# TAYABHAI M. BAGASARWALLA AND ANR v. HIND RUBBER INDUSTRIES (P.) LTD. ETC

- **Citation:** [1997] 2 S.C.R. 152
- **Court:** Supreme Court of India
- **Decided:** 1997-02-19
- **Source:** https://unisonlegal.in/judgment/supreme-court-of-india/tayabhai-m-bagasarwalla-and-anr-v-hind-rubber-industries-p-ltd-etc-15354
- **Pages:** 23

## Headnote

A
TAYABHAI M. BAGASARWALLA AND ANR.
v.
HIND RUBBER INDUSTRIES (P.) LTD. ETC.
FEBRUARY 19, 1997
B
[B.P. JEEVAN REDDY AND SUHAS C. SEN, .TJ.]
Civil Procedure Code 1908-0rder 39 Rules 1, 2, 2A-Maharashtra
Amendment Act No. 65 of 1977-Section 9A-Violation of interim order of
injunction passed by a cowt found to have no jurisdiction-Effect of-Held,
C orders passed by the Civil Court are effective till the Court decides jurisdictio11-Violatio11 of the order punishable.
D
Respondent No. 1 is the tenant of the ground floor portion in the
suit house belonging to appellant. The building was destroyed by fire in
1985. The appellant filed a suit in City Civil Court in 1991 for a perpetual
injunction restraining the Respondent from carrying out any construction
in the suit premises, on the ground that in as much as the building, which
was the subject matter of tenancy between the parties, has been destroyed
by fire, the tenancy of the first defendant has come to an end. The Civil
Court granted an interim injunction and the application for vacating the
E interim injunction was dismissed. The Appeal preferred by the defendants
was dismissed.
The plaintiffs moved an application under Order 39 Rule 2A CPC
for punishing the defendants 1 & 2 for flouting the order of interim
injunction. The defendants also moved an application under Section 9A
F CPC for questioning the jurisdiction of the Civil Court to entertain the
said suit. The Civil Court held that it did possess the jurisdiction to try
the suit and also affirmed the interim injunction.
The Civil Court also allowed the application under 0. 39 R. 2A CPC
G and held that there is a breach of interim order and committed the second
respondent to imprisonment for a period of one month.
On appeals filed by defendants the ffigh Court stayed the order
punishing the defendant for contempt but did not stay the order granting
injunction in favour of plaintiffs. Subsequently, the High Court vacated
H the order granting stay of CO!Jtempt proceedings on the basis of a report
152
-
•· -
TAYABHAIM.BAGASARWALLAv. HINDRUBBERINDS.P.LTD. 153
of a Commissioner. ·The application to set aside the order was dismissed A
by the High Court on the ground that the defendants have usefully tloated
the order and they were not willing to purge the contempt and restore the
premises to the state they were in 1991.
In the meanwhile, in the Revision filed by defendants, the High Court
held that the Bombay City Civil Court had no jurisdiction to entertain 'the B
suit. While holding so, the High Court disagreed with a decision of Kerala
High Court and following an earlier judgment of the same court, it was
held that destruction of the house by fire does not put an end to the tenancy
of the defendants. The Special Leave Petition filed against the said order
was dismissed and the tenant was directed to make construction/alteration C
in accordance with law. Before the High Court the defendants were per·
mitted to reoccupy and carry on their business in their premises. On
Appeal, the Supreme Court directed High Court to decide the Appeal
expeditiously.
The Bombay High Court allowed the appeal filed by the defendants D
holding that in as much as the Bombay City Civil Court is found to have
no jurisdiction to entertain the suit, defendants 1 & 2 cannot be punished
for disobeying the interim orders made in such suit, for the reason that
the said interim order must be equally held to be without jurisdiction.
In the appeal before this Court, it was contended by the Appellant E
both on principle as well as with reference to Section 9A of Civil Procedure
Code (Maharashtra Amendment), that violation of an disobedience of
or.ders of injunction on the ground that the Civil Court had no jurisdiction
would be' subversive of the Rule of Law and would seriously erode the
majesty and digllity of the courts; that if a party thinks that an order made F
by the Civil Court is without jurisdiction the appropriate course open to
'
'
him is to approach t

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A
TAYABHAI M. BAGASARWALLA AND ANR.
v.
HIND RUBBER INDUSTRIES (P.) LTD. ETC.
FEBRUARY 19, 1997
B
[B.P. JEEVAN REDDY AND SUHAS C. SEN, .TJ.]
Civil Procedure Code 1908-0rder 39 Rules 1, 2, 2A-Maharashtra
Amendment Act No. 65 of 1977-Section 9A-Violation of interim order of
injunction passed by a cowt found to have no jurisdiction-Effect of-Held,
C orders passed by the Civil Court are effective till the Court decides jurisdictio11-Violatio11 of the order punishable.
