
between two Hon’ble Judges, the matter to be placed before Hon’ble
the Chief Justice of India for directions.
Directing to place the matter before Hon’ble the Chief
Justice of India for appropriate orders/directions, the Court
HELD: B

Per Sanjiv Khanna, J. :
1.1 A decision under clause (d) of Rule 11 to Order VII of
the Code of Civil Procedure, 1908 normally proceeds on
‘demurrer’. This means that the party objecting to the legal action C
assumes the truth of the matter alleged by the opposite party
and sets up that it is insufficient in law to sustain the claim or
there is some other defect on the face of the pleadings constituting
a legal reason why the proceedings should not be allowed to
proceed further. [Para 8][112-D-E]
D
1.2 As per Article 58 of the Schedule of the Limitation Act,
in a suit for declaration where Articles 56 and 57 do not apply,
the plaint should be filed within a period of three years when the
right to sue first accrues. On applying Article 58 to the prayer for
declaration, that the sale deed dated 23rd August 1969 is invalid,
the suit filed after 42 years on 27th March 2012 is clearly barred E
by limitation. [Para 10][114-A-B]
1.3 The general principle, which also manifests itself in
Section 17 of the Limitation Act, is that every person is presumed
to know his own legal right and title in the property, and if he
does not take care of his own right and title to the property, the F
time for filing of the suit based on such a right or title to the
property is not prevented from running against him. The
provisions of Section 17(1) embody fundamental principles of
justice and equity, viz. that a party should not be penalised for
failing to adopt legal proceedings when the facts or the documents
G
have been wilfully concealed from him and also that a party who
had acted fraudulently should not be given the benefit of limitation
running in its favour by virtue of such frauds. When the plaintiff
relies on Section 17(1) (b) of the Limitation Act asserting fraud
or mistake, he has to state the date on which he has discovered
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102 SUPREME COURT REPORTS [2022] 19 S.C.R.

A the fraud or mistake, and also state that he could not have
discovered the fraud or mistake with reasonable diligence on a
date earlier than on which he has based his cause of action. [Paras
10 and 13][114-G; 115-A-B; 116-D-E]
1.4 Rules of pleadings relating to fraud and exemption from
B law of limitation are set out in Order VI Rule 4 and Order VII
Rule 6 of the Code. When and to the extent Order VII Rule 6
and Order VI Rule 4 apply, these provisions being specific will
prevail over the general rule found in Order VI Rule 2 of the
Code. Nevertheless, the requirement of the Rules is to plead
specific facts with dates, but not the factual evidence on the basis
C of which the plaintiff would ultimately seek to establish and justify
his claim for exemption of limitation. When the minimum threshold
required in terms of Order VI Rule 4 and Order VII Rule 6 is
satisfied and met, cannot be put in a straitjacket or rigid formula,
as it would depend upon the facts and circumstances including
D antecedent facts, and in particular the relationship between the
parties or their predecessors and the period bygone without
challenge. While examining these aspects, especially at the initial
stage under clause (d) of Rule 11 to Order VII or Order XIV
Rule 2 of the Code, the court cannot proceed on the basis of the
assumption as to the evidence that would be led so as to record
E a finding on the evidence. At the same time, an artifice or clever
drafting should not prevent the court from stopping plainly time-
barred proceedings. The court can take benefit of Order XII Rule
6 of the Code when there are admissions made by the plaintiff in
the plaint and the documents which are admitted by the parties,
F or there being no dispute which would require oral evidence in
the context of the documents. There is no bar against invoking
provisions of Order VII Rule 11 and Order XIV Rule 2 together,
or even applying Order XII Rule 6 while proceeding with
demurrer. Provisions of the Code are not watertight
compartments, unless such statutory construction is express or
G manifestly prohibited. we would not in the absence of constraints,
deny the trial court or the appellate court flexibility in application
of the procedural law. Underlying objective of prescribing
procedure is to advance the cause of justice. Therefore unless
compelled by express language or clear intend barring a course,
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SARANPAL KAUR ANAND v. PRADUMAN SINGH 103
CHANDHOK AND OTHERS

the provisions of the Code as a procedural enactment ought to A
be construed to leave the court to meet and deal with situations
in the ends of justice. [Para 14][116-E; 117-D-G; 118-A-C]
1.5 The plaint state that defendant Nos. 1 and 2, along with
TK, had a mala fide and ulterior intention in usurping the suit
property and assets of the plaintiff and her family members. B
Defendant Nos. 1 and 2 in their possession have certain blank
papers and other documents of other properties allegedly signed
by HK and other family members of the plaintiff and TK, and
based upon which they are now trying to forge and create fictitious
documents. The sale deed executed by HK in favour of TK and
the sale deed executed by TK in favour of defendant No.1 are C
null and void, being vitiated by fraud, cheating, fraudulent
misrepresentation, forgery, illegality etc. and thus, inconsequential
in law. It is averred that HK could not have transferred a better
title in favour of TK, and further, TK could not have transferred
a better title than she had. The sale deeds are also fraudulent on D
the count of being without consideration. They are a result of a
conspiracy hatched by the defendant Nos. 1 and 2 amongst
themselves with HK and TK with the sole and cheap objective
to usurp the lawful ownership and title of the plaintiff and the
defendant Nos. 3 to 9. The plaintiff’s deceased mother could never
have and had no intent or purpose or necessity to execute the E
sale deed in favour of TK. Defendant Nos. 1 and 2 are in
permissive possession, having limited and restricted rights to
use and occupy the property through late TK. The ownership,
title and interest claim predicated by them are based on
documents, mutations, etc., that are inconsequential in law, not F
valid, being fraudulent, concocted act of forgery, fabrication,
misrepresentation, etc. Defendant Nos. 1 and 2 are liable to be
removed from the suit property once the purpose and object of
granting permissive possession, restricted and limited right to
use and occupy the suit premises has been served. It is claimed
that the plaintiff is entitled to seek recovery of mesne profits at G
the rate of Rs. 1 lakh per year or such rate as determined by
courts from defendant Nos. 1 and 2 for the illegal, unlawful and
unauthorised use and occupation of the suit property. [Para
15.9][125-A-F]
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104 SUPREME COURT REPORTS [2022] 19 S.C.R.

A 1.6 The language and the words used in the legal notices
on behalf of the plaintiff and other family members are admissions
of facts which uncover the illusion made by creative and crafty
narration to obfuscate the patent delay of over four decades. To
get over the admissions, the plaintiff has submitted that the word/
expression used in the notices is ‘given’ and not ‘transfer/sale’.
B
That the word ‘given’ used is factually correct, albeit when one
reads the notices holistically it is lucid that the plaintiff, along
with her family members and defendant No.3, have accepted that
there was transfer of the suit property in favour of TK. [Para
18][127-F-G]
C 1.7 The assertions made in the plaint by the plaintiff against
her mother late HK that she had acted in an active and joint
concert, connivance and conspiracy with late TK are self-serving
and phantastic. As per need and factual background of the matter,
assertions in the pleadings have to be examined and understood
D with other statements and documents relied by the plaintiff
without feeling helpless and paralysed by unclear, illusory or
contradictory drafting. Meaningful reading of the entire plaint
may be required when grossly implausible and dubious statements
are made. The idea is to check and weed out manifestly vexatious
and meritless cases at the threshold. [Para 19][128-C-E]
E
1.8 The plaint accepts the close relationship inter se the
parties as relatives and in business activities. The person who
had executed the sale deed in 1969 as attorney of HK is the
brother of the plaintiff with whom the plaintiff has no dispute. TK
and defendant Nos. 1 and 2 were residing in the suit property. No
F claim was made until the death of the plaintiff ’s mother and
grandmother, HK and TK respectively, on 6th August 2005 and
24th July 2007. HS had died earlier in 1974. For 42 years post
the execution of the sale deed in 1969, there was no dispute and
challenge to the ownership of TK. In 2008, disputes had arisen
G but regarding inheritance of the estate of TK however the plaintiff
and defendant No. 3 did not challenge the title and ownership of
TK. In this background, as the plea of lack of knowledge appears
to be conjured and unreal, the pleading and the documents are
read with discernment and perceptiveness without getting carried

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SARANPAL KAUR ANAND v. PRADUMAN SINGH 105
CHANDHOK AND OTHERS

away by bald and pretentious accusations that do not infuse with A
the accepted and ‘admitted’ facts. [Para 20][128-E-G; 129-A]
1.9 The notices dated 10th October 2008 and 24th October
2008 are admitted and referred to without reservation in the plaint.
They have been filed by the plaintiff with the plaint as relevant
documents relied upon by the plaintiff. The plaint does not dispute B
or explain the contents and admissions made in the two notices.
On application of the principle of demurrer, it has to be held, on
the basis of the averments made in the plaint and the documents
relied upon and admitted by the plaintiff, that even prior to 2008,
the plaintiff was aware and had knowledge of the sale deed dated
23rd August 1969 by which the ownership rights were transferred C
to TK. The plaintiff did not, in 2008, question and challenge the
transfer, though she was fully aware that TK had acquired
ownership rights. [Paras 21, 22][129-B-C]
1.10 The ambit and conditions of Section 17(1) of the
Limitation Act, which is to protect rights of a party defrauded D
from lapse of time till he remains in ignorance of the fraud, or
with reasonable diligence could have discovered the fraud. Section
17(1) does not assist a person who merely shuts his eyes in spite
of circumstances requiring him to ascertain facts on which he
would have discovered the fraud. Section 17(1) of the Limitation E
Act saves rights of the party defrauded from lapse of time as long
as the party is not at fault on his own account. On facts, it is
apparent that the plaintiff was aware and had knowledge in
October 2008 about execution and transfer of the ownership rights
in favour of late TK vide sale deed dated 23rd August 1969
executed by defendant No.3. Unadorned assertion in the plaint F
feigning ignorance as to the sale deed would not help, as in the
facts as pleaded and accepted in the plaint, the plaintiff was
required to state and indicate that ignorance was not due to failure
to exercise reasonable diligence. [Para 23][129-D-F]
1.11 The judgment of the Single Judge and the Division G
Bench of the High Court dismissing the suit as being barred by
limitation is upheld. The judgment of the Single Judge and the
Division Bench with regard to the dismissal of two applications

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106 SUPREME COURT REPORTS [2022] 19 S.C.R.

A filed by the plaintiff for amendment of pleadings under Order VI
Rule 17 of the Code, on the ground that when the suit itself has
been barred by limitation, amendments to such a suit will be
unnecessary, is affirmed. [Para 24][129-G-H; 130-A]
Per Bela M. Trivedi, J. (Dissenting) :
B 1.1 Though the defendant no. 2 had filed an application
seeking rejection of plaint under Order VII Rule 11(d) of CPC,
the Single Bench instead of deciding the said application, framed
a preliminary issue under Order XIV Rule 2, as to ‘whether the
suit as framed is liable to be rejected under Order VII Rule 11(d)
C of CPC on the ground of limitation’. The Single Bench then
decided the preliminary issue against the plaintiff holding that
the plaint was liable to be rejected under Order VII, Rule 11(d),
considering the written statement and other documents filed by
the concerned defendants, which were not part of the Plaint. The
Division Bench in the Regular Appeal filed by the appellant-
D plaintiff against the judgment and order passed by the Single
Bench, committed further error by relying upon the provisions
contained in Order XII Rule 6 of CPC, which was not even the
issue before the Single Bench, and confirmed the order passed
by the Single Bench. The scope, ambit and parameters for deciding
E an application under Order VII Rule 11(d) for the rejection of the
plaint; for raising a preliminary issue under Order XIV Rule 2(2);
and for passing the judgment on admission of fact in the pleading
or otherwise under Order XII Rule 6 being absolutely different
and mutually exclusive, all the three provisions could not be
interchangeably used for the purpose of rejecting the plaint under
F Order VII Rule 11(d) of the CPC. [Para 9][136-B-E]
1.2 The basic postulate underlined in clause (a) and clause
(d) of Rule 11 Order VII is that while rejecting the plaint under
the said provisions, the court is required to see only the averments
made in the plaint and the documents, if any, annexed to the plaint,
G and not to the written statement or other documents which are
not part of the plaint. For invoking Order VII Rule 11 (d), and for
the purpose of rejecting the plaint on the ground that the suit is
barred by any law, only the averments made in the plaint have to

H
SARANPAL KAUR ANAND v. PRADUMAN SINGH 107
CHANDHOK AND OTHERS

be referred to and that the defence taken by the defendant in the A
written statement being wholly irrelevant, must not be
considered. [Paras 11, 15][137-G; 140-D]
1.3 As regards framing of preliminary issue under Order
XIV Rule 2(2) also, the legal position is well settled. Sub Rule 2
of Rule 2 of Order XIV specifies that where issues both of law B
and of fact arises in the same suit and the court is of the opinion
that the case or any part thereof may be disposed of on an issue
of law only, it may try that issue first if the issue relates to – (a)
the jurisdiction of the court, or (b) a bar to the suit created by any
law for the time being in force. [Para 16][140-E]
C
1.4 A plea of limitation cannot be decided as an abstract
principle of law divorced from the facts as in every case the
starting point of limitation has to be ascertained which is entirely
a question of fact. A plea of limitation being mixed question of law
and fact cannot be decided as a preliminary issue under Order
XIV, Rule 2(2). [Para 20][144-C-D] D

1.5 So far as pronouncing a judgement on admission under
Order XII Rule 6 is concerned, for an admission to qualify as a
valid admission, it necessarily has to be an unequivocal,
unambiguous and unconditional. [Para 21][144-D-E]
E
1.6 The Single Bench had rejected the plaint under Order
VII Rule 11(d) after framing a preliminary issue under Order XIV
Rule 2(2) of CPC. The Single Bench after taking into
consideration the written statement and other documents held
that the suit was barred by law of Limitation and rejected the
plaint under Order VII, Rule 11(d) CPC. Apart from the fact that F
no preliminary issue could have been framed under Order XIV,
Rule 2(2) with regard to the issue of limitation which was a mixed
question of law and fact, the Single Bench erroneously considered
the written statement and the documents filed by the defendant
while rejecting the plaint under Order VII Rule 11(d) of CPC. G
The Division Bench also fallaciously referred to the contentions
raised in the written statement and referred to the documents
namely Applications filed in some eviction proceedings, which

H
108 SUPREME COURT REPORTS [2022] 19 S.C.R.

