1983 (10) TMI 292 - HC - Indian Laws

Summary

Issues:
- Suit based on promissory note
- Defendant's plea of payment and limitation
- Judgment of Subordinate Judge and Additional District Judge
- Challenge on the question of limitation in Second Appeal

Analysis:
The case involves a suit based on a promissory note where the plaintiff claimed that the defendant had taken a loan of Rs. 3,000 and failed to repay it along with the agreed interest. The defendant contended that he had repaid the loan in the presence of witnesses but the plaintiff did not return the promissory note. Additionally, the defendant raised a plea of limitation, arguing that the suit was time-barred. The Subordinate Judge ruled in favor of the plaintiff, rejecting the defendant's payment plea and finding the suit within the limitation period.

Upon appeal, the Additional District Judge affirmed the Subordinate Judge's decision, leading to a Second Appeal by the defendant. In the Second Appeal, the defendant challenged the lower courts' judgments on various grounds, with the question of limitation being a significant issue. The defendant argued that the suit, filed on 4-4-74, was beyond the limitation period, which should have ended on 2-4-74, as per the provisions of the Limitation Act, 1963.

The High Court examined the timeline of events and found that the suit was initially filed in a court lacking pecuniary jurisdiction on 2-4-74, the last day of limitation. The plaint was returned to the plaintiff and refiled in the proper court on the same day. However, the court held that as per Section 4 of the Limitation Act, the plaintiff was not entitled to an extension of the limitation period since the suit was not presented in the proper court on the reopening day.

Consequently, despite the plaintiff succeeding on the merits in the lower courts, the High Court allowed the appeal, dismissing the suit as barred by limitation. The court emphasized that the plaintiff could not benefit from Section 4 to extend the limitation period, given the improper filing in the initial court. In the absence of any costs ordered due to the peculiar circumstances, the suit was ultimately dismissed on grounds of limitation.