# Burn and C<mpay Ltd v. Its Workmen

- **Citation:** [1964] 5 S.C.R. 836
- **Court:** Supreme Court of India
- **Decided:** 1963-12-06
- **Source:** https://unisonlegal.in/judgment/supreme-court-of-india/burn-and-c-mpay-ltd-v-its-workmen-3048
- **Pages:** 18

## Headnote

1963
Burn and
C<mpay Ltd.
v.
Its Workmen
Das Gupta J.
1963
December 6
836
SUPREME COURT REPORTS
[1964]
The award of bonus at 5! months' wages appears
to be reasonable and proper on this figure of the
available surplus. The employers' plea for reduction
of the bonus and the workmen's claim for increase of
it appear to us equally unjustified.
All the appeals are accordingly dismissed.
There
will be no order as to costs.
Appeals dismissed.
C. BEEPATHUMMA & ORS.
v.
V.S. KADAMBOLITHAYA & ORS.
(K; SUBBA RAO, M. HIDAYATULLAH AND J.C. SHAH,
JJ.)
Mortgage-Suit for redemption-Mortgagee enjoying benefits
under a deed-If must also accept the obligations thereunderDoctrine of election.
The properties in plaint Schedules A, B & C were mortgaged
to one Kunjamu and others. By a partition in the Mortgagees'
family Kunjamu go !th shares of the interests in these properties.
Subsequent to the death of Kunjamu the mortgagors and mortgagees entered into an agreement evidenced by Ex. P-2 and P-2(a)
in which the original mortgage deed Exp. wcs referred but it
released certain properties shown in C Schedule. The mortgagors
agreed that the mortgagees would enjoy the remaining properties
shown in A and B Schedules for a period of forty years and it
was agreed that on the expiry of this period the mortgagors would
have an option to redeem the mortgage land on payment of the
amount due. At the time of the execution of Exp. 2 and P-2(a)
Kunj Pakki the grandfather of the third respondent in this appeal
was a minor (son of Kunjamu). His mother signed for herself
but did not sign Ex.P-2 and P-2(a) on his behalf and no legal guardian
signed it either. The first respondent purchased Schedule A &· B
properties and filed a suit for redemption. He claimed that since
under Ex. P-2 the mortgagors were entitled to remain in possession
for 40 years from 1862 the right of redemption accrued in 1902
and the suit filed in 1944 was within sixty years as contemplated
by Art: 148 of the Limitation Act.
The defence was that so far as
I
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•
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5 S.C.R.
SUPREME COURT REPORTS
837
the share of Kunjamu was concerned Kunhi Pakki who inherited
1963
it was not bound by Ex. P-2(a) since he was a minor and he was
not a signatory to it nor was it signed by any legally constituted C. Beepathumma
guardian on his behalf. Therefore it was contended the Kunha-
& Ors
mmu's share inherited by Kunhi Pakki and subsequently by third
·
respondent was hit by limitation and was not liable to be
v.
redeemed.
V. S.
The trial court held that since Kunhi Pakki had taken benefit Kadambolithaya
under Exp. 2 and P-2(a) his successors could not avoid them and
& Ors.
therefore the suit was not barred by limitation and the properties
were liable to be redeemed. The High Court upheld the decision
of the lower court on the main question. The present appeal was
filed by certificate granted by the High Court.
Held:
(i) Kunhi Pakki was not directly bound by Ex. P-2 and
P-2(a) since he was a minor and no legal guardian signed these
documents on his behalf. Ex. P-2(a) cannot be used to show
either an acknowledgment by him or an extension of the terms
of the original usufructuary mortgage.
(ii) The evidence in the present case shows that Kunhi Pakki
accepted benefit under Ex. P-2 and therefore neither he nor his
successors could be heard to say that the mortgage in Ex. P-1
was independent of Ex. P-2 and that the limitation ran out on· the
lapse of 60 years from 1842. The doctrine of election was properly
applied in respect of his I/4th share now in possession of the
present appellants. That doctrine is that a person who accepts a
benefit under a deed or will or other instrument must adopt the
who!e contents of the instrument, must conform to all its provisions and renounce all rights that are inconsistent with it, in other
words a person cannot approbate and reprobate the same
transaction.
CIVIL
APPEhLATE JURISDICTION : Civil Appeal
No. 446 of 1960.
"'
A)Jpeal from the judgment and decree dated
November 3, 195

## Text

1963
Burn and
C<mpay Ltd.
v.
Its Workmen
Das Gupta J.
1963
December 6
836
SUPREME COURT REPORTS
[1964]
The award of bonus at 5! months' wages appears
to be reasonable and proper on this figure of the
available surplus. The employers' plea for reduction
of the bonus and the workmen's claim for increase of
it appear to us equally unjustified.
All the appeals are accordingly dismissed.
There
will be no order as to costs.
Appeals dismissed.
C. BEEPATHUMMA & ORS.
v.
V.S. KADAMBOLITHAYA & ORS.
(K; SUBBA RAO, M. HIDAYATULLAH AND J.C. SHAH,
JJ.)
Mortgage-Suit for redemption-Mortgagee enjoying benefits
under a deed-If must also accept the obligations thereunderDoctrine of election.
The properties in plaint Schedules A, B & C were mortgaged
to one Kunjamu and others. By a partition in the Mortgagees'
family Kunjamu go !th shares of the interests in these properties.
