SMT. LAVANYA C & ANR.versusVITTAL GURUDAS PAI SINCE DESEASED BY LRS. & ORS.
- Citation
- 2025 INSC 325
- Decided
- 4 March 2025
- Disposal
- Case Partly allowed
- Bench
- PANKAJ MITHAL
Holding
The Supreme Court held that the undertaking was valid, the appellants wilfully disobeyed the court order, and the High Court's contempt finding was correct, albeit with a modified sentence.
Summary
The appellants, originally defendants in a suit concerning a Joint Development Agreement, gave an undertaking through their counsel in 2007 not to alienate the subject property, which the trial court later incorporated into a court order. In 2011 the plaintiffs filed an application under Order XXXIX Rule 2A alleging breach of that undertaking; the trial court dismissed the application, but the High Court set aside that dismissal and held the appellants guilty of contempt for wilfully disobeying the order. The Supreme Court examined whether the undertaking was valid without the client’s express authority, the maintainability of the contempt application, and the propriety of the contempt jurisdiction and sentence. It concluded that the undertaking was valid, the appellants had indeed violated the court order, and the High Court’s finding was correct, though it modified the punitive imprisonment and increased the compensation. Consequently, the appeal was partly allowed, confirming the contempt finding while adjusting the penalty.
Issues considered
- Whether the High Court was correct in setting aside the trial court's order that held the appellants not guilty of wilful disobedience of their undertaking.
- Whether an undertaking given by counsel without explicit client authority is binding on the client.
- Whether an application under Order XXXIX Rule 2A is maintainable after the substantive suit is decreed.
- Whether contempt jurisdiction is appropriate for breach of an interim injunction/order.
- Whether the sentence of imprisonment and the quantum of compensation imposed were justified.
Legislation cited
- Code of Civil Procedure, 1908s. Order 21 Rule 32, s. Order XXXIX Rule 2A, s. Section 151
- Contempt of Courts Act, 1971
Subjects
Judgment
[2025] 3 S.C.R. 450 : 2025 INSC 325
Smt. Lavanya C & Anr.
v.
Vittal Gurudas Pai Since Deseased By LRs. & Ors.
(Civil Appeal No. 13999 of 2024)
05 March 2025
[Pankaj Mithal and Sanjay Karol,* JJ.]
Issue for Consideration
Whether the High Court was correct in setting aside the order of the
Trial Court holding the appellants not guilty of wilful disobedience
of their undertaking given to the Court.
Headnotes†
Contempt of Court – When – Appellants gave undertaking
before the Trial Court to not alienate the property which
was the subject matter of the suit – Respondents filed
application alleging violation thereof – Trial Court held that
the Appellants were not guilty of wilful disobedience of
the undertaking given by them – Order set aside by High
Court – Correctness:
Held: Plea of the appellants that the undertaking to not alienate
the subject matter property was given by the lawyer without
requisite authority, not accepted – The undertaking in question
was given in July 2007 and reiterated in August 2007 –Trial Court
made such an undertaking into an order of the Court in November
2007, which was extended at regular intervals – The application
for violation of the undertaking/order of the Court under Order
XXXIX Rule 2A was made in 2011 i.e., after a period of four and a
half years – Had the undertaking been without requisite authority,
the appellants were well within their rights to seek discharge of
that order, however, no such step was taken – Alienation of the
subject matter property was despite express orders of the Court
and thus, in violation thereof – High Court rightly punished the
appellants for contempt of Court – However, order modified, as
directed – Code of Civil Procedure, 1908 – Or. XXXIX R. 2A.
[Paras 6, 11, 12, 14]
* Author
[2025] 3 S.C.R. 451
Smt. Lavanya C & Anr. v.
Vittal Gurudas Pai Since Deseased By LRs. & Ors.
Legal Profession – Relationship between Advocate and
client – Nature:
Held: A lawyer-client relationship is fiduciary in nature and the
former is cast in terms of agency of the latter – The lawyer must
respect the decision-making right of the client – Any undertaking
given to a Court cannot be without requisite authority from the
client. [Para 9]
Case Law Cited
Samee Khan v. Bindu Khan [1998] Supp. 1 SCR 244 : (1998)
7 SCC 59; Wander Limited & Anr. v. Antox India Pvt. Ltd. (1990)
Supp. 1 SCC 727; Ramakant Ambalal Choksi v. Harish Ambalal
Choksi, 2024 SCC OnLine 3538; Dalpat Kumar v. Prahlad Singh
[1991] Supp. 3 SCR 472 : (1992) 1 SCC 719; Kanwar Singh
Saini v. High Court of Delhi [2011] 15 SCR 972 : (2012) 4 SCC
307; Kokkanda B. Poondacha v. K.D. Ganapathi [2011] 4 SCR
417 : (2011) 12 SCC 600; State of U.P. v. U.P. State Law Officers'
Assn. [1994] 1 SCR 348 : (1994) 2 SCC 204; Himalayan Coop.
