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Agrl.produce Mkt.committee Gondal&ors v. Girdharbhai R Chhaniyara

Supreme Court of India · 5 May 1997 · [1997] SUPP. 1 S.C.R. 74

Court
Supreme Court of India
Decided
5 May 1997
Case no.
C.A. No. 3618 of 1997
Reported as
[1997] SUPP. 1 S.C.R. 74
Result
Appeal(s) allowed
Bench
K. Ramaswamy, D.P. Wadhwa
Length
5 pages
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PETITIONER:
THE AGRICULTURE PRODUCE MARKETCOMMITTEE-GONDAL & ORS.
Vs.
RESPONDENT:
SHRI GRIDHARBHAI RAMJIBHAICHHANIYARA & ORS.
DATE OF JUDGMENT: 05/05/1997
BENCH:
K. RAMASWAMY, D.P. WADHWA

ACT

HEADNOTE

JUDGMENT

ORDER

Leave granted.

Application for intervention is allowed.

We have heard the learned counsel for both sides.

This appeal, by special leave, arises from the judgment of the High Court of Gujarat at Ahmedabad, made on January 15, 1997 in Civil Application No.9563/96.

A few admitted facts are sufficient for the disposal of this case. The Market Committee was constituted under the provisions of the Gujarat Agricultural Produced Markets Act, 1963 (for short, the Act). Under the Act, the Market Committee is under the statutory obligation to declare the notified market area for the purpose of regulating the purchase and sale of notified agricultural produce within the notified market and to establish it. As a facet thereof, advertisement has been published inviting offers from the interested persons for allotment of shops in new market yard vide notification dated November 23, 1991. The existing shop holder were informed that if they were interested to surrender the shops in the existing market area, they would be granted shop in the new market yard. In lieu thereof, they are required to pay the value of the shop equal to 7 year’ capitalised rent. They are designated as "shop for shop category". For others it is designated as A type shops and B type shops. For A type shops they have tentatively fixed the price at Rs. 2.55 Lakhs and for B type shops Rs.2.33 lakhs been fixed. After the advertisement so made, respondents No.1 and 2 filed suit for perpetual injunction in a representative capacity under Order I, Rule 8, CPC restraining the Market Committee from making allotment of the shop and ad interim injunction under Order XXXIX, Rule, CPC was sought for and was granted by the trial Court. On appeal, it was confirmed by High Court with a further rider with which we deal at a later stage. Thus this appeal by special leave.

The primary question that arises for consideration is whether the respondents have any right to be enforced by way of injunction ? Part III of the Specific Relief Act, 1963 deals in that behalf by way of preventive relief. Section 36 postulates that "[P]reventive relief is granted at the discretion of the court by injunction, temporary or perpetual." Temporary or perpetual injunction are regulated by Section 37, which read as under :

"37. Temporary and perpetual

injunctions. - (1) Temporary

injunctions are such are to

continue until a specified time, or

until the further order of the

court, and they may be granted at

any stage of a suit, and are

regulated by the Code of Civil

Procedure, 1908 (5 of 1908)

(2) A perpetual injunction can only

be granted by the decree made at

the hearing and upon the merits of

the suit; the defendant is thereby

perpetually enjoined from the

assertion of a right, or from the

commission of an act, which would

be contrary to the right of the

plaintiff."

It is seen that the respondents do not have at present any concluded right to seek for enforcement against the Market Committee. At best, they have got a right to apply for and seek allotment in respect of those who are governed by the second category, namely, A type and B type shops. We are not concerned in this case with the first category, viz., shop for shop because they are not seeking any relief by way of perpetual or temporary injunction in this behalf. Since the respondents are not having any concluded right as at present, the Court has not applied its mind to consider what would be the right which is claimed to be infringed. The High Court has further proceeded on the premise that they have a right, without applying its mind; it has stated that the right is sought to be regulated by injunction, without looking into the above provisions of the Act. The trial Court has stated as under:

"1. Temporary injunction against he

defendant no.1 their servants,

agents etc. is hereby granted

restraining them in making

allotment of any shop on premium of

Rs. 2,55,000/- and Rs.2,30,000/-

respectively for ‘A’ type and ‘B’

type shops are concerned (this is

based on XXVIII (2) G.L.R. 214).

This interim injunction relates so

far as pltfs. and other meaning

thereby 81 persons and subject to

decision of High Court for 146

persons on record are concerned,

and it shall not effect to those

allottees whom shops are allotted

by draw previously held if any and

to those whom allotment is made

otherwise than draw system.

2. Defendant no.1 to frame legal

and reasonable conditions for the

allotment of shop and thereafter

defendant no.1 is allowed to make

allotment of shops in ONE group

consisting of plaintiffs and

persons on record and other in

order to prevent fragmentation of

group.

3. Subject to the decision of

Hon’ble High Court in regard to 146

persons in Civil Revision

Application No.1646/96, deft. no.1

shall protect right.