Subsequent to the death of Kunjamu the mortgagors and mortgagees entered into an agreement evidenced by Ex. P-2 and P-2(a)
in which the original mortgage deed Exp. wcs referred but it
released certain properties shown in C Schedule. The mortgagors
agreed that the mortgagees would enjoy the remaining properties
shown in A and B Schedules for a period of forty years and it
was agreed that on the expiry of this period the mortgagors would
have an option to redeem the mortgage land on payment of the
amount due. At the time of the execution of Exp. 2 and P-2(a)
Kunj Pakki the grandfather of the third respondent in this appeal
was a minor (son of Kunjamu). His mother signed for herself
but did not sign Ex.P-2 and P-2(a) on his behalf and no legal guardian
signed it either. The first respondent purchased Schedule A &· B
properties and filed a suit for redemption. He claimed that since
under Ex. P-2 the mortgagors were entitled to remain in possession
for 40 years from 1862 the right of redemption accrued in 1902
and the suit filed in 1944 was within sixty years as contemplated
by Art: 148 of the Limitation Act.
The defence was that so far as
I
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•
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5 S.C.R.
SUPREME COURT REPORTS
837
the share of Kunjamu was concerned Kunhi Pakki who inherited
1963
it was not bound by Ex. P-2(a) since he was a minor and he was
not a signatory to it nor was it signed by any legally constituted C. Beepathumma
guardian on his behalf. Therefore it was contended the Kunha-
& Ors
mmu's share inherited by Kunhi Pakki and subsequently by third
·
respondent was hit by limitation and was not liable to be
v.
redeemed.
V. S.
The trial court held that since Kunhi Pakki had taken benefit Kadambolithaya
under Exp. 2 and P-2(a) his successors could not avoid them and
& Ors.
therefore the suit was not barred by limitation and the properties
were liable to be redeemed. The High Court upheld the decision
of the lower court on the main question. The present appeal was
filed by certificate granted by the High Court.
Held:
(i) Kunhi Pakki was not directly bound by Ex. P-2 and
P-2(a) since he was a minor and no legal guardian signed these
documents on his behalf. Ex. P-2(a) cannot be used to show
either an acknowledgment by him or an extension of the terms
of the original usufructuary mortgage.
(ii) The evidence in the present case shows that Kunhi Pakki
accepted benefit under Ex. P-2 and therefore neither he nor his
successors could be heard to say that the mortgage in Ex. P-1
was independent of Ex. P-2 and that the limitation ran out on· the
lapse of 60 years from 1842. The doctrine of election was properly
applied in respect of his I/4th share now in possession of the
present appellants. That doctrine is that a person who accepts a
benefit under a deed or will or other instrument must adopt the
who!e contents of the instrument, must conform to all its provisions and renounce all rights that are inconsistent with it, in other
words a person cannot approbate and reprobate the same
transaction.
CIVIL
APPEhLATE JURISDICTION : Civil Appeal
No. 446 of 1960.
"'
A)Jpeal from the judgment and decree dated
November 3, 1955, of the Madras High Court in
A.S. No. 138 of 1957.
S.T. Desai, M.S. Narasimhan and M.S.K. Sastri,
for the appellants.
C.B. Agarwala, K. Jayararnand and R. Ganapathy
Tyer, for the respondents.
December 6, 1963. The Judgment of the Court
was delivered by
HIDAYATULLAH, J.-This is an appeal by cer- Hidayatullah J.
tificate granted by the High Court of Madras against
its common judgment and decree dated November 3,
838
SUPREME COURT REPORTS
[1964)
1963
1955 in A.S.Nos. 88 and 138 of 1947. The appellants
-
are 7 of the original 139 defendants and the responc. Beepathumma dents are the two plaintiffs and the original defendant
& Ors.
No. I. The appeal arises from a suit for redemption
v.
of a usufructuary mortgage dated April 26, 1862
V. S.
and for delivery of possession of properties described
Kadambolithaya in schedules A and B of the plaint together with mesne
& Ors.
profits from the date of redemption till delivery of
. --
possession. The mortgaged property had passed into
Hidayatullah J. the hands of several persons and this is why so many
defendants were joined.
We shall now give the
facts which go back for an incredibly long period.
The plaint incorporates three schedules distinguished as A, B and C Schedules and they describe
properties which belonged to the Alyasantana family
of the second respondent. On April 14, 1842, one
Madana, who was then the Ejaman of the family,
usufructuarily mortgaged the A, B and C schedule
properties in favour of one Kunhammu Hajar for
1250 varahas or pagodas (equal to Rs 5,000) under
Ex. P-1. This deed did not contain any provision
for repayment of the amount or for the usufructuary
mortgage to be worked off. It contained a clause to
the following effect:
"At the end of the cultivation season, whenever you state that the said land is not required,
the said one thousand, two hundred and fifty
varahas due to you and also the value of improve
ments shall be paid to you in one lump-sumand the said land, house, cattle-shed, out-house,
etc. shall be obtained back from you, and this
document as well as the previous documents
shall be got redeemed."
Though the mortgage deed was taken ostensibly
in his own name by Kunhammu Haj!tr, he did so
on behalf of his brothers, sisters, nephews and nieces
etc. The mortgaged property was described as land
bearing a beriz of 44f pagodas (equal to Rs. 227-10-8)
situated in Warg No. 34 of Kumbadaje village, Netanige Magne. Bekal taluk (the whole Warg bore a
beriz of 56f pagodas), comprising 37. fields which
-
-
-
5 S.C.R.
SUPREME COURT REPORTS
839
were described by their names without boundaries.