D
Respondent No. 1 is the tenant of the ground floor portion in the
suit house belonging to appellant. The building was destroyed by fire in
1985. The appellant filed a suit in City Civil Court in 1991 for a perpetual
injunction restraining the Respondent from carrying out any construction
in the suit premises, on the ground that in as much as the building, which
was the subject matter of tenancy between the parties, has been destroyed
by fire, the tenancy of the first defendant has come to an end. The Civil
Court granted an interim injunction and the application for vacating the
E interim injunction was dismissed. The Appeal preferred by the defendants
was dismissed.
The plaintiffs moved an application under Order 39 Rule 2A CPC
for punishing the defendants 1 & 2 for flouting the order of interim
injunction. The defendants also moved an application under Section 9A
F CPC for questioning the jurisdiction of the Civil Court to entertain the
said suit. The Civil Court held that it did possess the jurisdiction to try
the suit and also affirmed the interim injunction.
The Civil Court also allowed the application under 0. 39 R. 2A CPC
G and held that there is a breach of interim order and committed the second
respondent to imprisonment for a period of one month.
On appeals filed by defendants the ffigh Court stayed the order
punishing the defendant for contempt but did not stay the order granting
injunction in favour of plaintiffs. Subsequently, the High Court vacated
H the order granting stay of CO!Jtempt proceedings on the basis of a report
152
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•· -
TAYABHAIM.BAGASARWALLAv. HINDRUBBERINDS.P.LTD. 153
of a Commissioner. ·The application to set aside the order was dismissed A
by the High Court on the ground that the defendants have usefully tloated
the order and they were not willing to purge the contempt and restore the
premises to the state they were in 1991.
In the meanwhile, in the Revision filed by defendants, the High Court
held that the Bombay City Civil Court had no jurisdiction to entertain 'the B
suit. While holding so, the High Court disagreed with a decision of Kerala
High Court and following an earlier judgment of the same court, it was
held that destruction of the house by fire does not put an end to the tenancy
of the defendants. The Special Leave Petition filed against the said order
was dismissed and the tenant was directed to make construction/alteration C
in accordance with law. Before the High Court the defendants were per·
mitted to reoccupy and carry on their business in their premises. On
Appeal, the Supreme Court directed High Court to decide the Appeal
expeditiously.
The Bombay High Court allowed the appeal filed by the defendants D
holding that in as much as the Bombay City Civil Court is found to have
no jurisdiction to entertain the suit, defendants 1 & 2 cannot be punished
for disobeying the interim orders made in such suit, for the reason that
the said interim order must be equally held to be without jurisdiction.
In the appeal before this Court, it was contended by the Appellant E
both on principle as well as with reference to Section 9A of Civil Procedure
Code (Maharashtra Amendment), that violation of an disobedience of
or.ders of injunction on the ground that the Civil Court had no jurisdiction
would be' subversive of the Rule of Law and would seriously erode the
majesty and digllity of the courts; that if a party thinks that an order made F
by the Civil Court is without jurisdiction the appropriate course open to
'
'
him is to approach the court with the said pleas but it is not open to him
to tlout the said order assuming that the order is without jurisdiction and
that this principle has been recognized and incorporated in Section 9A of
CPC (inserted by Maharashtra Amendment Act No. 65 of 1977).
The Respondent contended that although the defendants argned
before the Single Judge that the finding of fact recorded by Civil Court is
not sustainable, it has not been dealt with; that proceedings under Order
G
39 Rule 2A are part of the coercive process to secure obedience to its
injunction and that once it is, found that the court bas no jurisdiction, H
154
SUPREME COURT REPORTS
[1997] 2 S.C.R.
A question of securing obedience to its orders does not arise; that enforcing
the interim order after it is found that the court had no Jurisdiction to try
the said suit would not only be unjust and illegal but would also reflect
adversely upon the dignity and authority of the Court, that the plaintiff
had instituted the present suit in the Civil Court knowing full well that it
B had no jurisdiction to try it and that the defendants 1 & 2 are not guilty
of disobeying and violating the order of injunction and that they did not
carry on any construction activity after the grant of interim injunction by .
the Civil Court.
c
Allowing the Appeals this Com·t
HELD : 1. The order of Civil Court holding defendant No. 2 guilty
. of contempt and sentencing him to undergo one month imprisonment is
affirmed. [174-C]
2. The High Court is not right in holding that since it has been found
D ultimately that the civil court had no jurisdiction to entertain the suit, the
interim orders made therein are non-est and hence the defendants 1 & 2
cannot be punished for their violation even if they had flouted and disobeyed the said interim orders when they were in force. [162-F]
E
3. It cannot be said •'iat the plaintiffs did not approach the Civil
Court bonafide. It is evident that they approached the Civil Court bonafide,
thinking that it had jurisdiction to try their suit. In such a case the
defendants cannot escape the consequences of their disobedience and
violation of interim injunction committed by them prior to the High
Court's decision on the question of jurisdiction. [163-C, 165-D]
F
4. Section 9A of Civil Procedure Code (inserted by Maharashtra
Amendment Act No. 65 of 1977) reiterates that whenever an issue as to the
jurisdiction is raised, it shall be decided at the earlier possible moment
and the Court is not· precluded from granting such interim reliefs as it
G may consider necessary pending the decision on the question of jurisdiction. The interim orders so passed are orders within jurisdiction and when
passed are effective till the court decides that it has no jurisdiction to
entertain the suit. [163-G, 164-G]
Vivekanand Atmaram Chital & Anr. v. Vidyavardhini Sabha & Ors.,
H (1984) MW 520, approved. \
'
\
TAYABHAI M. BAGASARWALIA v. HIND RUBBER INDS. P. LTD. 155
Dwarkadas Mulji & Ors. v. Shanti/al Laxmidas & Anr., (1980) MW A
404, dissented from.
