Supreme Court: Execution of Decree has seen no progress since 19th century in India

Ambika bhardwaj

Published On: January 30, 2022 at 12:13 IST

The Supreme Court in the Case of Messer Griesheim Gmbh (Now Called Air Liquide Deutschland Gmbh) v. Goyal Mg Gases Pvt. Ltd. noted that the challenges a Decree Holder faces in carrying out a Decree continues the same as they were in the nineteenth century.

The Court stated that when a Litigant succeeds in establishing his Case, he is not interested in obtaining a paper Decree.

The Court was hearing an Appeal lodged by a Decree Holder against a 2014 Delhi High Court Division Bench’s Judgement on the implementation of a Money Decree.

In April 2006, the Appellant lodged a Plea in the Delhi High Court for the Execution of a Money Decree. On the date of filing of the Execution Plea before the Delhi High Court, the total Decretal amount exceeded Rs 20 lakh, which was the Pecuniary limit of the Delhi High Court under Section 5(2) of the Delhi High Court Act, 1966 to entertain the Execution Plea as the principal Court of Original Jurisdiction.

In 2015, the High Court’s Pecuniary Jurisdiction was increased to 2 Crores.

A single Judge Overruled the Respondent’s objection on Maintainability.  Further, it decided in favour of the Appellant and Ordered the property in Ghaziabad should be attached.

On Appeal, the Division Bench considered the matter of Jurisdiction and concluded that Section 44A is a separate Right granted to a Foreign Decree Holder for the Enforcement of its Decree in India.

Further, it was held that the High Court, not being a District Court under Section 44A of the Code, lacks Jurisdiction to hear an Execution Plea and instructed that the Plea should be forwarded to the Court of the District Judge under whose Jurisdiction the property sought to be attached was situated.

The Appellant moved to the Supreme Court.

The Supreme Court analysed Sections 2(4), 6, 13, and 44A of the Civil Procedure Code (CPC) and concluded that wherever the High Court has Original Civil Jurisdiction based on the Pecuniary value of the Suit, the District Court or the High Court in its Ordinary Original Civil Jurisdiction is can exert Authority for Execution of Decree, which includes Money Decree of the Foreign Court of reciprocating Jurisdiction, if other conditions are in accordance with Section 44A of the CPC.

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