1963
The mortgagees who were given possession of lands
--
were also placed in possession of some heads of cattle C. Beepathurnrna
and other movables and for the redemption of the
& Ors.
movables there was a separate term in the deed.
v.
In 1857, the family of the mortgagees effected K d ~ ~:tha
a partition by registered documents which are marked a am
0 1
ya
& Ors.
collectively as Ex. P-6 series. This partition was
_
not by metes and bounds
or by the allotment of Hidayatullah J.
whole fields but a division of lands with reference
·
to the fraction of the beriz payable. We are concerned
in this appeal only with the share which went
to
Kunhammu Hajar whose share was I/4th. In Ex.
P-6 which is the partition deed concerning him, his
share was described as follows:
"Further, out of Belinjada land bearing a beriz
of Rs. 227-10-10 and entered in No.
34
maindana Kuntamma Varg of Kunvadaji village
Nettanige Magne, the one!fourth portion bearing a beriz of Rs. 56-14-8 and consisting of land
and Bavaities including border trees, soil and
field attached thereto.
Other members of the family received shares according to their own right, mentioned in separate documents. The earliest such document was of April
3, 1857 and the last of April 30, 1857. Kunhammu
Hajar died after this partition and on April 26, 1862,
the mortgagors and mortgagees entered into an agreement evidenced by Exs. P-2 and P-2(a) by which Ex.
P-1 was re-affirmed; the mortgagees, however, released
from Ex. P-1 certain properties which are now shown
in schedule C to the plaint. The mortgagors on their
part agreed that the remaining properties (which
are now shown in schedules A and B to the plaint)
would be enjoyed by the mortgagees for a period
of 40 years from the date of the document together
with improvements made thereon.
The mortgagors covenanted that if after the expiry of the stipulated
period this land was required by them and if at the
time of the cultivation season of that year the mortgage
amount of the usufructuary mortgage (Ex.
P-1)
840
SUPREME COURT REPORTS
[1964]
1963
together with the amounts of two other deeds creat-
-- ·
ing a charge and Rs. 100. taken at the execution of
C. Beepathumma Ex. P-2 together with the amount> relating to improve-
& Ors.
ments were paid in one lump-sum, the land and the
v.
bond would stand redeemed. Ex. P-2 was executed
V. S:
by the mortgagors and a counterpart (Ex. P-2(a))
Kadan·bo!tthaya was executed, among others, by Aliamma, the widow
& Ors.
of Kunhammu Hajar, who signed for he1 self but
. -- .
not on behalf of Kunhi Pakki her minor son by
Hidayatu/l,:h J. Kunhammu Hajar.
Kunhi Pakki's share in the
mortgage was thus not represented in Exs. P-2 and
P-2(al.
Kunhi Pakki died in 1934 and the first defendant, also Knnhi Pakki who is the third respondent
in this appeal, is his grand-son . It may be mention·
ed that the two deeds which created a charge and
which were to be discharged along with Ex. P-1 and
P-2 have been held by the High Court and the Court
below to be for the principal amount of Rs. 2,000.
We may now omit (or the time being a reference to
the further devolution of the share of Kunhi Pakki
son of Kunhammu Hajar in respect of whose share
in Ex. P-1 the main dispute in the case ·has arisen.
We shall mention those details later.
The present suit was filed for redemption of
Ex. P-2 by the first and the second respondents.
The first respondent purchased schedule A properties in July 1943 by Ex. P-83 and undertook to redeem
the mortgaged properties described in schedules A
and B and to hand over possession of schedule. B
properties to the legal representative in the family
of Madana. Respondent No. 2 the then Elamanthi
is that representative. This suit was filed on April
20, 1944 and it would clearly be barred under Art.
148 of the Indian Limitation Act unless Exs. P-2
and P-2(a) and the term of 40 years for which the
mortgagees were to remain in possession from 1862
were taken into consideration and saved limitation.
The plaintiffs in their suit stated that the claim was
within time, because under Ex. P-2 the mortgagees
were entitled to remain in possession for 40 years
from April 26, 1862 and the right of redemption thus
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;_,.
. ' '
-
5 S.C.R.
SUPREME COURT REPORTS
841
accrued for the first time on April 27, 1902 and the
1963
claim made in 1944 was within 60 years of that date
--
as required by Art. 148. The defence was that in C. Beepathumma
so far as the share of Kunhammu Hajar was concerned,
& Ors.
Kunhi Pakki, who inherited it was not bound by
v.
Ex. P-2(a) because he was neither a signatory to it
v. s.
being a minor, nor had any legal guardian executed Kadambolithaya
Ex. P-2(a) on his behalf. It was pleaded that there
& Ors.
was no doctrine of representation in Mohammedan
--
Law, and the mother, even if she had signed Ex. P-2(a), Hidayatullah J.
would have been a Jazuli, that is to say, an unauthorised person. It was further pleaded that in respect
of Kunhi Pakki's share Exs. P-2 and P-2(a) could
not save limitation and 1/4th share of Kunhammu
Hajar was not liable to be redeemed. It was also
claimed that the plaintiffs must pay for improvements.
