Monday, 26 December 2022

Bombay HC: Casual Absence Of Defendant On Insignificant Date Would Not Make Court Order Ex-Parte

  The term ‘ex-parte’ means in absence of party. Order IX of

the Code provides consequences of non-appearance of the party.

Particularly, Rule 6 to Order IX prescribes a procedure in the

contingency when only plaintiff appears. In case when summons was duly served but the defendant does not appear then the Court may make an order that the suit be heard ex-parte in terms of Sub-clause (a) of Clause (1) to Rule 6 of Order IX of the Code. Basically, when defendant fails to appear and consequently no evidence could be recorded on his behalf and defendant’s case is closed, then the Court is bound to proceed under Rule 2 of Order XVII of the Code. The basic requirement is the absence of defendant when the suit was called on for hearing resulting into deciding case without defendant’s presence. {Para 35}

36. The provisions of Order IX Rule 13 of the Code have beenintroduced to remedied the situation where the defendant is absent meaning thereby the cause was decided in his absence. It is for the reason that, there is no contest due to absence of defendant at the time of hearing. Even if written statement is filed but the defendant remains absent throughout till adjudication then certainly the decision can be termed as an ‘ex-parte’, however a casual absence of defendant on any intermediate date would not suffice to treat the decision ex-parte. The defendant cannot take disadvantage of his isolated absence on insignificant date to state that the order was ex-parte. In order to assume the character of ex-parte, there must be absence of defendantat the time of hearing, meaning thereby in his absence the Court has proceeded in passing the decree. In short, defendant’s voluntary act of not cross examining the party and not advancing arguments, is not capable enough to term the order as ‘ex-parte’.

37. In sum and substance, the order passed by the First

Authority after considering the rival contentions was purely on merit. The respondent was throughout present in the proceeding as well as participated till fag end. The First Authority has taken into account written statement of the respondent as well as his evidence affidavit was on record. The First Authority has heard submissions of the claimants in presence of the respondent and as per record also heard submissions of respondent too. It is not a case that on the date of hearing, the respondent was absent to claim the benefit. The factual position in all petitions is one and the same. The Second Authority fell in serious error in holding that the orders were ex-parte decision amenable to set aside in  terms of Order IX Rule 13 of the Code. In absence of the applicability of Order IX Rule 13 of the Code, the sameAuthority has no power to set aside its own order. Though submissionsare made on merits that the First Authority went wrong in assessingcompensation, however said challenge would squarely fall within thecompetence of the Appellate Forum and not to the same Authority. In short, the impugned orders passed in all petition are unsustainable in the eyes of law.

IN THE HIGH COURT OF JUDICATURE AT BOMBAY

NAGPUR BENCH, NAGPUR.

WRIT PETITION NO S . 1667 OF 20 22

Jyoti  Mahesh Agrawal Vs Deputy Chief EngineerConstruction) Central Railway

CORAM : VINAY JOSHI, J.

Dated : 19.12.20222.


RULE. Rule is made returnable forthwith.

2. Heard finally by consent learned Counsel appearing for the

parties.

3. This batch of petition raises a common question for

consideration about the legality and validity of the impugned orders

passed under Order IX Rule 13 of the Code of Civil Procedure (the

Code) thereby treating orders to be ex-parte. For the sake of

convenience all petitions are taken together for disposal.

4. Petitioners are the owner of different pieces of agricultural

land which was proposed to be acquired for the Wardha to Nanded Rail

Project. The acquisition proceeding has commenced by publication of

preliminary notification under Section 11 of the Right to Fair

10

Compensation and Transparency in Land Acquisition, Rehabilitation

and Resettlement Act, 2013 (‘the Act of 2013’). It was followed by

publication of declaration and notices to interested persons, in terms of

Section 19 and 21 of the Act of 2013. After holding necessary inquiry

respondent no. 3 has passed different Awards in terms of Section 23 of

the Act of 2013 determining compensation. Being aggrieved and

dissatisfied by the quantum of compensation, the claimants (land

owners) made a Reference in terms of Section 64 of the Act of 2013 to

the Land Acquisition Rehabilitation and Resettlement Authority (First

Authority) established under Section 51 of the Act of 2013. In response

to the notices, respondent no. 1-Deputy Chief Engineer (Construction),

Central Railway (acquiring body) put its appearance and contested the

claims by filing written statement. The claimants have filed their

evidence on affidavit. Likewise, respondent no.1(Acquiring Body) also

filed evidence on affidavit in support of resistance. The First Authority

has enhanced the rate of compensation vide different reference orders.