4. In order to avail opportunity to

obtain shops in new market yard to

plaintiff and other, and in other

to avail defendant no.1 to repay

loan and interest and to avail

financial sources to defendant

no.1, temporary injuction till the

final disposal of the suit is

further granted as under:-

(i) All plaintiff and other persons

on record have raised contention

and dispute about ‘A’ type and ‘B’

type shops in new market yard.

Therefore, subject to the final

determination of price of such each

type of shop. Plaintiff and others

on record subject to decision of

necessary party by High Court are

afforded an opportunity and

directed to participate in draw for

the allotment of each type of shop.

(ii) For this plaintiff and other

persons on record who want to

participate in allotment of the

shop shall make payment of price at

this stage nor more than Rs.

1,17,000/- for ‘A’ type of shop and

Rs. 1,06,200/- for ‘B’ type of

shop; for this defendant no.1 shall

afford facility of installment as

availed to other allottees.

(iii) Plaintiffs and other persons

to take note that above payment of

Rs. 1,17,000/- and Rs. 1,06,200/-

is subject to the final

determination of the price that

would be decided by the Court after

recording evidence and in final

judgment of the suit."

The High Court has stated in the order as if there is a concluded right between the parties. Order XXXIX, Rule 2, CPC postulates that "in any suit for restraining the defendant from committing a breach of contract or their injury of any kind, whether compensation is claimed in the suit or not, the plaintiff may, at any time after the commencement of the suit, and either before or after judgment, apply to the Court for a temporary injuction to restrain the defendant from committing the breach of contract or injury complained of, or any breach of contract or injury of a like kind arising out of the same contract or relating to the same property or right." As pointed out earlier, since the right of the respondents is still in embryo even Order XXXIX, Rule 2, CPC is inapplicable and the enforcement thereof is also unthinkable. The High Court has further enlarged the scope of the relief which was not even sought for in trial. The High Court observed as under:

"Heard the learned Advocates

appearing for the respective

parties at length for the purpose

of interim relief. Considering the

dispute involved in the case

regarding the premium of A-Type and

B-Type shops/godowns, which are

being constructed by the

applicants, the balance is required

to be struck by way of granting ad-

interim relief. According to the

applicants Rs. 2,55,000/- for A-

Type shop/godown and Rs. 2,30,000/-

for B-Type shop/godown is the just

and proper price. However, the

learned trial judge has fixed the

price at Rs. 1,17,000/- for A-Type

and Rs. 1,06,200/- for B-Type on

the basis of the material produced

before him, (which is the subject

matter of consideration in the

Appeal From order) and, in any

case, the same cannot be faulted

with at this stage as the

correctness thereof would be

decided in the appeal and, if that

it stayed, it would amount to

allowing the appeal at this stage.

Considering the fact that the

applicants have already allotted

250 shops-cum-godowns prior to the

passing of the impugned order, as

can be seen from the affidavit

filed in this Civil Application by

the applications, coupled with the

fact that the prices at the with

the fact that the price at the rate

of Rs. 2,55,000/- for A-Type and

Rs. 2,30,000/- for B-Type have been

fixed, and as the learned trial

Judge has directed the suit to be

disposed of before March, 1997

wherein the exact price of the

shops-cum-godowns will be

determined, it will be just, fit

and expedient that the following

ad-interim order is passed to meet

with the ends of justice.

1. Till the hearing and final

disposal of the suit, the

applicants will collect the amount

at the rate of Rs. 1,17,000/- for

A-Type and Rs. 1,06,000/- for B-

Type shop-cum-godown from the

allottees and the respondent-

plaintiff before making allotment

of any shop-godown to them

2. The allottees as well as the

respondent-plaintiff will make the

payment, as stated above, at the

time of handing over possession of

the shop/godown to them.

3. The applicant, as far as

possible, will accommodate all the

respondent-plaintiff, provided they

agree and pay Rs. 1,17,000/- for A-

Type and Rs. 1,06,000/- for B-Type

shop-godown for the time being, and

will not allot any shop/down to any

other person, over and above 250

allottees.

4. Since this being an ad-interim

order, it is made clear to all the

allottees, including the

respondent-plaintiff, that they

will have to abide by the decision

in the suit. In other words, if the

trial court ultimately decides in

favour of the applicants regarding

the fixation of the prices of the

shop/godown, in that event, the

allottees as well as the

respondent-plaintiff will have to

pay additional amount forthwith

failing which they will be unable

to be evicted."

Thus, we Ho that the High Court has committed not only manifest error of law, but crossed the limitation of Order 43 Rule 1 in granting the relief.

This appeal is accordingly allowed. the order of the court below stand set aside. However, the trial Court is directed to dispose of the suit as expeditiously as possible. It is open to the appellants to apply for consideration of allotment of the shops, if they have not already applied for. No costs.

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