The trial Judge held that suit to be within time
applying to the 1/4th share of Kunhammu Hajar than
owned by C. Mahamood deft. 8, the equitable doctrine
of election on the ground that Kunhi Pakki had
approved and adopted Exs. P-2 and P-2(a) and taken
benefit under them and his successors could not therefore avoid them. With regard to improvements,
the trial Judge found that an amount of Rs. 4,089-2-0
was due. The trial Judge accordingly passed a
decree inter alia for the redemption of the share of
C. Mahamood on payment of the price of redemption
and improvements together with interest thereon.
From this judgment, A. S. 138 of 1947 was filed by
defendants 3, 5, 8, 9, 49, 50, 52, 67, 68 and 121 and
A.S. 88 of 1947 was filed by defendant 58. The
plaintiffs also cross-objected. The judgment of the
High Court modified the decree in the matter of
the amounts due for improvements but on the main
question, it endorsed the views of the trial Judge
with regard to limitation and the application of the
equitable
doctrine of election to Kunhi Pakki in
respect of documents Ex. P-2 and P-2(a).
In this appeal, it is contended that the conclusions
of the High Court with regard to limitation and the
842
SUPREME COURT REPORTS
[l 964)
1963
doctrine of election were erroneous and further that
--
the High Court was in error in awarding mesne
C. Beepathumma profits from the date fixed in the preliminary decree
& Ors.
for redemption, in view of the fact that the High Court
v.
found an increased amount in respect of improvements
V. S.
and the amount of improvements had to be paid
Kadambolithaya for in full before redemption could be claimed. Before
& Ors.
we deal with these points, we must narrate more
facts.
Hidayatullah J.
The present appeal has been filed by Beepathumma the legal representative of deft. 8-C, Mahamood son of Abdul Rahiman Haji, who died during
the pendency of the appeal in the High Court and
by the daughter (deft. 9) and the sons (defts. 52, 67
and 68) of C. Mahamood; ·the other appellants are
Abdulla (deft. 49) son and Bipathumma (deft. 50)
daughter ofMammachumma (deft. 48). This Mammachumma was the sister of Kunhi Pakki son' of Kunhama Hajar. These names have to be borne in mind,
because they are connected with the I/4th share which
on partition went to Kunhamu Hajar by Ex. P-6,
and will figure in the narrative which follows. It
must also be remembered that Warg No. 34 was
also called "Belinja Mainda-Kinhana".
After the partition, Kunhammu Hajar executed
a usufructuary mortgage (Ex. P-16) in favour of his
elder sister Cheriamma in respect of his I/4th share on
September 23, 1857. Cheriamma had received 1 /8th
share (beriz of Rs. 28-7-4) at the partition vide Ex.
P-6(c). In the mortgage deed (Ex. P-16) it was stated
that Kunhamu Hajar would redeem the property
whenever he wanted it. Ex. P-2 and P-2(a) then
came into existence. Cheriamma was not a signatory
to Ex. P-2(a), because she had died earlier. After
cheriamma's death, her share of I/8th and the mortgagee rights were divided between Mammachumma and
Aisumma by Exs. P-17 and P-17(a) on October 6,
1861. Each of these two sisters was allotted property
of the beriz of Rs. 28-7-4 from the I ;4th share mortgaged by Kunhammu Hajarand of Rs. 14-3-8 from the
share proper of Cheriamma. Mammachumma and
.)
(
...
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5 S.C.R.
SUPREME COURT REPORTS
843
Aisumma thereafter held properties of a total beriz
1963
of Rs.
42-11-0 each and each share was 3/16th of
--
the entire mortgaged property.
C. Beepathumma
& Ors.
After Kunhammu Hajar's death, his son Kunhi
v.
Pakki i~nored the usufructuary mortgage in favour
v. s.
of Chenamma (Ex. P-16).
On July 10, 1884, he tookKadambolithaya
a sale deed (Ex. P-59) from Hammadekunhi. son of
& Ors.
Mammachumma. The property was descnbed as
of beriz of Rs. 28-7-4 in Warg No. 34 and of the. Hidayatul/ah J.
beriz of Rs. 14-3-8. In other words, though the proper-
. ty was shown in two lots, he obtained the 3/16th share
of Cheriamma. No boundaries were mentioned in
the deed because it was stated that Kunhi Pakki
was in possession of a portion of the properties in
the same Warg. In this way, Kunhi Pakki obtained
properties of a total beriz of Rs. 42-11-0, which had
belonged to Mammachumma.
Kunhi Pakki then executed a simple mortgage
(Ex. P-60) in favour of one Laxmana Bhakta on
January 18, 1887 for Rs. 5,500.
The property was
said to be of Belinja Mainda Kinhana (Warg No.
34) and to be in two lots, one Jot bearing a beriz of
Rs. 28-7-4 and the other a beriz of Rs. 14-3-8. This
showed that Kunhi Pakki was mortgaging the above
3/16th share acquired by him by Ex. P-59. This conclusion is reinforced by the fact that the boundaries
in Ex. P-60 are said to be as mentioned in Ex. P-59.