5. The respondent no.1-Acquiring Body has filed applications

under Order IX Rule 13, read with Section 151 of the Code for setting

aside reference orders stating reference orders to be ex-parte. The

same Authority (for removal of confusion referred as Second Authority)

has set aside the orders by holding that there was no cross-examination

to the claimants’ evidence as well as evidence of the Acquiring Body

was not considered by the First Authority. In short, it has been held

that, the First Authority has not decided the claims on merit. Therefore,

by setting aside reference orders, restored the proceedings filed under

Section 64 of the Act of 2013 for fresh adjudication. Those similar

orders are subject matter of challenge.

6. Facts of all petition are similar with minor deviation. At the

inception, it is advantageous to note the admitted fact of the cases

which is rather a matter of record. In all petition, initially, Land

Acquisition Officer has determined the compensation against which

Reference was made under Section 64 of the Act of 2013. It is not in

dispute that in all proceedings, the Acquiring Body was served who in

turn put their appearance through Advocate Sawarkar (same advocate

in all proceedings) and filed written statements. It is also not in dispute

that the Acquiring Body has also filed evidence on affidavit in all

proceedings.

7. For the sake of convenience details of all petition have been

stated in tabular form as below :

Writ Petition

No. with

name

Appearance

of Railway

in Reference

u/s 64 of the

Act.

Date of

Written

Statement

by Railway

Date of

Evidence

by

Claimants

Date of

Evidence

by Railway

Date of

Arguments

Date of

Judgment

1667/2022

Jyoti Agrawal 30.10.2019 03.09.2020 28.10.2020 23.12.2020 09.02.2021 23.02.2021

1669/2022

Jyoti Agrawal 30.10.2019 03.09.2020 28.10.2020 23.12.2020 09.02.2021 23.02.2021

1860/2022

Pradip

Lakhani

30.11.2019 28.10.2020 28.10.2020 27.01.2021 09.02.2021 23.02.2021

1836/2022

Chandraprabha

Musale

04.11.2019 09.10.2020 09.11.2020 08.02.2021 02.03.2021 19.03.2021

1837/2022

Archana

Yende

04.11.2019 09.10.2020 09.11.2020 08.02.2021 02.03.2021 19.03.2021

1838/2022

Abhijeet

Bhumare

04.11.2019 09.10.2020 09.11.2020 08.02.2021 02.03.2021 19.03.2021

1839/2022

Chandraprabha

Musale

04.11.2019 09.10.2020 09.11.2020 08.02.2021 02.03.2021 19.03.2021

1840/2022

Hemant

Bhumare

04.11.2019 09.10.2020 09.12.2020 08.02.2021 02.03.2021 19.03.2021

1841/2022

Hemant

Bhumare

04.11.2019 09.10.2020 09.12.2020 08.02.2021 02.03.2021 19.03.2021

1842/2022

Sangita

Bhumare

04.11.2019 09.10.2020 09.12.2020 08.02.2021 02.03.2021 19.03.2021

2396/2022

Trimbakrao

Kadu

04.11.2019 09.10.2020 09.11.2020 08.02.2021 02.03.2021 19.03.2021

8. Since all matters are identical, for the sake of convenience I

took up the facts of Writ Petition No.1667 of 2022 pertaining to

13

claimant (land owner) Jyoti Mahesh Agrawal, whose land admeasuring

2H 42R has been acquired for Wardha to Nanded Rail

Project. Award has been passed on 10.07.2017 in terms of Section 23 of

the Act of 2013 determining compensation. Being aggrieved by the said

Award the claimant made a Reference under Section 64 of the Act of

2013 for enhancement of the compensation. In response to the notices,

the Deputy Chief Engineer (works), Railway has appeared through

Advocate Sawarkar on 30.10.2019 and filed Written Statement (page

71) on 03.09.2020. Claimant Jyoti Agrawal led evidence on affidavit

(page 80) on 28.10.2020. It was accompanied with several documents

supporting the claim for enhancement. In said Reference, evidence

affidavit has been filed on behalf of Railway on 23.12.2020 (page 93).