A were neither referred to in the plaint nor annexed to the plaint.
The Division Bench further erroneously relied upon some
statements made in the legal notices construing them as an
admission on the part of the plaintiff for passing judgment under
Order XII, Rule 6 against the plaintiff, while confirming the order
passed by the Single Bench rejecting the plaint of the plaintiff
B
under Order VII, Rule 11(d) CPC. In the opinion of the Court
there was no clear, unambiguous and unconditional admission
made by the plaintiff in any of the said legal notices which could
be termed as an admission of the claim made by the defendant
with regard to the knowledge of the plaintiff in respect of the
C execution of the alleged sale deeds. On the contrary, the plaintiff
had pleaded fraud committed against her and other defendants
who were the legal representatives of HK. The Court at this
juncture is not inclined to go into the merits of the issues involved
in the suit. The Single Bench and the Division Bench passed the
impugned orders de hors the specific provisions of CPC and in
D
utter disregard of the position of law settled by this Court. Even
if, the Single Bench had found that the suit was filed misusing the
process of law or that an illusion was created with regard to the
cause of action by clever drafting, in that case also Order VII
Rule 11 could not have been resorted to. [Paras 24, 25][146-C-
E H; 147-A]
1.7 The inherent jurisdiction under Section 151 CPC cannot
be exercised to nullify the provisions of the CPC. The inherent
powers of the court are in addition to the powers specifically
conferred on the court by the Code, and cannot be exercised in a
F manner which will be contrary or different from the procedure
expressly provided in the Code. [Para 26][147-C-D]
1.8 The scope, ambit and parameters for deciding an
application for rejection of the plaint under Order VII Rule 11(d),
for deciding the preliminary issue on pure question of law under
G Order XIV Rule 2(2) and for pronouncing a judgment on admission
under Order XII Rule 6 being absolutely different and
independent of each other, the Single Bench and the Division
Bench were required to strictly adhere to the procedures laid
down in the said provisions, and could not have exercised

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SARANPAL KAUR ANAND v. PRADUMAN SINGH 109
CHANDHOK AND OTHERS

inherent powers or suo moto powers dehors the specific A
provisions contained in the Code. The impugned orders passed
by the High Court being in utter disregard of the said provisions
and of the settled legal position, are quashed and set aside. The
suit is restored on the file of the Single Bench. [Para 27][147-F-
G; 148-A]
B
Nusli Neville Wadia v. Ivory Properties and Ors. (2020)
6 SCC 557 : [2019] 15 SCR 795; Chander Kanta
Bansal v. Rajinder Singh Anand (2008) 5 SCC 117 :
[2008] 4 SCR 748; Kamala and Ors. v. K.T. Eshwara
Sa and Ors. (2008) 12 SCC 661 : [2008] 7 SCR 39;
Shakti Bhog Food Industries Ltd. v. Central bank of C
India and Anr. 2020 SCC Online SC 482; Satti Paradesi
Samadhi v. M. Sankuntala (2015) 5 SCC 574 : [2014]
1 SCR 249; Uttam Singh Dugal & Co. Ltd. v. United
Bank of India and Ors. 2000 (4) RCR Civil 89; Himani
Alloys Ltd. v. Tata Steel Ltd. 2011 (3) Civil Court Cases D
721 – relied on.
Khatri Hotels Private Limited and Ors. v. Union of India
(UOI) and Ors. (2011) 9 SCC 126 : [2011] 15 SCR
299; Karam Kapahi and Ors. v. Lal Chand Public
Charitable Trust and Ors. (2010) 4 SCC 753 : [2010] 4 E
SCR 422; Charanjit Lal Mehra and Ors. v. Kamal Saroj
Mahajan and Ors. (2005) 11 SCC 279 : [2005] 2 SCR
661; T. Arivandandam v. T.V. Satyapal and Ors. (1977)
4 SCC 467 : [1978] 1 SCR 742; Saleem Bhai and Ors.
v. State of Maharashtra and Ors. (2003) 1 SCC 557 :
[2002] 5 Suppl. SCR 491; Soumitra Kumar Sen v. F
Shyamal Kumar Sen and Ors. (2018) 5 SCC 644;
Srihari Hanumandas Totala v. Hemant Vithal Kamat and
Ors. (2021) 9 SCC 99; Ramesh B. Desai and Ors. v.
Bipin Vadilal Mehta and Ors. (2006) 5 SCC 638 : [2006]
3 Suppl. SCR 414; Uttam Singh Dugal and Co. Ltd. v.
G
Union Bank of India and Ors. 2000 (4) RCR Civil 89;
Arjun Singh v. Mohindra Kumar and Ors. AIR 1964
SC 993 : [1964] SCR 946; Pallav Sheth v. Custodian
and Ors. (2001) 7 SCC 549 : [2001] 1 Suppl. SCR
387; P. Radha Bai and Ors. v. P. Ashok Kumar and
Ors. (2019) 13 SCC 445 : [2018] 12 SCR 143; H
110 SUPREME COURT REPORTS [2022] 19 S.C.R.

A Madanuri Sri Rama Chandra Murthy v. Syed Jalal
(2017) 13 SCC 174 : [2017] 5 SCR 294; T.
Arivandandam v. T.V. Satyapal (1977) 2 SCC 467 :
[1977] 2 SCR 654 – referred to.
Case Law Reference
B In the judgment of SANJIV KHANNA, J.
[2019] 15 SCR 795 relied on Para 8
[2008] 4 SCR 748 relied on Para 12
[1978] 1 SCR 742 referred to Para 20
C
[2006] 3 Suppl. SCR 414 referred to Para 8
[2018] 12 SCR 143 referred to Para 11
[2017] 5 SCR 294 referred to Para 19
[1977] 2 SCR 654 referred to Para 19
D
In the judgment of BELA M. TRIVEDI, J.
[2019] 15 SCR 795 relied on Para 19
[2008] 7 SCR 39 relied on Para 11
[2014] 1 SCR 249 relied on Para 17
E
[2011] 15 SCR 299 referred to Para 7
[2010] 4 SCR 422 referred to Para 23
[2005] 2 SCR 661 referred to Para 23
F [1978] 1 SCR 742 referred to Para 25
[2002] 5 Suppl. SCR 491 referred to Para 46
[2006] 3 Suppl. SCR 414 referred to Para 18
[1964] SCR 946 referred to Para 26
G [2001] 1 Suppl. SCR 387 referred to Para 10
[1977] 2 SCR 654 referred to Para 7
The Judgment of the Court was delivered by
CIVIL APPELLATE JURISDICTION: Civil Appeal No. 2573
H of 2022
SARANPAL KAUR ANAND v. PRADUMAN SINGH 111
CHANDHOK AND OTHERS

From the Judgment and Order dated 25.04.2016 of the High Court A
of Delhi at New Delhi in RFA (OS) No. 54 of 2015.
Shyam Divan, Sr. Adv., Dinesh C. Pandey, Udayatiya Banerjee,
Piyush Sharma, Dushyant Dahiya, Advs. for the appellant.
P.S. Patwalia, Sr. Adv., Ms. Priyanka Tyagi, Surya Kant, Arun K.
Sinha, Advs. for the respondents. B

The Judgments of the Court were delivered by
SANJIV KHANNA, J.
Leave granted.
C
2. The appellant before us, Saranpal Kaur Anand, is the plaintiff
who has filed a Civil Suit, C.S. (O.S.) No. 873 of 2012, seeking: a decree
of declaration that the suit property bearing No. 4-C/7, New Rohtak
Road, New Delhi, is a joint undivided family property of the plaintiff and
defendant Nos. 3 to 9 being the successors of late Harnam Singh Anand
and late Harbans Kaur; a decree of declaration that the purported sale D
deed dated 23rd August 1969 executed by late Harbans Kaur through
her alleged attorney in favour of late Tej Kaur is a fictitious, sham,
incompetent, bad, illegal, null and void; a decree of declaration that the
purported sale deed dated 12th October 1995 executed by late Tej Kaur
in favour of Pervinder Singh Chandhok (defendant No. 2) is fictitious,
E
sham, incompetent, bad, illegal, nullity and void ab initio in law; and a
decree for permanent injunction restraining Praduman Singh Chandhok
and Pervinder Singh Chandhok (defendant Nos.1 and 2), their agents,
nominees, successors, assigns, representatives etc., from raising/
constructing/adding/ altering or entering into any agreement to sell or
creating any third party interest, claims, or parting with possession thereof, F
in respect of any portion of the suit property besides seeking determination
of the amount of damages and mesne profits.
3. Defendant Nos. 1 and 2 filed their respective written statements
contesting the suit. They also filed an application for rejection of the
plaint on the ground of limitation. G
th
4. By the order dated 7 February 2014, the Single Judge of the
High Court settled the preliminary issue of limitation as under:
“Whether the suit as framed is liable to be rejected under Order
VII Rule 11(d) of the CPC on the ground of limitation?”
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112 SUPREME COURT REPORTS [2022] 19 S.C.R.

A 5. Subsequently the plaintiff filed two applications for amendment
of the plaint to incorporate prayer for possession and amending the cause
of action clause, which were taken up for hearing along with hearing on
the preliminary issue.
6. By the order dated 6th April 2015 the Single Judge decided the
B preliminary issue holding that the suit being barred by time, the plaint
was liable to be rejected. The applications for amendment filed by the
plaintiff were dismissed as mala fide and not maintainable.
7. The impugned order dated 25th April 2016 passed by the Division
Bench of the High Court dismissed the appeal preferred by the plaintiff
C upholding the order rejecting the plaint on the ground that it was filed
beyond the period of limitation. The applications filed for amendment of
the plaint being unnecessary were, therefore, rightly rejected by the Single
Judge.
8. A decision under clause (d) of Rule 11 to Order VII1 of the Code
D of Civil Procedure, 1908 (for short, ‘the Code’) normally proceeds on
‘demurrer’. This means that the party objecting to the legal action assumes
the truth of the matter alleged by the opposite party and sets up that it is
insufficient in law to sustain the claim or there is some other defect on the
face of the pleadings constituting a legal reason why the proceedings should
not be allowed to proceed further.2 This is also the underlying principle
E behind clause (d) of Order VII Rule 11 of the Code which applies when it
appears from a statement in the plaint that the suit is barred by any law.
The law would include the Limitation Act, 1963. Section 3 of the Limitation
Act mandates that every suit, appeal or application instituted, preferred or
filed after the prescribed period, and subject to provisions of Sections 4 to
F 24, shall be dismissed although limitation has not been set up as a defence.
Sub-rule (2) to Rule 2 of Order XIV3 of the Code lays down that where
1
“Order 7, Rule 11- Rejection of plaint - The plaint shall be rejected in the following
cases:— (d) where the suit appears from the statement in the plaint to be barred by any
law;”
2
See paragraph 14 in Ramesh B. Desai v. Bipin Vadilal Mehta & Ors. (2006) 5 SCC 638.
G 3
Order XIV Rule 2(2) Court to pronounce judgment on all issues. — (2) Where
issues both of law and of fact arise in the same suit, and the Court is of opinion that the
case or any part thereof may be disposed of on an issue of law only, it may try that
issue first if the issue relates to—
(a) the jurisdiction of the Court, or
(b) a bar to the suit created by any law for the time being in force, and for that purpose
may, if it thinks fit, postpone the settlement of the other issues until after that issue has
H been determined, and may deal with the suit in accordance with the decision on that issue.
SARANPAL KAUR ANAND v. PRADUMAN SINGH 113
CHANDHOK AND OTHERS [SANJIV KHANNA, J.]

