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Supreme Court of India

KRISHNA KUMAR OJHA & ORS.versusJITENDRA CHAUDHARY & ORS.

Citation
2026 INSC 662
Decided
1 July 2026
Disposal
Dismissed

Holding

The compromise decree was not in accordance with Order XXIII Rule 3 of the CPC and is therefore void, and the delay does not defeat the relief.

Summary

The appellants, heirs of the original plaintiffs in a partition suit, challenged a compromise decree entered on 22 February 1994 that purportedly settled the suit but was signed without the consent of Defendant No.5, Chaturbhuj Chaudhary. The lower courts had set aside the decree on grounds of fraud and lack of signature, a decision affirmed by the High Court, which the appellants appealed to the Supreme Court. The Court examined Order XXIII Rule 3 of the Code of Civil Procedure, 1908, which requires a written compromise signed by all parties or their expressly authorised representatives, and held that no express authorisation or exigent circumstance existed for the counsel to sign on behalf of Defendant No.5. Consequently, the compromise was deemed non‑voluntary and contrary to law, rendering the decree void. The Court also considered the 25‑year delay, concluding that the delay could not be allowed to perpetuate an illegal decree. The appeal was dismissed, leaving the compromise decree set aside and the partition suit to be tried on its merits.

Issues considered

  • Whether the compromise decree of 22 February 1994 complied with Order XXIII Rule 3 of the Code of Civil Procedure, 1908 requiring the signatures of all parties or their expressly authorised representatives.
  • Whether the 25‑year delay in challenging the decree bars the relief sought under Section 151 CPC.

Legislation cited

Headnote

Issue for Consideration Whether the compromise as accepted by the Civil Court on 22.02.1994 was in accordance with Or.XXIII r.3 of Code of Civil Procedure, 1908 or not. Headnotes† Code of Civil Procedure, 1908 – Or.XXIII r.3 – The plaintiff filed a partition suit, including, present respondent, seeking 1/4th share in the total property of common ancestor – During the pendency thereof, a compromise petition was filed by the plaintiffs and defendants ‘jointly’ which was accepted by Sub-Judge-01 Muzaffarpur vide order dated 22.02.1994 – Pursuant

Subjects

Or.XXIII r.3 CPCSection 151 CPCCompromise DecreeMissing SignatureAdvocate’s Express AuthorityProfessional ResponsibilityDelayVitiation by FraudLimitation

Judgment

                 [2026] 7 S.C.R. 504 : 2026 INSC 662

                      Krishna Kumar Ojha & Ors.
                                  v.
                      Jitendra Chaudhary & Ors.
                      (Civil Appeal No. 8739 of 2026)
                                01 July 2026
   [Sanjay Karol* and Nongmeikapam Kotiswar Singh, JJ.]


                          Issue for Consideration
       Whether the compromise as accepted by the Civil Court on
       22.02.1994 was in accordance with Or.XXIII r.3 of Code of Civil
       Procedure, 1908 or not.

                                 Headnotes†
       Code of Civil Procedure, 1908 – Or.XXIII r.3 – The plaintiff
       filed a partition suit, including, against the predecessors
       of the present respondent, seeking 1/4th share in the
       total property of common ancestor – During the pendency
       thereof, a compromise petition was filed by the plaintiffs and
       defendants ‘jointly’ which was accepted by Sub-Judge-01
       Muzaffarpur vide order dated 22.02.1994 – Pursuant thereto,
       a final decree was prepared on 27.05.1997 in terms of the
       above said compromise petition – After a quarter of a century,
       defendant no.5 represented through LRs-the respondents
       herein filed a Miscellaneous Case seeking setting aside of the
       aforesaid compromise decree on the ground that the same
       had been obtained by fraud and without the signatures of
       defendant no.5 – The same was allowed by the Trial Court –
       Appeal against the same, was dismissed by the High Court –
       Correctness:
       Held: In the present case, there is no express authorisation by
       defendant no.5 allowing the counsel-M to sign the compromise
       on his behalf, nor is there anything on record to demonstrate the
       exigent circumstances which prompted the counsel to act without
       seeking a clear approval from defendant no.5 – In absence of
       the aforesaid, the ‘voluntary’ aspect mandated by Or.XXIII r.3
       of the Code of Civil Procedure, 1908, which is essential for a
       compromise decree cannot be established on the record – As
       such, the requirements of Rule 3 have not been complied with –
* Author
[2026] 7 S.C.R.                                                               505

       Krishna Kumar Ojha & Ors. v. Jitendra Chaudhary & Ors.