The right of Kunhi Pakki in this property was said
to be "Avadhi-Ilidarwar" (usufructuary mortgage for
a fixed term in lieu of interest ) (Ex. P-1 read with
Ex. P-2). Later, Kunhi Pakki executed a simple
mortgage Ex. P-61 for Rs. 2,000 on February 11, 1892
in favour of one Anantha Kini. The property,
this time, was said to be of the beriz of Rs. 56 odd
and also property of the beriz of Rs. 28-7-4 and
Rs. 14-3-8. In other words, he was mortgaging the
entire 7/16th share Or4th plus 3/16th). No boundaries
were given but it was stated that the boundaries
were the same as in the mortgage deed of January
18, 1887 in favour of Laxmana Bhakta. This document recited that no other documents were handed
844
SUPREME COURT REPORTS
[1964]
1963
over, but the mortgagor undertook to send them
-
latter. On September 29, 1902, Kunhi Pakki, his
C. Beepathummawife Beepathumma and his son Kunhammu executed
& Ors.
a usufructuary mortgage (Exs. P-62) for Rs. 32,000
v.
in favour. of one Vaikunta Bhakta.
Several lots
V. s.
of properties were included and item 18 referred
Kadambolithaya to property of the beriz of Rs. 98-11-0 in Belinja:da
& Ors.
Maindana Kinyana (Warg No. 34). This showed
. --
that he was mortgaging his I/4th share and 3/16th share
· Hidayatullah J. of Cheriamma. A recital showed that all "Voladocuments" were handed over and evidence has
established that Ex. P-2 was one of them.
Vaikunta
Bhakta transferred the mortgagee rights under Ex.
P-62 to Abdul Rahiman and Korgappa by Ex. P-64
dated April 10,
I 913; item
18
in Ex. P-64 is
land of Warg No. 34 of the beriz of Rs. 98-11-0 and
the boundaries are said to be as sh own in the Ilidar~
war (Ex. P-1 and P-2). Kunhi Pakki also executed
on August 26,1924, a document (Ex. P-65) creating a
charge on the same properties in favour of the
assignees. These properties were again said to be
those that had been usufructuarily mortgaged under
the Ilidarwar of September 29, 1902 in favour of
Vaikunta Bhakta by Ex. P-62.
On January 23, 1930, the heirs of Abdul Rahiman and the heirs of Koragappa executed a partition dated (Ex. D-54) and at that partition, the Kumbadaje properties which were the subject-matter
of the mortgages and charge fell to the share of Abdul
Rahiman's heirs. It is stated in Ex-D-54 that all
the documents were handed over to the heirs of Abdul
Rahiman. C. Nfahamood was the son of Abdul
Rahiman and on September 23, 1930, he obtained
a release of the shares of his mother, brother and sister
by Ex. P-66. In Ex. P-66, there is a mention that
the properties of Kumbadaje village had been obtained by an assignment from Vaikunta Bhakta
and were being enjoyed as a usufructuary mortgage
with a term.
It also mentioned the charge created
by Kunhi Pakki for Rs. 9,500 on August 26, 1924.
lt was also mentioned that all the documents relat-
,
'
'
-
,.
....
5 S.C.R.
SUPREME COURT REPORTS
845
ing to properties in Kumbadaje village had been
1963
handed over to C. Mahamood son of Abdul Rahiman.
The total beriz of the Kumbadaje properties was C. Beepathumma
shown to be Rs. 198-8-0 because it included certain
& Ors.
sub-divisions other than those included in Exs. P-64
v.
and P-65. In this manner, the 8th defendant acquired
V. s.
the 7/16th share of Kunhi Pakki.
Kadambolithaya
&Ors.
We have now to see three other documents
which were executed either by Kunhi Pakki or were Hidayarullah J.
in his favour.
The most important of these is Ex.
P-3 dated September 4, 1871. This was a mortgage
by the original mortgagors in favour of Kunhi Pakki.
It will be recalled that schedule C properties were
released at the time when Ex. P-1, which was without
any time limit, was converted into a mortgage with
a time limit by Ex. P-2 in 1862.
Kunhi Pakki now
obtained a mortgage of the released properties with
a term of 32 years' enjoyment, thus putting all the
three properties described in schedules A, B and C
in the plaint and mentioned in Ex. P-1 on the same
footing. The significance of 32 years' term is quite
clear. This mortgage was to run for the same period
for which the other mortgage deed was to run. It
was stated in this document that Kunhi Pakki was
already enjoying the other property out of property
bearing a beriz of Rs. 227-10-10 cf Warg No. 34
under a usufructuary mortgage with a . time limit
by virtue of a registered document of 1862 executed
by Kunhi Pakki's mother Aliamma. Certain recitals
of that document may be reproduced here:
"Out of the property enjoyed by you previously
under usufructuary mortgage with time-limit i.e.,
out of the property bearing a beriz of Rs. 227-10-10
and entered in Muli No. 34 our ancestor, Maindana Kinhanna varg in Kumbadaje village, the
said Nettanige magne attached to the sub-district
of Kasaragod, South Kanara district, in respect
of which property the entire tirve is paid by
yourself, the particulars of the property enjoyed
by us without payment of tirve under the registered Karar (Agreement) deed executed on the
846
SUPREME COURT REPORTS
[1964]
1963
C. Beepathumma
& Ors.
14th of Chitra Bahula of Dun du bhi (1862) year
(27th April 1862) by your mother Alima Hajjumma and others in favour of ourselves and others
are as follows:
v.
v. s.
Kadambolithaya
& Ors.
