Citation : 2025 Latest Caselaw 115 J&K/2
Judgement Date : 9 May, 2025
Sr. No.95
Suppl List
HIGH COURT OF JAMMU & KASHMIR AND LADAKH
AT SRINAGAR
CM(M) No.183/2025
CM No.2775/2025
Caveat No.1002/2025
MOHAMMAD AMIN SHAH & ANR. ... PETITIONER(S)
Through: - Mr. S. M. Ayoub, Advocate.
Vs.
UT OF J&K & OTHERS ...RESPONDENT(S)
Through: - Mr. Mohammad Mubashir Gatoo,
Advocate-for R5 to R7 (Caveators)
CORAM: HON'BLE MR. JUSTICE SANJAY DHAR, JUDGE
ORDER(ORAL)
09.05.2025
1) The petitioners, through the medium of present
petition, have challenged order dated 17.04.2025 passed by
the learned Sub Judge, Shopian (hereinafter referred to as
"the trial court"), whereby the suit filed by the petitioners
against the respondents has been stayed in view of the
provisions contained in Section 3 of the J&K Migrants (Stay
of Proceedings) Act, 1997 (for short "the Stay of Proceedings
Act").
2) Issue notice to the respondents No.5 to 7 in the first
instance.
3) Mr. Mohammad Mubashir Gatoo, Advocate, who is on
caveat, waives notice on behalf of respondents No.5 to 7.
The caveat shall stand discharged.
4) Heard and considered.
5) It seems that the petitioners have filed a suit against
the respondents before the learned trial court seeking
specific performance of agreement to sell in respect of land
measuring 08 marlas under Khasra No.448 situated at
Hergam Shopian. A further declaration declaring the Power
of Attorney dated 16th October, 2024, executed by
respondents/defendants No.5 to7 in favour of
respondents/defendants No.8 and 9 as null and void, has
also been sought. The petitioners have further sought a
permanent prohibitory injunction restraining the
respondents/defendants No.1 to 4 from granting formal
permission for alienation of land measuring 08 marlas
under Khasra No.448 situated at Village Hergam Shopian.
6) It seems that on presentation of the suit, an interim
order dated 17.12.2024 came to be passed by the learned
trial court whereby the parties were directed to maintain
status quo with regard to suit land measuring 08 marlas.
Upon appearance of respondents/defendants No.5 to 7
before the court, they filed an application under Section 3
of the Stay of Proceedings Act, seeking stay of the
proceedings of the suit. The said application was allowed by
the learned trial court in terms of the impugned order and
the proceedings were stayed. Besides, this the interim order
dated 17.12.2024 has also been kept in abeyance in terms
of the impugned order.
7) The petitioner has challenged the impugned order on
the grounds that by staying proceedings of the suit, the
legal rights accrued to the petitioners in respect of the suit
land have been taken away. It has been contended that the
suit filed by the petitioners for specific performance of
agreement/contract does not come within the purview of
Section 3 of the Stay of Proceedings Act. It has been further
contended that the suit for specific performance against a
migrant is maintainable and this settled position of law has
not been taken into account by the learned trial court. It
has also been contended that it was not open to the learned
trial court to keep the exparte interim order dated
17.12.2024 in abeyance as by doing so, the suit of the
petitioners has been rendered infructuous.
8) The case set up by the petitioners in their plaint is
that they had entered into an agreement to sell dated 6 th
September, 1999, with respondents/defendants No.5 to 7
in respect of a residential house and the land measuring
02 kanals and 13 marlas falling under Khasra No.448
situated at Village Hergam Shopian, for a sale consideration
of Rs.12.50 lacs, out of which he had paid an amount of
Rs.10.00 lacs to the said respondents/defendants. It has
been pleaded that the sale deed in respect of land
measuring 02 kanals and 05 marlas has already been
executed by the aforesaid respondents/defendants after
obtaining requisite permission under the provisions of the
J&K Migrant Immovable Property (Preservation, Protection
and Restraint on Distress Sales) Act, 1997 (for short "the
Act of 1997") from the competent authority. However,
regarding balance land of 08 marlas, the permission was
not granted and the sale deed could not be executed as the
said portion of the land was under the unauthorized
occupation of respondents No.8 and 9.
9) It is the case of the petitioners that respondents No.5
to 7 have executed a Power of Attorney in respect of balance
08 marlas of land in favour of respondents No.8 and 9,
which, in the face of agreement to sell dated 6th September,
1999, is null and void. It has been submitted that
respondents No.5 to 7 are obliged to execute sale deed in
respect of this balance 08 marlas of land and that the
petitioners are ready to pay the balance amount of Rs.2.50
lacs to the said respondents.
