Parties to suits for foreclosure sale and redemption
Full Text
Subject to the provisions of this Code, all persons having an interest either in the mortgage-security or in the right of redemption shall be joined as parties to any suit relating to the mortgage.
Explanation.—A puisne mortgagee may sue for foreclosure or for sale without making the prior mortgagee a party to the suit; and a prior mortgagee need not be joined in a suit to redeem a subsequent mortgage.
Plain English Summary
Mandates the joinder of all persons holding an interest in the mortgage security or equity of redemption as necessary parties in foreclosure, sale, or redemption suits, while providing an exception for prior mortgagees in suits by puisne mortgagees.
Key Legal Elements
- Necessary Parties: All persons with interest in mortgage security or equity of redemption (e.g. co-mortgagors, sub-mortgagees, purchasers of equity).
- Puisne Mortgagee Exception: Subsequent mortgagee can sue for foreclosure or sale without impleading prior mortgagee (since prior mortgage remains unaffected).
- Redemption Exception: Prior mortgagee need not be impleaded in a suit instituted solely to redeem a subsequent mortgage.
- Effect of Non-Joinder: Decree does not bind the omitted interested party; their right of redemption remains alive and enforceable.
- Interplay with Order I Rule 9: O. 1 R. 9 proviso clarifies non-joinder of necessary parties can be fatal to the suit.
Practical Note
Strategic Impleadment & Puisne Mortgage Doctrine: 1. Supreme Court Principle — Effect of Omission: In Nadar Estate Ltd. v. State of Madras (AIR 1971 SC 2140) and K.A. Loganatha Mudaliar v. A.J. Christopher (1998), it was reaffirmed that if a subsequent mortgagee or purchaser of equity of redemption is omitted from a mortgage suit, the decree and subsequent auction sale do not extinguish their right of redemption. The purchaser at the court auction only steps into the shoes of the parties actually impleaded. 2. When Prior Mortgagee Is Necessary: While the Explanation relieves the puisne mortgagee from impleading the prior mortgagee if property is sold subject to the prior mortgage, if the plaintiff seeks to sell the property free of encumbrances under Rule 12, the prior mortgagee becomes an indispensable party whose express consent is mandatory.
हिंदी पाठ
इस संहिता के उपबंधों के अधीन रहते हुए, वे सभी व्यक्ति जिनका बंधक-प्रतिभूति (Mortgage-security) में या मोचन के अधिकार (Right of redemption) में कोई हित है, बंधक से संबंधित किसी भी वाद में पक्षकार के रूप में संयोजित किए जाएंगे।
स्पष्टीकरण—कोई कनिष्ठ बंधकदार (Puisne mortgagee) पूर्विक बंधकदार (Prior mortgagee) को वाद का पक्षकार बनाए बिना पुरोबंध (Foreclosure) के लिए या विक्रय (Sale) के लिए वाद ला सकेगा; और किसी पाश्चात्य बंधक (Subsequent mortgage) के मोचन के वाद में पूर्विक बंधकदार को पक्षकार बनाना आवश्यक नहीं होगा।