Shiv Chandra Kapoor v. Amar Bose, [1990] 1 SCC 234; State of
Punjab & Ors. v. Gurdev Singh, [1991] 4 SCC 1; Ravi S. Naik v. Union of
India, [1994] Suppl 2 SCC 641; State of U.P. v. Ratan Shukla, AIR (1956)
All 2581; Nalla Senapathi Sarkari Mandradiar v. Shri Ambal Mills P. Ltd. & B
Ors., AIR (1966) Mad 53; D.M. Samyulla v. Conlmissioner, Corporation of
City of Bangalore & Ors., (1991) Karn. Law Journal 352; Kapil v. S. Antony,
(1984) 2 Bombay Case Reporter 199; Kiran Si11g v. Chaman Paswan, AIR
(1954) S.C. 340, referred to. ·
c
Hadkinso11 v. Hadkinso11, (1952) All E.R. 567; U11ited State of America
v. John F. Shipp et al, (5) L. Ed. 319, referred to.
5. It is not right to say that the Civil Court had no jurisdiction to pass
interim orders or interim injunction, as the case may be, pending decision
on the question of jurisdiction. Punishing the defendants for violation of D
the said orders committed before the decision of the High Court does not
amount to enforcing them after the decision. [171-H, 172-A-D]
6. The orders of High Court which are based on records show that
the second defendant acting on behalf of first defendant had carried out
the construction complained of and had refused to purge himself of the E ·
contempt when given an opportunity to do so. The plea that the matter
-
should be remitted to the High Court for deciding the factual issue, would
be an unnecessary and empty formality. [173-E~F]
I
(The Court remitted the matter
1back to the High Court to the extent
of the respondents other then defendants 1 & 2 to determine whether any F
or both of them are guilty of violating the injunction order since it was not
investigated by the High Court earlier). [174-B]
CIVIL APPELLATE JURISDICTION: Civil Appeal Nos. 16662-66
~~-
G
From the Judgment and Order dated 1.11.% of the Bombay High
Court in A.O. No. 1407 of 1991.
Soll J. Sorabjee, Ms. Manik Karanjawala, Nikhil Sakhardande, Anil
Singh, R.N. Karanjawala, Ms. Meenakshi Sakhardande and Ms. Nandini H
156
SUPREME COURT REPORTS
(1997] 2 S.C.R.
A Gore for the Appellants.
H.K. Puri, Rajesh Srivastava and Ujjwal Banerjee for the Respondent Nos. 1-2.
A.M. Khanwilkar and Ms. V.D. Khanna for the Respondent No. 3
B in C.A. No. 16663/96.
c
U.U. Lalit for the Respondent No. 3 in C.A. No. 16664/96.
S.K.'Dholakia, D.N. Misra for JBD & Co. for the Respondent No. 5
in C.A. No. 16665-66/96.
The.Judgment of the Court was delivered by
B.P. JEEVAN REDDY, J. A question of some general importance
arises in these appeals. The question is whether a person who disobeys an
interim injunction made by the Civil Court can be punished under Rule 2-A
D of Order 39 of the Code of Civil Procedure where it is ultimately found
that the Civil Court had no jurisdiction to entertain and try the suit? A
learned Single Judge of the Bombay High Court has opined, following
certain earlier decisions of that Court, that he cannot be. The. reason given
is : once it is found that the Civil Court has no jurisdiction to entertain the
E said suit, all interim orders made therein mi:~t also be deemed to be without
jurisdiction and, hence, a person flouting such interim orders cannot be .
punished for their violation. The correctness of the said view is questioned
in this appeal by the plaintiff- appellant.
The first defendant, Hind Rubber Industries Private Lim~ted, is the
F tenant of the ground floor in the suit house. The appellant is the landlord.
On August 25, 1985 the said building was destroyed by fire. ·.
On February 11, 1991 the appellant filed a suit in the City Civil Court,
. Bombay (Suit No. 1407 of 1991) for a perpetual injunction restraining the
G, first defendant from carrying on any construction in the suit premises. The
appellant's case was that inasmuch as the building, which was the subjectmatter of tenancy between the parties, has been destroyed by fire, the
tenancy of the first defendant has come to an end. (The second respondent
herein is the Managing Director of the first respondent and was impleaded
as the second defendant in the suit.) The appellant applied for a temporary
H injunction restraining the first defendant from carrying on any construction.
