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2011 (7) TMI 1305 - SC - Indian Laws


Issues Involved:
1. Imposition of Costs
2. Frivolous and Uncalled for Litigation
3. Delay in Civil Litigation
4. Framing of Issues
5. Granting of Ex-parte Ad Interim Injunctions
6. Realistic Costs and Restitution

Issue-wise Detailed Analysis:

1. Imposition of Costs
The appeals were filed against the High Court's judgment and order imposing costs on the appellants. The Supreme Court upheld the High Court's decision, emphasizing that the appellants had created numerous obstacles during the trial. The court stated, "The appellants have seriously created obstacles at every stage during the course of trial and virtually prevented the court from proceeding with the suit." The court imposed a cost of Rs. 2,00,000 on the appellants, noting that "wrongdoers should not get benefit out of frivolous litigation."

2. Frivolous and Uncalled for Litigation
The judgment highlighted that the appellants engaged in frivolous litigation to delay the trial. The court noted, "The appellants belong to that category of litigants whose only motive is to create obstacles during the course of trial and not to let the trial conclude." The court criticized the appellants for filing multiple applications and misleading the court with incorrect dates and events. The Supreme Court emphasized the need to curb such litigation to prevent clogging the judicial system.

3. Delay in Civil Litigation
The court expressed concern over the delays in civil litigation, pointing out that the case had been pending for over four decades. The court stated, "This is a typical example of how an ordinary suit moves in our courts." The judgment included suggestions to improve the civil litigation process, such as careful scrutiny of pleadings and documents, imposition of realistic costs, and avoiding unnecessary adjournments.

4. Framing of Issues
The court criticized the mechanical framing of issues by the trial court without proper scrutiny. The judgment stated, "Framing of issues is a very important stage in the civil litigation and it is the bounden duty of the court that due care, caution, diligence and attention must be bestowed by the learned Presiding Judge while framing of issues." The court suggested that issues should be framed after recording the statements of the parties and partially hearing the matter.

5. Granting of Ex-parte Ad Interim Injunctions
The court emphasized the need for caution while granting ex-parte ad interim injunctions. The judgment stated, "The courts should be extremely careful and cautious in granting ex-parte ad interim injunctions or stay orders." The court suggested that ex-parte injunctions should be limited in duration and that the court should aim to dispose of the application for injunction as expeditiously as possible.

6. Realistic Costs and Restitution
The court stressed the importance of imposing realistic costs to discourage frivolous litigation. The judgment stated, "The courts do not impose realistic costs. The parties raise unwarranted claims and defenses and also adopt obstructionist and delaying tactics because the courts do not impose actual or realistic costs." The court suggested that imposing heavy costs and ordering prosecution in appropriate cases would help maintain the purity and sanctity of judicial proceedings.

Conclusion
The Supreme Court dismissed the appeals, upholding the High Court's imposition of costs and emphasizing the need to curb frivolous litigation. The court provided detailed suggestions to improve the civil litigation process, including careful scrutiny of pleadings, imposition of realistic costs, and cautious granting of ex-parte injunctions. The judgment serves as a significant step towards ensuring that the judicial system is not abused by unscrupulous litigants.

 

 

 

 

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