     The resulting compromise is contrary to law – As far as delay is
     concerned, in view of this Court, if the delay had been the ground to
     dismiss the miscellaneous case, the effect would be to perpetuate
     something which is not in accordance with law – The same cannot
     be permitted – In this case, although the compromise was not
     signed by him, defendant no.5’s rights in the property which is not
     miniscule were directly affected by the compromise – Also, most
     basic facts in the instant case are disputed – It is for the aforenoted
     reasons that the delay of 25 years has to be given a go-by in the
     facts of this case – It is not in all cases that such large delay can
     be set aside – Whether or not a particular case warrants taking
     such a view is to be determined after a detailed examination of
     the record in each case – The compromise decree has been
     correctly set aside – The issues of the partition suit require to be
     adjudicated in a full trial. [Paras 5.6, 6.5, 6.6, 6.7]

                               Case Law Cited
     Himalayan Coop. Group Housing Society v. Balwan Singh [2015] 4
     SCR 616 : (2015) 7 SCC 373; Prasanta Kumar Sahoo v. Charulata
     Sahu 2023 INSC 319 : [2023] 5 SCR – relied on.
     Gurpreet Singh v. Chatur Bhuj Goel [1988] 2 SCR 401 : (1988)
     1 SCC 270; Som Dev v. Rati Ram [2006] 5 SCR 778 : (2006) 10
     SCC 788); Banwari Lal v. Chando Devi [1992] 3 SCR 524 : (1993)
     1 SCC 581; Byram Pestonji Gariwala v. Union Bank of India [1991]
     Supp. 1 SCR 187 : (1992) 1 SCC 31; Pushpa Devi Bhagat v.
     Rajinder Singh [2006] Supp. 3 SCR 370 : (2006) 5 SCC 566;
     Baldevdas Shivlal v. Filmistan Distributors (India) (P) Ltd. [1970]
     1 SCR 435 : (1969) 2 SCC 201; Navratan Lal Sharma v. Radha
     Mohan Sharma [2024] 12 SCR 453 : 2024 SCC OnLine SC 3720;
     M.P. Rajya Tilhan Utpadak Sahakari Sangh Maryadit, Pachama,
     District Sehore and Others v. M/s. Modi Transport Service [2022]
     4 SCR 647 : (2022) 14 SCC 345 – referred to.

                                 List of Acts
     Code of Civil Procedure, 1908.

                              List of Keywords
     Or.XXIII r.3 CPC; Section 151 CPC; Compromise Decree;
     Missing Signature; Advocate’s Express Authority; Professional
     Responsibility; Delay; Vitiation by Fraud; Limitation.
506                                                            [2026] 7 S.C.R.

                             Supreme Court Reports


                               Case Arising From
       CIVIL APPELLATE JURISDICTION : Civil Appeal No. 8739 of 2026
       From the Judgment and Order dated 25.03.2025 of the High Court
       of Judicature at Patna in CR No. 103 of 2024

                             Appearances for Parties
       Advs. for the Appellant(s):
       S.B.Upadhyay, Sr. Adv., Abhinav Kathuria, Ms. Nisha Thakur,
       Ms. Anisha Upadhyay.
       Advs. for the Respondent(s):
       R K Sanghi, Sr. Adv., Arun Maittri, Rabin Majumder, Ms. Radhika
       Chandrasekhar, Ms. Mousumi Roy, Shivam Majhi.

                      Judgment / Order of the Supreme Court

                                   Judgment

       Sanjay Karol, J.