Group Housing Society v. Balwan Singh [2015] 4 SCR 616 :
(2015) 7 SCC 373; Bar of Indian Lawyers v. National Institute
of Communicable Diseases (2024) 8 SCC 430; Supreme Court
Bar Assn. v. Union of India [1998] 2 SCR 795 : (1998) 4 SCC
409 – referred to.
List of Acts
Contempt of Courts Act, 1971; Code of Civil Procedure, 1908.
List of Keywords
Contempt of Court; Express violation of order of Court; Disobedience
of Undertaking; Or. XXXIX R. 2A of Civil Procedure Code, 1908;
Civil contempt; Fiduciary relationship between Advocate and client;
Undertaking without requisite authority from client; Alienation of
subject matter property; Disobedience of an order of temporary
injunction.
Case Arising From
CIVIL APPELLATE JURISDICTION: Civil Appeal No. 13999 of 2024
From the Judgment and Order dated 23.02.2021 of the High Court
of Karnataka at Bengaluru in MFA No. 7055 of 2013
452 [2025] 3 S.C.R.
Digital Supreme Court Reports
Appearances for Parties
Advs. for the Appellants:
Radhakrishna S Hegde, Rajeev Singh.
Advs. for the Respondents:
Vikram Hegde, Abhinav Hansaraman.
Judgment / Order of the Supreme Court
Judgment
Sanjay Karol J.
1. This appeal arises out of judgment and order dated 23rd February
2021/16 th March, 2021 passed in Miscellaneous First Appeal
No.7055/2013(CPC) by the High Court of Karnataka at Bengaluru,
whereby the respondents before the High Court, appellants herein
(defendants in Trial Court), were held guilty of disobedience of their
undertaking before the Trial Court of not alienating the property,
subject matter of the suit.
The original defendants in the Trial Court through their counsel
gave an undertaking which was allegedly disobeyed. The plaintiffs
aggrieved thereby filed the case, which was dismissed, and they
appealed to the High Court, ultimately resulting in a favourable order.
The original defendants now aggrieved by being held in contempt,
are appellants herein.
2. A brief resume of facts leading to the appeal are :
2.1 The respondents herein were the original plaintiffs in Original
Suit No.4191 of 2007 seeking a declaration to the effect that
agreement between the parties dated 30th April 2004, i.e.,
‘Joint Development Agreement’1 to be “revoked rescinded and
terminated.” The JDA was entered into regarding the construction
of residential apartments within a period of 24 months, on a
turnkey basis.
2.2 Said construction was to be completed by 31st October 2006.
However, the same could not be done. Legal notice intimating
1 ‘JDA’, for short
[2025] 3 S.C.R. 453
Smt. Lavanya C & Anr. v.
Vittal Gurudas Pai Since Deseased By LRs. & Ors.
the cancellation of the JDA was issued on 23rd March 2007,
and eventually, the subject Original Suit came to be filed.
2.3 The learned Trial Court eventually concluded vide judgment
and order dated 2nd January 2017 that the plaintiffs could not
prove that the construction made was in violation of the JDA and
instead, the defendants proved that the construction made by
them was in accordance thereof. It was held that the plaintiffs
were not entitled to the declaration and permanent injunction,
as prayed for.
2.4 In the pendency of the above proceedings, record reveals that
the counsel for the defendants undertook, on two occasions, i.e.,
11th July 2007 and 13th August 2007 that they will not alienate
the subject property to any third person. Allegedly, however,
such undertaking was not abided by, which led to the filing of
Interlocutory Application No.3 that came to be registered as
Civil Misc. Application No.38 of 2011 under Order XXXIX Rule
2A of the Civil Procedure Code, 19082.
2.5 The concerned Court framed the following issues :
"1) Whether the petitioners have made out a case of
breach or willful disobedience by the respondents of
order passed by this court in pursuance of undertaking
given by the defendant and order of injunction dated
17.11.2007 beyond all reasonable doubts?
2) What order?”
