Library/CPC/Section O24R4
Section O24R4PopularProcedural

Procedure where plaintiff accepts deposit as satisfaction in part or in full

Full Text

(1) Procedure where plaintiff accepts deposit as satisfaction in part.—Where the plaintiff accepts such amount as satisfaction in part only of his claim, he may prosecute his suit for the balance; and, if the Court decides that the deposit by the defendant was a full satisfaction of the plaintiff's claim, the plaintiff shall pay the costs of the suit incurred after the deposit and the costs incurred previous thereto, so far as they were caused by excess in the plaintiff's claim.

(2) Procedure where he accepts it as satisfaction in full.—Where the plaintiff accepts such amount as satisfaction in full of his claim, he shall present to the Court a statement to that effect, and such statement shall be filed and the Court shall pronounce judgment accordingly; and, in directing by whom the costs of each party are to be paid, the Court shall consider which of the parties is most to blame for the litigation.

Illustrations:
(a) A owes B Rs. 100. B sues A for the amount, having made no demand for payment and having no reason to believe that the delay caused by making a demand would place him at a disadvantage. On the plaint being filed, A pays the money into Court. B accepts it in full satisfaction of his claim, but the Court should not allow him any costs, the litigation being presumably groundless on his part.
(b) B sues A under the circumstances mentioned in illustration (a). On the plaint being filed, A disputes the claim. Afterwards A pays the money into Court. B accepts it in full satisfaction of his claim. The Court should also give B his costs of suit, A's conduct having shown that the litigation was necessary.
(c) A owes B Rs. 100, and is willing to pay him that sum without suit. B claims Rs. 150 and sues A for that amount. On the plaint being filed, A pays Rs. 100 into Court and disputes only his liability to pay the remaining Rs. 50. B accepts the Rs. 100 in full satisfaction of his claim. The Court should order him to pay A's costs.

Plain English Summary

Regulates the procedural consequences and cost penalties where the plaintiff accepts the deposit in part or in full: penalizes an unreasonable plaintiff with full post-deposit costs if the deposit is found to be adequate, and guides judicial discretion on costs based on which party was responsible for initiating groundless litigation.

Key Legal Elements

  • Part Satisfaction Option (Sub-rule 1): Plaintiff withdraws deposit and prosecutes suit for balance.
  • Cost Penalty on Plaintiff: If plaintiff fails to recover more than the deposit, he MUST pay defendant's entire post-deposit costs.
  • Full Satisfaction Statement (Sub-rule 2): Written statement filed; judgment pronounced extinguishing suit.
  • Blame for Litigation Doctrine: Costs awarded based on pre-suit conduct, unjustified claims, or refusal of tender (Illustrations a, b, c).

Practical Note

Shifting Costs Burden Onto Extortionate Plaintiffs: 1. The Penalty of Sub-rule (1): If a plaintiff sues for ₹10 Lakhs, the defendant deposits ₹6 Lakhs under Rule 1, and the plaintiff stubbornly pursues trial for the remaining ₹4 Lakhs but the court ultimately decrees only ₹6 Lakhs, the plaintiff is statutorily punished: the plaintiff must pay all costs incurred by the defendant after the date of deposit! 2. Pre-Suit Tender Strategy: If a defendant tendered payment before the suit and the plaintiff filed an inflated claim, highlight Illustration (c) to seek an order directing the plaintiff to pay the defendant's entire litigation costs.

हिंदी पाठ

(1) प्रक्रिया जहां वादी जमा को आंशिक तुष्टि के रूप में स्वीकार करता है— जहां वादी ऐसी राशि को अपने दावे की केवल भागतः तुष्टि के रूप में स्वीकार करता है, वहां वह शेष राशि के लिए अपना वाद चालू रख सकेगा; और यदि न्यायालय यह विनिश्चय करता है कि प्रतिवादी द्वारा किया गया जमा वादी के दावे की पूर्ण तुष्टि था, तो वादी जमा के पश्चात उपगत वाद के खर्चे तथा उससे पूर्व उपगत वे खर्चे भरेगा जो वादी के दावे में आधिक्य के कारण हुए थे।

(2) प्रक्रिया जहां वह उसे पूर्ण तुष्टि के रूप में स्वीकार करता है— जहां वादी ऐसी राशि को अपने दावे की पूर्ण तुष्टि के रूप में स्वीकार करता है, वहां वह न्यायालय को उस आशय का एक कथन प्रस्तुत करेगा और न्यायालय तदनुसार निर्णय सुनाएगा; तथा यह निदेश देने में कि प्रत्येक पक्षकार के खर्चे किसके द्वारा चुकाए जाएंगे, न्यायालय इस बात पर विचार करेगा कि मुकदमेबाजी के लिए दोनों में से कौन सा पक्षकार सर्वाधिक दोषी है।

चित्रण:
(क) ख से बिना कोई मांग किए क पर ₹100 का मुकदमा कर देता है। क तुरंत कोर्ट में ₹100 जमा कर देता है और ख उसे पूर्ण तुष्टि में स्वीकार कर लेता है; कोर्ट ख को कोई वाद-व्यय नहीं दिलाएगी क्योंकि मुकदमा अकारण था।
(ख) क पहले इनकार करता है, फिर बाद में कोर्ट में पैसा जमा करता है; यहां क के आचरण के कारण मुकदमा आवश्यक हुआ था, अतः ख को वाद-खर्चा मिलेगा।
(ग) क ₹100 देने को तैयार था, किंतु ख ने ₹150 का मुकदमा ठोक दिया। क ने ₹100 कोर्ट में जमा किए और बाकी ₹50 से इनकार किया। ख ₹100 पूर्ण तुष्टि में स्वीकार कर लेता है; कोर्ट ख को क का वाद-खर्चा भरने का आदेश देगी।