The authority has decided the claim on 23.02.2021 (page 107) by

enhancing the rate of compensation.

9. Since the controversy revolves around the question whether

the Reference order can be treated as an ex-parte, it necessitates to go

through the Roznama of the proceeding bearing case

No.631/AMT/YVT/2019. With the assistance of both side, the entire

Roznama has been carefully examined. The writ petitioners (claimants)

are seriously disputing that the Reference order is an ex-parte, whilst

Acquiring Body claims it to be ex-parte amenable to set aside in terms

14

of Order IX Rule 13 of the Code.

10. The Roznama (page 191) indicates that Advocate Sawarkar

for respondent/railway filed his appearance on 30.10.2019. It was

followed by filing of Written Statement by advocate Sawarkar for

Railway on 03.09.2020. The Roznama indicates that on 28.10.2020

claimant has filed evidence affidavit along with documents. Advocate

Sawarkar for Railway has received the copy of evidence affidavit and

the matter was posted for verification and cross-examination on

13.11.2020. On that day, the claimant has filed evidence close Pursis on

which the matter was adjourned for cross-examination to 20.11.2020.

On 20.11.2020 respondent nos. 1 and 2 were absent but the matter

was adjourned to 04.12.2020 at the request of respondent - Railway for

evidence.

11. On 23.12.2020, advocate Sawarkar for Railway has filed

evidence affidavit on which the matter has been adjourned to

15.01.2021 for final arguments. On that day claimant filed application

calling other side to admit documents, and claimants verification was

recorded. On adjourned date i.e. on 27.01.2021, advocate Sawarkar

was absent, hence it was again adjourned for arguments to 09.02.2021.

The Roznama dated 09.02.2021 discloses that in presence of advocate

15

Sawarkar (for the Railway) the arguments were advanced by the

claimant’s learned Counsel and the matter was posted for judgment to

23.02.2021. On the adjourned date, in presence of both advocates, the

order was passed enhancing the rate of compensation. Since the dates

of appearance and stages assumes significance, it has been extracted

from the Roznama.

12. The said Reference order has been set aside by the Second

Authority under Order IX Rule 13 of the Code treating it to be ex-parte

vide order dated 07.03.2022. The petitioner/ claimant has challenged

the said order dated 07.03.2022 passed under Order IX Rule 13 of the

Code. It is the petitioner’s contention that the order was purely passed

on merits therefore, provisions of Order IX Rule 13 of the Code would

not apply. It is submitted that the respondent /acquiring body has put

its appearance in the proceeding through Advocate Sawarkar, written

statement was filed and evidence affidavit was also filed. According to

the petitioner, the Authority has also heard the submissions of both

sides and after considering the entire material passed the order, which

cannot be termed as an ex-parte.

13. As against this, learned Deputy Solicitor General of India

(D.S.G.I.) by supporting the impugned order would submit that

16

Advocate Sawarkar was absent on the date of hearing and therefore,

order assumes a character of ex-parte hence the provisions of Order IX

Rule 13 of the Code would apply. Moreover, he would submit that in

terms of Section 60(3) of the Act of 2013, the Authority is not bound by

the Code but can regulate its own procedure while dealing with the

matter. It is also submitted that the Authority is under obligation to

follow the principles of natural justice as well as it has power to review

its own decision.

