Madras High Court
M.Shikar Huf vs Mr.Arun Kumaran. E on 3 August, 2023
C.S.(Comm.Div.).No.5 of 2022
IN THE HIGH COURT OF JUDICATURE AT MADRAS
DATED : 03.08.2023
CORAM
THE HONOURABLE Ms. JUSTICE P.T. ASHA
C.S.(Comm.Div).No.5 of 2022
M.Shikar HUF,
Rep. by its Karta,
Mr.M.Shikar,
Son of Megharaj,
Flat No.1B, TVH Akhiraa,
18, Bawa Road, Alwarpet,
Teynampet,
Chennai - 600018. ...Plaintiff
Vs.
Mr.Arun Kumaran. E
...Defendant
PRAYER: Plaint is filed under under Order VII Rule 1 of the O.S Rules.
read with Order XXXVII Rule 1 & 2 of the Code of Civil Procedure, 1908,
praying to pass the judgment and decree:-
A. To pay a sum of Rs.2,41,60,200/- (Rupees Two Crore Forty One
Lakhs Sixty Thousand Two Hundred) together with interest @ 18% per
annum on the principal sum of Rs.1,70,00,000/- from the date of plaint to
till the date of realization.
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C.S.(Comm.Div.).No.5 of 2022
B. To pay the costs of the suit, and
C. Grant such further relief(s) as this Hon'ble Court may see fit and
proper in the circumstances of the case and thus render justice.
For Plaintiff : M/s.Praveen Purohit, T.M.Mano
For Defendant : M/s.R.Murali
JUDGMENT
The plaintiff and the defendant have entered into a compromise which
has been reduced into writing in a Joint Compromise memo dated
21.07.2023. The Joint Compromise memo is signed by the plaintiff and the
defendant and also by their respective counsels. The terms of the Joint
Compromise memo is set out in paragraph Nos.2(a) to (l). The said Joint
Compromise memo dated 21.07.2023 is taken on file.
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C.S.(Comm.Div.).No.5 of 2022
2. Accordingly this Civil Suit is decreed in terms of the Joint
Compromise memo dated 21.07.2023. The terms contained in paragraph
Nos.2(a) to (l) of Joint Compromise memo signed by the plaintiff and the
defendant shall form part of this judgment and decree. No Costs.
3. The Hon'ble Apex Court in High Court of Judicature at Madras
vs. M.C.Subramaniam and others reported in (2021) 3 SCC 560 held that
in cases where the matter is settled out of court by private negotiation of
parties, the refund of court fee can be ordered. The relevant observation of
the Hon'ble Apex Court is as follows:-
“23. We find ourselves in agreement with the
approach taken by the High Courts in the decisions stated
supra. The purpose of Section 69-A is to reward parties who
chosen to withdraw their litigations in favour of more
conciliatory dispute settlement mechanisms, thus saving the
time and resources of the Court, by enabling them to claim
refund of the Court fees deposited by them. Such refund of
Court, though it may not be connected to the substance of
the dispute between the parties, is certainly an ancillary
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C.S.(Comm.Div.).No.5 of 2022
economic incentive for pushing them towards exploring
alternative methods of dispute settlement. As the Karnataka
High Court has rightly observed in Kamalamma the parties
who have agreed to settled their disputes without requiring
judicial intervention under Section 89 CPC are even more
deserving of this benefit. This is because by choosing to
resolve their claims themselves, they have saved the state of
the logistical hassle of arranging for a third-party
institution to settle the dispute. Though arbitration and
mediation are certainly salutary dispute resolution
mechanisms, we also find that the importance of private
amicable negotiation between the parties cannot be
understated. In our view, there is no justifiable reason why
Section 69-A should only incentivise the methods of out-of-
Court settlement stated in Section 89 CPC and afford step-
brotherly treatment to other methods availed by the
parties.”
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C.S.(Comm.Div.).No.5 of 2022
4. In view of the law laid down by the Hon'ble Apex Court in the
above said decision, the plaintiff is entitled to get refund of the Court fee
affixed by him in the plaint.
03.08.2023
Index : Yes/No
Internet : Yes/No
Neutral Citation : Yes/No
shr
https://www.mhc.tn.gov.in/judis
C.S.(Comm.Div.).No.5 of 2022
P.T. ASHA, J,
shr
C.S.(Comm.Div).No.5 of 2022
03.08.2023
https://www.mhc.tn.gov.in/judis