issues of both law and fact arise in the same suit, and the court is of the A
opinion that the case or any part thereof can be disposed of on an issue
of law only, it may try that issue first if the issue (a) relates to the
jurisdiction of the court, or (b) bar to the suit is created by any law for
the time being in force. Therefore, when decision on issues of law depend
upon decision on issues of fact, the issue of law should not be decided as
B
a preliminary issue4. However, when the issue of law can be adjudicated
on ‘admitted facts’, the court can decide the issue of law as a preliminary
issue under Order XIV Rule 2 of the Code. The position of law has been
succinctly stated in Nusli Neville Wadia v. Ivory Properties and
Others5 in the following words:
“51...As per Order 14 Rule 1, issues arise when a material C
proposition of fact or law is affirmed by the one party and denied
by the other. The issues are framed on the material proposition,
denied by another party. There are issues of facts and issues of
law. In case specific facts are admitted, and if the question
of law arises which is dependent upon the outcome of D
admitted facts, it is open to the court to pronounce the
judgment based on admitted facts and the preliminary
question of law under the provisions of Order 14 Rule 2. In
Order 14 Rule 2(1), the court may decide the case on a preliminary
issue. It has to pronounce the judgment on all issues. Order 14
Rule 2(2) makes a departure and the court may decide the question E
of law as to jurisdiction of the court or a bar created to the suit by
any law for the time being in force, such as under the Limitation
Act.”
(Emphasis added)
F
9. At the outset itself, it must be stated that unless the plaintiff
succeeds in grant of declaration whereby the validity of the sale deed
dated 23rd August 1969 executed and transferring the suit property in
favour of late Tej Kaur has been challenged, all other reliefs would fail
and cannot be granted. Thus, the question to be answered is whether
the prayer for grant of declaration that the sale deed dated 23rd August G
1969 is null and void being fictitious, sham, incompetent, bad and illegal
is barred by limitation, can be decided as a legal issue without evidence
being led?
4
See paragraph 13 and 15 in Ramesh B. Desai (supra).
5
(2020) 6 SCC 557 H
114 SUPREME COURT REPORTS [2022] 19 S.C.R.

A 10. As per Article 586 of the Schedule of the Limitation Act, in a
suit for declaration where Articles 567 and 578 do not apply, the plaint
should be filed within a period of three years when the right to sue first
accrues. On applying Article 58 to the prayer for declaration, that the
sale deed dated 23rd August 1969 is invalid, the suit filed after 42 years
on 27th March 2012 is clearly barred by limitation. However, though not
B
adverted to in the impugned order of the Division Bench and the order
of the Single Judge of the High Court, it is apparent that the plaint, for
the purpose of decree of declaration that the sale deed dated 23 rd August
1969 is invalid, relies on Section 17 of the Limitation Act, which deals
with the effect of fraud and mistake, and reads:
C “17. Effect of fraud or mistake.—(1) Where, in the case of any
suit or application for which a period of Limitation is prescribed
by this Act,—
(a) the suit or application is based upon the fraud of the defendant
or respondent or his agent; or
D
(b) the knowledge of the right or title on which a suit or application
is founded is concealed by the fraud of any such person as
aforesaid; or
(c) the suit or application is for relief from the consequences of a
E mistake; or
(d) where any document necessary to establish the right of the
plaintiff or applicant has been fraudulently concealed from him,
the period of Limitation shall not begin to run until the plaintiff or
applicant has discovered the fraud or the mistake or could, with
F reasonable diligence, have discovered it; or in the case of a
concealed document, until the plaintiff or the applicant first had
the means of producing the concealed document or compelling its
production…..”
The general principle, which also manifests itself in Section 17 of
G the Limitation Act, is that every person is presumed to know his own
legal right and title in the property, and if he does not take care of his
own right and title to the property, the time for filing of the suit based on
6
To obtain any other declaration
7
To declare the forgery of an instrument issued or registered.
8
H To obtain a declaration that an alleged adoption is invalid, or never, in fact, took place.
SARANPAL KAUR ANAND v. PRADUMAN SINGH 115
CHANDHOK AND OTHERS [SANJIV KHANNA, J.]

such a right or title to the property is not prevented from running against A
him. The provisions of Section 17(1) embody fundamental principles of
justice and equity, viz. that a party should not be penalised for failing to
adopt legal proceedings when the facts or the documents have been
wilfully concealed from him and also that a party who had acted
fraudulently should not be given the benefit of limitation running in its
B
favour by virtue of such frauds.9 However it is important to remember
that Section 17 does not defer the starting point of limitation merely
because the defendant has committed a fraud. Section 17 does not
encompass all kinds of frauds, but specific situations covered by clauses
(a) to (d) to Section 17(1) of the Limitation Act. Section 17(1)(b) and (d)
encompass only those fraudulent documents or acts of concealment of C
documents which have the effect of suppressing knowledge entitling the
party to pursue his legal remedy. Once a party becomes aware of
antecedent facts necessary to pursue legal proceedings, the period of
limitation commences.10
11. Therefore in the event the plaintiff makes out a case that falls D
within any or more of the four clauses to sub-section (1) to Section 17 of
the Limitation Act, the period of limitation for filing of the suit shall not
begin to run until the plaintiff or applicant has discovered the fraud/
mistake or could with reasonable diligence have discovered it or if the
document is concealed till the plaintiff has the means of producing the
concealed document or compelling its production a fortiori. E

12. ‘Diligence’ as a word of common parlance means attention,
carefulness, and persistence in efforts of doing something.11 This Court
in Chander Kanta Bansal v. Rajinder Singh Anand,12 in reference to
proviso to Order VI Rule 17 of the Code, defined ‘diligence’ as:
F
“16...According to Oxford Dictionary (Edn. 2006), the word
“diligence” means careful and persistent application or effort.
“Diligent” means careful and steady in application to one’s work
and duties, showing care and effort. As per Black’s Law
Dictionary (18th Edn.), “diligence” means a continual effort to
accomplish something, care; caution; the attention and care G
required from a person in a given situation...”
9
Pallav Sheth v. Custodian and Others, (2001) 7 SCC 549
10
P. Radha Bai and Others v. P. Ashok Kumar and Another, (2019) 13 SCC 445
11
P. Ramanatha Aiyar, The Major Law Lexicon (4 th Edition, Lexis Nexis Publication)
12
(2008) 5 SCC 117. H
116 SUPREME COURT REPORTS [2022] 19 S.C.R.

A The word ‘diligence’ read with the word ‘reasonable’ in the context
of Section 17(1) of the Limitation Act is subjective and relative, and
would depend upon circumstances of which the actor called upon to act
reasonably, knows or ought to know. Vague clues or hints may not matter.
Whether the plaintiff/applicant had the means to know the fraud is a
relevant consideration. It is manifest that Section 17(1) of the Limitation
B
Act does not protect a party at fault for failure to exercise reasonable
diligence when the circumstances demand such exercise and on exercise
of which the plaintiff/applicant could have discovered the fraud. When
the time starts ticking subsequent events will not stop the limitation. The
time starts running from the date of knowledge of the fraud/mistake; or
C the plaintiff/applicant when required to exercise reasonable diligence
could have first known or discovered the fraud or mistake. In case of a
concealed document, the period of limitation will begin to run when the
plaintiff/applicant had the means of producing the concealed document
or compelling its production.
D 13. Thus when the plaintiff relies on Section 17(1) (b) of the
Limitation Act asserting fraud or mistake, he has to state the date on
which he has discovered the fraud or mistake, and also state that he
could not have discovered the fraud or mistake with reasonable diligence
on a date earlier than on which he has based his cause of action.
E 14. Rules of pleadings relating to fraud and exemption from law
of limitation are set out in Order VI Rule 413 and Order VII Rule 614 of
the Code. Order VI Rule 4 lays down that in all cases where a party
pleading relies upon fraud, particulars with respect to the date and item,
if necessary, shall be stated in the pleadings. The fraud as alleged in the
plaint must state those facts which together taken as a whole, if proved,
F would show and establish fraud. Pleading of fraud should be conspicuous
13
“Order VI Rule 4. Particulars to be given where necessary.—In all cases in which
the party pleading relies on any misrepresentation, fraud, breach of trust, wilful default,
or undue influence, and in all other cases in which particulars may be necessary beyond
such as are exemplified in the forms aforesaid, particulars (with dates and items if
G necessary) shall be stated in the pleading.”
14
“Order VII Rule 6. Grounds of exemption from limitation law.
—where the suit is instituted after the expiration of the period prescribed by the law of
limitation, the plaint shall show the ground upon which exemption from such law is
claimed:
Provided that the Court may permit the plaintiff to claim exemption from the law of
limitation on any ground not set out in the plaint, if such ground is not inconsistent
H with the grounds set out in the plaint.”
SARANPAL KAUR ANAND v. PRADUMAN SINGH 117
CHANDHOK AND OTHERS [SANJIV KHANNA, J.]

and palpable, and should not be predicated on mere suspicion and A
conjecture. Of course, the court, at the initial stage when deciding an
application under clause (d) to Order VII Rule 11 has to proceed under
demurrer, and therefore, should accept the facts as alleged in the plaint,
but can in a given case draw irrefutable inferences from the facts stated.
Order VII Rule 6 of the Code requires the plaintiff to show the grounds
B
upon which exemption(s) from the law of limitation is claimed, and the
plaint should set out the ground(s) for claiming such exemptions, which
means that the plaintiff must state the causes or reasons or attributes or
basis on which, according to the plaintiff, a period should be excluded
and not be counted. The recitals in the plaint should be specific and
comply with the terms of Order VI Rule 4 of the Code. Order VI Rule C
6 is liberal and flexible as while mandating that a suit instituted post
expiry of the period of limitation must state the grounds upon which
exemption is claimed, permits the plaintiff to rely on a ‘ground’ not
inconsistent with the ground set out in the plaint. The proviso does not
nullify the requirement that in the first place the plaint must set out the
D
ground seeking exemption from limitation. When and to the extent Order
VII Rule 6 and Order VI Rule 4 apply, these provisions being specific
will prevail over the general rule found in Order VI Rule 2 of the Code.
Nevertheless, the requirement of the Rules is to plead specific facts
with dates, but not the factual evidence on the basis of which the plaintiff
would ultimately seek to establish and justify his claim for exemption of E
limitation. When the minimum threshold required in terms of Order VI
Rule 4 and Order VII Rule 6 is satisfied and met, cannot be put in a
straitjacket or rigid formula, as it would depend upon the facts and
circumstances including antecedent facts, and in particular the relationship
between the parties or their predecessors and the period bygone without
F
challenge. While examining these aspects, especially at the initial stage
under clause (d) of Rule 11 to Order VII or Order XIV Rule 2 of the
Code, the court cannot proceed on the basis of the assumption as to the
evidence that would be led so as to record a finding on the evidence. At
the same time, an artifice or clever drafting should not prevent the court
from stopping plainly time-barred proceedings, an aspect we would again G
advert to subsequently. The court can take benefit of Order XII Rule 615
15
“Order XII Rule 6. Judgment on admissions.—
(1) Where admissions of fact have been made either in the pleading or otherwise,
whether orally or in writing, the Court may at any stage of the suit, either on the
application of any party or of its own motion and without waiting for the determination
H
118 SUPREME COURT REPORTS [2022] 19 S.C.R.