2.6 The Court considered the jurisdiction which has been agitated,
observing that the said power is punitive in nature and akin to
imposing punishment for civil contempt under the Contempt of
Courts Act, 1971. It was concluded as under :
“38. It is significant to note that advocate for petitioners
have produced 10 photos of suit property, which
depict that suit property is still vacant and foundation
is lying. But, here in this case, the petitioners have
contended that the flats were sold by the respondents
2 Hereafter ‘CPC’
454 [2025] 3 S.C.R.
Digital Supreme Court Reports
inspite of Court Order. Moreover,, the description
of the suit property is incomplete and ambiguous.
Therefore, the averment/contention of the petitioners
is not believable.
39. In view of aforesaid reasons and observations made,
I can safely conclude that the petitioners are failed to
prove their case beyond all reasonable doubt that the
respondents are knowingly and willfully disobeyed the
injunction order of this Court. : There is no sufficient and
satisfactory materials on record to come to conclusion that
the respondents have knowingly and willfully disobeyed
and committed the breach of order of this Court. Hence,
respondents are entitled for benefit of doubt. Therefore, I
answer aforesaid point No.1 in Negative.
40. Point No.2 : For the foregoing reasons and in view of
my findings and discussions, I proceed to pas the following :
ORDER
In the result, therefore this Civil Misc. petition
(I.A. No.3) filed by the petitioners U/o XXXIX
Rule 2A and U/s.151 of CPC against the
respondents is liable to be rejected. Accordingly,
it is dismissed.
Parties shall bear their own costs.”
2.7 Aggrieved by this order, the High Court was approached by way
of Misc. First Appeal No.7055 of 2013 (CPC) under Order XLIII
Rule 1(r) read with 104(i) of CPC. The question to be considered
was whether the lower Court’s order is sustainable in law.
Impugned Judgment
3. A question of maintainability of the application under Order XXXIX
Rule 2A was raised. With reference to Samee Khan v. Bindu Khan,3 it
was held that even if the injunction order was subsequently set aside,
the disobedience thereof is not erased. The subsequent dismissal of
a suit does not absolve the party of liability of breach of injunction
3 (1998) 7 SCC 59
[2025] 3 S.C.R. 455
Smt. Lavanya C & Anr. v.
Vittal Gurudas Pai Since Deseased By LRs. & Ors.
order. That apart, it was observed that an appeal against the Trial
Court’s dismissal of the Original Suit was also pending before the
High Court bearing R.F.A.No.592/2017.
3.1 The substance of the dispute is that on 11th July 2007, the
counsel for the appellants herein filed memo as follows :
“The undersigned counsel undertake that the defendants
have not alienate the suit schedule property to any third
person”
3.2 Subsequently, on two dates 13th August and 17th November,
2007 the proceedings of the Trial Court have been taken note
of by the Trial Court in paras 26 to 28, which read as follows :
“26. Then the matter was adjourned to 13.08.2007. On
13.08.2007, the advocate for the defendants filed another
memo which reads as follows :
“The undersigned counsel undertake that they
have not alienate the suit schedule property in
the above case.”
27. Then the trial Court ordered to list the matter on
17.11.2007. On 17.11.2007, the defendants’ Counsel
failed to appear before the Court. The plaintiffs’ Counsel
submitted to the Court about the undertaking given by the
defendants’ Counsel. Under such circumstances, the trial
Court passed the following order:
“Parties to the suit called out. Absent. Learned
Counsel for the plaintiff is present. Learned
Counsel for the defendant is absent. On
the last date the learned Counsel for
the defendants had undertaken that the
defendants will not alienate suit property.
Today neither defendants nor learned Counsel
for the defendants are present. I.A. I & II
cannot be heard as the defendants and learned
Counsel for defendant Nos.1 to 3 are absent.
Hence, it is hereby ordered that defendants
1 to 3 shall not alienate the suit property
till next date. For hearing of IA I & II and to
456 [2025] 3 S.C.R.
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call the parties under Section 89 of CPC. Call
on 08.12.2007.”
28. That order was extended from time to time. Subsequent
to 17.11.2007, the defendants executed the sale deeds
under Exs.P3 to P5, Ex.P7 to P13, the dates of which
are as follows :
Ex.P3–19.11.2007 Ex.P4-03.12.2008
Ex.P5–01.07.2008 Ex.P7-15.06.2009
Ex.P8–06.08.2008 Ex.P9-13.12.2011
Ex.P10–19.11.2007Ex.P11-01.07.2008
Ex.P12-03.12.2008 Ex.P13-15.06.2009 ”
3.3 The Court citing various judicial pronouncements observed
that there was no merit in the contention that injunction order
is invalid. The order of the lower Court was set aside, and
the appellants herein were held guilty of disobedience of their
undertaking made before the Trial Court.