1.     Leave Granted.
2.     This appeal has been filed by the Appellants (the legal heirs of the
       original plaintiffs and other co-sharers) who are aggrieved by the
       dismissal of civil revision no.103 of 2024 by learned single judge
       of the High Court of Judicature at Patna which was in turn directed
       against order dated 7th February 2024 passed by Sub-Judge-01(East)
       Muzaffarpur in Miscellaneous Case No.07 of 2022, whereby petition
       for setting aside decree dated 22nd February 1994 in Suit 128 of
       19891, on the basis of a compromise entered by Sub-Judge-01,
       Muzaffarpur2, was allowed.
3.     The plaintiff, Dinbandhu Ojha, filed a partition suit, including, against
       the predecessors of the present respondent, seeking 1/4th share
       in the total property of common ancestor by the name of Thakur
       Ojha. Chaturbhuj Chaudhary (Defendant No. 5), the abovesaid
       predecessor of the respondents appeared through counsel on



1    Partition suit
2    Civil Court
[2026] 7 S.C.R.                                                              507

           Krishna Kumar Ojha & Ors. v. Jitendra Chaudhary & Ors.


      summons in the suit. During the pendency thereof, a compromise
      petition was filed by the plaintiffs and defendants ‘jointly’ which
      was accepted by Sub-Judge-01 Muzaffarpur vide order dated 22nd
      February 1994. Pursuant thereto, a final decree was prepared on
      27th May 1997 in terms of the above said compromise petition. All
      appeared fine for approximately a quarter of a century thereafter,
      but it was not so. The defendant no.5 represented through LRs -
      the respondents herein filed a Miscellaneous Case No.07 of 2022
      before the concerned Court on 7th April 2022, seeking setting aside
      of the aforesaid compromise decree on the ground that the same
      had been obtained by fraud and without the signatures of defendant
      no.5. The same was allowed by the Trial Court, on 07.02.2024.
      Appeal thereagainst has been dismissed by the High Court. Hence,
      the case is before us.
4.    The short question which arises for consideration is whether the
      compromise as accepted by the Civil Court on 22nd February 1994
      was in accordance with Order XXIII Rule 3 of Code of Civil Procedure,
      19083 or not?
5.    We are of the considered view that it was not. Our reasons for such
      a conclusion shall be made clear in the following paragraphs.
      5.1 Order XXIII is titled ‘Withdrawal and Adjustment of Suits’ and
          Rule 3 thereof provide for compromise of suit in the following
          terms:
                  “3. Compromise of suit.—Where it is proved to
                  the satisfaction of the Court that a suit has been
                  adjusted wholly or in part by any lawful agreement
                  or compromise in writing and signed by the parties or
                  where the defendant satisfied the plaintiff in respect to
                  the whole or any part of the subject-matter of the suit,
                  the Court shall order such agreement, compromise or
                  satisfaction to be recorded, and shall pass a decree
                  in accordance therewith so far as it relates to the
                  parties to the suit, whether or not the subject-matter
                  of the agreement, compromise or satisfaction is the
                  same as the subject-matter of the suit:


3    CPC
508                                                             [2026] 7 S.C.R.

                            Supreme Court Reports


                   Provided that where it is alleged by one party and
                   denied by the other that an adjustment or satisfaction
                   has been arrived at, the Court shall decide the question;
                   but not adjournment shall be granted for the purpose
                   of deciding the question, unless the Court, for reasons
                   to be recorded, thinks fit to grant such adjournment.
                   Explanation.— An agreement or compromise which
                   is void or voidable under the Indian Contract Act,
                   1872 (9 of 1872), shall not be deemed to be lawful
                   within the meaning of this rule.”
                                                     (emphasis supplied)

       5.2 A perusal of various decisions of this Court reveals the following
           aspects regarding compromise decree:
            (a)    Prior to the 1976 Amendment to the CPC, a compromise
                   could be either oral or written, and the Court could decide
                   the same on the basis of general evidence by the parties,
                   Gurpreet Singh v. Chatur Bhuj Goel4
            (b)    After the amendment, it has been clarified that a
                   compromise must be in writing and must be signed by
                   the parties, Som Dev v. Rati Ram5
            (c)    The objective of the amendment is to prevent false and
                   frivolous pleas of compromise having been entered into
                   between the parties; (Gurpreet Singh supra)
            (d)    A compromise decree being signed by all parties is a
                   mandate of the law; (Gurpreet Singh supra)
            (e)    It has to be voluntarily accepted by parties and once such
                   acceptance is recorded by the Court, it acquires the sanctity
                   of the judicial order, Banwari Lal v. Chando Devi6
            (f)    A counsel/duly authorised representative/GPA holders is
                   permitted to sign a compromise decree on behalf of those
                   he represents, granted there is express authorisation or