A of the Code when there are admissions made by the plaintiff in the plaint
and the documents which are admitted by the parties, or there being no
dispute which would require oral evidence in the context of the documents.
There is no bar against invoking provisions of Order VII Rule 11 and
Order XIV Rule 2 together, or even applying Order XII Rule 6 while
proceeding with demurrer. Provisions of the Code are not watertight
B
compartments, unless such statutory construction is express or manifestly
prohibited. we would not in the absence of constraints, deny the trial
court or the appellate court flexibility in application of the procedural
law. Underlying objective of prescribing procedure is to advance the
cause of justice. Therefore unless compelled by express language or
C clear intend barring a course, the provisions of the Code as a procedural
enactment ought to be construed to leave the court to meet and deal
with situations in the ends of justice.
15. Having elucidated in brief the legal position, we would now
refer to the averments made in the plaint in some detail:
D 15.1 Initial paragraphs of the plaint state that the plaintiff and
defendant Nos. 3 to 9 are related to each other as brother, sister, and
late brother’s wife and sons. They belong to the family of Harnam Singh
Anand and Harbans Kaur, who had since demised on 23rd September
1974 and 6th August 2005 respectively. Defendant No.1, Praduman Singh
E Chandhok, is the brother of late Harbans Kaur. Defendant No. 2,
Pervinder Singh Chandhok, is the son of defendant No.1 and also the
cousin of the plaintiff. Harnam Singh Anand, prior to his demise, had
prosperous joint Hindu family businesses and establishments both in India
and Iran. He had purchased various properties, including the suit property,
in the name of his wife, Harbans Kaur, from one Ram Rattan vide sale
F deed dated 20th January 1958 for a consideration of Rs.83,800/- and
registered with the Sub-Registrar’s Office, Delhi on 17 th February 1958.
It is averred that the suit property is a benami property of Harnam Singh
Anand. The plaintiff and defendant Nos. 3 to 9, being successors-in-
interest, are entitled to their respective shares in the suit property under
G the law of succession. At the time of purchase, the suit property was

of any other question between the parties, make such order or give such judgment as it
may think fit, having regard to such admissions.
“ (2) Whenever a judgment is pronounced under sub-rule (1) a decree shall be drawn up
in accordance with the judgment and the decree shall bear the date on which the judgment
H was pronounced.”
SARANPAL KAUR ANAND v. PRADUMAN SINGH 119
CHANDHOK AND OTHERS [SANJIV KHANNA, J.]

under tenancy of several tenants who were instructed to pay rent and A
had attorned to Harbans Kaur. However, Harbans Kaur was merely the
ostensible and benami owner of the suit property and never had any
right, interest or title.
15.2 Harbans Kaur was very close to her mother Tej Kaur and
her brother, defendant No.1. To help them, and as a concession, she had B
permitted Tej Kaur and defendant Nos. 1 and 2 to temporarily reside in
the suit property. Tej Kaur did not have any means to support herself
and her family members comprising of defendant Nos. 1 and 2. Harbans
Kaur, to make her mother Tej Kaur and her family members, including
defendant Nos. 1 and 2, stay in the suit property considering their financial
hardships, had negotiated with the tenants and had paid substantial C
amounts to persuade the tenants to vacate the property. Harbans Kaur
had filed several eviction petitions against the tenants who had refused
to vacate. Tej Kaur died on 24th July 2007. However, defendant Nos. 1
and 2, after the demise of Tej Kaur, had continued to reside and, thereafter,
in spite of requests, refused to vacate the suit property. Tej Kaur was D
granted a permissive and limited concession to stay in the suit property
without conferring any right, interest or title.
15.3 The plaint also states that defendant No. 1 was in employment
of Harnam Singh Anand at Iran. This was done to enable defendant No.
1 to earn a living and sustain in life and maintain his family with dignity. E
Defendant Nos. 1 and 2 were deeply involved in the business activities
and affairs at Iran.
15.4 Paragraph 8 of the plaint, which is of some importance, reads
as under:
“8. That in view of the above it is abundantly clear and evident F
that (i) Smt. Harbans Kaur was never the owner of suit property,
(ii) Factually and legally Sh. Harnam Singh was the owner, (iii)
Mrs. Harbans Kaur never have had an right or authority or
competence to transfer rights, title or interest in the suit property;
(iv) Right to stay was granted to Mrs. Tej Kaur which was a G
permissive usage only and that too during her life time. On death
of Mrs. Tej Kaur and/or Mrs. Harbans Kaur, said permissive use
came to an end, (v) Mrs. Harbans Kaur never had right to transfer
title through any person claiming by or under her. It has two limbs.
Firstly Mrs. Harbans Kaur never enjoyed title. Secondly she had
never any right to transfer, thirdly she did not have any competence H
120 SUPREME COURT REPORTS [2022] 19 S.C.R.

A to confer any right upon any person to act for and on her behalf
for any of these acts and deeds, (vi) Over and above all these
issues, even on the touch tone of law, the alleged sale deed is
illegal and nullity in law. Sale Deed is without consideration. No
consideration was ever paid at the time of execution of alleged
sale deed and terms of the deed were never performed. It was at
B
best a contingent agreement which is not fulfilled and thus it gives
or creates no right or title or interest thereunder. Sale Deed is
bad, illegal and void document. It does not create any right in
favour of deceased Mrs. Tej Kaur and/or the defendants 1 and 2.
Plaintiff has therefore, sought a declaration with respect to said
C sale deed and has also prayed for its cancellation and finally (vii)
After death of Mrs. Harbans Kaur and/or Mrs. Tej Kaur, the
Defendants 1 and 2 were bound in law to hand over vacant
peaceful possession of the suit property when called upon to do
so which they have failed. Their possession IS absolutely illegal,
D unlawful and unauthorized and they are liable to pay charges
towards illegal/unlawful and unauthorized use and occupation /
mesne / profits / damages. These charges are payable from date
of possession till date of delivery of vacant peaceful possession
of suit property unto plaintiff and her family members. Inquiry is
required to be caused by the Hon’ble Court to determine the
E quantum of damages/mesne profits admissible and payable by
Defendants 1 and 2 in the present case.”
15.5 Paragraphs 12, 13, 14 of the plaint read as under:
“12. That the plaintiff now has learnt recently that Smt. Tej Kaur
together with Defendants 1 & 2 actuated with greed and taking
F
undue advantage of the faith and trust reposed by Smt. Harbans
Kaur, conspired to usurp the assets and properties of the Plaintiff’s
family. Late Smt. Tej Kaur and Defendants No. 1 & 2 fraudulently
and deceitfully got signed from Late Smt. Harbans Kaur through
her attorney the Defendant No. 3 a document purporting to be
G Sale Deed dated 23.08.1969 seeking to transfer/convey the right/
interest/title in the said property in favour of Smt. Tej Kaur against
purported consideration of Rs. 90,000/- and by falsely alleging
that Rs. 20,000/- will be as an advance and Rs. 30,000/- will be
paid before Sub-Registrar, Delhi and balance Rs. 40,000/- would
be paid in equal 4 instalments in four years. Not only the documents
H
SARANPAL KAUR ANAND v. PRADUMAN SINGH 121
CHANDHOK AND OTHERS [SANJIV KHANNA, J.]

created are forged, fictitious, sham, inconsequential in law but A
also a nullity being void ab-initio in as much neither Smt. Harbans
Kaur was ever entitled/competent to create any third-party rights/
interest/title in the said property but also Smt. Tej Kaur never had
any ability to pay any amount and much less the alleged amounts
in question and which till date has not been received. All this while
B
Smt. Tej Kaur had been representing herself to be using the said
property on the basis of the permission/consent granted by the
family of the Plaintiff.
13. That pursuant to and acting on the basis of the fictitious Sale
Deed dated 23.08.1969 claimed to have been registered on
C
27.08.1969 Late Smt. Tej Kaur purportedly acting as owner without
any valid/lawful authority conferred upon her by the family of the
Plaintiff and acting dishonestly to dilute the rights/interest/title of
the Plaintiff and her family members fraudulently executed a
fictitious General Power of Attorney dated 04.04.1982 in favour
of the Defendant No. 1 in respect of the said property. That D
pursuant to the fictitious Sale Deed dated 23.08.1969 Late Smt.
Tej Kaur purportedly made the document purporting to be a Sale
deed dated 12.10.1995 in favour of the Defendant No. 2 for the
afore-said property against the purported sham consideration of
Rs. 4,00,000/-. The same is totally and absolutely illegal, null and
E
void, non-est, fraudulent, sham and bogus transaction. No
consideration was received by the family members of the plaintiff
in any manner whatsoever nor the transaction permitted or even
ratified by her family members.
14. That it is pertinent to mention that the Plaintiff has further
F
come to know from the certified copies of proceedings before
this Hon’ble Court in C.M. (Main) No. 982 of 2004 that during
the pendency of the said proceedings Smt. Tej Kaur demised on
24.07.2007 and the defendant No. 1 filed an application under
Order 22 Rule 3 read with Section 151 CPC registered as C.M.
No. 5848 of 2008 seeking impleadment of LRs of deceased Smt. G
Tej Kaur wherein he placed on record the copy of the Will dated
03.05.2007 executed by Smt. Tej Kaur allegedly claiming herself
to the exclusive and sole owner of the said property having
purchased vide the purported fictious Sale Deed dated 23.08.1969
claimed to have been registered on 27.08.1969 and bequeathing
H
122 SUPREME COURT REPORTS [2022] 19 S.C.R.

A the same in favour of the Defendant No. 2 which is totally
contradictory to the purported sham/illegal and null and void
transaction made outherein above.”
15.6 Paragraphs 15 to 18 of the plaint refer to an order passed by
this Court dated 30th January 1973, which is a reported decision, relating
B to eviction proceedings filed by Harbans Kaur for misuse of property
for commercial purposes by one of the tenants. The matter was remanded
to the Rent Controller to adjudicate the issues afresh. Thereupon, one of
the tenants had filed a second appeal against the order of the Rent
Controller before the Delhi High Court. In 2004, Tej Kaur had also filed
a petition under Article 227 before the High Court against an order passed
C
by the Rent Controller. After the death of Tej Kaur, defendant No.1 had
moved an application seeking impleadment as a legal heir disclosing and
relying upon the Will dated 3rd May 2007. In terms of the said Will,
defendant No.1 had become the sole and exclusive owner of the suit
property. The Will, it is stated, does not refer to the sale deed dated 12th
D October 1995 and rather claims to have been executed by Tej Kaur in
favour of defendant No.2. The plaintiff had appeared in the said
proceedings after the publication of notices in the newspaper and opposed
the prayer claiming that she too is a legal representative, being the daughter
of Harbans Kaur. Immediately thereafter, defendant Nos. 1 and 2
compromised the matter with the tenant. The petition filed under Article
E
227 was withdrawn by defendant Nos.1 and 2, but the court vide order
dated 29th September 2008 had given liberty to the legal representative
of Harbans Kaur to raise claim/right as and when any subsequent
proceeding arises. First Appeal filed by the tenant was also withdrawn
on the same day. It is pleaded that Harbans Kaur had continued to
F prosecute the eviction proceedings against the tenants and there was no
attornment of rights as Harbans Kaur had retained all rights with her.
There were judicial findings on title against Tej Kaur by the Rent
Controller against which no steps were taken to perform or conclude
the sale transaction, and it remained inconclusive. It is averred that Tej
G Kaur had never acquired any right or title in the property because of
which Harbans Kaur was always impleaded and remained a party in the
eviction proceedings as an owner and landlord.
15.7 Paragraphs 19 to 21 of the plaint refer to the legal notice
dated 10th October 2008 served by the plaintiff and her family members,
including defendant No. 3, on defendant Nos.1 and 2; the reply thereto
H
SARANPAL KAUR ANAND v. PRADUMAN SINGH 123
CHANDHOK AND OTHERS [SANJIV KHANNA, J.]

dated 15th October 2008 by defendant Nos.1 and 2 without furnishing A
details; rejoinder dated 24th October 2008, followed by specific legal
notice dated 24th October 2008 to defendant Nos. 1 and 2; and the reply
thereto dated 4th November 2008, which again was without providing
any details or documents. we shall subsequently refer to these letters/
legal notices as they are of substantial importance and relevance. It is
B
pleaded that defendant Nos. 1 and 2, acting illegally and arbitrarily, have
instigated and induced defendant Nos. 6 to 8, namely Damanpal Kaur
Anand, Jaspreet Singh Anand and Gursimar Singh Anand (wife and
children of late Kultaran Singh Anand, brother of the plaintiff), to rake
up false, inconsistent claims and issues to divide the family and drag
them into inter se litigation. At the behest and insistence of defendant C
Nos. 1 and 2, defendant Nos. 6 to 8 have initiated several proceedings
against the plaintiff, her brother and other family members, which are
still pending. In one such proceeding, from the written statement filed by
defendant Nos. 7 and 8 on 16th December 2010, the plaintiff for the first
time came to vaguely know about the purported sale of the suit property D
by Harbans Kaur to Tej Kaur. The plaintiff and other family members
were utterly shocked and surprised and thus became suspicious about
the intentions of defendant Nos. 1 and 2. Thereafter, the plaintiff had
made enquiries of various court proceedings, pending and disposed of
matters. Whereas at one such enquiry made in the Office of the Sub-
Registrar, Delhi, they came to know about the fictitious, sham, illegal, E
fraudulent transactions created by defendant Nos. 1 and 2.
15.8 Paragraph Nos. 22 and 33 of the plaint state that the plaintiff
was completely in the dark and had no knowledge of the sale deed dated
23rd August 1969 and the subsequent sale deed dated 12th October 1995.
Regarding the date on which the cause of action arose, the plaint states: F
“22. That Smt. Harbans Kaur including the Plaintiff and her family
members have been totally kept in dark about these false,
mischievous and fraudulent deals entered into amongst Late Tej
Kaur and the defendant No. 1 & 2 as made out herein above.
The Plaintiff or even his mother Smt. Harbans Kaur deceased G
was at no point of time either apprised about the same or her
concurrence or even her signatures were ever obtained in the
said purported illegal and sham Deed of Sale dated 23.08.1969
claimed to have been registered on 27.08.1969 or even the
subsequent purported fictitious documents/sale deeds dated
H
124 SUPREME COURT REPORTS [2022] 19 S.C.R.