3.4 Vide order dated 16th March 2021 the appellants were held guilty
of contempt of Court. Contemnor No.3, namely, Chalsani R.B.
who is the second appellant herein, was directed to be detained
in a civil prison for a period of three months and his property,
subject matter of suit, to be attached for a period of one year.
Contemnor No.2, namely, Smt. Lavanya C., the first appellant
herein, qua her it was directed that the subject matter property
be attached for a period of one year. It was further directed
that both the contemnors shall pay a sum of Rs.10 lakhs within
four weeks, as compensation for the hardship caused to the
respondents herein. The part of the order directing attachment
was stayed for a period of 60 days.
Our Consideration
4. It is this order of the High Court which is sought to be challenged in
this appeal. By way of the special leave petition, it has been urged,
inter alia :
a) In the prayers made in the application under Order XXXIX Rule
1 and 2, no specific prayer, restraining the parties from creating
third party rights, has been made. The Trial Court has observed
that the description of property is ambiguous, incomplete and
that no satisfactory material has been brought on record to
[2025] 3 S.C.R. 457
Smt. Lavanya C & Anr. v.
Vittal Gurudas Pai Since Deseased By LRs. & Ors.
show wilful disobedience on the part of the appellants, hence,
they are entitled to the benefit of doubt.
b) There has been deliberate suppression of facts on the part of
the respondents herein regarding construction of apartments and
selling off a part thereof, even prior to filing of the original Suit.
c) An unconditional apology has been tendered before the Court
and the appellants herein have no intent or desire to disrespect
any order passed by a competent Court.
d) The sentence imposed, in the attending facts and circumstances,
is unjustified given that the second appellant is a person of
advanced years and suffers from various ailments.
5. We have heard learned counsel for the parties and perused the
record. The question to be considered is whether the High Court
was correct in setting aside the order of the Court below, holding the
appellants herein not guilty of wilful disobedience of their undertaking
given to the Court.
6. A few dates require immediate recall. The undertaking subject
matter of controversy was given by the counsel on 11th July 2007
and reiterated on 13th August 2007. The Trial Court made such an
undertaking into an order of the Court on 17th November 2007. The
same was extended at regular intervals. The application for violation
of the undertaking/order of the Court under Order XXXIX Rule 2A was
made in 2011. An order was made dismissing the application on 2nd
August 2013. Immediately thereafter, an appeal was filed before the
High Court. In the pendency of this appeal, the Original Suit came to
be decided on 2nd January 2017. An appeal against such dismissal
of the Original Suit was pending before the High Court on the date
that the impugned judgment came to be passed.
7. Although of primary concern, in this appeal is the sentence of
imprisonment and compensation to be paid by the appellants herein,
it would be apposite to take note of the contours of Order XXXIX
Rule 1, Rule 2 and Rule 2A.
7.1 A Three-Judge Bench in Wander Limited & Anr. v. Antox
India Pvt. Ltd.4 observed as follows :
4 (1990) Supp. 1 SCC 727
458 [2025] 3 S.C.R.
Digital Supreme Court Reports
“9. .....
“...is to protect the plaintiff against injury by
violation of his rights for which he could not
adequately be compensated in damages
recoverable in the action if the uncertainty were
resolved in his favour at the trial. The need for
such protection must be weighed against the
corresponding need of the defendant to be
protected against injury resulting from his having
been prevented from exercising his own legal
rights for which he could not be adequately
compensated. The court must weigh one need
against another and determine where the
‘balance of convenience’ lies.”
x x x x
14. The appeals before the Division Bench were against
the exercise of discretion by the Single Judge. In such
appeals, the appellate court will not interfere with the
exercise of discretion of the court of first instance and
substitute its own discretion except where the discretion
has been shown to have been exercised arbitrarily, or
capriciously or perversely or where the court had ignored
the settled principles of law regulating grant or refusal of
interlocutory injunctions. An appeal against exercise of
discretion is said to be an appeal on principle. Appellate
court will not reassess the material and seek to reach a
conclusion different from the one reached by the court
below if the one reached by that court was reasonably
possible on the material. The appellate court would
normally not be justified in interfering with the exercise
of discretion under appeal solely on the ground that if it
had considered the matter at the trial stage it would have
come to a contrary conclusion. If the discretion has been
exercised by the trial court reasonably and in a judicial
manner the fact that the appellate court would have taken
a different view may not justify interference with the trial
court’s exercise of discretion. After referring to these
principles Gajendragadkar, J. in Printers (Mysore) Private
[2025] 3 S.C.R. 459
Smt. Lavanya C & Anr. v.
