Created by Fuzzy Cloud

Bombay High Court

ANANDRAO LAHU PATIL AND ANR.versusSHIVSAGAR RAMAYYA SWAMI

Disposal
Rejected

Holding

The High Court held that the trial court correctly rejected the application and that rejection under Order VII Rule 11(b)/(c) is not automatic, thus dismissing the revision.

Summary

The plaintiff, Shivsagar Ramayya Swami, filed a suit seeking declaration, cancellation of a sale deed dated 21‑10‑2021 and a permanent injunction. The defendants, Anandrao Lahu Patil and others, moved an application under Order VII Rule 11(d) of the CPC alleging that the plaintiff had paid insufficient court fee because the fee was calculated on the consideration amount rather than the full property valuation. The trial court rejected the defendants' application and allowed the suit to proceed. On revision, the High Court examined the principles governing Order VII Rule 11, emphasizing that a plaint cannot be summarily rejected for undervaluation or deficit fee without first directing the plaintiff to rectify the deficiency. The Court held that the trial court had correctly applied this procedure and found no error in its order. Consequently, the revision application was dismissed.

Issues considered

  • Whether the trial court erred in rejecting the defendants' application under Order VII Rule 11(d) on the ground of non‑payment of sufficient court fee.
  • Whether a plaint may be rejected outright for undervaluation or deficit court fee without giving the plaintiff an opportunity to correct the deficiency.
  • Whether the court fee for the suit should be based on the consideration amount of the sale deed or on the valuation of the entire property.

Legislation cited

Subjects

  • court fee
  • Order VII Rule 11
  • Civil Procedure Code
  • revision
  • sale deed
  • declaration
  • injunction
  • valuation
  • Maharashtra Court Fees Act

Judgment

                                                                          943-CRA-55-2026(C).doc


                               IN THE HIGH COURT OF JUDICATURE AT BOMBAY
                                         CIRCUIT BENCH AT KOLHAPUR
                                         CIVIL APPELLATE JURISDICTION
                                  CIVIL REVISION APPLICATION NO. 55 OF 2026

                                           Anandrao Lahu Patil And Anr.
                                                     VERSUS
                                            Shivsagar Ramayya Swami

                     Mr. Rajesh More, Advocate for Applicant
                     Mr. Dhananjay Ananda Utture, Mr. Shantanu C. Gurav a/w Mr.
                     Darshan R. Swami Advocate for Respondents

                                                    CORAM :      SACHIN S. DESHMUKH, J.
                                                    DATE :       18th APRIL, 2026.

                     P. C. :


                     1.        This Revision Application raises an exception to the order

                     dated 18/03/2025 below Exhibit 13 rendered by 2 nd Civil Judge

                     Senior Division, Kolhapur in Special Civil Suit No. 386/2023.


                     2.        The Applicants are the original Defendants while the

                     Respondent is the original Plaintiff. (Hereinafter the parties shall be

IRESH
MASHAL
                     referred to by their original status in the Suit).

Digitally
signed by
IRESH
MASHAL               3.        The Plaintiff instituted the Suit seeking declaration and
Date:
2026.05.04
15:30:59
+0530

                     cancellation of the the sale deed dated 21/10/2021 in relation to

                     the suit property alongwith further relief of permanent injunction.


                     4.        In the interregnum, the Defendants presented an Application

             Iresh                                    1 of 6
                                                           943-CRA-55-2026(C).doc


        under Order VII Rule 11(d) of Code of Civil Procedure, 1908.

        Considering the the consideration amount, Defendants raised the

        issue of non payment of sufficient Court fee and prayed to reject the

        Plaint.


        5.    The Trial Court after considering the submissions of litigating

        sides, rendered the order under challenge rejecting the Application

        of the Defendants. Aggrieved by the same, the Defendants are

        before this Court.


        6.    Learned counsel for the Applicants-original Defendants

        submits that the order under challenge is unsustainable in law. The

        Court fee paid by the Plaintiff is paid on the basis of the

        consideration amount of the sale deed and not on the valuation of

        the entire property. As such, the Plaintiff has paid deficit Court fee

        as per the Section 6(4)(ha) of The Maharashtra Court Fees Act.