TAYABHAI M. BAGASARWALLA '· HIND RUBBER INDS. P. LTD. [B.P. lEEVAN REDDY, J.)
157
An ad-i11te1im injunction was granted by the Civil Court on February 15, A
1991. The first defendant applied for vacating the illterim injunction but his
application was dismissed by the Civil Court in February/March, 1991. An
appeal preferred by the first defendant was dismissed on July 24, 1991.
Meanwhile, on April 11, 1991 the plaintiff moved the Civil Court for
punishing the defendants under Order 39 Rule 2-A of the Civil Procedure B
Code for.flouting the order of i11ierim injunction. While the said application
. was pendu;g; 1he defendants moved an application under Section 9-A of
the Civil Procedure Code- {Maharashtra Amendment) for determining the
issue of jurisdiction of the Civil Court to entertain the said suit. On
November 29, 1991 the Civil Court affirmed the temporary injunction and C
also held that it did posses the jurisdiction to try the said suit.
On December 2, 1991, the Civil Court allowed the application/motion
filed by the appellant-landlord against Defendants 1 and 2 under Order 39
Rule 2-A of the Civil Procedure Code. It would be appropriate to notice D
the findings recorded in the said order. The court found, on a consideration of the material placed before it, "that the construction is, to say the
least massive. Some of the photographs show construction materials being
certain iron girders, columns and beams being broughtJ.9. the suitpremises.
The columns which are erected are shown to be dug from the ground itself
right upto the first floor level..... These photographs also show massive E
reconstruction work in progress right from the ground floor. There can be
absolutely no doubt that the suit premises as they were on the date .of the
injunction order and on the date of the Architect's visit to the suit premises
have been altered beyond comprehension". The Civil Court also dealt with
the plea of the first defendant that the said construction has not been put p
up by Defendants 1 and 2 but by other tenants and, in particular, by
Defendants 3 and 4. The court rejected the said theory holding that the
fourth respondent ha~ been put forward as a proxy who has voluntarily
taken the blame upon himself. The court found "the work carried out.. ... .is
after the injunction order and hence is in breach of it. The Respondent No.
4 has both callously and impertinently come to the rescue of Respondent G
No. 2". The court finally found; "it can be seen from the photographs that
construction activities have been carried on un-deterred by the order of
injunction. In fact, it has been continued despite applications to set aside
that order and despite police warnings in respect of above ...... The breach
of the order is more than substantiated. The disobedience of Respondent H
158
SUPREME COURT REPORTS
[1997] 2 S.C.R.
A No. 2 acting on behalf of the first defendant is clearly shown". Accordingly,
the court committed the second defendant-respondent to imprisonment for
a period of one month. The· court made the following further significant
direction:
B
c
"Since the construction' is clearly both unauthorised and in breach
of the order of injunction and since there are no ad-interim orders
passed in the first defendal)-ts suit No. 4597 of 1987 in the Chamber
Summons the 3rd defendants shall forthwith take action under
their notice dated 23.5.91. T~e Court Receiver has already been
appointed Receiver of the pr~perty in the plaintiffs Notice of
Motion No. 949 of 1991. The Court Receiver shall take possession
of the suit premises and seal the same until the 3rd defendants act
upon their notice dated 23.5.91. The first defendant shall pay costs
of this Notice of Motion fixed at Rs. 1,000 condition precedent."
D
In July, 1992 the Defendants 1 and 2 filed appeals in the Bombay
High Court against the order punishing him and also against the order
making the interim injunction absolute pending the suit. The High Court
stayed the order punishing the defendant for contempt but did not stay the
order granting injunction in favour of the plaintiffs. On July 15, 1994, the
High Court appointed a Commissioner to ascertain whether the construcE tion activity was still being carried on by the defendants. On July 18, 1994
the Commissioner submitted his report stating that the construction work
was still being carried on in the premises. After perusing the report of the
Commissioner, the High Court passed orders on July 28, 1994 vacating the
order dated July 30, 1992 (whereunder it had stayed the operation of the
p
order of the Civil Court punishing the defendant for contempt). It would
be relevant to notice the finding recorded in this order :
G
H
"The Commissioner visited the site. In spite of being aware of the
0 rder of this Court, the Appellants did not permit the Commissioner to inspect the site. The Commissioner had to again has
reported that the construction work is going on. Thus it is clear
that in spite of an Order which has not been stayed, the Appellants
are going on with the construction. They are wilfully violating Order
of a Competent Court. ......... Today neither the Appellants nor
their Advocates are present. It is clear that the whole idea is to
while away time. In my view, the Appellants who are continuing
-
--
TA YABHAI M. BAGASARWALLA v. HIND RUBBER INDS. P. LTD. [B.P. JEEV AN REDDY, J.]
159
to commit breaches of Orders of Court, are not entitled to any A
stay from this court.
Accordingly, Civil Appeal No. 6513 of 1991 is dismissed with
costs ......
it is clarified that now the Impugned Order must be complied with B
and Court Receiver must take possession. Court Receiver to act
on an _ordinary copy of this Order certified by Advocate for
Respondents 1 and 2 as true copy."
