When Does a Defendant’s Failure to Raise Objection on Ad Valorem Court Fee Deprive Them of Contesting Possession Suits?

The Punjab & Haryana High Court in 2025 reaffirmed that a defendant cannot challenge a suit for want of ad valorem court fee unless the objection was specifically raised in the written statement. The judgment upholds established precedent and is binding on all subordinate courts in Punjab, Haryana, and Chandigarh, particularly in suits involving mandatory injunction and possession.

 

Summary

Category Data
Case Name RSA/3039/2025 of KAMALJEET ALIAS KAMALJIT Vs BALJINDER KAUR
CNR PHHC010920972025
Date of Registration 30-08-2025
Decision Date 02-09-2025
Disposal Nature DISMISSED
Judgment Author MR. JUSTICE DEEPAK GUPTA
Court High Court of Punjab and Haryana
Precedent Value Binding on subordinate courts within jurisdiction
Overrules / Affirms Affirms concurrent findings of lower courts
Type of Law Civil Procedure – Court Fee – Suit for Injunction/Possession
Questions of Law Whether the absence of an objection in the written statement regarding deficient ad valorem court fee precludes an appellant from contesting the maintainability of the suit on this ground.
Ratio Decidendi
  • The High Court held that, where a defendant-appellant had not pleaded in the written statement that the suit was bad for non-payment of ad valorem court fee, the issue cannot be raised in appeal.
  • The defendant’s reply and all evidence established that the original agreement was a licence, not a tenancy.
  • The new owner, having purchased by sale-deed, succeeded to all rights including possession.
  • The lower courts’ concurrent findings were affirmed and the appeal dismissed as devoid of merit.
Facts as Summarised by the Court
  • Plaintiff filed suit for mandatory injunction (and in the alternative, possession).
  • Defendant claimed tenancy, denied licence.
  • Evidence showed defendant inducted as licensee; plaintiff purchased property via sale deed; lower courts decreed suit.
  • Defendant raised court fee objection for the first time in second appeal.

Practical Impact

Category Impact
Binding On All subordinate courts in Punjab, Haryana, and Chandigarh
Persuasive For Other High Courts in similar procedural contexts
Follows Affirms the principle that failure to timely object to court fee bars later procedural challenges

What’s New / What Lawyers Should Note

  • The judgment clarifies and reaffirms that an objection regarding payment of ad valorem court fee must be specifically pleaded in the written statement; failing which, the objection cannot be raised at the appellate stage.
  • In cases involving licence and tenancy disputes, documentary evidence (agreement and sale-deed) is determinative.
  • Lawyers should advise clients to raise all procedural objections at the earliest opportunity in trial courts.

Summary of Legal Reasoning

  • The Court first addressed the contention regarding non-payment of ad valorem court fee, finding no such plea in the defendant’s written statement (Annexure A-2).
  • The Court highlighted that, since the objection was not taken at any earlier stage, it could not be raised for the first time in the second appeal.
  • On merits, the Court examined the agreement (Ex. P-2) and the sale deed (Ex. P-3), holding that the defendant was a licensee, not a tenant, and that the plaintiff validly stepped into the shoes of the previous owner.
  • The High Court noted the consistent concurrent findings by both trial and appellate courts and found no justification to disturb them.

Arguments by the Parties

Petitioner (Appellant):

  • Argued that the respondent-plaintiff was required to pay ad valorem court fee to seek possession of the disputed shop.

Respondent:

  • Relied on documentary evidence to establish that the defendant was a licensee, not a tenant.
  • Asserted that no objection to court fee was ever raised by the defendant in the written statement.

Factual Background

The plaintiff purchased the disputed shop by sale deed from Harbans Singh, who had inducted the defendant as a licensee under an agreement dated 08.10.2003. After the sale, the plaintiff notified the defendant and sought possession, but the defendant claimed tenancy and refused to vacate. The plaintiff filed a suit for mandatory injunction (and alternatively, possession). Both the trial and first appellate courts held in the plaintiff’s favour, finding the defendant was a licensee. The defendant, for the first time in second appeal, objected to alleged deficiency of court fee.

Statutory Analysis

  • The Court discussed the Code of Civil Procedure, 1908, specifically Section 151 regarding procedural powers.
  • Addressed court fee requirements in possession/injunction suits, emphasizing the procedural rule that objections to court fee must be pleaded at the trial stage in the written statement.

Alert Indicators

  • ✔ Precedent Followed – Existing law on the necessity of timely objection regarding court fee payments is reaffirmed.

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