A 12.10.1995 and Will dated 30.05.2007 which are null and void ab
initio being nullity and fraud conveying no right/interest/title upon
the defendants No. 1 & 2 or even Smt. Tej Kaur in any manner at
any point of time and thus does not affect the right/interest/title of
the plaintiff and her family members to own, enjoy and possess
the same.
B
xx xx xx
33. That the cause of action first arose on 23.08.1969 claimed to
be registered on 27.08.1969 when the purported fictitious sale
deed was executed by Late Harbans Kaur in favour of Late Smt.
C Tej Kaur in respect of the subject property. It again arose on
04.05.1982 when purported General Power of Attorney was
executed by Late Tej Kaur in favour of defendant no. 1. It again
arose on 12.10.1995 when purported fictitious sale deed was
executed by Late Smt. Tej Kaur in favour of defendant no. 2 in
D respect of the subject property. The cause of action further arose
on 30.05.2007 when purported Will bequeathing the subject
property was executed by Smt. Tej Kaur in favour of Defendant
No. 2 on the basis of the purported fictitious sale deed dated
23.08.1969 claimed to be registered on 27.08.1969. The cause of
action again arose in on 10.10.2008, 24.10.2008, when the
E defendants No.1 & 2 when called upon to admit and acknowledge
the rights/interest/title of the Plaintiff and her family members
and handover the possession of the suit property denied vide reply
dated 15.10.2008 and 04.11.2008…”16
16
The plaintiff had filed an application under Order VI Rule 17 of the code (I.A. No.
F 7950 of 2014), seeking to amend paragraph 33 of the plaint by incorporating the
following additional facts:
“The cause of action further arose on 27.02.2012 and on 29.02.2012/15.06.2012
when the plaintiff upon coming to know about the frauds played by the Defendants
Nos.1 and 2 in resorting to illegal/unlawful creation of purported sale deeds applied
and obtained certified copies of the purported sale deeds dated 12.10.1995 and the
G purported sale deed dated 23.08.1969 registered on 27.08.1969 respectively from
the office of the Sub-Registrar, Delhi pursuant to the disclosures made in the
Written Statement dated 16.12.2010 filed by the defendants Nos. 7 and 8 in C.S.
(O.S.) No. 1677 of 2010 titled as Gurdev Singh Anand and Ors. v. Jaspreet Singh
Anand and Anr., legal notices and responses received and the extensive inquries/
searches made in the office of the Sub-Registrar Delhi.”
The additional facts, as mentioned, would not make any difference to the present
H outcome in view of the finding that the plaintiff had knowledge about execution of the
SARANPAL KAUR ANAND v. PRADUMAN SINGH 125
CHANDHOK AND OTHERS [SANJIV KHANNA, J.]

15.9 Paragraphs 23 to 28 of the plaint state that defendant Nos. 1 A
and 2, along with Tej Kaur, had a mala fide and ulterior intention in
usurping the suit property and assets of the plaintiff and her family
members. Defendant Nos. 1 and 2 in their possession have certain blank
papers and other documents of other properties allegedly signed by
Harbans Kaur and other family members of the plaintiff and Tej Kaur,
B
and based upon which they are now trying to forge and create fictitious
documents. The sale deed executed by Harbans Kaur in favour of Tej
Kaur and the sale deed executed by Tej Kaur in favour of defendant
No.1 are null and void, being vitiated by fraud, cheating, fraudulent
misrepresentation, forgery, illegality etc. and thus, inconsequential in law.
It is averred that Harbans Kaur could not have transferred a better title C
in favour of Tej Kaur, and further, Tej Kaur could not have transferred a
better title than she had. The sale deeds are also fraudulent on the count
of being without consideration. They are a result of a conspiracy hatched
by the defendant Nos. 1 and 2 amongst themselves with Harbans Kaur
and Tej Kaur with the sole and cheap objective to usurp the lawful
D
ownership and title of the plaintiff and the defendant Nos. 3 to 9. The
plaintiff’s deceased mother could never have and had no intent or purpose
or necessity to execute the sale deed in favour of Tej Kaur. Defendant
Nos. 1 and 2 are in permissive possession, having limited and restricted
rights to use and occupy the property through late Tej Kaur. The
ownership, title and interest claim predicated by them are based on E
documents, mutations, etc., that are inconsequential in law, not valid,
being fraudulent, concocted act of forgery, fabrication, misrepresentation,
etc. Defendant Nos. 1 and 2 are liable to be removed from the suit
property once the purpose and object of granting permissive possession,
restricted and limited right to use and occupy the suit premises has been
F
served. It is claimed that the plaintiff is entitled to seek recovery of
mesne profits at the rate of Rs. 1 lakh per year or such rate as determined
by courts from defendant Nos. 1 and 2 for the illegal, unlawful and
unauthorised use and occupation of the suit property.
16. The sale deed dated 23rd August 1969 in favour of Tej Kaur
was executed by Gurdev Singh Anand as the attorney of Harbans Kaur. G
Gurdev Singh Anand, the third defendant in the suit, is the brother of the

sale deed dated 23rd August 1969, if not earlier at least in 2008. It is also discernible that
she could have with reasonable diligence in the given facts as pleaded in the plaint,
ascertained and known facts relating to the execution of the sale deed dated 23rd August
1969. H
126 SUPREME COURT REPORTS [2022] 19 S.C.R.

A plaintiff. Execution of the sale deed and signatures of Gurdev Singh
Anand acting as the attorney of his mother Harbans Kaur are undisputed.
The sale deed is a registered document. The plaint accepts that the sale
was for a consideration of Rs.90,000/- . The sale deed states that
Rs.20,000/- was received in advance and Rs.30,000/- was paid before
the Sub-Registrar. The balance amount of Rs.40,000/- was to be paid to
B
the vendor by the vendee in four equal monthly instalments. The plaint
does not state if any suit or proceedings were initiated for the recovery
of Rs.40,000/-. Any suit or proceedings for recovery of Rs.40,000/- would
be barred by limitation. The sale deed mentions that on the date of
execution Harbans Kaur was present in Tehran, Iran, and therefore, her
C son Gurdev Singh Anand, who is the brother of the plaintiff, as an attorney,
was executing the sale deed as authorised vide Special Power of Attorney
authenticated on 23rd August 1969. These facts are again not challenged
and contested in the plaint. Sale deed dated 23th August 1969 is more
than thirty years old, and during the lifetime of Harbans Kaur or Tej
Kaur it was never challenged and questioned by Harbans Kaur or any
D
of their family members. In terms of Section 90 of the Evidence Act, the
presumption is that the signature and every other part of the document,
its execution and attestation is by persons by whom it purports to be
executed and attested.
17. Legal notice dated 10th October 2008, states that late Harbans
E Kaur, after her marriage, took steps to establish late Tej Kaur and her
son Praduman Singh Chandhok, the first defendant. The legal notice
dated 10th October 2008 regarding the suit property states:
“3. In fact property No. 4-C/7, New Rohtak Road, New Delhi –
110005 was given by Smt. Harbans Kaur unto her mother Ms.
F Tej Kaur and she took all steps to establish her brother namely
Praduman Singh Chandhok. Smt. Harbans Kaur settled her brother
by entrusting him with jobs of managing various business(s) and
estate of her late husband Shri Harnam Singh in Iran and
elsewhere.
G 4. Since Ms. Tej Kaur died intestate, Ms. Harbans Kaur legally
succeeds to her share in estate of Ms. Tej Kaur along with other
remaining legal heirs, Praduman Singh, Chandhok and others. Her
share to the estate is joint and undivided and is to be succeeded
upon my clients jointly.”
H xx xx xx
SARANPAL KAUR ANAND v. PRADUMAN SINGH 127
CHANDHOK AND OTHERS [SANJIV KHANNA, J.]

“9 (iii) All my clients being sons daughters and grandsons of A
deceased Ms. Harbans Kaur are jointly entitled and have their
claims in joint undivided share to the estate of Ms. Tej Kaur claiming
by or under or through Ms. Harbans Kaur and further notify that
they are no longer interested in having unity of the and possession
in said estate of Ms. Tej Kaur.”
B
Legal Notice dated 24th October 2008 states:
“3. Post to marriage of Mrs. Harbans Kaur to Shri Harnam Singh,
she took all steps to establish home for her mother & brother (late
Ms. Tej Kaur and her son- noticee No/1) in furtherance thereof,
property No. 4-C/7 New Rohtak Road, New Delhi 110 005 C
was given by Smt. Harbans Kaur into her mother Ms. Tej
Kaur and she also took all steps to establish & same her brother,
noticee No.1. Smt. Harbans kaur settled her brother in his life by
entrusting him with jobs of managing various business(s) and estate
of her husband Shri Harnam Singh (since deceased now) in Iran
D
and elsewhere.
xx xx xx
13 (v). partition property No. 4C/7, New Rohtak Road, New Delhi
where deceased Harbans Kaur has acquired her undivided share
in the eve of death of Mrs. Tej Kaur.” E
(Emphasis Supplied)
18. The language and the words used in the legal notices on behalf
of the plaintiff and other family members are admissions of facts which
uncover the illusion made by creative and crafty narration to obfuscate
the patent delay of over four decades. To get over the admissions, the F
plaintiff has submitted that the word/expression used in the notices is
‘given’ and not ‘transfer/sale’. That the word ‘given’ used is factually
correct, albeit when one reads the notices holistically it is lucid that the
plaintiff, along with her family members and defendant No.3, have
accepted that there was transfer of the suit property in favour of Tej G
Kaur. The notice was for partition of the estate left behind by Tej Kaur
in the form of the suit property. The plaintiff in the notices did not challenge
the legal title of Tej Kaur but had claimed the right of inheritance being
a granddaughter of Tej Kaur. Further, the plaintiff was aware and had
knowledge of the Will dated 3rd May 2007 executed by Tej Kaur. The
H
128 SUPREME COURT REPORTS [2022] 19 S.C.R.

A bequest included the suit property is a fact admitted by the plaintiff in
paragraph 14 of the plaint. Reliance placed on the eviction proceedings
does not further the plaintiff’s case, as on reading of paragraphs 14 to
18 of the plaint it is manifest that the compromise between the tenant
and defendant Nos. 1 and 2 as owners/landlord had led to the withdrawal
of the proceedings vide order dated 29th September 2008. This order
B
placed on record and relied by the plaintiff states that the rights and
claims of the plaintiff and the legal representatives of Harbans Kaur are
protected, while referring to the ownership and inheritance claimed by
defendant Nos. 1 and 2 as legal heirs of Tej Kaur. Legal notices dated
10th October 2008 and 24th October 2008 were issued after the order
C dated 29th September 2008 was passed.
19. In view of the said background, the assertions made in the
plaint by the plaintiff against her mother late Harbans Kaur that she had
acted in an active and joint concert, connivance and conspiracy with late
Tej Kaur are self-serving and phantastic. As per need and factual
D background of the matter, assertions in the pleadings have to be examined
and understood with other statements and documents relied by the plaintiff
without feeling helpless and paralysed by unclear, illusory or contradictory
drafting. Meaningful reading of the entire plaint may be required when
grossly implausible and dubious statements are made.17 The idea is to
check and weed out manifestly vexatious and meritless cases at the
E threshold.18
20. The plaint accepts the close relationship inter se the parties
as relatives and in business activities. The person who had executed the
sale deed in 1969 as attorney of Harbans Kaur is the brother of the
plaintiff with whom the plaintiff has no dispute. Tej Kaur and defendant
F Nos. 1 and 2 were residing in the suit property. No claim was made until
the death of the plaintiff’s mother and grandmother, Harbans Kaur and
Tej Kaur respectively, on 6th August 2005 and 24th July 2007. Harnam
Singh Anand had died earlier in 1974. For 42 years post the execution of
the sale deed in 1969, there was no dispute and challenge to the ownership
G of Tej Kaur. In 2008, disputes had arisen but regarding inheritance of the
estate of Tej Kaur however the plaintiff and defendant No. 3 did not
challenge the title and ownership of Tej Kaur. In this background, as the
plea of lack of knowledge appears to be conjured and unreal, we read
17
See T. Arivandandam v. T.V. Satyapal (1977) 2 SCC 467
H 18
See Madanuri Sri Rama Chandra Murthy v. Syed Jala (2017) 13 SCC 174
SARANPAL KAUR ANAND v. PRADUMAN SINGH 129
CHANDHOK AND OTHERS [SANJIV KHANNA, J.]

the pleading and the documents with discernment and perceptiveness A
without getting carried away by bald and pretentious accusations that do
not infuse with the accepted and ‘admitted’ facts.
21. As already observed, the notices dated 10th October 2008 and
24th October 2008 are admitted and referred to without reservation in
the plaint. They have been filed by the plaintiff with the plaint as relevant B
documents relied upon by the plaintiff. The plaint does not dispute or
explain the contents and admissions made in the two notices.
22. Consequently, on application of the principle of demurrer, it
has to be held, on the basis of the averments made in the plaint and the
documents relied upon and admitted by the plaintiff, that even prior to C
2008, the plaintiff was aware and had knowledge of the sale deed dated
23rd August 1969 by which the ownership rights were transferred to Tej
Kaur. The plaintiff did not, in 2008, question and challenge the transfer,
though she was fully aware that Tej Kaur had acquired ownership rights.
23. We have denoted the ambit and conditions of Section 17(1) of D
the Limitation Act, which is to protect rights of a party defrauded from
lapse of time till he remains in ignorance of the fraud, or with reasonable
diligence could have discovered the fraud. Section 17(1) does not assist
a person who merely shuts his eyes in spite of circumstances requiring
him to ascertain facts on which he would have discovered the fraud.
Section 17(1) of the Limitation Act saves rights of the party defrauded E
from lapse of time as long as the party is not at fault on his own account.
In the aforesaid factual background, it is apparent that the plaintiff was
aware and had knowledge in October 2008 about execution and transfer
of the ownership rights in favour of late Tej Kaur vide sale deed dated
23rd August 1969 executed by defendant No.3, Gurdev Singh Anand. F
Unadorned assertion in the plaint feigning ignorance as to the sale deed
would not help, as in the facts as pleaded and accepted in the plaint, the
plaintiff was required to state and indicate that ignorance was not due to
failure to exercise reasonable diligence.
24. In view of the aforesaid facts and position of law, we dismiss G
this appeal and uphold the judgment of the Single Judge and the Division
Bench of the High Court dismissing the suit as being barred by limitation.
We also affirm the judgment of the Single Judge and the Division Bench
with regard to the dismissal of two applications filed by the plaintiff for
amendment of pleadings under Order VI Rule 17 of the Code, namely
H
130 SUPREME COURT REPORTS [2022] 19 S.C.R.

