LAW FOR ALL

Court Fees Act, 1870 - s. 7(iv)(c) and (v) - Court fee - Computation of - In suits for a declaratory decree and consequential benefits - Filing of civil suit - Prayer for declaration that sale deed not binding on co- parcenary and for joint possession and court fee paid u/s. 7(iv)(c) - Courts below holding that the prayer was to seek cancellation of sale deeds and thus, court fee to be paid on the sale consideration mentioned in sale deeds - On appeal, held: Prayer was not for cancellation of sale deed but for a declaration that sale deed not binding on co-parcenary and for joint possession - Plaintiff was non-executant of sale deed - Thus, court fee was computable u/s. 7(iv)(c) - Orders of courts below set aside. The question which arose for consideration in these appeals is as to what is the court fee payable in regard to the prayer for a declaration that the sale deeds were void and not `binding on the co-parcenary', and for the consequential relief of joint possession and injunction.=Allowing the appeals, the Court HELD: 1.1 Where the executant of a deed wants it to be annulled, he has to seek cancellation of the deed. But if a non-executant 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. There is a difference between a prayer for cancellation and declaration in regard to a deed of transfer/conveyance. In essence in both the cases parties may be suing to have the deed set aside or declared as non-binding. But the form is different and court fee is also different. If 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 the non-executant 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 Court Fees Act, 1870. But if the non-executant is not in possession, and he seeks not only a declaration that the sale deed is invalid, but also the consequential relief of possession, he has to pay an ad-valorem court fee as provided under section 7(iv)(c) of the Act. Section 7(iv)(c) of the Act 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. [Para 6] 1.2. In the instant case, there is no prayer for cancellation of the sale deeds. The prayer is for a declaration that the deeds do not bind the "co- parcenery" and for joint possession. The plaintiff in the suit was not the executant of the sale deeds. Therefore, the court fee was computable under section 7(iv)(c) of the Act. The trial court and the High Court were not justified in holding that the effect of the prayer was to seek cancellation of the sale deeds and therefore, court fee had to be paid on the sale consideration mentioned in the sale deeds. Thus, the orders of the trial court and the High Court directing payment of court fee on the sale consideration under the sale deeds are set aside and trial court is directed to calculate the court fee in accordance with section 7(iv)(c) read with section 7(v) of the Act. [Paras 7 and 8] CIVIL APPELLATE JURISDICTION : Civil Appeal Nos. 2811-2813 of 2010. From the Judgment AND Order dated 19.3.2007 order dated 11.2.2008 and 16.5.2008 passed by the High Court of Punjab and Haryana at Chandigarh in CR No. 1482/2007 and RA No. 35 CII/2007 in Civil Revision No. 1482/2007 and C.M. No. #9445-C-II/2008 in C.M.#7001-C-II/2008 in R.A. 35-C-II/2007 in Civil Reivision #1482/2007. Suhrid Singh appellant in person. Labh Singh Bhangu and Madhu Moolchandani for the Respondent.