14. So far as the last contention about power to review is

concerned, there can be no dispute that Section 60(1)(f) of the Act of

2013, confers a power of review to the Authority. However, the said

submission is wholly untenable because, the respondent has specifically

approached to the Second Authority under Order IX Rule 13 of the

Code stating the order to be ex-parte. There is vast difference in

between the powers to set aside ex-parte order and the power of

review. Both provision works in different area. Firstly, the respondent

had not applied to the Second Authority seeking review of its own

order by invoking the provisions of Section 114 read with Order XLVII

of the Code. The Misc. Civil Application 118 of 2021 filed by the

respondent (railway) is purely under order IX Rule 13 read with

Section 151 of the Code. Apart from the provision quoted in the

17

application, there is no whisper in the entire application to infer that

the respondent was seeking review of the Reference order dated

23.02.2021. The grounds for review and grounds for setting aside exparte

order are quite distinct having no nexus with each other.

Application under Order IX Rule 13 of the Code is guided by the

grounds contained therein. In two exigencies the ex-parte order can be

set aside i.e. if the summons was not duly served, or the party was

prevented by any sufficient cause from appearing on the date of

hearing. Whilst in case of review, it would be tenable if there is

discovery of new material or there has been error apparent on the face

of the record. Undoubtedly, the respondent is not coming with a case of

discovery of new and important material or stating that there is error

apparent on the face of the record. Needless to say that, the error

apparent would be an error, which would strike at the face of the

record which does not require elaborate arguments. Moreover, learned

D.S.G.I. has not adhered to his submission that the respondent is

claiming to upset the Reference order under the powers of review.

15. It necessitates to see whether the Reference order can be

treated as an ex-parte to invoke the provisions of Order IX Rule 13 of

the Code. It has been argued by the respondent that since Advocate

Sawarkar was absent, the Reference order is ex-parte and thus, the

18

provisions of Order IX Rule 13 of the Code would apply. The principal

question falls for consideration is whether the Reference order can be

treated as an ex-parte. There was no quarrel in between the parties that

summons was duly served on the respondent. The respondent is

precisely laying hands on the second limb that he was prevented by

sufficient cause from appearing therefore, the impugned order assumes

the character of ex-parte order.

16. Learned D.S.G.I. would submit that even if the respondent

files a written statement, but remains absent, a decree can be treated as

an ex-parte. In this regard, he relied on the decision of this Court in

case of R.P. Bros vs. Fakhruddin Siraj Topiwala 2017(6)Mh.L.J. 845. In

said case, the defendant appeared and filed his written statement. The

matter was sent for mediation where the plaintiff agreed to withdraw

the suit. In these circumstances, the defendant did not appear assuming

that the matter was settled, however the plaintiff filed evidence

affidavit and due to non-appearance of the defendant, no-cross order

was passed. In absence of defendant, the plaintiff has argued the

matter and ultimately the judgment was passed. In said situation, this

Court was called upon to answer whether the application of the

defendant under Order IX Rule 13 of the Code is maintainable. In said

case the defendant has filed written statement, however did not appear

19

before the Court on the date of hearing or on adjourned dates. The

defendant also did not led evidence which was followed by hearing the

arguments of the plaintiff in absence of the defendant, followed by

judgment. In said situation, it has been observed that though the

defendant has filed his written statement, however he remained absent

throughout, therefore, the decree passed in his absence has to be

termed as ‘ex-parte’ exposing itself under Order IX Rule 13 of the Code.

17. The facts of the case in hand are quite distinct. This is not a

case where after filing of written statement, the defendant

(respondent) disappeared, but he was throughout present till the final

arguments advanced by the petitioner (claimants). Rather it reveals

from the record that the arguments of both sides have been heard by

the First Authority. Therefore, being different facts, the above decision

would not assist to the respondent in any manner.

18. Learned D.S.G.I. for the respondent relied on the decision

of the Supreme Court in case of G. Ratna Raj (dead) by Legal

representatives vs. Sri Muthukumarasamy Permanent Fund Limited and

anr. (2019) 11 SCC 301 to contend that, if the defendant was absent

after filing of written statement and the decree is passed, it can be

termed as an ex-parte decree. In fact, the said decision relates to the

20

applicability of explanation added to order XVII Rule 2 of the Code. In

said case the plaintiff’s evidence was recorded and case was closed.