10) The question that is required to be determined is as to
whether the suit of the aforesaid nature filed by the
petitioners/plaintiffs, inter alia, against the respondents/
defendants No.5 to 7, who are, admittedly, migrants within
the meaning of Section 2(e) of the Act of 1997, can be
proceeded with in the face of the provisions contained in
Section 3 of the Stay of Proceedings Act, which reads as
under:
"Stay of proceedings against migrants.--- Notwithstanding anything to the contrary contained in any law for the time being in force, all proceedings pending or hereinafter filed against a migrant for recovery of loan raised in the Kashmir Division or relating to immovable property situated in the Kashmir Division shall remain stayed from the commencement of this Act till the Government notifies otherwise :
Provided that nothing in this section shall apply to a dispute relating to recovery of money or immovable property inter-se migrants."
11) From a perusal of the aforesaid provision, it is clear
that all proceedings pending on the date of coming into
force of the Stay of Proceedings Act and the proceedings
filed thereafter against a migrant for recovery of loan raised
in Kashmir Division or relating to immovable property
situated in Kashmir Division have to remain stayed.
12) A Coordinate Bench of this Court in the case of Vinod
Kumar Bhat vs. Ab. Majeed Lone & anr. 2019 (5) JKJ 72
[HC] has, after noticing the provisions of Section 3 of Stay
of Proceedings Act and the statements of objects and
reasons of the said Act, observed as under:
"Keeping in view the above avowed object of the legislation and plain interpretation of Section 3 of the Act of 1997, there is no escape from the conclusion that any suit filed against the migrant in relation to either the recovery of loan raised in Kashmir Division or immovable property situated in Kashmir Division is required to be stayed, till the Government notifies otherwise, whether or not the immovable property, which is subject matter of suit, belongs to a migrant."
13) Having regard to the aforesaid position of law, it is
clear that once it is found that the proceedings have been
filed against a migrant relating to immovable property
situated in Kashmir Division, the same have to remain
stayed.
14) Learned counsel for the petitioners has placed reliance
upon the judgments of this Court in the cases of Madan Lal
Sahani and others vs. Satpal Sahani and others, 2004
(3) JKJ 183, and Gh. Rasool Bhat and Ors. Vs. Badrinath
Bhat and Ors. AIR 2009 J&K 53, to support his contention
that Section 3 of the Stay of Proceedings Act would not get
attracted to the facts of the present case.
15) The ratio laid down in the aforesaid cases cannot be
made applicable to the facts of the present case. In Madan
Lal Sahani's case (supra), the Court observed that active
participation of a defendant in the proceedings would
amount to waiver and if a migrant has participated in the
proceedings and the decree passed, the same would not be
illegal. In the present case, the respondents No.5 to 7 have
immediately upon putting in their appearance before the
learned trial court made an application under Section 3 of
the Stay of Proceedings Act without waiving their right to
seek stay of the proceedings. Similarly, in Gh. Rasool
Bhat's case (supra) the Court was not seized of the issue
relating to Stay of Proceedings Act. In the said case, the
Court had, after noticing the provisions of the Act of 1997,
in the peculiar facts and circumstances of the case where
the plaintiff had sought an alternative relief of recovery of
amount paid pursuant to the agreement to sell, come to the
conclusion that the suit for specific performance of contract
would be maintainable.
16) Thus, the facts of both the aforesaid cases, upon
which reliance has been placed by the petitioners, were
entirely different from the facts of the present case. The
ratio laid down by this Court in the said cases would not be
applicable to the facts of the present case where there is no
dispute about the status of respondents/defendants No.5
to 7 being migrants and it is also not in dispute that the
property which is subject matter of the suit belongs to the
migrants.
17) So far as contention of the petitioners that keeping in
abeyance of interim protection granted in their favour, in
terms of the impugned order is not in accordance with law,
is concerned, the same is also without any merit because,
admittedly, the petitioners have not paid the balance sale
consideration of Rs.2.50 lacs to respondents No.5 to 7 and,
admittedly, permission has not been granted for sale of 08
marlas of the suit land in favour of the petitioners by the
competent authority in terms of the Act of 1997. In these
circumstances, in view of the provisions contained in
Section 3 of the Act of 1997, the petitioners, prima facie,
cannot claim any right or interest in 08 marlas of land as
any transfer or purported transfer in violation of Section 3
of the 1997 Act is forbidden by law. Thus, the petitioners
do not have a prima facie case in their favour so as to entitle
them to grant of an interim inunction in respect of the suit
property as against the respondents/defendants.
