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Delhi District Court
Sh. Sarabjit Prakash vs Sh. Shiv Sahni on 1 August, 2015
Author: Ms. Jyoti Kler
1
IN THE COURT OF Ms. JYOTI KLER, ADDITIONAL SENIOR CIVIL JUDGE
CUMJUDGE SMALL CAUSE COURTCUM GUARDIAN JUDGE, SOUTH
EAST DISTRICT, SAKET COURT COMPLEX, NEW DELHI
CS No: 451/14
Case ID No. 02406C[deleted]
IN THE MATTER OF :
Sh. Sarabjit Prakash
Son of Late Sh. Vidya Prakash
R/o 68, Friends ColonyWest
First Floor
New Delhi110065 .....Plaintiff
VERSUS
1. Sh. Shiv Sahni, partner
S/o Late Sh. Krishan Lal Sahni
R/o 15, NizamuddinEast,
New Delhi110013
2. Smt. Renee Khanna
D/o Late Sh. Krishan Lal Sahni
R/o A17, Anand Niketan,
New Delhi110013.
3. M/s Isherdas Sahni & Bros (A partnership firm)
Through its Manging Partner,
Odeon Cinema, DBlock,
Connaught Place,
New Delhi110001
2
4. Smt. Shakuntla Sahni, Partner
Widow of Late Sh. Amrit Lal Sahni
R/o A209, New Friends Colony
New Delhi110065
5. Sh. Shyam Sahni, Managing Partner,
S/o Late Sh. Roshan Lal Sahni
R/o 68, Friends ColonyWest,
Ground Floor
New Delhi110065
6. Shri Sunil Sahni, Partner,
S/o Late Amrit Lal Sahni
R/o A209, New Friends Colony
New Delhi110065
7. Shri Mohit Sahni, Partner
S/o Late Sh. Vishwa Nath Sahni
R/o W77, Greater KailashII
Ground Floor
New Delhi 110048
8. Late Smt. Prem Sahni, Partner,
Through her legal heir Smt. Geeta Talwar
D/o Late Sh. Brij Mohan Sahni
R/o W80, Greater Kailash II,
New Delhi 110048
9. Smt. Neena Sahni, Partner
W/o Late Sh. Krishan Lal Sahni
R/o 15, Nizamuddin East
New Delhi110013
3
10. Sh. Jayant Sahni, Partner
S/o Late Sh. Krishan Lal Sahni
R/o 15, Nizamuddin East
New Delhi110013
11. Sh. Kapil Sawhney
S/o Late Sh. Ramesh Sawhney, Partner,
B13, Chirag Enclave,
New Delhi.
12. Registrar of Firms,
Through its Registrar,
Patparganj Industrial Area,
Delhi .....Defendants
Date of Institution: 29.09.2014
Date of Final Arguments: 14.07.2015
Date of Order: 01.08.2015
Decision: Application allowed.
ORDER
1. This is a Suit for Declaration, Partition, Mandatory and Permanent Injunction and Rendition of Accounts.
2. Plaintiff is the brotherinlaw of defendant no. 5, who is managing partner of defendant no. 3, a partnership firm, of which defendant no. 1, 2 and 4 to 11 are partners.
3. In the present Suit, Plaintiff is seeking declaration of the effect that the gift deed dated 25.07.2005 executed by Smt. Niamat Sahni (since deceased), in favour of defendant no. 5, is null and void and it should be cancelled. The gift deed in question is a registered gift deed.
4. The gift deed pertains to the share of Smt. Niamat Sahni in defendant no. 3 firm. Defendant no. 5 is the son of Smt. Niamat Sahni and plaintiff is her son in law.
5. It is the case of the plaintiff that Smt. Niamat Sahni had executed a Will dated 23.12.1992 bequeathing her share in defendant no. 3, in favour of her daughter, who was married to the plaintiff. Daughter predeceased Smt. Niamat Sahni. As per Will, in case the daughter predeceased Smt. Niamat Sahni, the share would go to the plaintiff. However, on 25.07.2005, defendant no. 1 fraudulently got executed gift deed in his favour, though Smt. Niamat Sahni was not in the sound state of mind during that time. She expired on 28.04.2008.
6. The gift deed is a registered deed. Plaintiff has paid fixed court fees for the relief of declaration and cancellation of gift deed.
7. Defendants moved applications under Order VII Rule 11 CPC on various grounds including the ground that the Suit has not been valued properly for the purpose of court fees and jurisdiction. Since there is a challenge to the jurisdiction of the Court, I deem it appropriate to decide only the issue of court fees and jurisdiction by way of present application.