When the case was fixed for recording of the defendant’s evidence, the

defendant remained absent. The defendant did not led evidence. In

that context it has been ruled that, since the defendant was absent and

did not led evidence, the Court could only proceed under Order XVII

Rule 3(b) read with Order XVII Rule 2 of the Code. In that situation it is

observed that explanation to Order XVII Rule 2 of the Code is not

applicable since there is no evidence on behalf of absentee party.

19. Learned D.S.G.I. further relied on the decision of the

Supreme Court in case of International Woollen Mills vs. Standard

Wool (U.K) Ltd. (2001) 5 SCC 265 to impress that what amounts to

judgment ‘on merits’. The said decision is not applicable since it relates

to the executability of foreign decree. In given facts it has been held

that the decree was not on merits and could not be enforced in India.

Being distinct facts, the said decision would not render any assistance

to resolve the controversy.

20. Besides that the learned D.S.G.I. relied on the decision of

this Court in case of Ayaaubkhan Noorkhan Pathan vs. State of

Maharashtra and ors 2013(4) Mh.L.J. 561 to contend about the

21

importance of cross-examination and also to state that affidavit cannot

be treated as an evidence. He was not clear on the second submission

because amended provisions of Order XVIII Rule 4 of the Code, permits

to lead evidence on affidavit. So far as the first contention regarding

importance of cross-examination, there can be no dispute, however the

party has to exercise their right to that extent.

21. For the applicability of explanation to Rule 2 of Order XVI

of the Code, the Court has to satisfy itself that, a substantial portion of

the evidence of any party has been already recorded, such a party has

failed to appear on any day, and on the adjourned date of hearing. In

fact, this explanation is in the nature of an exception to the general

power given under the Rule conferring discretion on the Court to act

under special circumstances permitting Court to adopt the modes

provided in Order IX of the Code if on facts, the substantial portion of

the evidence is led by the party and then remained absent, the Court

has discretion to deem its presence and proceed further. Thus, the

applicability of explanation depends upon the facts of the case. In other

words, if evidence of absentee party i.e. defendant is available, it is

open for the Court to proceed as a regular suit instead of taking

recourse of Order IX of the Code. However, the case in hand is more

worse as one is even not required to take recourse of explanation to

22

Order XVII Rule 2 of the Code, since the defendant was throughout

present till the date of judgment barring isolated occasion. Therefore, it

is clear that if on the fixed date one of the party remained absent and

for that party’s no evidence has been led, only then the Court has no

option but to proceed and dispose of the matter in accordance with

Order XVII Rule 2 of the Code in any one of the mode prescribed under

Order IX of the Code. The mandate of resorting the provisions of Order

IX of the Code would apply only if the party is absent on the date of

hearing.

22. In the light of said position, one needs to revert to the facts

of the case to find out whether the decree can be termed as an ex-parte.

Perusal of the Reference order (631/AMT/YVT/2019) indicates the

appearance of Advocate Sawarkar on behalf of Acquiring Body. The

order bears a reference that Acquiring Body has filed written statement

at Exhibit 7. Moreover, the First Authority has referred the contents of

written statement in the order. Though there is reference in the order

that respondent has not led evidence, however the respondent’s

evidence affidavit was very much on record. More particularly, there is

a reference (page 110) that the Authority has heard argument of both

sides and upon considering the facts, proceeded in passing the

Reference order.

23

23. Contextually, Roznama of the case needs reference. It

indicates that Advocate Sawarkar has filed written statement, received

the copies of claimant’s evidence as well as filed his evidence affidavit

on 23.12.2020. Not only that, on the date of argument advanced by

claimant (i.e. on 09.02.2021) respondents Counsel Sawarkar was very

much present. On that day, the matter was specifically adjourned to

23.02.2021 for judgment. Moreso, in presence of Advocate Sawarkar,

judgment was delivered. Close examination of Roznama discloses that

respondent’s Advocate Sawarkar was throughout present till the matter

was adjourned to 27.01.2021 for final arguments. Only on that day,

Advocate Sawarkar was absent, however it is not the case that on that

day the First Authority has heard the arguments of claimant and

delivered the judgment in absence of respondent’s Advocate Sawarkar.

