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DAYA SINGH & ANR. versus GURDEV SINGH (DEAD) BY L.RS. & ORS.

Citation: [2010] 1 S.C.R. 194 · Decided: 07-01-2010 · Supreme Court of India · Bench: TARUN CHATTERJEE · Disposal: Appeal(s) allowed

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Judgment (excerpt)

A 
B 
[2010] 1 S.C.R. 194 
DAYA SINGH & ANR. 
V. 
GURDEV SINGH (DEAD) BY L.RS. & ORS. 
(Civil Appeal No. 5339 of 2002) 
JANUARY 07, 2010 
[TARUN CHATIERJEE AND AFTAB ALAM, JJ] 
Limitation Act, 1963: 
c 
Schedule - Article 58 - Suit for declaration - Dismissed 
by courts below holding the same as barred by limitation on 
the ground that it was filed after 18 years of the compromise 
- HELD: Question of filing of suit before the right accrued to 
plaintiffs by compromise could not arise until and unless 
D infringement of that right was noticed by one of the parties -
Right to sue accrued a week prior to filing of the suit when a 
clear and unequivocal threat to infringe that right by 
defendants was given as they refused to admit the claim of 
plaintiffs - Therefore, the suit cannot be held to be barred by 
E limitation - Judgment of High Court set aside and matter 
remitted to it for decision on merits expeditiously - Cause of 
action. 
A compromise relating to shares in the suit property 
was entered into between the plaintiff-appellants and the 
F predecessors-in-interest of the defendant-respondents 
on 26.10.1972. The plaintiffs filed a suit on 21.8.1990 for 
declaration that they were in possession as owner of 11 
9th share and in joint possession of half of the 2/3rd share 
of the land along with the respondents and the entries 
G in the revenue record of rights should be corrected. The 
trial court dismissed the suit accepting the defendants' 
plea that the suit having been filed after 18 years of the 
compromise, was barred by limitation in view of Article 
58 of the Schedule to the Limitation Act, 1963 whereunder 
H 
194 
DAYA SINGH & ANR. v. GURDEV SINGH (DEAD) BY 195 
L.RS. & ORS. 
the suit should have been filed within three years of the 
A 
compromise. 
The 
plaintiffs 
having 
remained 
unsuccessful in the first appeal as also in the second 
appeal, filed the appeal. 
Allowing the appeal, the Court 
HELD:1.1. In the instant case, the right to sue 
accrued when a clear and unequivocal threat to infringe 
that right by the defendants was given, as they refused 
B 
to admit the claim of the appellants, only seven days 
before filing of the suit. Therefore, as noted in paragraph 
C 
16 of the plaint, the suit was filed within three years from 
ยท the date of infringement and, as such, the suit cannot be 
held to be barred by limitation. [Para 10] [202-E] 
Mt.Bolo vs. Mt. Kok/an and others AIR 1930 PC 270, 
D 
relied on. 
' 
C. Mohammad Yunus vs. Syed Unnissa and others 
1962 SCR 67 = AIR 1961 SC 808, referred to. 
1.2. The courts below including the High Court had 
E 
proceeded entirely on a wrong footing that the cause of 
action arose on the date of entering into the compromise 
and, therefore, the suit was barred by limitation. Whether 
or not the compromise decree was acted upon and 
whether delivery of possession had taken place has to 
F 
be decided by the trial court before it could come to a 
proper conclusion that the suit was barred by limitation. 
[Para 10] [202-E-G] 
1.3. The question of filing the suit before the right 
accrued to the plaintiffs by compromise could not arise G 
until and unless infringement of that right was noticed by 
one of the parties. The High Court fell in grave error in 
holding that the suit was barred by time, and ignored to 
appreciate that the right of the appellants to have the 
H 
196 
SUPREME COURT REPORTS 
(2010) 1 S.C.R. 
A revenue record corrected arose when the appellants 
came to know about the wrong entry and the 
respondents failed to join the appellants in getting it 
corrected. The High Court was not justified in holding that 
more existence of a wrong entry in the revenue records 
e does not, in law, gave rise to a cause of action within the 
meaning of Article 58 of the Schedule to the Act. [Para 10) 
[202-H; 203-A-C] 
1.4. The impugned judgment of the High Court on the 
question that the suit was barred by limitation cannot be 
C sustained. Therefore, the judgment of the High Court is 
set aside and the matter remitted back to it for decision 
on merits expeditiously. [Para 11) [203-C-D] 
D 
Case Law Reference: 
AIR 1930 PC 270 
1962 SCR 67 
relied on 
referred to 
para 7 
para 8 
CIVIL APPELLATE JURISDICTION : Civil Appeal No. 
E 5339 of 2002. 
From the Judgment & Order dated 10.9.2001 of the High 
Court of Punjab & Haryana at Chandigarh in Regular Second 
Appeal No. 3416 of 1997. 
F 
D.K. Agrawal, Sudhir Kumar Gupta, Anurag Pandey, R.P. 
Singh, Miihhi

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