8. The plaintiff has relied upon a judgment of the Hon'ble Supreme Court in Suhrid Singh Vs. Randhir Singh AIR 2010 SC 2807, wherein the Hon'ble Supreme Court observed as under:
"6. Where the executant of a deed wants it to be annulled, he has to seek cancellation of the deed. But if a nonexecutant seeks annulment of a deed, he has to seek a declaration that the deed is invalid, or non est, or illegal or that it is not binding on him. The difference between a prayer for cancellation and declaration in regard to a deed of transfer/conveyance, can be brought out by the following illustration relating to 'A' and 'B' two to avoid the sale. 'A' has to sue for cancellation of the deed. On the other hand, if'B', who is not the executant of the deed, wants to avoid it, he has to sue for a declaration that the deed executed by 'A' is invalid/void and non est/illegal and he is not bound by it. In essence both may be suing to have the deed set aside or declared as nonbinding. But the form is different and court fee is also different. If 'A', the executant of the deed, seeks cancellation of the deed, he has to pay ad valorem court fee on the consideration stated in the sale deed. If 'B', who is a nonexecutant, is in possession and sues for a declaration that the deed is null or void and does not bind him or his share, he has to merely pay a fixed court fee of Rs. 19,50 under Article 17(iii) of Second Schedule of the Act. But if 'B', a nonexecutant, is not in possession, and he seeks not only a declaration that the sale deed is i9nvalid, but also the consequential relief of possession, he has to pay an ad valorem court fee as provided under Section 7(vi)(c) of the Act. Section 7(iv)(c) provides that in suits for a declaratory decree with consequential relief, the court fee shall be computed according to the amount at which the relief sought is valued in the plaint. The proviso thereto makes it clear that where the suit for declaratory decree with consequential relief is with reference to any property, such valuation shall not be less than the value of the property (calculated in the manner provided for by Clause (v) of Section 7." (emphasis supplied)
9. It is contended by Ld. Counsel for the plaintiff that only fixed court fees is required to be paid as the plaintiff is not the executant of the gift deed.
10. Ld. Counsel for the defendants have relied upon the judgment of the Hon'ble High Court of Delhi in S. Manjinder Singh Vs. Smt. Krishna Bhat & Ors.CS(OS)1642 of 2007 vide order dated 11.11.2013. Hon'ble High Court of Delhi while referring to the decision of the Hon'ble Supreme Court in AIR 2010 SC 2807, observed as under in para no. 12 and 13:
"12. It must be noted that the facts in the aforementioned case were that reliefs were being sought in relation to a coparcenary property. And yet, the highlighted portion of the decision explained that where the consequential relief was being sought, the ad valorem court fee would have to be paid, In the instant case teh principal relief is for specific performance of an agreement to sell an immovable property. It is inconceivable that where in defence to such a suit it is pleaded that the property in question stands transferred under a registered gift deed, any effective relief can be granted to the Plaintiff without his seeking cancellation of such gift deed. In fact, the Plaintiff, if not already in possession, would also necessarily have to seek such relief. As explained by the Punjab and Haryana High Court in Anil Rishi v. Gurbaksh Singh, "if he sale deed which is a registered document exists and is not directed to be cancelled and delivered the basis purpose of the plaintiff in instituting the present suit remains unsatisfied and the Court may not be in a position to grant complete and effective relief to the plaintiff". The decision in Jagdish v. Jagat Pal is also to the same effect.
13. Under the garb of an innocently worded prayer clause, the Plaintiff cannot avoid payment of the appropriate court fee on the relief in relation to the Gift Deed dated 1st June 2007. In the circumstances, while the value of the suit property for the purposes of specific performance is stated to be Rs. 3,20,31,250 (which is the sale consideration under the Agreement to Sell dated 16th October 2006), the valuation of the relief of declaration of the Gift Deed dated 1st June 2007 as null and void at Rs. 200 cannot be said to be correct."
11. It is thus clear from a reading of the two judgments relied upon by the parties that in case a declaration is sought with respect to the registered document, the party seeking declaration will also have to seek the relief of cancellation, as the document will have to be cancelled from the public records, if it is declared null and void. In such a case, court fees for the relief of cancellation will have to be paid on the value of the document sought to be cancelled.
12. In the present Suit, plaintiff is seeking a relief of declaration as well as cancellation. The document, i.e. the gift deed is a registered one. Though the plaintiff is not the executant of the document, however, he will have to pay ad valorem court fees for the relief of cancellation, as laid down by the Hon'ble High Court in S. Manjinder Singh Vs. Smt. Krishna Bhat & Ors. CS(OS)1642 of 2007 vide order dated 11.11.2013.
13. Therefore, in view of legal position discussed above, I am of the considered opinion that the Suit has not been properly valued for the purpose of court fees and jurisdiction.
14. Plaintiff is directed to value the Suit properly and pay the court fees within 15 days from today failing which plaint shall be rejected under Order VII Rule 11 CPC.
15. Application is disposed off.
Announced in the open court on 01.08.2015 (Jyoti Kler) JSCCASCJGJ/South East, Saket Courts, New Delhi/01.08.2015