A IA Nos. 17994/2012 and 7590/2014 on the ground that when the suit
itself has been barred by limitation, amendments to such a suit will be
unnecessary.
25. Pending application(s), if any, stand disposed of.
26. Parties to bear their own costs.
B

BELA M. TRIVEDI, J.
1) Having gone through the opinion expressed by my esteemed
brother Justice Sanjiv Khanna, I with respect, express my inability to
C agree with the same. In my humble opinion, the impugned judgments of
the High Court of Delhi, passed by the Single Bench and the Division
Bench are in utter disregard to the provisions contained in the Code of
Civil Procedure (CPC) as also to the legal position well settled by this
Court in umpteen number of cases. The basic legal premise on which
D both the courts have proceeded for rejecting the plaint, being erroneous
the same cannot be vindicated for the reasons to follow.
2) Special leave to appeal is granted.
3) Though I propose to deal with only the legal issues involved in
the case, a few basic facts emerging from the record need to be stated.
E For the sake of convenience, the parties shall be referred as per their
original status in the suit.
(i) The Appellant in the present Appeal Smt. Saranpal Kaur
Anand (Daughter of Late Sardar Harnam Singh Anand and
Smt. Harbans Kaur) was the plaintiff in the Civil Suit being
F CS(OS) No. 873 of 2012 filed her in the Delhi High Court
in its original jurisdiction.
(ii) The respondent nos. 1 to 9 herein were the defendant nos.
1 to 9 in the suit. The defendant no. 1 Praduman Singh
Chandhok happened to be the brother of the plaintiff’s
G mother and defendant no. 2 happened to be the son of
defendant no.1. The defendant nos. 3 to 9 happened to be
the legal heirs and successors of the Late Sardar Harnam
Singh Anand and Smt. Harbans Kaur.
(iii) The plaintiff filed the suit in question on 27th March, 2012
H against the defendants seeking a decree of declaration that
SARANPAL KAUR ANAND v. PRADUMAN SINGH 131
CHANDHOK AND OTHERS [BELA M. TRIVEDI, J.]

the suit property being No.4-C/7, New Rohtak Road, New A
Delhi was the joint undivided family property of the plaintiff
and defendant nos. 3 to 9 and that defendants nos. 1 & 2
had no right title or interest upon or to the said property.
The plaintiff sought further declaration that the purported
sale deed dated 23rd August, 1969 alleged to have been
B
executed by Smt. Harbans Kaur through her alleged
attorney in favour of Smt. Tej Kaur was fictitious, sham,
nullity and void ab initio and, therefore, deserved to be
cancelled. The plaintiff also sought a declaration that the
purported sale deed dated 12.10.1995 executed by Smt.
Tej Kaur in favour of defendant no. 2 was fictitious, sham, C
nullity and void ab initio. The plaintiff further sought a prayer
for permanent injunction against defendant nos. 1 and 2 for
restraining them from carrying out any construction/addition/
alteration, or entering into any agreement to sell or creating
third party interest in respect of any portion of the suit property.
D
(iv) On 10.05.2012, the defendant nos. 1 & 2 filed their
respective written statements raising various contentions
and praying for the dismissal of the suit.
(v) On 15.05.2012, the defendant no. 2 filed an application
seeking rejection of the plaint under Order VII Rule 11(d) E
CPC being I.A. No. 9950 of 2012 in the suit.
(vi) On 11.09.2012, the plaintiff filed an application under Order
VI Rule 17 CPC being I.A.No. 17994 of 2012 seeking
amendment in the plaint for incorporating the relief of
possession in the prayer clause. F
(vii) On 07.02.2014, the Trial Court i.e. the Single Bench of the
High Court framed a preliminary issue as under:
“1. Whether the suit as framed is liable to be rejected
under Order VII Rule 11(d) of the CPC on the ground
of limitation? OPD” G
(viii) On 28.04.2014, the plaintiff filed another application under
Order VI, Rule 17 seeking to amend cause of action clause
to explain/elaborate the incident leading to filing of the suit.
The said application was registered as I.A. No. 7950/14 in
the said suit. H
132 SUPREME COURT REPORTS [2022] 19 S.C.R.

A (ix) The Single Bench vide the common order dated 6th April,
2015, decided the preliminary issue along with the I.A. No.
17994/12 and IA No. 7950/14, rejecting the plaint. The
operative part contained in the paras 39 and 40 of the said
order reads as under:
B “39. The suit is apparently time barred. Hence, the plaint
is rejected. The issue framed in the matter is accordingly
decided against the plaintiff and in favour of defendant
nos. 1 & 2, the amendment applications filed by the
plaintiff are malafide and are not maintainable as the
same itself is time barred on the face of pleadings and
C
documents placed on record. Both applications are
accordingly dismissed.
40. The plaint is rejected. All pending applications are
also disposed of consequently”.
D (x) Being aggrieved by the said judgment and decree passed
by the Trial Court /Single Bench, the plaintiff preferred an
appeal being RFA (OS) No.54 of 2015 under section 96 of
CPC before the Appellate Court/Division Bench of the High
Court. The Division Bench confirmed the order passed by
the Single Bench and dismissed the said Appeal vide the
E
impugned judgment and order dated 25th April, 2016. The
Division Bench while dismissing the Appeal also took
recourse to the provisions contained in Order XII Rule 6
CPC, which was not the issue before the Single Bench.

F 4) Being aggrieved by the impugned judgment passed by the
Division Bench of the High Court, the appellant-plaintiff has filed the
present Appeal.
5) Having regard to the impugned orders passed by the Single
Bench and the Division Bench of the High Court, following questions
G fall for consideration:-
a. Whether the Single Bench i.e. the trial court could have
framed the preliminary issue under Order XIV Rule 2 with
regard to the issue of limitation which was a mixed question
of law and fact, for the purpose of rejecting the plaint under
H Order VII Rule 11(d) of the CPC?
SARANPAL KAUR ANAND v. PRADUMAN SINGH 133
CHANDHOK AND OTHERS [BELA M. TRIVEDI, J.]

b. Whether the Division Bench i.e. the appellate court could A
have travelled beyond the scope of Appeal and taken
recourse to Order XII Rule 6 CPC, which was not the issue
before the Single Bench, for the purpose of rejecting the
plaint under Order VII Rule 11(d), CPC?
c. Whether Single Bench and Division Bench had committed B
an error of law apparent on the face of record by referring
to the written statements and the other documents which
were not part of the plaint while rejecting the plaint under
Order VII Rule 11(d) on the ground that the suit was barred
by law of Limitation? C
6) The learned Senior Counsel Mr. Shyam Divan for the appellant-
original plaintiff has made following submissions:
(i) Limitation being a mixed question of facts and law, the plaint
could not be rejected under Order VII Rule 11(d) CPC.
D
(ii) An application under Order VII Rule 11(d) ought to be
decided solely on the basis of the averments made in the
plaint and not on the basis of the written statements and
other documents or material.
(iii) A case involving disputed questions of facts cannot be E
decided by the way of preliminary issue under Order XIV
Rule 2 of the CPC. The issue of limitation cannot be treated
as a pure question of law under Order XIV Rule 2(2), in
view of the settled legal position.
(iv) Once fraud has been pleaded in the suit, the plaint cannot F
be rejected without affording an opportunity to the parties
to adduce the evidence.
(v) The Single Bench and the Division Bench had committed
gross error in referring to the documents which were not
G
part of the plaint in the impugned orders. The Single Bench
was required to first decide the applications of the plaintiff
seeking amendments in the prayer clause and the cause of
action clause of the plaint, before deciding the preliminary
issue framed by it.
H
134 SUPREME COURT REPORTS [2022] 19 S.C.R.

A (vi) The Division Bench had travelled beyond the scope of
appeal by relying upon the provisions contained in Order
XII Rule 6 for rejecting the plaint of the appellant-plaintiff,
though it was not the issue before the Single Bench. Even
otherwise there was no admission made by the plaintiff in
the plaint or otherwise which would entitle the appellate
B
court to pass a judgment dismissing the suit of the plaintiff.
(vii) Mr. Divan, learned senior advocate for the appellant-plaintiff
had drawn the attention of the court to the documents
referred by the Single Bench and Division Bench which
were not part of the plaint. He also drew the attention of
C
the court to the erroneous findings recorded by the Division
Bench while confirming the order passed by the Single
Bench.
(viii) Reliance has been placed by the learned senior advocate
Mr. Divan on the various judgments of this court to buttress
D
his submission that the plaintiff having alleged commission
of fraud, and the issue of limitation being a mixed question
of fact and law, the plaint could not be rejected under Order
VII Rule 11(d) of the CPC. Order XIV Rule 2 also does
not confer any jurisdiction upon the court to try the issue of
E limitation as a preliminary issue, the same being not a pure
question of law.
7) The learned Senior Counsel Mr. P.S. Patwalia appearing for
the contesting respondent nos. 1 and 2 (Original defendant no. 1 and 2)
made following submissions:
F
(i) The Single Bench had rightly framed the preliminary issue
with regard to the issue of limitation, which was a pure
question of law, and had rightly rejected the plaint under
Order VII Rule 11(d) of CPC. The said judgment having
been confirmed by the Division Bench, this Court may not
G interfere with the said concurrent findings of the facts
recorded by the two courts.
(ii) The plaintiff had filed the applications for amendments in
the plaint under Order VI Rule 17 as an afterthought to
cover up the issue of limitation, misusing the process of
H law.
SARANPAL KAUR ANAND v. PRADUMAN SINGH 135
CHANDHOK AND OTHERS [BELA M. TRIVEDI, J.]

(iii) Placing reliance on the decision of this Court in case of A
Khatri Hotels Pvt. Ltd. Vs. Union of India1, Mr. Patwalia
submitted that if the suit is based on multiple causes of
action, the period of limitation would begin to run from the
date when the right to sue first accrued.
(iv) Having regard to the nature of the pleadings and admitted B
documents, the Division Bench of the High Court had rightly
exercised its Suo moto powers under Order XII Rule 6 for
the purpose of rejecting the plaint.
(v) In view of the admission of the plaintiff with regard to the
ownership of Smt. Tej Kaur by seeking succession to her C
estate and the knowledge of the will dated 03rd May, 2007
executed by late Smt. Tej Kaur in favour of the defendant
no. 2 in the year 2008, and the suit having been filed in
March, 2012, it was clearly beyond the period of limitation
of three years prescribed under the Limitation Act.
D
(vi) The Division Bench of the High Court was well within its
jurisdiction to exercise the power under Order XII, Rule 6
CPC and pass a judgment Suo moto. In this regard he has
placed reliance on the decisions of this court in case of
Karam Kapahi & Ors. Vs. M/S Lal Chand Public
E
Charitable Trust & Anr.2 and in case of Charanjit Lal
Mehra & Ors. Vs. Smt. Kamal Saroj Mahajan & Anr.3
(vii) Placing reliance on the decision in case of T.
Arivandandam Vs. T. V. Satyapal & Anr.4, he submitted
that if on a meaningful reading of the plaint, it appears to be F
manifestly vexatious and meritless, the court should exercise
its powers under Order VII Rule 11 of CPC, which has
been rightly exercised by the High Court.
8) At the outset, it may be noted that the suit having been filed by
the plaintiff in the High Court in its original jurisdiction, the Single Bench G
as a trial court and the Division Bench as an appellate court were required

1
(2011) 9 SCC 126
2
(2010) 4 SCC 753
3
(2005) 11 SCC 279
4
(1977) 4 SCC 467 H
136 SUPREME COURT REPORTS [2022] 19 S.C.R.

