Order VII Rule 11 CPC - The Legal Chamber

Supreme Court Rules : Res Judicata Can’t Be Decided at Plaint Stage

4Aug

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Supreme Court

Supreme Court Rules : Res Judicata Can’t Be Decided at Plaint Stage

The Supreme Court held that the plea of res judicata cannot be adjudicated under Order VII Rule 11 of the Civil Procedure Code (CPC) as it requires an in-depth examination of pleadings, issues, and decisions from the previous suit, which is beyond the scope of a plaint rejection application. The Court emphasized that only the averments in the plaint must be considered, and defenses or external documents cannot be relied upon. The judgment clarified that issues like fraud, collusion, or jurisdictional defects in a prior decree must be examined during trial, not at the preliminary stage. The appeal was allowed, and the suit was restored for expeditious disposal. Facts Of The Case: The appellant, Pandurangan, purchased a disputed property from Hussain Babu in 1998, who had earlier acquired ...

Supreme Court : Sale Deeds Executed After Property Power of Attorney Revoked Are Invalid

The Supreme Court clarified that an unregistered agreement to sell or power of attorney does not confer title or interest in immovable property. The Court emphasized that property transfer requires a registered deed of conveyance. It also ruled that a plaint cannot be rejected entirely under Order VII Rule 11 CPC if even one distinct cause of action is triable. Facts Of The Case: Vinod Infra Developers Ltd. (appellant) claimed ownership of agricultural land and obtained a loan of Rs. 7.5 crores from Mahaveer Lunia (Respondent No. 1) in May 2014. The appellant's Board of Directors authorized their Managing Director and Respondent No. 1 to sell the property. Subsequently, an unregistered power of attorney and agreement to sell were executed in favor of Respondent No. 1 on May 24, 2014.In A...

Supreme Court: Joint Family Property Disputes Need Evidence, Not Quick Rejection

The Supreme Court ruled that Order VII Rule 11 CPC cannot be invoked to reject a partition suit based on the Benami Act when plaint averments describe properties as joint family assets. Whether properties are benami or fall under exceptions (Section 2(9)(A)) requires evidence. Section 4’s bar applies only to proven benami transactions, not disputed claims requiring trial. Facts Of The Case: The dispute involved a family partition suit (Regular Suit No. 630A/2018) filed by Vidya Devi Gupta (mother) and Sudeep Gupta (younger son) against Sandeep Gupta (elder son), his wife Shaifali Gupta, and their children, along with subsequent property purchasers Deepak Lalchandani and Surya Prakash Mishra. The plaintiffs claimed that multiple properties acquired in individual family members’ names – in...