4   (1988) 1 SCC 270)
5   (2006) 10 SCC 788)
6   (1993) 1 SCC 581)
[2026] 7 S.C.R.                                                              509

         Krishna Kumar Ojha & Ors. v. Jitendra Chaudhary & Ors.


                       exigency of circumstance (Byram Pestonji Gariwala v.
                       Union Bank of India7; Pushpa Devi Bhagat v. Rajinder
                       Singh8,
             (g)       In accepting a compromise decree, while it is true that the
                       court merely put a seal of approval, but its role cannot
                       be reduced to being only a recorder. It has to apply its
                       judicial mind to the terms to ensure that they are lawful;
                       (Banwari Lal supra)
             (h)       A consent decree which is the conclusion of a compromise,
                       does not operate as a resjudicata for it does not meet
                       Section 11 (CPC) requirements; (Baldevdas Shivlal v.
                       Filmistan Distributors (India) (P) Ltd.9)
             (i)       The only remedy available against a compromise decree
                       is a recall application. A fresh suit or an appeal is not
                       maintainable against this kind of decree; (Navratan Lal
                       Sharma v. Radha Mohan Sharma10
      5.3 The compromise that has been furnished to this Court by the
          respondents along with the written submissions records that
          there is no objection on behalf of defendant no.5 Chaturbhuj
          Chaudhary, and the said statement has come through his
          counsel Ram Krishna Mehta, whose vakalatnama is dated 27th
          August 1992. The question is whether Mr. Mehta learned counsel
          had been permitted by his client to act in a way that sealed, the
          fate regarding the entire property. In Byram Pestonji Gariwala
          supra, subsequently referred in M.P. Rajya Tilhan Utpadak
          Sahakari Sangh Maryadit v. Modi Transport Service11 it has
          been categorically observed that a counsel should not act on
          implied authority in the absence of exigent circumstance.
      5.4 Similar observations have been made in Himalayan Coop.
          Group Housing Society v. Balwan Singh12 by a three judge
          Bench as under:


7    (1992) 1 SCC 31
8    (2006) 5 SCC 566)
9    (1969) 2 SCC 201
10   2024 SCC OnLine SC 3720
11   (2022) 14 SCC 345
12   (2015) 7 SCC 373
510                                                   [2026] 7 S.C.R.

                Supreme Court Reports


       “31. Therefore, it is the solemn duty of an advocate
       not to transgress the authority conferred on him by
       the client. It is always better to seek appropriate
       instructions from the client or his authorised agent
       before making any concession which may, directly
       or remotely, affect the rightful legal right of the client.
       The advocate represents the client before the court
       and conducts proceedings on behalf of the client.
       He is the only link between the court and the client.
       Therefore his responsibility is onerous. He is expected
       to follow the instructions of his client rather than
       substitute his judgment.
       32. Generally, admissions of fact made by a counsel
       are binding upon their principals as long as they are
       unequivocal; where, however, doubt exists as to a
       purported admission, the court should be wary to
       accept such admissions until and unless the counsel
       or the advocate is authorised by his principal to make
       such admissions. Furthermore, a client is not bound
       by a statement or admission which he or his lawyer
       was not authorised to make. A lawyer generally has no
       implied or apparent authority to make an admission or
       statement which would directly surrender or conclude
       the substantial legal rights of the client unless such
       an admission or statement is clearly a proper step
       in accomplishing the purpose for which the lawyer
       was employed. We hasten to add neither the client
       nor the court is bound by the lawyer’s statements or
       admissions as to matters of law or legal conclusions.
       Thus, according to generally accepted notions of
       professional responsibility, lawyers should follow
       the client’s instructions rather than substitute their
       judgment for that of the client. We may add that in
       some cases, lawyers can make decisions without
       consulting the client. While in others, the decision is
       reserved for the client. It is often said that the lawyer
       can make decisions as to tactics without consulting the
       client, while the client has a right to make decisions
       that can affect his rights.”
                                          (emphasis supplied)
[2026] 7 S.C.R.                                                       511

       Krishna Kumar Ojha & Ors. v. Jitendra Chaudhary & Ors.