A to adhere to the specific provisions contained in the CPC while deciding
the suit and the Appeal respectively.
9) As discernible from the record, though the defendant no. 2 had
filed an application seeking rejection of plaint under Order VII Rule
11(d) of CPC, the Single Bench instead of deciding the said application,
B framed a preliminary issue under Order XIV Rule 2, as to ‘whether the
suit as framed is liable to be rejected under Order VII Rule 11(d) of
CPC on the ground of limitation’. The Single Bench then decided the
preliminary issue against the plaintiff holding that the plaint was liable to
be rejected under Order VII, Rule 11(d), considering the written statement
and other documents filed by the concerned defendants, which were not
C part of the Plaint. The Division Bench in the Regular Appeal filed by the
appellant-plaintiff against the judgment and order passed by the Single
Bench, committed further error by relying upon the provisions contained
in Order XII Rule 6 of CPC, which was not even the issue before the
Single Bench, and confirmed the order passed by the Single Bench. It is
D needless to say that the scope, ambit and parameters for deciding an
application under Order VII Rule 11(d) for the rejection of the plaint; for
raising a preliminary issue under Order XIV Rule 2(2); and for passing
the judgment on admission of fact in the pleading or otherwise under
Order XII Rule 6 being absolutely different and mutually exclusive, all
the three provisions could not be interchangeably used for the purpose
E of rejecting the plaint under Order VII Rule 11(d) of the CPC. It is also
well settled proposition of law that when a power is to be exercised by a
Civil Court under an express provision, the inherent power under Section
151 of CPC cannot be taken recourse to.
10) In order to make the position more clear, let us refer to the
F relevant provisions as contained in the CPC.
-Order VII Rule 11 reads as under:
11. Rejection of plaint.— The plaint shall be rejected in the
following cases:—
G (a) Where it does not disclose a cause of action;
(b) …
(c) …
(d) where the suit appears from the statement in the plaint
H to be barred by any law;
SARANPAL KAUR ANAND v. PRADUMAN SINGH 137
CHANDHOK AND OTHERS [BELA M. TRIVEDI, J.]

(e) … A
(f) …
-Order XII Rule 6 reads as under:
6. Judgment on admissions—(1) Where admissions of fact
have been made either in the pleading or otherwise, whether B
orally or in writing, the Court may at any stage of the suit,
either on the application of any party or of its own motion
and without waiting for the determination of any other
question between the parties, make such order or give such
judgment as it may think fit, having regard to such admissions.
(2) Whenever a judgment is pronounced under sub-rule (1) C
a decree shall be drawn up in accordance with the judgment
and the decree shall bear the date on which the judgment
was pronounced.
-Order XIV Rule 2 reads as under:
1. Framing of issue:… D
2. Court to pronounce judgment on all issues.— (1)
Notwithstanding that a case may be disposed of on a
preliminary issue, the Court shall, subject to the provisions
of sub-rule (2), pronounce judgment on all issues.
E
(2) Where issues both of law and of fact arise in the same
suit, and the Court is of opinion that the case or any part
thereof may be disposed of on an issue of law only, it may
try that issue first if the issue relates to— (a) the jurisdiction
of the Court, or (b) a bar to the suit created by any law for
the time being in force, and for that purpose may, if it thinks F
fit, postpone the settlement of the other issues until after
that issue has been determined, and may deal with the suit
in accordance with the decision on that issue.
11) The basic postulate underlined in clause (a) and clause (d) of
Rule 11 Order VII is that while rejecting the plaint under the said G
provisions, the court is required to see only the averments made in the
plaint and the documents, if any, annexed to the plaint, and not to the
written statement or other documents which are not part of the plaint. In
case of Kamala & Ors Vs. K.T. Eshwara Sa & Ors.5, it has been
5
(2008) 12 SCC 661 H
138 SUPREME COURT REPORTS [2022] 19 S.C.R.

A observed that for the purpose of invoking Order VII Rule 11 (d) of CPC,
no amount of evidence can be looked into and that the conclusion that
the suit is barred under any law must be drawn from the averments
made in the plaint. To be precise, it was held as under:-
“21. Order VII, Rule 11(d) of the Code has limited application.
B It must be shown that the suit is barred under any law. Such a
conclusion must be drawnfrom the averments made in the plaint.
Different clauses in Order VII, Rule 11, in our opinion, should
not be mixed up. Whereas in a given case, an application for
rejection of the plaint may be filed on more than one ground
specified in various sub-clauses thereof, a clear finding to that
C effect must be arrived at. What would be relevant for invoking
Clause (d) of Order VII, Rule 11 of the Code is the averments
made in the plaint. For that purpose, there cannot be any addition
or subtraction. Absence of jurisdiction on the part of a court can
be invoked at different stages and under different provisions of
D the Code. Order VII, Rule 11 of the Code is one, Order XIV,
Rule 2 is another.
22. For the purpose of invoking Order VII, Rule 11(d) of the Code,
no amount of evidence can be looked into. The issues on merit of
the matter which may arise between the parties would not be
E within the realm of the court at that stage. All issues shall not be
the subject matter of an order under the said provision.
……….
25. The decisions rendered by this Court as also by various High
Courts are not uniform in this behalf. But, then the broad principle
F which can be culled out therefrom is that the court at that stage
would not consider any evidence or enter into a disputed question
of fact of law. In the event, the jurisdiction of the court is found to
be barred by any law, meaning thereby, the subject matter thereof,
the application for registration of plaint should be entertained.”
G 12) In case of Salim Bhai and Ors. Vs. State of Maharashtra
and Ors.6, it was made clear that for the purpose of deciding an application
under clauses (a) and (d) of Rule 11 of Order VII, CPC, the averments
in the plaint are germane; the plea taken by the defendant in the written

6
H (2003) 1 SCC 557
SARANPAL KAUR ANAND v. PRADUMAN SINGH 139
CHANDHOK AND OTHERS [BELA M. TRIVEDI, J.]

statement would be wholly irrelevant. Similar view has been taken by A
this Court in case of Soumitra Kumar Sen Vs. Shyamal Kumar Sen
and Ors.7, in para 9 thereof, it was observed as under:-
“9. In the first instance, it can be seen that insofar as relief of
permanent and mandatory injunction is concerned that is based
on a different cause of action. At the same time that kind of relief B
can be considered by the trial court only if the plaintiff is able to
establish his locus standi to bring such a suit. If the averments
made by the appellant in their written statement are correct, such
a suit may not be maintainable in as much as, as per the appellant
it has already been decided in the previous two suits that respondent
no. 1/plaintiff retired from the partnership firm much earlier, after C
taking his share and it is the appellant (or appellant and respondent
no. 2) who are entitled to manage the affairs of M/s. Sen Industries.
However, at this stage, as rightly pointed out by the High Court,
the defense in the written statement cannot be gone into. One has
to only look into the plaint for the purpose of deciding application D
under Order VII Rule 11, CPC. It is possible that in a cleverly
drafted plaint, the plaintiff has not given the details about Suit No.
268 of 2008 which has been decided against him. He has totally
omitted to mention about Suit No. 103 of 1995, the judgment
wherein has attained finality. In that sense, the plaintiff/respondent
no. 1 may be guilty of suppression and concealment, if the E
averments made by the appellant are ultimately found to be correct.
However, as per the established principles of law, such a defence
projected in the written statement cannot be looked into while
deciding application under Order VII Rule 11, CPC.”
13) In one more recent judgment in case of Shakti Bhog Food F
Industries Ltd. Vs. Central bank of India and Another8, it was also
observed as under:-
“18. It is clear that in order to consider Order VII Rule 11, the
court has to look into the averments in the plaint and the same can
be exercised by the trial court at any stage of the suit. It is also G
clear that the averments in written statement are immaterial and
it is the duty of the Court to scrutinize the averments/pleas in the

7
(2018) 5 SCC 644
8
2020 SCC Online SC 482 H
140 SUPREME COURT REPORTS [2022] 19 S.C.R.

A plaint. In other words, what needs to be looked into in deciding
such an application are the averments in the plaint. At that stage,
the pleas taken by the defendant in the written statement are
wholly irrelevant and the matter is to be decided only on the plaint
averment. These principles have been reiterated in Raptakos Brett
& Co. Ltd. V. Ganesh Property, (1998) 7 SCC 184 and Mayar
B
(H.K.) Ltd. V. Vessel M.V. Fortune Express, (2006) 3 SCC 100.”
14) In the latest decision in case of Srihari Hanumandas Totala
Vs. Hemant Vithal Kamat9, also it has been categorically stated that
whether the suit is barred by any law or not must be determined from
the statements made in the plaint and it is not open to decide the issue on
C the basis of any other material including the written statement filed in
the case.
15) From the afore-stated legal position, it is absolutely clear that
for invoking Order VII Rule 11 (d), and for the purpose of rejecting the
plaint on the ground that the suit is barred by any law, only the averments
D made in the plaint have to be referred to and that the defence taken by
the defendant in the written statement being wholly irrelevant, must not
be considered.
16) As regards framing of preliminary issue under Order XIV
Rule 2(2) also, the legal position is well settled. Sub Rule 2 of Rule 2 of
E Order XIV specifies that where issues both of law and of fact arises in
the same suit and the court is of the opinion that the case or any part
thereof may be disposed of on an issue of law only, it may try that issue
first if the issue relates to – (a) the jurisdiction of the court, or (b) a bar
to the suit created by any law for the time being in force.
F 17) In Satti Paradesi Samadhi & Philliar Temple Vs. M.
Sakuntala10, it has been observed as under:-
“15. In the case at hand, we find that unless there is determination
of the fact which would not protect the plaintiff under Section 10
of the Limitation Act the suit cannot be dismissed on the ground
G of limitation. It is not a case which will come within the ambit and
sweep of Order 14 Rule 2 which would enable the court to frame
a preliminary issue to adjudicate thereof. The learned Single Judge,

9
(2021) 9 SCC 99
10
H (2015) 5 SCC 574
SARANPAL KAUR ANAND v. PRADUMAN SINGH 141
CHANDHOK AND OTHERS [BELA M. TRIVEDI, J.]

as it appears, has remained totally oblivious of the said facet and A
adjudicated the issue as if it falls under Order 14 Rule 2. We
repeat that on the scheme of Section 10 of the Limitation Act we
find certain facts are to be established to throw the lis from the
sphere of the said provision so that it would come within the concept
of limitation. The Division Bench has fallen into some error without
B
appreciating the facts in proper perspective. That apart, the
Division Bench, by taking recourse to Articles 92 to 96 without
appreciating the factum that it uses the words “transferred by the
trustee for a valuable consideration” in that event the limitation
would be twelve years but in the instant case the asseveration of
the plaintiff is that the trustee had created three settlement deeds C
in favour of his two daughters and a granddaughter. The issue of
consideration has not yet emerged. This settlement made by the
father was whether for consideration or not has to be gone into
and similarly whether the property belongs to the Trust as Trust is
understood within the meaning of Section 10 of the Limitation Act
D
has also to be gone into. Ergo, there can be no shadow of doubt
that Issue 1 that was framed by the learned Single Judge was an
issue that pertained to the fact and law and hence, could not have
been adjudicated as a preliminary issue. Therefore, the impugned
order [Satti Paradesi Samadhi v. M. Sankuntala, (2012) 2 LW
865 (Mad)] is wholly unsustainable.” E
18) In Ramesh B. Desai Vs. Bipin Vadilal Mehta11, it has been
held as under:-
“13. Sub-rule (2) of Order 14 Rule 2 CPC lays down that where
issues both of law and of fact arise in the same suit, and the court
is of the opinion that the case or any part thereof may be disposed F
of on an issue of law only, it may try that issue first if that issue
relates to (a) the jurisdiction of the court, or (b) a bar to the suit
created by any law for the time being in force. The provisions of
this Rule came up for consideration before this Court in Major
S.S. Khanna v. Brig. F.J. Dillon [(1964) 4 SCR 409 : AIR 1964 G
SC 497] and it was held as under: (SCR p. 421)”
“Under Order 14 Rule 2, Code of Civil Procedure where issues
both of law and of fact arise in the same suit, and the court is of

11
(2006) 5 SCC 638 H
142 SUPREME COURT REPORTS [2022] 19 S.C.R.