18) Under these circumstances, the learned trial court
has rightly kept the interim order dated 17.12.2024 in
abeyance. The said part of the impugned order, therefore,
does not call for any interference by this Court.
19) In view of the above, I do not find any merit in this
petition. The same is dismissed accordingly.
20) Before parting, this Court would like to highlight
certain glaring omissions on the part of the learned trial
court in the matter of scrutinizing the plaint filed by the
petitioners, particularly the pleadings relating to valuation
of the suit and the payment of court fee. In para (19) of the
plaint, it is pleaded that the suit is valued at Rs.500/- for
the purposes of court fee and jurisdiction and the requisite
court fee has been paid thereon.
21) As has already been noticed while narrating facts of
this case, the petitioners/plaintiffs are seeking specific
performance of contract in respect of a property valued at
Rs.12.50 lacs, out of which defendants No.5 to 7 are stated
to have received Rs.10.00 lacs. It is pleaded in the plaint
that balance 08 marlas of land has not been transferred to
the plaintiffs, as such, they have retained a sum of Rs.2.50
lacs, meaning thereby that the value of the suit land
measuring 8 marlas even as per the case of the plaintiff is
Rs.2.50 lacs, regarding which the plaintiffs are seeking
specific performance of agreement to sell. It is to be noted
that the plaintiffs are also seeking possession of the land in
question along with specific performance of agreement to
sell.
22) Section 7(x)(a) of the Court Fees Act provides that in
suits for specific performance of a contract of sale, the court
fee has to be paid according to the amount of consideration.
Section 8 of Suits Valuations Act provides that the value as
determinable for the computation of court fees and the
value for purposes of jurisdiction has to be the same.
23) In the light of the provisions contained in Section
7(x)(a) of the Court Fees Act and Section 8 of the Suits
Valuation Act, the petitioners/plaintiffs had to value the
suit for the purposes of court fee and jurisdiction at Rs.2.50
lacs, which was the sale consideration fixed for 08 marlas
of suit land and they had to pay ad valorem court fee on the
said amount. Instead of doing so, the plaintiffs have valued
the suit at Rs.500/- and paid the court fee thereon. Thus,
they have tried to evade the payment of court fee. Had the
petitioners/plaintiffs valued their suit properly in
accordance with the provisions contained in Section 7(x)(a)
of the Court Fees Act and Section 8 of the Suits Valuation
Act, they had not only to pay ad valorem court fees on
Rs.2.50 lacs but even the subject matter of the suit would
have gone beyond the pecuniary jurisdiction of the learned
24) The aforesaid aspect of the matter is being highlighted
because it has come to notice of this Court in a large
number of cases that the plaintiffs/litigants are avoiding to
pay proper court fee by putting the valuation of the suits
for the purposes of court fee and jurisdiction without
adherence to the provisions contained in Section 7(x)(a) of
the Court Fees Act and Section 8 of Suits Valuation Act.
This has invariably resulted in loss to the State exchequer
and the trial courts are turning a blind eye to this aspect of
the matter and are proceeding to decide the suits without
insisting upon payment of proper court fees.
25) It is incumbent upon a civil court to scrutinize the
plaint and ascertain whether the suit has been properly
valued for the purposes of court fee and jurisdiction and
whether proper court fees has been paid. This has to be
done not only for the purposes of deciding as to whether
proper court fee has been paid but also for the purpose of
determining whether the concerned court has the
pecuniary jurisdiction to try the suit. In fact, the courts
have a duty to ensure that proper court fees is paid. For
this purpose a court is expected to verify and scrutinize the
pleadings for ascertaining valuation of the subject matter
and to take steps to recover any deficient fees.
26) In view of the above, it is, therefore, impressed upon
all the civil courts within the jurisdiction of the High Court
of J&K and Ladakh to properly scrutinize the plaints for the
purposes of ascertaining whether the suit(s) has/have been
properly valued and whether proper court fees has been
paid and if the same has not been done, the concerned
court(s) must take necessary steps so that the plaintiffs are
compelled to make good the deficiency and it is only
thereafter, that the court(s) should proceed further in the
matter. In default, the concerned court(s) should proceed
against the defaulting plaintiff(s) in accordance with the
provisions contained in Order 7 Rule 11(b) of the CPC.
27) The Registrar General shall circulate copies of this
judgment to all the civil courts within the jurisdiction of the
High Court of J&K and Ladakh, for its strict compliance.
(SANJAY DHAR) JUDGE Srinagar 09.05.2025 "Bhat Altaf-Secy"
Whether the order is reportable: Yes/No
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