     5.5 Recently, the decision authored by J.B. Pardiwala J., in Prasanta
         Kumar Sahoo v. Charulata Sahoo, noted that almost sixty
         years ago the Madras High Court had observed that express
         authorisation is the norm and has to be followed:
                “105. Almost six decades back, the Madras High
                Court speaking through Ramaswami, J. (as his
                Lordship then was) in Govindammal v. Marimuthu
                Maistry [Govindammal v. Marimuthu Maistry, 1957
                SCC OnLine Mad 47 : AIR 1959 Mad 7] had sounded
                the note of caution observing as under : (SCC OnLine
                Mad para 5)
                     “5. … The decisions appear to be fairly
                     clear that even in cases where there is
                     no express authorisation to enter into a
                     compromise, under the inherent authority
                     impliedly given to the Vakil he has power
                     to enter into the compromise on behalf
                     of his client. But in the present state of
                     the clientele world and the position in
                     which the Bar now finds itself and in
                     the face of divided judicial authority and
                     absence of statutory backing prudence
                     dictates that unless express power is
                     given in the vakalatnama itself to enter
                     into compromise, in accordance with
                     the general practice obtaining a special
                     vakalatnama should be filed or the specific
                     consent of the party to enter into the
                     compromise should be obtained. If an
                     endorsement is made on the plaint, etc.
                     it would be better to get the signature or
                     the thumb impression of the party affixed
                     thereto, making it evident that the party is
                     aware of what is being done by the Vakil
                     on his or her behalf.”
     5.6 In the present case, there is no express authorisation by
         defendant no.5 allowing Mr. Mehta to sign the compromise on
         his behalf, nor is there anything on record to demonstrate the
         exigent circumstances which prompted the counsel to act without
512                                                         [2026] 7 S.C.R.

                          Supreme Court Reports


            seeking a clear approval from defendant no.5. In absence of
            the aforesaid, the ‘voluntary’ aspect mandated by Order XXIII
            Rule 3 of the Code of Civil Procedure, 1908, which is essential
            for a compromise decree cannot be established on the record.
            As such, the requirements of Rule 3 have not been complied
            with. The resulting compromise is contrary to law.
6.     On the aspect of delay, prima facie the gap between 1994 and 2022
       is egregiously large and it requires to be examined in detail. To that
       end, we must consider the application filed under Section 151 CPC
       and the reasoning on this aspect given both by the Civil Court and
       also the High Court.
       6.1 The paragraph in the application is reproduced as under:
                 “10. That after inspection of record following facts
                 were revealed to the applicants first of all
                 …
                 (v) That the plaintiff has not sought for any relief
                 against Chaturbhuj Chaudhary with respect to R.S.
                 Khata- 77 and 78.
                 (vi) That Chaturbhuj Chaudhary was made formal
                 party (defendant) vide para 7 of the plaint.
                 (vii) That a fraudulent compromise petition with
                 respect to R.S. Khata- 77 and 78 was filed on
                 18-02-1994 but not signed by Chaturbhuj Chaudhary.
                 (viii) That a power and written statement without
                 supported with an affidavit and statement etc. alleged
                 to be signed by Chaturbhuj Chaudhary was filed on
                 27-08-1992 by the lawyer Shri Ram Kishor Mahto.
                 (ix) That one lawyer namely Ramkishor Mahto
                 allegedly wrote no objection on behalf of defendant
                 no.-5 on compromise petition.
                 (x) That the compromise petition was accepted by
                 the Learned Court on 22-02-1994 without calling for
                 the case as well as parties including defendant no.-5.
                 The compromise petition does not bear the signature
                 of Chaturbhuj Chaudhary.
[2026] 7 S.C.R.                                                           513

       Krishna Kumar Ojha & Ors. v. Jitendra Chaudhary & Ors.