Hidaya tullah J.
x
x
x
x
x
"All this entire property is mortgaged to you
with a time-limit of thirtv-two vears from this
Prajothpathi year onwards; and the one said
Karar document obtained by us and mentioned
above is given to you;
x
x
x
x
x
"If the principal amount and interest fall into
arrears, that arrears of interest also shall be
paid, after the due date, at that time only when
the mortgage amount relating to your Avadhi
Ilida Arwar (usufructuary mortgage with timelimit) is paid and when the property and the
documents are redeemed; and, the property,
this document, and the documents mentioned
herein and also to be got redeemed by
you
from the said Hammada Kunhi Beary shall
be got redeemed by us."
x
x
x
x
x
The consideration of this mortgage was to go to pay
off the dues of Hammada Kunhi and others amounting
in all to Rs. 565-8-0.
The mortgagors also acknowledged receipt of ?.n amount of Rs. 234-8-0. By
this document, Kunhi Pakki placed all the properties on the same footing and neutralised so to speak
the effect of the release of properties by Ex. P-2(a).
Kunhi Pakki appears not to have paid these amounts
himself, because on September 21, 1872, he
executed a simple m0rtgage in favour of Hammada
Kunhi for an amount of Rs. 800 (Ex. P-3(a)). He
stated in that deed that the property was mortgaged
without possession and was still in the enjoyment
of the original proprietors.
The last document to be mentioned is Ex. P-4,
which was a usufructuary mortgage by the original
mortgagors in favour of Hammada Kunhi dated
...
'
t
May 29, 1877. This document makes a reference
.,.
•
...
5 S.C.R.
SUPREME COURT REPORTS
847
to the earlier documents of Kunhi Pakki in respect
1963
of the
released properties.
It refers specially to
--
Ex. P-2 and states that that property was now being C. Beepathumma
held on a usufructuary mortgage with a time-limit.
& Ors.
v.
It was contended in this case on behalf of the
v. s.
mortgagees that the 1 /4th share of Kunhi Pakki, on Kadambolithaya
which time-limit was not imposed, because Kunhi
& Ors.
Pakki was a minor when Ex. P-2 and P-2(a) ~ere Hid --
executed; could not be redeemed by the platntJff
ayatullah 1·
as the suit in respect of them was time-barred. To
understand this contention, it is necessary to give
a short history of the Law of Limitation between the
years 1842 and 1902. In 1842 when Ex. P-1 was
executed, there was no law prescribing a period of
limitation for the redemption of a usufructuary mortgage.
Such limit came in 1859 for the first time
and a period of 60 years from the date of the mortgage
was prescribed. It is this statute which seems to
have been the cause for the execution of Exs. P-2
and P-2(a); the mortgagees were perhaps afraid that
the mortgage could be redeemed at any time within
60 years from the date of the mortgage of 1842.
The
la~t date for redemption thus was 1902. By
getting the term certain for 40 years, the date for
redemption was shifted by them to 1902 and redemp-
-
tion could not take place till that year. The mortgagors also benefited, because they obtained a release
of some properties and received Rs. 100 in cash.
The period of 60 years was repeated in the Act of
1871; but it contained a rider that if during the period
of 60 years, there was an acknowledgment then the
period would run from the date of that acknowledgment.
Art. 148 of the Limitation Act as it stands
today was introduced by the Act of 1877. It makes
the 60 years' period run from the time when redemption is due. The mortgagors contend that they have
the benefit of the present Act read with Exs. P-2 and
P-2( a) and the time for redemption will expire at
the end of 60 years from the date on which redemption
became due under Exs. P-2 and P-2(a), that is to say
1902. There is no doubt that the Law of Limitation
848
SUPREME COURT REPORTS
[1964]
1963
is a procedural law and the provisions existing on
--
the date of the suit apply to it.
This suit was filed
C. Beepathumm'a in 1944 and the Act of 1877 governs it.
The only
& Ors.
dispute is when did the mortgage become due for
v.
redemption.
According to the mortgagees, time ran
V. s.
froh1 the date of the mortgage under the Act of 1859
Kadambo/ithaya and did not stop in respect of the share of Kunhi
& Ors.
Pakki, because he was not bound by Exs.
P-2
. --
and P-2(a). The mortgagors, on the other hand,
Hidayatullah J. contend that Kunhi Pakki had accepted Exs. P-2
and P-2(a) as his own documents and had obtained
benefit under them in various ways and the appellants
are either estopped from contending the contrary
or having approved and adopted those documents
and taken benefit, cannot repudiate them. In other
words, they seek to apply the equitable doctrine of
election to Kunhi Pakki and thus to deft. 8 who derived
title from Kunhi Pakki. This plea of the mortgagors
was accepted by the High Court and the Court below.
It is contended that these courts erroneously applied
the doctrine to the present case.
Mr. S.T. Desai learned counsel for the appellants
admits that the mortgagors had not lost their right
to the properties comprised in Ex. P-2 and that Ex.
P-2 incorporated Ex. P-1.
Exs. P-63 and P-63(a)
were filed to establish the connection which, in view
of the admission, it iS- ,.,ot necessary to set forth here.
He also admits that he cannot make out a case under
Art. 134 of the Indian Limitation Act.
He contends
that the doctrine of election is but a species of estoppel
and there can be no estoppel against law especially
against the Limitation Act, because of s. 3 of that
Act.
He relies upon a decision of the Madras High
Court reported in Sitarama Chetty and Anr. v. Krishnaswami ChettyOl where White C.J. quoting a passage
from Mr. Mitra's book on the Law of Limitation,
observes that an agreement by a person against
whom a cause of action has arisen, that he would
not take advantage of the statute, cannot affect its
operation on the original cause of action, unless
(1) [1915] l.L.R. Mad., 38374.