It appears that Defendants 1 and 2 applied for setting aside the said
order (dated July 28, 1994). It was dismissed by the High Court o'D. C
'• November 7, 1994. It would be relevant to notice the contents of this order:
"Mr. Apte (counsel for the plaintiff) submitted that the appellants
cannot be heard on this Civil Application. He submitted that they
are in contempt of the court inasmuch as they have wilfully and D
blatantly violated the injunction order. He submitted that unless
the contempt is first purged, the Appellants cannot be heard.
I see great substance in this contention. The Applicants were
asked whether they were willing to purge the contempt and restore
the premises to the state they were .in 1991. The Applicants are not E
willing to do so. The whole attempt has been to try and confuse.
The whole attempt has been to try and justify. By the ex-parte order
dated 11.2.1991 as confirmed by the order dated 21.11.1991, the
,Applicants have been restrained from carrying out any construction work. As is set out hereafter, it is clear to court that inspite
F
of this injunction order, constriction )¥Ork has been carried on
almost continuously by the Appellants."
The learned Judge then referred in extenso to the elaborate material
placed before him and recorded the finding that all these reports clearly
indicate that there is wilful and blatant breach of order of injunction passed G
by the City Civil Court. "It is clear that in breach of the injunction order,
there has been construction. The breach is wilful and blatant. The extent to
which the Appellants have gone is also indicated by the fact that, as stated
above,· inspite of knowledge of order of this Court, the Commissioner
appointed by this court was initially obstructed. To Court it is very clear H
160
SUPREME COURT REPORTS
(1997] 2 S.C.R.
A that here is a party who has absolutely iio regard for the orders of the court.
Such a party must be made to bear the consequences of their own action ..... To Court it is clear that the applicants have chosen to wilfully and
blatantly flouted the order of injunction. It may be that the Applicants have
a very good case. However, no matter how good a case a party has, in my
B ·view, it is not open to a party to flout orders of courts. If a party wilfully
flouts an order of the court then such party can expect no equitable relief
from the court. Such a party must be made to bear the consequences of
his action. Otherwise all parties will ignore or flour orders of courts. When
caught out they would then throw themselves at the mercy of the court. In
my view, in cases like this the party in default must not be allowed to enjoy
C the benefits of his action. To appoint Applicants as Agent of the Court
Receiver would amount to giving them benefit of their wrong. In my view,
the order dated 28.7.1991 11/-ust be and is sustained. The application to
appoint the Applicants as agents of Court Receiver is rejected."
D
On July 3, 1996 civil revision application No. 888 of 1991 preferred
by the defendants against the order of the Civil Court (holding that it had
jurisdiction to try the suit) was allowed. The High Court held that the
Bombay City Civil Court had no jurisdiction to entertain the said suit in
view of section 28 of the Bombay Rent Act. Disagreeing with the decision
of the Kerala High Court, the Bombay High Court held that the destruction
E
of the house by fire does not put an end to the tenancy of the defendants.
(The judgment of the High Court is reported in Special Land F.xecution
Officer, Bombay & Bombay Sabarban District Municipal Corporation v.
Vishanji Virji Mepani & Another, AIR (1996) Bombay 369. The plaintiff
(landlord) filed a Special Leave Petition against the said ordedmt it was
F
dismissed by this Court on September 3, 1996. While dismissing the Special
Leave Petition, this Court directed that the tenant shall make construction/alteration, if any, only in accordance with law and also with the prior
permission of the Bombay Municipal Corporation. (In this order, it was
mentioned that the tenant is in the possession of the premises but this
portion was del~ted later by order dated 1.10.1996.)
G
,
In the light of an on the basis of the decision of the Bombay High
Court dated 3.7.96 ir1 Vishanji Virji Mepani, the first defendant applied to
the High Court for permission to occupy and carry on his business in the
suit premises as before. It· asked for a direction to the Court Receiver to
H deliver possession of the suit premises to it. By order dated 13.9.96, the
(
...
....,
'
-
, TAYABHAIM.BAGASARWALLA>. HINDRUBBERINDS. P.LTD. (B.P.JEEVANREDDY,J.]
161
High Court held that the first defendant is entitled to the relief asked for A
by him. After referring to the judgment of the High Court in Visha11ji Virji
Mepani and to the orders of this Cou~t in the Special Leave Petition, the
High Court observed : "therefore the view taken by this Court that City
Civil Court has no jurisdiction to entertain this suit filed by Respondents
come to be confirmed. The petitioner herein has now prayed that it may B
be allowed to occupy and carry on business in the premises which were
occupied by it without paying any payment or royalty and security. If the
City Civil Court is having no jurisdiction to decide the suit itself, all the
orders passed therein come to an end and are required to be treated as
11011-est. The learned Counsel for Respondents tried to point out that
Petitioner is guilty of violating some interim or ad-interim orders passed in C
the suit and contempt proceedings in that respect are pending. But that is
immaterial and irrelevant for consideration of the relief prayed by
Petitioner, particularly when the original orders passed were without jurisdiction. Hence, in my opinion (a) deserves to be granted which runs as
follows; '(a) the Petitioner/Appellant be allowed to occupy and to carry out D
business in their premises as before without royalty and security' Civil
Application granted in terms of prayer (a). The Receiver to act on the basis
of the authenticated copy by the Sheristedar of this Court. The learned
Counsel for Respondents prays for stay of the Order. Stay refused."