                (xi) That the above said compromise decree dated
                22-02-1994 is fraudulent and illegal one.
                …
                11. That it is submitted that no notice of Partition
                Suit- 128/1989 was ever served to the father of the
                applicants.
                12. That Chaturbhuj Chaudhary never engaged any
                lawyer much less namely Ramkishor Mahto to do
                Pairvee of Partition Suit-128/1989.
                13. That the signature appearing on written
                statement dated 27-08-1992 as well as Wakalatnama
                dated 27-08-1992 are not of Chaturbhuj Chaudhary
                rather it is fake one got created by plaintiff and other
                defendants of Partition Suit-128/1989 in collusion
                with each other.
                …
                16. That Chaturbhuj Chaudharv never said any
                where that R.S. Khata-77 and 78 have been wrongly
                recorded in his name.
                17. That since Chaturbhuj Chaudhary was not
                acquainted with Partition Suit – 128/1989 then
                question of taking part in Partition Suit-128/1989 by
                any mode does not and cannot arise by him.
                …
                28. That cause of action arose to the Applicants on
                03-04-2022 when the members of opposite parties
                came to the spot and asked the applicants to vacate
                the lands of R.S. Khata-77 and 78 on the basis of
                fraudulent Compromise Decree on 04-04-2022 when
                the applicants filed “Inspection Petition” on 06-04-
                2022 when record of Partition Suit-128/1989 was
                available to the applicants for inspection then the
                applicants finally came to know about the fraudulent
                Compromise Decree got passed by Learned Sub
                Judge First, Muzaffarpur.”
514                                                         [2026] 7 S.C.R.

                         Supreme Court Reports


       6.2 The plaintiff took objection to the aforesaid pleadings and
           instead averred as follows:
                “12. That from the said G.T. it would clear that
                Chatarbhuj Ojha was the own Mama of opp. Party no.
                1 (Krishna Kumar Ojha), maternal uncle of Opp. Party
                no.1 and Nana (grand father) of other opp. Parties. It
                is necessary to mention here that Chatarbhuj Ojha has
                much affection with his two sisters namely- Ramjhari
                Devi and Asarfi Kuer, so he mostly lived in her sister’s
                house situated in village Khabara, P.S. -Sadar,
                District- Muzaffarpur and look after the cultivation
                work of his sisters and also helped his Bhagina (Nati)
                grandson and in the cultivation work. It is necessary
                to mention here that Thakur Ojha died in the 1956,
                so the ancestral Revisional Survey Khatian has been
                prepared in the guidance of Chatarbhuj Chaudhary
                who is the own mama of opp. Party no.1 and own
                (nana) grand father of the opp. Parties.
                13. That while living with her sister’s house chaterbhuj
                Ojha has got recorded some ancestral land of these
                opp. Parties in his name under Khata No. 77and 78.
                It is a settled principle of law that Revisional Survey
                Entry does not creates title as discussed in A.I.R.
                1972 Patna page 27 (FB). It is necessary to mention
                here that inspite of wrong survey entry the disputed
                land bearing Khata no. 77 and 78 has been coming
                in possession of these opp. Parties.
                14. That when these opp. Party no.1 and other opp.
                Party have raised their objection before his mama
                about the wrong survey entry with respect to the land
                of Khata no. 77 and 78 then Chatarbhuj Chaudhary
                executed a registered Ladavi on 14.12.88 in favour
                of Daya Sindhu Ojha, Din Bandhu Ojha, Sri Krishna
                Kumar Ojha sons of Thakur Ojha, Smt. Raj Kumari
                Devi wife of Ramchandra Ojha with with respect to
                the land of Khata No. 77 and 78 to the knowledge
                of applicant and the sold land has been mentioned
                in Sch. B and C of P.S. No. 128/89.
                …
[2026] 7 S.C.R.                                                           515

       Krishna Kumar Ojha & Ors. v. Jitendra Chaudhary & Ors.