Vittal Gurudas Pai Since Deseased By LRs. & Ors.
Ltd. v. Pothan Joseph [(1960) 3 SCR 713 : AIR 1960 SC
1156] : (SCR 721)
“... These principles are well established, but
as has been observed by Viscount Simon in
Charles Osenton & Co. v. Jhanaton [1942 AC
130] ‘...the law as to the reversal by a court of
appeal of an order made by a judge below in
the exercise of his discretion is well established,
and any difficulty that arises is due only to
the application of well settled principles in an
individual case’.”
The appellate judgment does not seem to defer to this
principle.”
(Emphasis supplied)
7.2 A recent judgment of this Court in Ramakant Ambalal Choksi
v. Harish Ambalal Choksi,5 referring to Dalpat Kumar v.
Prahlad Singh 6 has reiterated the principles governing the
grant of temporary injunction.
7.3 The aspect of disobedience of an order of temporary injunction
has been discussed in detail in Kanwar Singh Saini v. High
Court of Delhi,7 in the following terms :
“17. Application under Order 39 Rule 2-A CPC lies only
where disobedience/breach of an injunction granted or
order complained of was one that is granted by the court
under Order 39 Rules 1 and 2 CPC, which is naturally to
enure during the pendency of the suit. However, once a
suit is decreed, the interim order, if any, merges into the
final order. No litigant can derive any benefit from mere
pendency of case in a court of law, as the interim order
always merges in the final order to be passed in the case
and if the case is ultimately dismissed, the interim order
stands nullified automatically. (Vide A.R. Sircar v. State
5 2024 SCC OnLine 3538
6 (1992) 1 SCC 719
7 (2012) 4 SCC 307
460 [2025] 3 S.C.R.
Digital Supreme Court Reports
of U.P. [1993 Supp (2) SCC 734 : 1993 SCC (L&S) 896 :
(1993) 24 ATC 832], Shiv Shanker v. U.P. SRTC [1995
Supp (2) SCC 726 : 1995 SCC (L&S) 1018 : (1995) 30
ATC 317], Arya Nagar Inter College v. Sree Kumar Tiwary
[(1997) 4 SCC 388 : 1997 SCC (L&S) 967 : AIR 1997 SC
3071], GTC Industries Ltd. v. Union of India [(1998) 3 SCC
376 : AIR 1998 SC 1566] and Jaipur Municipal Corpn. v.
C.L. Mishra [(2005) 8 SCC 423].)
18. In case there is a grievance of non-compliance
with the terms of the decree passed in the civil suit, the
remedy available to the aggrieved person is to approach
the execution court under Order 21 Rule 32 CPC which
provides for elaborate proceedings in which the parties
can adduce their evidence and can examine and cross-
examine the witnesses as opposed to the proceedings in
contempt which are summary in nature. Application under
Order 39 Rule 2-A CPC is not maintainable once the suit
stood decreed. Law does not permit to skip the remedies
available under Order 21 Rule 32 CPC and resort to the
contempt proceedings for the reason that the court has
to exercise its discretion under the 1971 Act when an
effective and alternative remedy is not available to the
person concerned. Thus, when the matter relates to the
infringement of a decree or decretal order embodies rights,
as between the parties, it is not expedient to invoke and
exercise contempt jurisdiction, in essence, as a mode of
executing the decree or merely because other remedies
may take time or are more circumlocutory in character.
Thus, the violation of permanent injunction can be set
right in executing the proceedings and not the contempt
proceedings. There is a complete fallacy in the argument
that the provisions of Order 39 Rule 2-A CPC would also
include the case of violation or breach of permanent
injunction granted at the time of passing of the decree.”
7.4 In Samee Khan (supra), it was observed that :
“12. But the position under Rule 2-A of Order 39 is
different. Even if the injunction order was subsequently
set aside, the disobedience does not get erased. It may
be a different matter that the rigour of such disobedience
[2025] 3 S.C.R. 461
Smt. Lavanya C & Anr. v.
Vittal Gurudas Pai Since Deseased By LRs. & Ors.
may be toned down if the order is subsequently set aside.
For what purpose is the property to be attached in the
case of disobedience of the order of injunction? Sub-rule
(2) provides that if the disobedience or breach continues
beyond one year from the date of attachment, the court
is empowered to sell the property under attachment and
compensate the affected party from such sale proceeds.”