24. The record indicates that on 27.01.2021 though the matter

was fixed for final arguments, however due to absence of respondent’s

Advocate Sawarkar, it was simply adjourned for arguments to

09.02.2021. On said date in presence of Advocate Sawarkar, claimant’s

learned Advocate has advanced arguments and the matter was placed

after two weeks i.e. on 23.02.2021 for judgment. Not only that, on the

date of judgment also Advocate Sawarkar was very much present.

Pertinent to note that Reference order bears reference that arguments

24

of both side were heard. In the scenario, how it can be said that the

judgment was delivered in absence of respondents to treat it ex-parte.

25. It is not the case of the respondent that they were either

prevented by the First Authority to cross-examine the claimant, or

precluded from advancing final arguments. Rather all steps were in

presence of respondent’s Advocate Sawarkar. If the respondent chooses

not to cross-examine the plaintiff’s witnesses one cannot compel him to

do so. The respondent may choose not to advance arguments if he

desirous so. Herein, the respondent though led evidence still opted for

not to cross-examine the claimant. The respondent never says that in

his absence the final arguments were advanced and judgment was

delivered.

26. The respondent appears to have capitalized the isolated

absence of Advocate Sawarkar only on a single day i.e. on 27.01.2022.

The entire thrust is on the absence of Advocate Sawarkar on the said

particular date. The respondent would have some space to claim the

decree to be ex-parte, if on 27.01.2021 itself in his absence, the matter

was disposed of. However, as noted above, on 27.01.2021, since the

respondent’s Advocate was absent, the First Authority has simply

adjourned the matter meaning thereby it was inconsequential date.

25

Rather the First Authority did nothing in absence of respondent’s

Advocate but once again placed the matter for final arguments on

09.02.2021. Pertinent to note that, in presence of Advocate Sawarkar,

learned Advocate for the claimant has advanced arguments. I may

reiterate that judgment bears a reference that final argument of both

side were heard. Even if it is assumed that respondents argument were

not heard, but it is not their case that the First Authority has declined

them from making submission. There is possibility of making common

submission by Advocate Sawarkar since all the matters are identical

and running parallel. In such a scenario, if the respondent chooses to

not to cross-examine the claimant to his detriment, he cannot take

advantage thereof.

27. It is not the respondent’s case that Roznama was incorrect,

but concededly on the date of argument, he was present as well as on

the date of judgment too. Pertinent to note that on 09.02.2021 in

presence of Advocate Sawarkar, learned Advocate of the Claimants has

advanced arguments, however the matter was not decided forthwith.

Particularly, it has been adjourned after two weeks for order/judgment.

Therefore, if Advocate Sawarkar has any grievance that he was not

heard, he could have approached to the First Authority, having

sufficient time. However, neither he requested the First Authority for

26

adjourning the case for his arguments nor it is a case of the respondent

that the First Authority has precluded him from making submissions. In

any eventuality, the respondent cannot take disadvantage of his

complete inaction by saying that the matter proceeded ex-parte. Rather

respondent’s absence on insignificant date (27.01.2021) is tried to be

projected, which has no meaning at all. It is evident that respondents’

Advocate Sawarkar has very much participated in the proceedings, but

chooses to remain ideal. He was present on the date of final arguments

and therefore, in any eventuality it can not be said that he was

prevented from appearing on the date of hearing to treat the order exparte.

28. It has been primely argued that the First Authority has not

given proper opportunity to the respondent. While setting aside the

reference order the Second Authority repeatedly quoted that there was

no cross-examination and the opportunity was denied to the

respondent. However, the close examination of entire record speaks

otherwise. Careful examination indicates that in Writ Petition

Nos.1667/2022, 1669/2022 and 1860/2022 the First Authority has

specifically mentioned in reference order that arguments of both side

were heard. Likewise, Roznama dated 02.03.2021 of remaining

petitions discloses that First Authority has specifically mentioned that

27

arguments of both side were heard. Thus the record indicates that the

First Authority has heard final submissions of the respondent and

therefore the contention in that regard, is untenable. Notably, it is not a

case of the respondent that either the First Authority has wrongly

quoted in reference order or Roznama about the arguments advanced

by the respondents. Therefore, certainly it cannot be said that no

opportunity was given to the respondent by the First Authority while

passing reference orders.