The plaintiffs questioned the aforesaid order dated 13/9/96 by way E
of Special Leave Petition which was entertained by this Court by its order
dated October 1, 1996. Special leave was granted. This Court directed that
"the respondents shall not be entitled to put in pos~ession of the premises
till the appeal is decided by the High Court. We request the High Court
to dispose of the appeal or case on November 1996." (The respondents in F
the said quote means the defendants herein and the appeal referred to
'
therein is the appeal preferred by the Defendants 1 and 2 against the order
dated 2.12.1991 holding Defendants No. 2 guilty of violating the temporary
injunction and sentencing him to one month's imprisonment under Rule
2-A of Order 39 of the Civil Procedure Code.)
Pursuant to the request of this Court aforementioned, the Bombay
High Court has disposed of the aforementioned appeal (Appeal from
Order No. 1407 of 1991) on November 1, 1996. The High Court has allowed
the appeal holding that inasmuch as the Bombay City Civil Court is found
G
to have no jurisdiction to entertain the suit, Defendants 1 and 2 cannot be H
162
SUPREME COURT REPORTS
(1997] 2 S.C.R.
A punished for disobeying the inte1i111 orders made in such a suit, for the
reason that the said inte1im order must equally be held to be without
jurisdiction. This appeal is preferred against the said order of the High
Court.
B
·rvfr. Soli Sorabjee, learned counsel for the appellant-plaintiff
(landlord of the suit premises) assailed the impugned order of the High
Court both on principle as well as with reference to Section 9-A of the
Civil Procedure Code (Maharashtra Amendment). Learned counsel placed
reliance upon certain decisions, which we shall refer at the appropriate
stage. Sri Puri, learned counsel for the defendants, however supported the
C reasoning and conclusion arrived at by the High Court. The learned
counsel supported by Sri V.A. Mohta, submitted that although defendants
argued before the learned Single Judge (who passed the impugned order)
that the finding of fact recorded by Civil Court (that Defendants 1 and 2
have violated the order of injunction issued by the court) is not substainable
D · in the facts and circumstances of the case, the learned Judge has not
chosen to deal with the same probably for the reason that he has allowed
their appeal on the question of law. Counsel submitted that Defendants 1
and 2 have not carried out any construction in the suit premises after the
grant of injunction by the Civil Court and that whatever construction was
done was done earlier to the grant of injunction by the Civil Court.
E
The first and foremost question in this appeal is whether the High
Court was right in holding that since it has been found ultimately that the
Civil Court had no jurisdiction to entertain the suit, the interim orders
made therein are non-est and hence Defendants 1 and 2 cannot be
F punished for their violation even if they had flouted and disobeyed the said
interim orders when they were in force. We are the considered opinion that
the High Court was not right in saying so. The landlord-plaintiff came
forward with the suit alleging that by virtue of the fire resulting in the
destruction of the Suit house, the relationship of landlord and tenant
between the parties has come to an end and, therefore, he requested the
G court to injunct the defendants from carrying on any construction on the
suit premises without their permission and without obtaining the sanction
from Municipal Corporation. The defendants questioned the Jurisdiction
of the Civil Court to entertain the suit. According to them, the building
was not totally destroyed and that, in any event, the relationship of landlord
H and tenant has not come to an end on that account. The defendants' plea
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was rejected by the Civil Court. It held that it did have the jurisdiction to A
try the said suit. On appeal, however the High Court, disagreeing with the
decision of another High Court, held that relationship of landlord and
tenant has not come to an end for the reason suggested by the plaintiff and
that the Civil Court had no jurisdiction to entertain the suit in view of
Section 28 of Bombay Rent Act. All this took about six years, i.e., from B
199.1 to 1996. It is not suggested nor can it he suggested that the s.uit was
filed by the plaintiff in the City Civil Court only with a view to avoid that
Rent Control Court nor can it be suggested that they approached the Civil
Court knowing full well that the Civil Court had no jurisdiction to try that
suit. It is evident that they approached the Civil Court bonafide, thinking
that it had jurisdiction to try their suit. They were confirmed in their view C
by the Civil Court. It is true that ultimately the High Court found against
them but even there, it must be noticed, they did so disagreeing with a
decision of the Kerala High Court. It, therefore, cannot be said that .the
plaintiffs did not approach the Civil Court bonafide.
