Library/CPC/Section O21R1
Section O21R1PopularProcedural

Modes of paying money under decree

Full Text

(1) All money, payable under a decree shall be paid as follows, namely:—
(a) by deposit into the court whose duty it is to execute the decree, or sent to that Court by postal money order or through a bank; or
(b) out of Court, to the decree-holder by postal money order or through a bank or by any other mode wherein payment is evidenced in writing; or
(c) otherwise, as the Court which made the decree, directs.

(2) Where any payment is made under clause (a) or clause (c) of sub-rule (1), the judgment-debtor shall give notice thereof to the decree-holder either through the Court or directly to him by registered post, acknowledgment due.

(3) Where money is paid by postal money order or through a bank under clause (a) or clause (b) of sub-rule (1), the money order or payment through bank, as the case may be, shall accurately state the following particulars, namely:—
(a) the number of the original suit;
(b) the names of the parties or where there are more than two plaintiffs or more than two defendants, as the case may be, the names of the first two plaintiffs and the first two defendants;
(c) how the money remitted is to be adjusted, that is to say, whether it is towards the principal, interest or costs;
(d) the number of the execution case of the Court, where such case is pending; and
(e) the name and address of the payer.

(4) On any amount paid under clause (a) or clause (c) of sub-rule (1), interest, if any, shall cease to run from the date of service of the notice referred to in sub-rule (2).

(5) On any amount paid under clause (b) of sub-rule (1), interest, if any, shall cease to run from the date of such payment: Provided that, where the decree-holder refuses to accept the postal money order or payment through a bank, interest shall cease to run from the date on which the money was tendered to him, or where he avoids acceptance of the postal money order or payment through bank, interest shall cease to run from the date on which the money would have been tendered to him in the ordinary course of business of the postal authorities or the bank, as the case may be.

Plain English Summary

Governs the lawful modes of paying money under a decree (court deposit, bank remittance, or direct written payment), mandating notice to the decree-holder and terminating the accrual of post-decretal interest from the date of notice or tender.

Key Legal Elements

  • Three Exclusive Payment Modes: (a) Court deposit; (b) Direct bank/money order payment in writing; (c) Special court directions.
  • Mandatory Notice Requirement (Sub-rule 2): Judgment-debtor must serve registered notice of court deposit.
  • Interest Cessation Rule (Sub-rules 4 & 5): Interest ceases on court deposit from service of notice; on direct payment from date of receipt/tender.
  • Appropriation Particulars (Sub-rule 3): Must identify whether payment adjusts principal, interest, or costs.

Practical Note

Stopping Decretal Interest Accrual: 1. Landmark Ruling - Gurpreet Singh v. Union of India (2006) 8 SCC 457 (Constitution Bench): The Supreme Court settled that deposit in court does not automatically stop interest; interest ceases under Rule 1(4) only from the date the decree-holder receives notice of the deposit. Furthermore, unless the debtor specifies otherwise and creditor agrees, payments are appropriated first towards costs, second towards interest, and last towards principal. 2. Strategy: When depositing decretal amount in the court treasury, immediately issue a registered notice with A.D. to the decree-holder and file the postal receipt in court to establish the date of interest cessation.

हिंदी पाठ

(1) डिक्री के अधीन देय समस्त धन निम्नलिखित रूप से चुकाया जाएगा, अर्थात्:—
(क) उस न्यायालय में जमा करके जिसका कर्तव्य डिक्री का निष्पादन करना है, अथवा उस न्यायालय को डाक मनीऑर्डर या बैंक के माध्यम से भेजकर; या
(ख) न्यायालय के बाहर, डाक मनीऑर्डर या बैंक के माध्यम से अथवा किसी अन्य ऐसे माध्यम से जिसमें संदाय लिखित रूप में साबित होता हो, सीधे डिक्रीदार को; या
(ग) अन्यथा, जैसा डिक्री पारित करने वाला न्यायालय निदेश दे।

(2) जहां उप-नियम (1) के खंड (क) या खंड (ग) के अधीन कोई संदाय किया जाता है, वहां निर्णय-ऋणी उसकी सूचना डिक्रीदार को या तो न्यायालय के माध्यम से अथवा सीधे रजिस्ट्रीकृत डाक (पावती सहित) द्वारा देगा।

(3) डाक मनीऑर्डर या बैंक द्वारा भुगतान में मूल वाद संख्या, पक्षकारों के नाम, रकम का समायोजन (मूलधन, ब्याज या खर्चे), निष्पादन वाद संख्या तथा प्रेषक का नाम-पता सटीक रूप से लिखा जाएगा।

(4) उप-नियम (1) के खंड (क) या (ग) में जमा रकम पर ब्याज, उप-नियम (2) में निर्दिष्ट सूचना की तामील की तारीख से चलना बंद हो जाएगा।

(5) न्यायालय से बाहर सीधे चुकाई गई रकम पर ब्याज भुगतान की तारीख से बंद होगा; डिक्रीदार द्वारा लेने से इंकार करने पर निविदा (Tender) की तारीख से ब्याज समाप्त माना जाएगा।