        Thus, the Trial Court has erred while passing the order under

        challenge.


        7.    Learned counsel for the Respondent-original Plaintiff has

        supported the order under challenge and prayed to reject the

        Application.


Iresh                                   2 of 6
                                                             943-CRA-55-2026(C).doc


        8.     Having heard the submissions from the litigating sides and

        upon perusal of record, particularly the Plaint indicates that the

        Plaintiff has sought the relief of declaration in relation to the sale

        deed in question and not against the property referred to the sale

        deed. Thus, the Plaint is primarily in relation to the sale deed and

        reliefs thereupon.


        9.     The principles governing the exercise of power under Order

        VII Rule 11 of the Code can be culled out as follows:


        (i)    The object underlying Order VII Rule 11 is to ensure that a

               litigation which is frivolous or is bound to fail does not occupy

               the judicial time.


        (ii)   The test for exercise of power under Order VII Rule 11 is

               whether the averments made in the plaint are taken in

               entirety, in convention with documents relied upon, would

               result in a decree being passed. The Court must examine the

               averments in the plaint in conjunction with the documents

               relied upon, and the pleas taken in the written statement

               would be wholly irrelevant. If any of the grounds specified in

               clauses (a) to (e) are made out, the court is bound to reject


Iresh                                    3 of 6
                                                           943-CRA-55-2026(C).doc


               the plaint.


        (iii) Whether a plaint discloses a cause of action is essentially a

               question of fact, to be determined on a holistic reading of the

               plaint itself. It is impermissible to isolate a sentence or a

               passage and to read it out of context.


        (iv)   If the averments made in the plaint prima facie show the

               cause of action, the court cannot embark upon an enquiry

               whether averments are correct.


        (v)    The exercise of power under Order VII Rule 11 of the Code is

               mandatory in nature and the court must ascertain whether the

               plaint discloses a real cause of action or something merely

               illusory.


        (vi)   The power under Order VII Rule 11 of the Code may be

               exercised at any stage of the suit.


        10.    Insofar as the rejection of the plaint on the ground of

        improper valuation and non-payment of appropriate court fee is

        concerned, a plain and conjoint reading of clauses (b) and (c) of

        Order VII Rule 11 of the Code makes it abundantly clear that the



Iresh                                    4 of 6
                                                            943-CRA-55-2026(C).doc


        power to reject a plaint on the grounds enumerated therein, is not

        to be exercised in the first instance, without affording an

        opportunity to the plaintiff. The statutory scheme contemplates a

        two-step process. Firstly, the Court must form an opinion that the

        relief claimed is undervalued or that the court fee paid is

        insufficient. Secondly, upon such determination, the Court is

        obligated to require the plaintiff to correct the valuation and/or

        supply the requisite court fee within a time to be fixed by it. It is

        only upon failure of the plaintiff to comply with such direction

        within the stipulated time, that the consequences of rejection of the

        plaint can ensue. Thus, the rejection of a plaint under Order VII

        Rule 11(b) or (c) is not automatic upon a finding of undervaluation

        or deficit court fee; rather, it is conditional upon non-compliance

        with the opportunity so granted by the Court.


        11.   Considering the sale deed and the consideration amount as

        such, the Court fee is valued and paid accordingly by the Plaintiff.

        Furthermore, the sale deed, its legality and proprietary is the subject

        matter of the Suit and the reliefs are sought accordingly.


        12.   Thus, the above aspects are considered by the learned trial



Iresh                                   5 of 6
                                                           943-CRA-55-2026(C).doc


        Court in its proper perspective. As such, in view of the aforesaid

        findings, no error is noted in the order under challenge.


        13.   Resultantly, the Revision Application stands dismissed. No

        order as to costs.



                                             [SACHIN S. DESHMUKH, J.]




Iresh                                   6 of 6


Continue reading with your account

Sign in to read the full judgment. It’s free.

Sign in to read

Checking your session…

For a signed copy suitable for filing, refer to the court's website.