29. Looking the matter from another angle, the order bears a

reference of written statement as well as contentions raised therein.

The First Authority has considered those contentions while passing the

order. In the situation, it would not lie in the mouth of the respondent

that the First Authority has not given fair opportunity. Perusal of

impugned order passed under Order IX Rule 13 of the Code indicates

that (page 172) the Second Authority was conscious that the matter

was contested by filing written statement as well as respondent’s

Advocate Sawarkar has advanced arguments. The Second Authority

also took a note that the respondent (Acquiring Body ) has filed

evidence affidavit of one Mr. Siddharth Gupta – Deputy Chief Engineer

(Constructions). However, the Second Authority has observed (para 12,

page 173) that though the evidence affidavit was filed by both sides,

28

there is no cross-examination. The said observation does not convey as

to what the Second Authority wanted to say. The Authority or Court

cannot compel the party to cross-examine the rival. One may very well

choose to abstain from cross-examining the rival, but in that case he

can not claim that the order is ex-parte. If such view is adopted then

one may not cross examine and after judgment seeks to set aside the

order by stating it to be ex-parte. The provision of Order IX Rule 13 of

the Code is meant to remedied the situation where matter proceeded in

absence of defendant for his no fault. It would not apply to the cases

where defendant remains present but voluntarily forsake to participate.

30. The Second Authority while setting aside the order has

observed (para 18 page 175) that, the claimant has not demonstrated

or pointed out that the case was decided on merits. As a matter of fact,

the respondent was coming with an application under Order IX Rule 13

of the Code in the capacity of applicant. It is for the respondent/

applicant to establish that the order was ex-parte so as to uphold the

applicability of Order IX Rule 13 of the Code. However, the Second

Authority has put reverse burden on the claimants to establish that the

case was decided on merit. Thus, the very approach of the Second

Authority of casting a reverse burden on the claimant, is wholly

erroneous.

29

31. The Second Authority stated that the Advocate for the

Acquiring body has filed documents to show that he was tested positive

(COVID-19) in the Month of January 2021, therefore, unable to appear.

I have already detailed above that, only on 27.01.2021 respondents

Advocate was absent, which was insignificant date of the proceeding.

Pertinent to note that the Second Authority has not commented as to

on which date respondents Advocate was absent, and about the

consequence of his absence. Rather the Second Authority has neglected

the important aspect of the matter that on 09.02.2021 the final

arguments were heard in presence of respondent’s Advocate. Therefore,

isolated absence on insignificant date would not empower the

respondent to claim the applicability of Order IX Rule 13 of the Code

stating the order to be ex-parte. If, such view is adopted then most of

the suits have to be treated ex-parte, because in each case, on some or

other date, the defendant remains absent. One has to see as to what

was the consequence of defendant’s absence on particular date. The

provisions of Order XVII Rules 2 and 3 of the Code would apply if the

party remains absent on the date of hearing and not on insignificant

date. As a matter of fact, in case at hand on the date of hearing, the

respondent’s Counsel was very much present, therefore in any

eventuality the impugned order cannot be treated to be ex-parte.

30

32. The application under Order IX Rule 13 of the Code can be

made only in a cases where the ex-parte order has been passed against

the defendant. The grounds available for defendant are only two, i.e

(i) the summons was not duly served and (ii) he was prevented by

sufficient cause from appearing when the suit was called for hearing.

The second ground cannot be stretched to the extent of encompassing

any isolated intermittent absence of defendant that too on a date on

which the matter was simply adjourned. When the defendant appears,

files written statement, chooses not to cross-examine (claimant), files

his own evidence affidavit, choose not to advance arguments though

present, it cannot be said that the Court proceeded in deciding the

matter ex-parte.