                16. That Chatarbhuj Chaudhary had filed his written
                statement on 27.8.92 where Chatarbhuj Ojha admitted
                that the lands of Khata no. 77 and 78 belonged to
                the family of these opp. Parties and it is the ancestral
                lands of these opp. Parties.
                17. That thereafter Chaterbhuj Chaudhary had also
                joined in the compromise petition and duly signed on
                the compromise petition. It is necessary to mention
                here that since filing of the partition suit no. 128
                of 1989 till final Decree, Chatarbhuj Ojha had pay
                a big role for passing of the final Decree because
                Chaterbhuj Chaudhary was acquainted with the
                court’s work.
                …
                34. That the contents of para no. 10 (vii) and vii of
                the injunction petition are wrong and incorrect. It is
                wrong to say that a fraudulent compromise petition
                with respect to P.S. Khata no. 77 and 78 was filed on
                18.02.1994 but not signed. Fact is that Chatarbhuj
                Chaudhary in his written statement as well as in
                compromise of P.S. No. 128/89 after going through
                the contents has signed his signature in the written
                statement as well as in the compromise petition.
                35. That the contents of para no. 10(ix) of the
                injunction petition are wrong and incorrect. It is
                wrong to say that one lawyer namely Ram Kishore
                Mahto allegedly wrote no objection on behalf of the
                defendant need on compromise petition. Fact is
                that Ram Kishore Mahto the lawyer of Chatarbhuj
                Chaudhary after instruction from his client has dully
                signed objection in the compromise petition.”
     6.3 The Sub-Judge-01(East) Muzaffarpur in Miscellaneous case
         no.07 of 2022 rejected the ground of limitation observing that the
         case of the applicant is that he came to know of the allegedly
         fraudulent compromise decree, just shortly before filing the said
         application. Whether or not this was the case, is a matter of
         evidence to be decided at trial. Further, it was observed that
         the law of limitation applies against act of parties and not action
516                                                          [2026] 7 S.C.R.

                          Supreme Court Reports


            of the Court. It was also observed that assuming truth to the
            matter of knowledge being subsequent, the power under Section
            151CPC can be exercised by the Court for the ends of justice
            especially where fraud is alleged to have been perpetuated and
            the same cannot be defeated due to irregularity in procedure.
       6.4 The aspect of delay was not gone into by the High Court and
           instead the order overall was affirmed as there was no illegality
           or jurisdictional error therein.
       6.5 In our view, if the delay had been the ground to dismiss the
           miscellaneous case, the effect would be to perpetuate something
           which is not in accordance with law. The same cannot be
           permitted. The law of limitation, while undoubtedly an important
           facet of the legal system, cannot be used as a means to defeat
           substantive rights. In this case, although the compromise was
           not signed by him, defendant no.5’s rights in the property which
           is not miniscule were directly affected by the compromise.
       6.6 There is another aspect that requires to be noted. All of the
           essential facts which form the basis of the compromise are itself
           contested. One party says that they are not family members
           while the other, in the objection via family chart demonstrates
           them to be relatives; One submits that the defendant no.5 had
           been made party only because his name had been inadvertently
           recorded in the survey register, while the other says that they
           have full right over the property and no part of the disputed
           property had been given up by them; there is also a statement
           regarding the complete lack of authorisation any which way,
           to the counsel for defendant no.5; the appellants submit that
           they/their father (defendant no.5) were not aware of the suit
           proceedings whereas the other party submits that defendant
           no.5 knew about all of the going-ons that led to the compromise
           decree. It was nearly 22 years after defendant no.5 died, which
           was in itself eight years after the decree of 1994, that the
           respondents sought to dispossess the appellants thereby setting
           into motion the present proceedings. Clearly, the most basic
           facts are disputed. This, along with the fact that the compromise
           decree is not in accordance with law gives us enough reason
           to agree with the reasoning of the Court below. It is for the
           aforenoted reasons that the delay of 25 years has to be given
           a go-by in the facts of this case. It is not in all cases that such
[2026] 7 S.C.R.                                                         517

          Krishna Kumar Ojha & Ors. v. Jitendra Chaudhary & Ors.


             large delay can be set aside. Whether or not a particular case
             warrants taking such a view is to be determined after a detailed
             examination of the record in each case.
     6.7 The compromise decree has been correctly set aside. In fact,
         we are of the view that the issues of the partition suit require to
         be adjudicated in a full trial. While we acknowledge the difficulty
         that may arise in 1989 suit being taken to trial 37 years later, but
         it is not possible to decide the rights of the parties without the
         due process of collection and weighing of evidence, whatever
         may be available.
7.   In view of the aforenoted, appeal is dismissed. No costs.

      Result of the case: Appeal dismissed.




      †
          Headnotes prepared by: Ankit Gyan


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