-
-,,,'>-
5 S.C.R.
SUPREME COURT REPORTS
849
such agreement ·amounts to an acknowledgment of
1963
liability which the statute recognises as an exception
-
to the rule. Mr. Desai also relies upon Govardhan C. Beepcthumma
Das v. Dau Daya/<1l for the proposition that no one
& Ors.
can contract himself out of the statute of limitation,
v.
nor can estoppel be pleaded against a statutory bar
V. S.
ot limitatton. Some other cases cited by him are not Kadambolithaya
in point and need not be mentioned. On the basis
& Ors.
of these cases, Mr. Desai contends that unless Ex~.
--
P-2 and P-2(a) can be pleaded as an acknowledg- Hidayatullah J.
ment limitation cannot be saved in respect of Kunhi
Pakki's share and the suit itself must be dismissed
under s. 3 of the Limitation Act. He contends that
the equitable doctrine of election does not apply to
the present case, because the documents on which
reliance is placed refer not to the l /4th share of Kunhi
Pakki but to the 3/16th share of Cheriamma which
Kunhi Pakki subsequently obtained. He states that
the latter conclusion is inescapable if Exs. P-59, P-60
and P-61 a1 e read together. He submits that in
these documents Kunhi Pakki no doubt connected
the 3/16th share with Exs. P-2 and P-2(a) but treated
his own 1 /4th share separately.
There is no doubt that Kunhi Pakki was not
directly bound by Exs. P-2 and P-2(a).
Mr. Desai
is right in contending that as Kunhi Pakki was a
minor and no guardian signed on his behalf, Ex.
P-2(a) cannot be used to show either an acknowledgment by him or an extension of the term of the original usufructuary mortgage. The only question thus
is whether by reason of the later documents and the
conduct of Kunhi Pakki it can be said that Kunhi
· Pakki had obtained the benefit of Ex. P-2(a) which
bound him to accept Exs. P-2 and P-2la) in their
entirety. In binding Kunhi Pakki in this way, no
question of extending the period of limitation or of
acknowledgment arises, and section 3 of the Limitation Act is not in the way because time would run
only from 1902. This result follows because the
mortgagors could not redeem the property including
the share of Kunhi Pakki for 40 years from 1862.
(1) [1932] l.L.R. 54 All. 573.
I SCI/64-54
850
SUPREME COURT REPORTS
[1964)
~'~,
1963
The doctrine of election which has been applied
-
in this case is well-settled and may be stated in the
C. Beepathummaciassic words of Maitland-
& Ors.
"That he who accepts a benefit under a deed
v.
or will or other instrument must adopt the whole
V. s.
contents of that instrument, must conform to
Kadambolithaya
all its provisions and renounce all rights that
& Ors.
are inconsistent with it."
ll
·J -,-ll h J
(see Maitland's Lectures on Equity, Lecture 18)
iuaya
11 a
· Th
· · I ·
d' Wh'
d T d '
e same prmc1p e 1s state m
1te an
u or sLeading Cases in Equity Vol. 18th Edn. at p. 444 as follows:
"Election is the obligation imposed upon a
party by Courts of equity to choose between
. two inconsistent or alternative rights or claims .
in cases where there is clear intention of the
person from whom he derives one that he should
not enjoy bofu ................... That he who accepts
a benefit under a deed or will must adopt the
whole contents of the instrument."
The Indian Courts have applied this doctrine
in several cases and a reference to all of them is hardly
necessary. We may, h0wever, refer to a decision
of the Madras High Court in Ramakottayya v. Viraraghavayya (l·) where after referring to the passage
quoted by us from White and Tudor, Coutts Trotter,
C.J. observed that the principle is often put in another
form that a person cannot approbate and reprobate
the same transaction and he referred to the decision
of the Judicial Committee in Rangaswami Gounden
v. Nachiappa Gounden (2).
Recently, this Court has
also considered the doctrine in Bhau Ram v. Baij Nath
Singh and othersO).
The short question is whether, in the words
of the Scottish lawyers Kunhi Pakki can be said to
have approbated Ex. P-2 and P-2(a) and therefore
his successors in title cannot now reprobate them.
In this connection, Ex. P-3 and P-4 quite clearly
show that Kunhi Pakki considered that he was bound
by Ex. P-2(a) and the mortgagors were bound by
(I) [1929] LL.R. 52 Mad. 556(F.B.) (2) [1918] l.L.R. 42 Mad. 523.
(3) [1962] I S.C.R. 358,
-
I
-
5 S.C.R.
SUPREME COURT REPORTS
851
Ex. P-2. His taking of the mortgage of the released
1963
properties clearly indicated that he accepted that the
--
mortgagors were released from the obligations ofC. Beepathumma
Ex. P-1. Jn Ex. P-3, he took the mortgage of the
& Ors.
released properties for a period of 32 years which
v.
made the two mortgages run for an identical term,
V. S.
and that document referred to the earlier transaction Kadambolithaya
as one under an Avadhi Illida Arwar (usufructuary
& Ors.
mortgage with a time limit) which indicated that the
. --
time limit imposed by Exs. P-2 and P-2(a) was in Hidayatullah J.
his contemplation. In all subsequent documents,
reference is to be found to the lllida Arwar and the
reference is not only to the 3/16th share of Cheriamma
but to the entire 7 /16th share of Kunhi Pakki, that
is to say, his original sha1e of I/4th obtained by him
through his father by Ex. P-6 and 3/16th share which
he obtained later. In view of the fact that in this
way, Kunhi Pakki obtained the enjoyment of the mortgage in respect of his 1 /4th share for a period of 40
years certain, he must be taken to have elected to
apply to his own I/4th share the terms of Ex. P-2.