8. There is no question as to the maintainability of the application before
this Court. It is also true that the order, in the challenge against which
the impugned judgment was passed, was made in the pendency of
the original suit and, therefore, it is saved from that bar as well. No
error, therefore, can be found on the exercise of such jurisdiction.
9. The next point which needs consideration is the relationship
between an advocate and his client. The appellants have cast
certain aspersions on their counsel to the effect that he, allegedly,
gave the undertaking, germane to the instant controversy, without
express authorization. This Court has, time and again, taken note
of the fiduciary relationship between an advocate and his client. We
may notice a few decisions as follows:
9.1 In Kokkanda B. Poondacha v. K.D. Ganapathi,8 it was held :
“12. At this stage, we may also advert to the nature of
relationship between a lawyer and his client, which is
solely founded on trust and confidence. A lawyer cannot
pass on the confidential information to anyone else. This
is so because he is a fiduciary of his client, who reposes
trust and confidence in the lawyer. Therefore, he has a
duty to fulfil all his obligations towards his client with care
and act in good faith. Since the client entrusts the whole
obligation of handling legal proceedings to an advocate,
he has to act according to the principles of uberrima fides
i.e. the utmost good faith, integrity, fairness and loyalty.
x x x
14. An analysis of the above reproduced Rules shows
that one of the most important duties imposed upon an
advocate is to uphold the interest of the client fearlessly
8 (2011) 12 SCC 600
462 [2025] 3 S.C.R.
Digital Supreme Court Reports
by all fair and honourable means. An advocate cannot
ordinarily withdraw from engagement without sufficient
cause and without giving reasonable and sufficient notice
to the client. If he has reason to believe that he will be
a witness in the case, the advocate should not accept a
brief or appear in the case.”
9.2 The nature of the profession was highlighted by a Bench of
this Court in State of U.P. v. U.P. State Law Officers’ Assn.,9
in the following terms :
“14. Legal profession is essentially a service-oriented
profession. The ancestor of today’s lawyer was no more
than a spokesman who rendered his services to the needy
members of the society by articulating their case before
the authorities that be. The services were rendered without
regard to the remuneration received or to be received.
With the growth of litigation, lawyering became a full-time
occupation and most of the lawyers came to depend
upon it as the sole source of livelihood. The nature of
the service rendered by the lawyers was private till the
Government and the public bodies started engaging them
to conduct cases on their behalf. The Government and the
public bodies engaged the services of the lawyers purely
on a contractual basis either for a specified case or for a
specified or an unspecified period. Although the contract in
some cases prohibited the lawyers from accepting private
briefs, the nature of the contract did not alter from one of
professional engagement to that of employment. The lawyer
of the Government or a public body was not its employee
but was a professional practitioner engaged to do the
specified work. This is so even today, though the lawyers
on the full-time rolls of the Government and the public
bodies are described as their law officers. It is precisely
for this reason that in the case of such law officers, the
saving clause of Rule 49 of the Bar Council of India Rules
waives the prohibition imposed by the said rule against the
acceptance by a lawyer of a full-time employment.
9 1994 (2) SCC 204
[2025] 3 S.C.R. 463
Smt. Lavanya C & Anr. v.
Vittal Gurudas Pai Since Deseased By LRs. & Ors.
15. The relationship between the lawyer and his client is
one of trust and confidence. The client engages a lawyer
for personal reasons and is at liberty to leave him also, for
the same reasons. He is under no obligation to give reasons
for withdrawing his brief from his lawyer. The lawyer in turn
is not an agent of his client but his dignified, responsible
spokesman. He is not bound to tell the court every fact or
urge every proposition of law which his client wants him
to do, however irrelevant it may be. He is essentially an
adviser to his client and is rightly called a counsel in some
jurisdictions. Once acquainted with the facts of the case, it
is the lawyer’s discretion to choose the facts and the points
of law which he would advance. Being a responsible officer
of the court and an important adjunct of the administration
of justice, the lawyer also owes a duty to the court as well
as to the opposite side. He has to be fair to ensure that
justice is done. He demeans himself if he acts merely as
a mouthpiece of his client. This relationship between the
lawyer and the private client is equally valid between him
and the public bodies.”