A opinion that the case or any part thereof may be disposed of on
the issues of law only, it shall try those issues first, and for that
purpose may, if it thinks fit, postpone the settlement of the issues
of fact until after the issues of law have been determined. The
jurisdiction to try issues of law apart from the issues of fact may
be exercised only where in the opinion of the court the whole suit
B
may be disposed of on the issues of law alone, but the Code confers
no jurisdiction upon the court to try a suit on mixed issues of law
and fact as preliminary issues. Normally all the issues in a suit
should be tried by the court; not to do so, especially when the
decision on issues even of law depend upon the decision of issues
C of fact, would result in a lopsided trial of the suit.”
Though there has been a slight amendment in the language of
Order 14 Rule 2 CPC by the amending Act, 1976 but the principle
enunciated in the abovequoted decision still holds good and there
can be no departure from the principle that the Code confers no
D jurisdiction upon the court to try a suit on mixed issues of law and
fact as a preliminary issue and where the decision on issue of law
depends upon decision of fact, it cannot be tried as a preliminary
issue.”
19) The issue of limitation has not been considered to be a pure
E question of law to be decided as a preliminary issue under Order XIV
Rule 2 of CPC, by three Judge Bench of this Court in case of Nusli
Neville Wadia Vs. Ivory Properties12. In the said case, a reference
was made to the three Judge Bench with respect to the interpretation of
the provisions contained in section 9 A of CPC as inserted by the
Maharashtra Amendment Act, 1977 and the court held that the provisions
F contained in section 3 read with sections 4 to 24 of the Limitation Act,
1963 do not provide that the court has no jurisdiction to deal with the
matter. It has been further held that so long as the court has the
jurisdiction to try the suit, it cannot proceed to dismiss it on the ground of
limitation under section 3, and that unless the question is a pure question
G of law, it cannot be decided as a preliminary issue under Order XIV
Rule 2. The Bench further opined that mixed question of law and fact
cannot be decided as a preliminary issue under Order XIV Rule 2. The
court elaborately dealt with the provisions contained in Order XIV Rule
2 (2) in the light of the Limitation Act and observed as under:-

H 12
(2020) 6 SCC 557
SARANPAL KAUR ANAND v. PRADUMAN SINGH 143
CHANDHOK AND OTHERS [BELA M. TRIVEDI, J.]

“51. - - - - As per Order XIV Rule 1, issues arise when a A
material proposition of fact or law is affirmed by the one party
and denied by the other. The issues are framed on the material
proposition, denied by another party. There are issues of facts
and issues of law. In case specific facts are admitted, and if the
question of law arises which is dependent upon the outcome of
B
admitted facts, it is open to the Court to pronounce the judgment
based on admitted facts and the preliminary question of law under
the provisions of Order XIV Rule 2. In Order XIV Rule 2(1), the
Court may decide the case on a preliminary issue. It has to
pronounce the judgment on all issues. Order XIV Rule 2(2) makes
a departure and Court may decide the question of law as to C
jurisdiction of the Court or a bar created to the suit by any law for
the time being in force, such as under the Limitation Act.
52. In a case question of limitation can be decided based on admitted
facts, it can be decided as a preliminary issue under Order XIV
Rule 2(2)(b). Once facts are disputed about limitation, the D
determination of the question of limitation also cannot be made
under Order XIV Rule 2(2) as a preliminary issue or any other
such issue of law which requires examination of the disputed facts.
In case of dispute as to facts, is necessary to be determined to
give a finding on a question of law. Such question cannot be decided
as a preliminary issue. In a case, the question of jurisdiction also E
depends upon the proof of facts which are disputed. It cannot be
decided as a preliminary issue if the facts are disputed and the
question of law is dependent upon the outcome of the investigation
of facts, such question of law cannot be decided as a preliminary
issue, is settled proposition of law either before the amendment of F
CPC and post amendment in the year 1976.
53. The suit/application which is barred by limitation is not a ground
of jurisdiction of the court to entertain a suit. If a plea of adverse
possession has been taken under Article 65 of the Limitation Act,
in case it is successfully proved on facts; the suit has to be
G
dismissed. However, it is not the lack of the jurisdiction of the
Court that suit has to be dismissed on the ground of limitation, but
proof of adverse possession for 12 years then the suit would be
barred by limitation such question as to limitation cannot be decided
as a preliminary issue.
…….. H
144 SUPREME COURT REPORTS [2022] 19 S.C.R.

A 55. Reliance has been placed on the provisions of Section 3 of the
Limitation Act to submit that the Court cannot proceed with the
suit which is barred by limitation although limitation has not been
set up as a defence. No doubt about it that Section 3 of the Act
provides that subject to the provisions contained in Section 4 and
24 of the Limitation Act, every suit instituted, appeal preferred,
B
and the application made after the prescribed period shall be
dismissed, it nowhere provides that Court has no jurisdiction to
deal with the matter. Until and unless Court has the jurisdiction, it
cannot proceed to dismiss it on the ground of limitation under
Section 3.”
C 20) From the afore-stated decisions of this Court, there remains
no shadow of doubt that a plea of limitation cannot be decided as an
abstract principle of law divorced from the facts as in every case the
starting point of limitation has to be ascertained which is entirely a question
of fact. A plea of limitation being mixed question of law and fact cannot
D be decided as a preliminary issue under Order XIV, Rule 2(2).
21) Now, so far as pronouncing a judgement on admission under
Order XII Rule 6 is concerned, again the law is well settled that for an
admission to qualify as a valid admission, it necessarily has to be an
unequivocal, unambiguous and unconditional. Considering the objects
E and reasons for amending Order XII, Rule 6, it has been held in case of
Uttam Singh Dugal & Co. Ltd. Vs. United Bank of India & Ors13.
that:-
“10. As to the object of the Order XII Rule 6, we need not say
anything more than what the legislature itself has said when the
F said provision came to be amended. In the objects and reasons
set out while amending the said rule, it is stated that where a
claim is admitted, the court has jurisdiction to enter a judgment for
the plaintiff and to pass a decree on admitted claim. The object of
the Rule is to enable the party to obtain a speedy judgment at
least to the extent of the relief to which according to the admission
G of the defendant, the plaintiff is entitled. We should not unduly
narrow down the meaning of this Rule as the object is to enable a
party to obtain speedy judgment. Where other party has made a
plain admission entitling the former to succeed, it should apply

13
H 2000 (4) RCR Civil 89
SARANPAL KAUR ANAND v. PRADUMAN SINGH 145
CHANDHOK AND OTHERS [BELA M. TRIVEDI, J.]

and also wherever there is a clear admission of facts in the face A
of which, it is impossible for the party making such admission to
succeed.”
22) In the case of Himani Alloys Ltd. Vs. Tata Steel Ltd.14, it
has been categorically observed that the admission made by the party
should be clear, unambiguous and unconditional and the court should B
exercise its judicial discretion on examination of facts and circumstances
of the case. Para 10 thereof reads as under:-
“10. It is true that a judgment can be given on an “admission”
contained in the minutes of a meeting. But the admission should
be categorical. It should be a conscious and deliberate act of the C
party making it, showing an intention to be bound by it. Order XII
Rule 6 being an enabling provision, it is neither mandatory nor
peremptory but discretionary. The court, on examination of the
facts and circumstances, has to exercise its judicial discretion,
keeping in mind that a judgment on admission is a judgment without
trial which permanently denies any remedy to the defendant, by D
way of an appeal on merits. Therefore, unless the admission is
clear, unambiguous and unconditional, the discretion of the Court
should not be exercised to deny the valuable right of a defendant
to contest the claim. In short, the discretion should be used only
when there is a clear “admission” which can be acted upon. (See E
also Uttam Singh Duggal & Co. Ltd. Vs. united Bank of India [2000
(7) SCC 120], Karam Kapahi Vs. Lal Chand public Charitable
Trust [2010 (4) SCC 753] and Jeevan Diesels and Electricals Ltd.
Vs. Jasbir Singh Chadha [2010 (6) SCC 601].”
23) Though the learned senior Advocate Mr. Patwalia for the F
respondents has placed heavy reliance on the decision in case of Karam
Kapahi & Ors Vs. M/S Lal Chand Public Charitable Trust15 and in
case of Charanjit Lal Mehra & Ors Vs. Smt. Kamal Saroj Mahajan
& Anr16, they are hardly helpful to the respondents. There cannot be
any disagreement to the proposition of law laid down in the said judgments
that the principle behind Order XII, Rule 6 is to give the plaintiff a right G
to speedy judgment. As such, under this Rule, either party may get rid of

14
2011 (3) Civil Court Cases 721
15
(2010) 4 SCC 753
16
(2005) 11 SCC 279 H
146 SUPREME COURT REPORTS [2022] 19 S.C.R.

A so much of the rival claims about which there is no controversy. Even
the admissions made by the parties to the interrogatories and recorded
by the court as contemplated in Order X CPC also could be taken into
consideration, nonetheless Order XII, Rule 6 could be resorted to only
when there is clear and unambiguous admission of facts, and not otherwise.
The said Rule 6 also could not be invoked by the Appellate Court suo
B
moto in the Appeal, when the trial court had not dealt with such issue,
and had rejected the plaint under Order VII, Rule 11(d) CPC.
24) So far as the facts of the present case are concerned, as
stated earlier the Single Bench had rejected the plaint under Order VII
Rule 11(d) after framing a preliminary issue under Order XIV Rule 2(2)
C of CPC. The Single Bench after taking into consideration the written
statement and other documents held that the suit was barred by law of
Limitation and rejected the plaint under Order VII, Rule 11(d) CPC.
Apart from the fact that no preliminary issue could have been framed
under Order XIV, Rule 2(2) with regard to the issue of limitation which
D was a mixed question of law and fact, the Single Bench erroneously
considered the written statement and the documents filed by the defendant
while rejecting the plaint under Order VII Rule 11(d) of CPC. The
Division Bench also fallaciously referred to the contentions raised in the
written statement and referred to the documents namely CM Applications
filed in some eviction proceedings, which were neither referred to in the
E plaint nor annexed to the plaint. The Division Bench further erroneously
relied upon some statements made in the legal notices dated 10.10.2008
and 24.10.2008 construing them as an admission on the part of the plaintiff
for passing judgment under Order XII, Rule 6 against the plaintiff, while
confirming the order passed by the Single Bench rejecting the plaint of
F the plaintiff under Order VII, Rule 11(d) CPC. In the opinion of the
Court there was no clear, unambiguous and unconditional admission made
by the plaintiff in any of the said legal notices which could be termed as
an admission of the claim made by the defendant with regard to the
knowledge of the plaintiff in respect of the execution of the alleged sale
deeds. On the contrary, the plaintiff had pleaded fraud committed against
G her and other defendants who were the legal representatives of Smt.
Harbans Kaur. The Court at this juncture is not inclined to go into the
merits of the issues involved in the suit. Suffice it to say that the Single
Bench and the Division Bench have passed the impugned orders de
hors the specific provisions of CPC and in utter disregard of the position
H of law settled by this Court.
SARANPAL KAUR ANAND v. PRADUMAN SINGH 147
CHANDHOK AND OTHERS [BELA M. TRIVEDI, J.]

25. Even if, the Single Bench had found that the suit was filed A
misusing the process of law or that an illusion was created with regard
to the cause of action by clever drafting, in that case also Order VII
Rule 11 could not have been resorted to. As held by Supreme Court in a
well-known case of T. Arivandandam Vs. T.V. Satyapal & Anr.17, the
powers under Order VII Rule 11 of CPC have to be exercised taking
B
care to see that the ground mentioned therein is fulfilled. It is further
held therein that if clever drafting has created an illusion of a cause of
action, the Court should nip it in the bud at the first hearing by examining
the party searchingly under Order X, CPC.
26) It is also a trite law that the inherent jurisdiction under Section
151 CPC cannot be exercised to nullify the provisions of the CPC. The C
inherent powers of the court are in addition to the powers specifically
conferred on the court by the Code, and cannot be exercised in a manner
which will be contrary or different from the procedure expressly provided
in the Code. The scope of Section 151 was considered by this Court as
back as in 1964 in case of Arjun Singh Vs. Mohindra Kumar & Ors18, D
in which it was aptly held as under:-
“It is common ground that the inherent power of the Court cannot
override the express provisions of the law. In other words, if there
are specific provisions of the Code dealing with a Particular topic
and they expressly or by necessary implication exhaust the scope E
of the powers of the Court or the jurisdiction that may be exercised
in relation to a matter the inherent power of the Court cannot be
invoked in order to cut across the powers conferred by the Code.”
27. In that view of the matter, the scope, ambit and parameters
for deciding an application for rejection of the plaint under Order VII F
Rule 11(d), for deciding the preliminary issue on pure question of law
under Order XIV Rule 2(2) and for pronouncing a judgment on admission
under Order XII Rule 6 being absolutely different and independent of
each other, Single Bench and Division Bench were required to strictly
adhere to the procedures laid down in the said provisions, and could not
have exercised inherent powers or suo moto powers dehors the specific G
provisions contained in the Code. The impugned orders passed by the
High Court being in utter disregard of the said provisions and of the

17
(1977) 4 SCC 467
18
AIR 1964 SC 993 H
148 SUPREME COURT REPORTS [2022] 19 S.C.R.

A settled legal position, deserve to be quashed and set aside and are
accordingly set aside. The suit is restored on the file of the Single Bench.
The Single Bench is directed to proceed with the suit in accordance with
law. It is made clear that the Court has not expressed any opinion either
on the issue of limitation or on the merits of the suit.
B 28. The appeal stands allowed.

ORDER
In view of the difference of expressed by two separate judgments,
C the Registry is directed to place the matter before Hon’ble the Chief
Justice of India for appropriate orders/directions.

Nidhi Jain Matter to be placed before Hon’ble CJI
(Assisted by : Ajay, LCRA) for orders/directions.

D

E

F

G

H