33. The Reference order was passed by the First Authority

under Section 64 of the Act of 2013. Section 60 of the Act of 2013

specifies the powers of the Authority and a procedure to be followed

while passing the Reference order. Though in terms of Section 60(3) of

the Act of 2013, the Authority is not bound by the procedure laid down

in the Code however it does not mean that the Authority can follow a

course which is too novel to be logical or palatable. The Authority is

invested with a power to regulate its own procedure, however, it does

not mean that one can devise a procedure so as to take benefit of his

31

own wrong. The enabling provisions are to be used in the aid to

advance cause of justice, to remove procedural difficulties but not

beyond that. It is to be remembered that the provisions of the Act of

2013 are in addition to existing laws and not in derogation thereof. It

also conveys that to remedied the technical difficulties, the powers have

been invested to the Authority to lay down its own procedure and not

for any other reason.

34. The Second Authority has expressed that it shall be guided

by the principles of natural justice in terms of Section 60(3) of the Act

of 2013 while exercising jurisdiction under Section 64 of the Act of

2013. There can be no dispute about the said proposition, however, the

respondent is unable to demonstrate as to how the First Authority has

acted in defiance with the Rules of natural justice. Undoubtedly, one

must get a right of hearing but one cannot be compelled to exercise

said right. The entire proceeding shows that on each and every stage,

the respondent was present before the First Authority, partook in the

proceeding and voluntarily abstained from cross-examining the rival. In

civil cases one cannot be compelled to do those things. Obviously, if the

respondent himself chooses not to exercise his valuable right of crossexamination

and advance arguments, then it is not open for him to say

that the Authority has not followed the Rules of natural justice.


35. The term ‘ex-parte’ means in absence of party. Order IX of

the Code provides consequences of non-appearance of the party.

Particularly, Rule 6 to Order IX prescribes a procedure in the

contingency when only plaintiff appears. In case when summons was

duly served but the defendant does not appear then the Court may

make an order that the suit be heard ex-parte in terms of Sub-clause

(a) of Clause (1) to Rule 6 of Order IX of the Code. Basically, when

defendant fails to appear and consequently no evidence could be

recorded on his behalf and defendant’s case is closed, then the Court is

bound to proceed under Rule 2 of Order XVII of the Code. The basic

requirement is the absence of defendant when the suit was called on

for hearing resulting into deciding case without defendant’s presence.

36. The provisions of Order IX Rule 13 of the Code have been

introduced to remedied the situation where the defendant is absent

meaning thereby the cause was decided in his absence. It is for the

reason that, there is no contest due to absence of defendant at the time of hearing. Even if written statement is filed but the defendant remains absent throughout till adjudication then certainly the decision can be termed as an ‘ex-parte’, however a casual absence of defendant on any intermediate date would not suffice to treat the decision ex-parte. The defendant cannot take disadvantage of his isolated absence on insignificant date to state that the order was ex-parte. In order to assume the character of ex-parte, there must be absence of defendantat the time of hearing, meaning thereby in his absence the Court has proceeded in passing the decree. In short, defendant’s voluntary act of

not cross examining the party and not advancing arguments, is not

capable enough to term the order as ‘ex-parte’.

37. In sum and substance, the order passed by the First

Authority after considering the rival contentions was purely on merit.

The respondent was throughout present in the proceeding as well as

participated till fag end. The First Authority has taken into account

written statement of the respondent as well as his evidence affidavit

was on record. The First Authority has heard submissions of the

claimants in presence of the respondent and as per record also heard

submissions of respondent too. It is not a case that on the date of

hearing, the respondent was absent to claim the benefit. The factual

position in all petitions is one and the same. The Second Authority fell

in serious error in holding that the orders were ex-parte decision

amenable to set aside in terms of Order IX Rule 13 of the Code. In

absence of the applicability of Order IX Rule 13 of the Code, the same

Authority has no power to set aside its own order. Though submissions

are made on merits that the First Authority went wrong in assessing

compensation, however said challenge would squarely fall within the

competence of the Appellate Forum and not to the same Authority. In

short, the impugned orders passed in all petition are unsustainable in

the eyes of law.

38. In view of above, all petitions are allowed. Impugned

orders therein are hereby quashed and set aside. The related

applications under Order IX Rule 13 of the Code are not maintainable

and accordingly dismissed. No order as to costs.

(VINAY JOSHI, J.)


Print Page

No comments:

Post a Comment