Having in this way accepted benefit and thus approbated that document, neither he nor his successors
could be heard to say that the mortgage in Ex. P-1
was independent of Ex. P-2 and that the limitation
ran out on the lapse of 60 years from 1842. In our
opinion, the doctrine of election was properly applied
in respect cf Kunhi Pakki's l/4th share now in the possession of the present appellants through defendant 8.
.
The next point that was urged was that the High
Court and the Court below should not have awarded
mesne profits against the appellants till they were
paid the full price of redemption including the compensation for improvements. The trial court had
found that an amount of Rs. 4,089-2-0 was due to
defendant No. 8. This amount was increased by
the High Court to Rs. 6,625-7-0. This was a substantial increase and even though the plaintiffs had
earliei;.Aleposited the entire amount for redemption
incfuding the sum of Rs. 4,089-2-0, they cannot be
said to have fulfilled the condition on which redemp-
852
SUPREME COURT REPORTS
[1964]
1963
tion was to be allowed to them.
Under Ex. P-1,
--
from which we have quoted the relevant passage earlier
C. Beepathummaif was agreed that the sum of 1250 varahal and the
& Ors.
value of improvements would be paid in one lump
v.
sum. In the subsequent documents also the same
V. S.
term was included. The respondents contend that
Kadambolithaya interest on the extra amount of compensation for
& Ors.
improvements has been awarded by the High Court
·
--
· and this makes it equitable that the appellants should
Hidayatullah J. pay mesne profits for the period of their possession
after the deposit of the amount found by the trial Judge
in court. No question of equity really arises, because
the mortgage had to be redeemed according to its
own terms. The mortgagors undertook that they
would redeem the properties by paying the principal
of the mortgage amount and the compensation for
improvements in a lump sum and cannot complain
if the mortgagees are not compelled to hand over the
property or to pay mesne profits till the mortgagors
have paid the full amount. Both sides referred to
certain cases which are really not in point because
the facts were entirely different. It is not necessary
to refer to them, because no principle can be gathered
from them.
In the present case, April 15, J 946
was .fixed for redemption and the mortgagors put
into court a sum of about Rs. 17,000. The appellate
decree was passed on November 3, 1955 and possession
was delivered in 1957. We were informed that a
sum of Rs. 11,800 per year was deposited in court
by way of mesne profits.
I
-
r
Now the mortgagees cannot claim to hold the
lands and use the amount paid as price of redemption. Even if they were not required to hand over
possession till the amount together with the compensation for improvements was paid in full to them, they
could not have the use of the money as well.
In
our opinion, the mortgagees must pay interest on the
amount paid by the mortgagors from the date of
withdrawal of the amount till possession was·dcliyered
to the mortgagors at 6 % per annum simple. 'The.
_Jiii.
extra amount due to the mortgagees by way of com-
.,
I
SS.C.R.
SUPREME COlJRT REPORTS
853
pensation will be deductible and accounts shall be
1963
adjusted between the parties accordingly.
C. Beepathumma
The appeal is thus partly allowed as indicated
& Ors
a hove.
In view of the fiailure on the main point,
v. ·
the appellants must pay the costs of the appeal to the
v. s.
respondents.
Kadarnbolithaya
Appeal partly allowed.
& Ors.
BAI ACHHUBA AMAR SINGH
v.
SRI KALIDAS HARNATH OJHA AND OTHERS
(K. SUBBA RAo, RAGHUBAR DAYAL AND
J.R. MUDHOI'.KAR- JJ.)
The Bombay Tenancy and Agricultural Lands Act, 1948 (67 of
1948) ss. 84, 84A-Scope of s. 84A-If prospective-If affects
adjudication where transfer has already been declared inva/idApplication under s. 84-Ifmust be by landlord.
The appellant was the owner of fields bearing survey numbers
231 and 260 in a village in Gujarat. Respondent No. 1 was the
manager of her estate for some time and while occupying that position, he obtained from hera sale deed in respect of those fields. The
appellant made an application to the Mamlatdar for a declaration
that the sale was invalid as it was in contravention of ss. 63 and
64 of the Bombay Tenancy and Agricultural Lands Act, 1948.
Certain villagers also made an application the Collector under
s. 84 for the summary eviction of respondent no. I on the ground
that the transaction was void as being in violation of provisions
of ss. 63 and 64 of the Act.
The Collector passed an order
that the sale made by the appellant should be treated as void and
the village records be corrected accordingly. The revision was
dismissed by the Revenue Tribunal. A writ petition was filed in
the High Court which remanded the case to the Collector. The
Collector again declared the sale to be void and his order was con·
firmed by the Revenue Tribunal. A writ petition against the order
of Revenue Tribunal was dismissed by the High Court.
In 1956, the Act of 1948 was amended ands. 84-A was added.
Fresh proceedings were started by respondent No. 1 under s. 84-A
Hidayatullah J.
1963
December 6