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Decree includes rejection of a plaint, only appeal is maintainable under Sec 96 CPC: SC

The SC on July 20, 2021 {Sayyed Ayaz Ali vs.Prakash G Goyal & Ors.} held that the definition of “decree” in Section 2(2) “shall be deemed to include the rejection of a plaint”. It was held that the order of the Trial Court rejecting the plaint is subject to a first appeal under Section 96 of the CPC. It was held that the writ petition filed by the appellant was not maintainable and was liable to be rejected. 

It was held by the Bench, comprising of Justice Dr. Dhananjaya Y. Chandrachud  & Justice M.R. Shah that the High Court while exercising its revisional jurisdiction rightly accepted the plea of the first and second defendants that the Trial Judge, having allowed the application Order 7 Rule 11(d), was not justified in granting to the appellant-plaintiff liberty to amend the plaint by seeking appropriate reliefs and paying the court fee.

It was held by the SC that since the dismissal of the writ petition has been upheld on the ground that the order rejecting the plaint operates as a decree within the meaning of Section 2(2) of the CPC, the appellant is at liberty to take recourse to the remedy against the rejection of the plaint as prescribed by the CPC.

The SC therefore affirmed the judgment of the High Court rejecting the writ petition, however left it open to the appellant to pursue the remedy available in law. 

The appeals were disposed of in the above terms by the SC.

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