9.3 Observations made in Himalayan Coop. Group Housing
Society v. Balwan Singh,10 by a Bench of three Judges are
also instructive for our purposes presently :
“22. Apart from the above, in our view lawyers are
perceived to be their client’s agents. The law of agency
may not strictly apply to the client-lawyer’s relationship
as lawyers or agents, lawyers have certain authority and
certain duties. Because lawyers are also fiduciaries, their
duties will sometimes be more demanding than those
imposed on other agents. The authority-agency status
affords the lawyers to act for the client on the subject-
matter of the retainer. One of the most basic principles
of the lawyer-client relationship is that lawyers owe
fiduciary duties to their clients. As part of those duties,
lawyers assume all the traditional duties that agents
owe to their principals and, thus, have to respect the
10 (2015) 7 SCC 373
464 [2025] 3 S.C.R.
Digital Supreme Court Reports
client’s autonomy to make decisions at a minimum, as to
the objectives of the representation. Thus, according to
generally accepted notions of professional responsibility,
lawyers should follow the client’s instructions rather than
substitute their judgment for that of the client. The law
is now well settled that a lawyer must be specifically
authorised to settle and compromise a claim, that merely
on the basis of his employment he has no implied or
ostensible authority to bind his client to a compromise/
settlement. To put it alternatively that a lawyer by virtue
of retention, has the authority to choose the means for
achieving the client’s legal goal, while the client has the
right to decide on what the goal will be. If the decision
in question falls within those that clearly belong to the
client, the lawyer’s conduct in failing to consult the client
or in making the decision for the client, is more likely to
constitute ineffective assistance of counsel.
x x x
30. The Privy Council in Sourendra Nath Mitra v. Tarubala
Dasi [(1929-30) 57 IA 133 : (1930) 31 LW 803 : AIR 1930
PC 158] , has made the following two observations which
hold relevance to the present discussion : (IA pp. 140-41)
“Two observations may be added. First, the
implied authority of counsel is not an appendage
of office, a dignity added by the courts to the
status of barrister or advocate at law. It is
implied in the interests of the client, to give the
fullest beneficial effect to his employment of
the advocate. Secondly, the implied authority
can always be countermanded by the express
directions of the client. No advocate has actual
authority to settle a case against the express
instructions of his client. If he considers such
express instructions contrary to the interests
of his client, his remedy is to return his brief.”
(See: Jamilabai Abdul Kadar v. Shankarlal Gulabchand
[(1975) 2 SCC 609] and Svenska Handelsbanken v. Indian
Charge Chrome Ltd. [(1994) 2 SCC 155])
[2025] 3 S.C.R. 465
Smt. Lavanya C & Anr. v.
Vittal Gurudas Pai Since Deseased By LRs. & Ors.
31. Therefore, it is the solemn duty of an advocate not to
transgress the authority conferred on him by the client.
It is always better to seek appropriate instructions from
the client or his authorised agent before making any
concession which may, directly or remotely, affect the
rightful legal right of the client. The advocate represents
the client before the court and conducts proceedings on
behalf of the client. He is the only link between the court
and the client. Therefore his responsibility is onerous. He
is expected to follow the instructions of his client rather
than substitute his judgment.
32. Generally, admissions of fact made by a counsel
are binding upon their principals as long as they are
unequivocal; where, however, doubt exists as to a
purported admission, the court should be wary to
accept such admissions until and unless the counsel
or the advocate is authorised by his principal to make
such admissions. Furthermore, a client is not bound
by a statement or admission which he or his lawyer
was not authorised to make. A lawyer generally has no
implied or apparent authority to make an admission or
statement which would directly surrender or conclude
the substantial legal rights of the client unless such
an admission or statement is clearly a proper step
in accomplishing the purpose for which the lawyer
was employed. We hasten to add neither the client
nor the court is bound by the lawyer’s statements or
admissions as to matters of law or legal conclusions.
Thus, according to generally accepted notions of
professional responsibility, lawyers should follow the
client’s instructions rather than substitute their judgment
for that of the client. We may add that in some cases,
lawyers can make decisions without consulting the client.
While in others, the decision is reserved for the client.
It is often said that the lawyer can make decisions as
to tactics without consulting the client, while the client
has a right to make decisions that can affect his rights.”
(Emphasis supplied)
466 [2025] 3 S.C.R.
Digital Supreme Court Reports
9.4 Recently, a coordinate Bench of this Court in Bar of Indian
Lawyers v. National Institute of Communicable Diseases,11
which also comprised one of us (Mithal J.) speaking through
Trivedi J., observed :
“51. When we examine the relationship between an
advocate and his client from this point of view, the following
unique attributes become clear:
51.1. Advocates are generally perceived to be their client’s
agents and owe fiduciary duties to their clients.