The next. thing to be noticed is that certain interim orders were asked D
for and were granted by the Civil Court during this period. Would it be
right to say that violation of and disobedience to the said orders of
injunction is not punishable because it has been found later that the Civil
Court had not jurisdiction to entertain the suit. Mr. Sorabjee suggests that
saying so would be subversive of the Rule of Law and would seriously erode E
the majesty and dignity of the courts. It would mean, suggests learned
counsel, that it would be open to the defendants-respondents to decide for
themselves whether the order was with or without jurisdiction and act upon
that belief. This can never be, says the learned counsel. He further suggests
that if any party thinks that an order made by the Civil Court is without F
jurisdiction or is contrary to law, the appropriate course open to him is to
approach that court with that plea and ask for vacating the order. But it is
not open to him to flout the said order assuming that the order is without
jurisdiction. It is this principle which has been recognised and incorporated
in Section 9-A of Civil Procedure Code (inserted by Maharashtra Amend- G
ment Act No. 65 of 1977), says Mr. Sorabjee. Section 9-A reads as follows:
"9-A. Where by an application for i11te1im relief is sought or is
sought to be set aside in any suit and objection to jurisdiction is
taken, such issue to be decided by the Court as preliminary issue H
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at hearing of the application.
(1) If, at the hearing of any application for granting or setting aside
an order granting any inte1im relief, whether by way of injunction,
appointment of a receiver or otherwise, made in any suit, an
objection for the jurisdiction of the Court to entertain such suit is
taken by any of the parties to the suit, the Court shall proceed to
determine at the hearing of such application the issue as to the
jurisdiction as a preliminary issue before granting or setting aside
the order granting the interim relief. Any such application shall be
heard and disposed of by the Court as expeditiously as possible
and shall not in any case be adjourned to the hearing of the suit.
(2) Notwithstanding anything contained in sub-section (1), at the
hearing of any such application, the Court may grant such interim
relief as if may consider necessary pending determination by it of
the preliminary issue to the jurisdiction."
According to this section, if an objection is raised to the jurisdiction
of the court at the hearing of an application for grant, of, or for vacating,
interim relief, the court should determine that issue in the first instance as
a preliminary issue before granting or setting aside the re!ief already
E granted. An application raising objection to the jurisdiction to the'court is
directed to be heard with all expedition. Sub-rule (2), howe-l.h, says that
the command in sub-rule (1) does not preclude the court from granting
such interim relief as it may consider necessary pending the decision on the
question of jurisdiction. In our opinion, the provision merely states the
p
obvious. It makes explicit what is implicit in law. Just because an objection
to the jurisdiction is raised, the court does not become helpless forthwith
- nor does it become incompetent to grant the interim relief. It can. At the
same time, it should also decide the objection to jurisdiction at the earlier
possible moment. This is the general principle and this is what Section 9-A
reiterates. Take this very case. The plaintiff asked for temporary injunction.
G An ad-interim injunction was granted. Then the defendant came forward
objecting to the grant of injunction and also r!Usfng-an objection to the
jurisdiction of the court. The court over-ruled the objection as to jurisdiction and made the interim injunction absolute._ T~- defendants filed an
appeal against the decision on _the question of jurisdictioa While that
H appeal was pending, several other interim order were passed both by the
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TAYABHAI M. BAGASARWALLA v. HIND RUBBER INDS. P. LTD. [B.P. JEEVAN REDDY.J.]
165
Civil Court as well as by the High Court. Ultimately, no doubt, High Court A
has found that the Civil Court had no jurisdiction of entertain the suit but
all this took about six years. Can it be said that orders passed by the Civil
Court· and the High Court during this period of six years were all non-est
and that it is open to the defendants to flout them merrily, without fear
of any consequence. Admittedly, this could not be done until the High B
Court's decision on the question of jurisdiction. The question is whether
the said decision of the High Court means that no person can be punished
for flouting or disobeying the interim/interlocutory orders while they were
in force, i.e., for violations and disobedience committed prior to the
decision of the High Court on the question of jurisdiction Holding that by
virtue of the said decision of the High Court (on the question of jurisdicC
tional, no one can be punished thereafter for disobedience or violation of
the interim orders committed prior to the said decision of the High Court,
would indeed be subversive of rule of law and would seriously erode the
dignity and the authority of the courts. We must repeat that this is not even
a case where a suit was filed in wrong court knowingly or orily with a view D
to snatch an interim order. As pointed out hereinabove, the suit was filed
in the Civil Court bonafide. We are of the opinion that in such a case the
defendants cannot escape the consequences of their disobedience and
violation of the interim injunction committed by them prior to the High
Court's decision on the question of jurisdiction.
In Shiv Chander Kapoor v.Amar Bose, [1990] 1SCC234, J.S. Verma,
E
J. speaking for a 3-Judge Bench observed thus, .with reference to the
statement of law at pp. 351-353 of Wade's Administrative Law (6th Edn.):
"'void' is meaningless in an absolute sense; and 'unless the necessary
proceedings are taken at law to establish the cause of in invalidity and to F
get it quashed or otherwise upset, it will remain as effective for its ostensible purpose as the most impeccable of orders'. In the wor_ds of Lord
Diplock, 'the order would be presumed to be valid unless the piesumption
was rebutted in competent legal proceedings by a party entitled to sue'."
