SAKINA SULTANALI SUNESARA (MOMIN) versus SHIA IMAMI ISMAILI MOMIN JAMAT SAMAJ & ORS
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[2025] 4 S.C.R. 1921 : 2025 INSC 570 Sakina Sultanali Sunesara (Momin) v. Shia Imami Ismaili Momin Jamat Samaj & Ors. (Civil Appeal No(s). 6681-6682 of 2023) 23 April 2025 [Vikram Nath and Prasanna B. Varale,* JJ.] Issue for Consideration Issue arose whether a litigant who was already a party to the suit, yet contests the fact or legality of a compromise embodied in a decree, is restricted to an application before the trial court under the proviso to Ord. XXIII r.3 CPC or may maintain a first appeal u/s.96 CPC notwithstanding s.96(3) CPC. Headnotesβ Code of Civil Procedure, 1908 β s.96, Ord.XXIII r.3, Ord.XLIII r.1A(2), r.1(m) β Compromise of suit β Appeals from original decrees β Right to challenge non-appealable orders in appeal against decree β Dispute between parties regarding sale deeds of suit land β Suit by respondent against the appellants wherein compromise between the parties resulting in first consent decree, thereafter another compromise in the suit filed leading to second consent decree β Appellantβs case that she had no notice of either compromise and both consent decrees obtained by fraud β Appellant filed AOs against both decrees u/Ord.XLIII r.1A β Transferee purchasers lodged parallel AOsΒ β Single Judge of High Court, acting on the pronouncement of the larger bench that party to suit must first invoke proviso to Ord.XXIII r.3 and r.1A itself creates no independent right of appeal, dismissed AOs β Interference: Held: High Courtβs directions correctly apply the structure of the statute and does not call for interference β Larger Bench took the right view that such appeals are incompetent since 1976 β CPC, after the 1976 amendment, works in two distinct ways β If a person was already a party to the suit, and denies that any lawful compromise ever took place, CPC requires that person to go back to the trial court under the proviso to Ord.XXIII r.3 and ask that Court to decide whether the compromise is valid β Someone who was not a party to the suit, but whose rights are hurt by a consent *βAuthor 1922 [2025] 4 S.C.R. Supreme Court Reports decree, may approach the appellate court in a first appeal u/s.96, but only after obtaining leave β Proviso to Ord. XXIII r.3 is not optional, it is the exclusive first port of call for any party on record who denies the compromise β Ord. XLIII r. 1-A does not create a new right of appeal; it merely enables an appellant, already before the appellate court, to attack the decree on the ground that the compromise should not have been recorded β When the fact of compromise is not disputed, the bar in s. 96(3) is absolute β On facts, the appellant never invoked the proviso to Ord.XXIII r.3 and instead lodged appeals from orders on the footing of the deleted Ord.XLIII r.1(m) β It cannot be said that fraud transform a consent decree to an ordinary decree β Fraud, want of authority or other vitiating elements are precisely the matters that the proviso directs the trial court to examine β Unless and until that route is pursued, the statutory bar in s.96(3) remains operative β Appellant was a party to the suits and cannot appropriate remedy reserved for third parties. [Paras 8, 11-17] Case Law Cited Pushpa Devi Bhagat v. Rajinder Singh and others [2006] Supp. 3 SCR 370 : (2006) 5 SCC 566; Banwari Lal v. Chando Devi and another [1992] Supp. 3 SCR 524 : (1993) 1 SCC 581; Triloki Nath Singh v. Anirudh Singh [2020] 4 SCR 650 : 2020 SCC Online SC 444; H.S. Goutham v. Rama Murthy and another [2021] 4 SCR 996 : (2021) 5 SCC 241; Kishun Alias Ram Kishun (Dead) through LRS. v. Behari (Dead) By LRS. [2005] Supp. 2 SCR 383Β : (2005) 6 SCC 300; Sree Surya Developers & Promoters v. N. Sailesh Prasad and others [2022] 3 SCR 1081 : (2022) 5 SCC 736 β referred to. List of Acts Code of Civil Procedure, 1908; Legal Services Authorities Act, 1987. List of Keywords Consent decree; Compromise; No independent right of appeal; Order recording or refusing a compromise; No separate appeal; No appeal against consent decree; Fraud; Legality of compromise; Legality of compromise embodied in decree; First appeal; Compromise of suit; Sale deeds; First consent decree; Second consent decree; Transferee purchasers; Independent right of appeal; Remedy reserved for third parties. [2025] 4 S.C.R. 1923 Sakina Sultanali Sunesara (Momin) v. Shia Imami Ismaili Momin Jamat Samaj & Ors. Case Arising From CIVIL APPELLATE JURISDICTION: Civil Appeal No(s). 6681
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