51.2. Advocates are fastened with all the traditional duties
that agents owe to their principals. For example, advocates
have to respect the client’s autonomy to make decisions
at a minimum, as to the objectives of the representation.
51.3. Advocates are not entitled to make concessions
or give any undertaking to the court without express
instructions from the client.
51.4. It is the solemn duty of an advocate not to transgress
the authority conferred on him by his client.
51.5. An advocate is bound to seek appropriate instructions
from the client or his authorised agent before taking any
action or making any statement or concession which may,
directly or remotely, affect the legal rights of the client.
51.6. The Advocate represents the client before the court
and conducts proceedings on behalf of the client. He is
the only link between the court and the client. Therefore,
his responsibility is onerous. He is expected to follow the
instructions of his client rather than substitute his judgment.”
(Emphasis supplied)
10. The above judgments make clear that a lawyer-client relationship is
fiduciary in nature and the former is cast in terms of agency of the
latter. It is also clear that the lawyer is to respect the decision-making
right of the client. It flows from this that any undertaking given to a
Court cannot be without requisite authority from the client.
11 (2024) 8 SCC 430
[2025] 3 S.C.R. 467
Smt. Lavanya C & Anr. v.
Vittal Gurudas Pai Since Deseased By LRs. & Ors.
11. The appellants herein would have us believe that the undertaking
to not alienate the subject matter property, which, undoubtedly, has
far-reaching implications, extending over a large period of time. We
find such a situation difficult to accept. The undertaking, subject
matter of controversy, was given in July 2007 and the miscellaneous
application was filed in the year 2011, i.e., after a period of four and
a half years. Had the situation been that the said undertaking was
without requisite authority, the clients were perfectly within their rights
to seek discharge of that order, however, no such step was taken.
12. The same undertaking was re-emphasized a month later, on 13th
August 2007 and was later made into an order of the Court which, as
already observed supra, was extended from time to time. Alienation
of the subject matter property despite express orders of the Court,
in our view, entirely justify the stand taken by the High Court in
punishing the appellants for contempt of Court.
13. The powers of contempt of Court have been provided for the purposes
of ensuring that the dignity and majesty of law is always maintained.
Such purpose is aptly captured in the words of the Constitution
Bench in Supreme Court Bar Assn. v. Union of India12, as follows:
“42. The contempt of court is a special jurisdiction to be
exercised sparingly and with caution whenever an act
adversely affects the administration of justice or which tends
to impede its course or tends to shake public confidence
in the judicial institutions. This jurisdiction may also be
exercised when the act complained of adversely affects
the majesty of law or dignity of the courts. The purpose of
contempt jurisdiction is to uphold the majesty and dignity
of the courts of law. It is an unusual type of jurisdiction
combining “the jury, the judge and the hangman” and it is
so because the court is not adjudicating upon any claim
between litigating parties. This jurisdiction is not exercised
to protect the dignity of an individual judge but to protect
the administration of justice from being maligned. In the
general interest of the community it is imperative that the
authority of courts should not be imperilled and there should
be no unjustifiable interference in the administration of
12 (1998) 4 SCC 409
468 [2025] 3 S.C.R.
Digital Supreme Court Reports
justice. It is a matter between the court and the contemner
and third parties cannot intervene. It is exercised in a
summary manner in aid of the administration of justice, the
majesty of law and the dignity of the courts. No such act
can be permitted which may have the tendency to shake
the public confidence in the fairness and impartiality of
the administration of justice.”
When there has been an express violation of an order of a Court, as
is in the present case, the exercise of contempt jurisdiction cannot be
faulted with. The judgment of the High Court is, therefore, confirmed.
14. In the attending facts and circumstances, keeping in view the fact
that at the time of filing of this appeal, the appellant No.1 herein,
who was the contemnor No.3 before the High Court, was 63 years
of age and today must approximately be of 68 years of age, we
modify the impugned order to the extent that the three months
confinement in civil prison shall stand deleted. The rest of the order
regarding attachment of property remains undisturbed. Additionally,
the amount of compensation payable by the appellants herein shall
stand enhanced from a sum of Rs.10 lakhs to Rs.13 lakhs.
15. The appeal is partly allowed and disposed of with the above
modification to the impugned order. The amount of compensation
shall also carry simple interest @6% from the date of the judgment
of the lower Court, i.e., 2nd August 2013.
Pending application, if any, shall stand disposed of.
Result of the case: Appeal partly allowed.
†
Headnotes prepared by: Divya Pandey
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