To the same effect is the opinion of Jagannatha Shetty, J. in State of G
Punjab & Ors. v. Gurdev Singh, [1991] 4 SCC 1.
"If an Act is void or ultra vires it is enough for the court to declare
it so and it coll1tpses aut~m~tically. It need not be set aside .. The
aggrieved party can simply seek a declaration that it is void and H
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not binding upon him. A declaration merely declares the existing
state of affairs and does not 'quash' so as to produce a new of
affairs.
lo•
But nonetheless the impugned dismissal order has at least
defacto operation unless and until it is declared to be void or nullity
by a competent body or court. In Smith v. East Elloe Rural District
Council, (1956) A 736 769 : (1956) 1 All ER 855, 871 Lord
Radcliffe observed : 'An order, even if not made in good faith, is
still an act capable of legal consequences. It bears no brand of
invalidity on its forehead. Unless the necessary proceedings are
taken at law to establish the cause of invalidity and to get it quashed
or otherwise upset, it will remain as effective for its ostensible
purpose as the most impeccable of orders."
Apropos to this principle Prof. Wade states : (See Wade :
Administrative Law, 6th edn. p. 352)' the principle must be equally
true even where the 'brand' of invalidity is plainly visible; for there
also the order can effectively be resisted in law only by obtaining
the decision of the court. Prof. Wade sums up these principles :
(Ibid)
'The truth of the matter is that the court will invalidate an order
only if the right remedy is sought by the right person in the right
proceedings and circumstances. The order may be hypothetically
a nullity, but the court may refuse to quash it because of the
plaintiffs lock of standing, because he does not deserve a discretionary remedy, because he has waived his right, or for some other
legal reason. In any such case, the 'void' order remains effective
and is, in reality, valid. It follows that an order may be void for
one purpose and valid for another; and that it may be void against
one person but valid against another."
·
G
We may also refer to yet another decision of this Court in Ravi S.
Naik v. Union of India, (1884].Suppl. 2 SCC 641 at 662 S.C. Agrawal, J.,
speaking for the Division Bench, observed :
"In the absence of an authoritative pronouncement by this Court
the stay order passed by the High Court could not be ignored by
H
the Speaker on the view that his order could not be a subject-'ma\-i 1
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TAYABHAI M. BAGASARWALl.A v. HIND RUBBER INDS. P. LTD. [B.P. JEEV AN REDDY, .1.]
167
ter· of court proceedings and his decision was final. It is settled law A
that an order, even though i11te1im in nature, is binding still it is
set aside by a competent court and it cannot be ignored on the
ground that the court which passed the order had no jurisdiction
to pass the same. Moreover the stay order was passed by the High
Court which is a superior Court of Record and 'in the case of a B
superior Court of Record, it is for the court to consider whether
any matter falls within its jurisdiction or not. Unlike a court of
limited jurisdiction, the superior court is entitled to determine for
itself questions about its own jurisdiction. (See : Spec:al Reference
No. 1 of 1964; 1967 3 SCR 84."
.
The Allahabad and Madras High Courts have also taken the same
view. In State of U.P. v. Ratan Shukla, AIR (1956) All. 258, the Allahabad
High Court observed :
c.
"The fact that Shri S.M. Ifrahim had no jurisdiction to hear the
appeals, however, does not mean that no contempt could be D
committed of him. So long as he was seized of the appeals, no
contempt could be committed of him.
It is not the law that a court dealing with a matter which is beyond
its jurisdiction can be contemned with impunity or that the liability E
of a person to be punished for contempt of a court depends upon
whether the co_!!rt-was acting within it jurisdiction at the time when
it is alleged to have been contemned. The opposite-party, therefore
cannot claim that he is not guilty of contempt because Shri S.M.
Ifrahim had no jurisdiction to decide the ap'peals."
In Na/la Senapati Sarkarai_ Mandariar Pallayakottai v. Shri Ambal
Mills Pvt. Ltd. & Ors., AIR (1966) Mad. 53 similar view has been expressed
F
- without of course deciding the question finally. Quoting Oswald on
Contempt (1910 Edn. at 106), the court observed "an order irregularly
obtained cannot be treated as a nullity, but must be implicitly obeyed, until G
by a proper application, it is discharged."
·
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.
I
In D.M. Samyulla v. Commissioner, Corporation of tlie .. qty of Bangalore & Ors., (1991) Karnataka Law Journel 352, the Karnataka High
Court stated the law in the following terms, with reference to the decision
of the Court of Appeal in Hodkinson v. Hodkinson : "the principle laid H
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A down in the said decision is, a party who knows an order, whether it is null
or valid, regular or irregular, cannot be permitted to disobey it and it would
be dangerous to allow the party to decide as to whether an order was null
or valid or whether it was re~lar or irregular".
'
,
B held:
In Hadkinson v. Hadki11so11, (1952) All. E.R.