Code of Civil Procedure 1908 MCQs for CLAT PG, Page 2

CLAT PG Code of Civil Procedure 1908 questions 23-45 of 45, with answer keys and explanations covering jurisdiction, pleadings, res judicata, interim relief, trial, execution, appeals, review, and revision under the CPC.

45 questions9 topics23-45 on this page

Topics in this subject

Revise core LLB subjects through CLAT PG MCQs, passage-led questions, answer keys, explanations, statutes, and exam-oriented legal principles.

  • Appearance, Ex Parte Proceedings and Restoration2
  • Civil Procedure Mixed Practice8
  • Commercial Courts and Case Management3
  • Execution of Decrees3
  • Interim Relief and Supplemental Proceedings1
  • Judgment, Appeals, Review and Revision3
  • Jurisdiction, Res Judicata and Place of Suing21
  • Parties, Pleadings, Plaint and Written Statement3
  • Settlement, ADR and Compromise1
Passage or principleSubstantial Question of Law - Chunilal Mehta

The appellate structure under the Code of Civil Procedure, 1908 provides for multiple tiers of review. A first appeal from a decree lies under Section 96 CPC to the court to which appeals from the court that passed the decree ordinarily lie. A first appeal is a full rehearing on both facts and law, and the first appellate court must independently apply its mind to the evidence. A decree passed by consent of parties is not appealable under Section 96(3). Section 97 provides that if a party aggrieved by a preliminary decree does not appeal it, he shall be precluded from challenging it in an appeal against the final decree. A second appeal lies under Section 100 CPC to the High Court only on a 'substantial question of law.' The High Court must formulate the substantial question at the time of admission and decide only that question. In Chunilal V. Mehta v. Century Spinning (AIR 1962 SC 1314), the Supreme Court defined a substantial question of law as one of general public importance, or one on which there is divergence of judicial opinion, or one that materially affects the rights of parties. A mere error of fact or a question that has been settled by previous judicial decisions does not constitute a substantial question of law. The second appeal cannot be used as a third tier of factual inquiry. Revision under Section 115 CPC is available to the High Court when a court below has exercised jurisdiction not vested in it, failed to exercise jurisdiction vested in it, or acted illegally or with material irregularity in the exercise of jurisdiction. Revision is not an appeal and cannot be used to correct errors of fact or non-jurisdictional errors of law. After the 1976 amendment, revision lies only against interlocutory orders that cannot be challenged by appeal. In Haridas Das v. Usha Rani Banik (2006), the Supreme Court reiterated the narrow scope of revisional jurisdiction.

Question 23MediumJudgment, Appeals, Review and Revision

How does the passage describe the test for a 'substantial question of law' under Section 100 CPC from Chunilal V. Mehta?

  1. A

    Any question of law that the High Court deems worthy of consideration

  2. B

    A question of general public importance, or one with divergent judicial opinions, or one materially affecting the rights of parties

  3. C

    Any question that was not specifically argued before the trial court

  4. D

    A question of constitutional law that requires interpretation of fundamental rights

View answer and explanation

Correct answer: B. A question of general public importance, or one with divergent judicial opinions, or one materially affecting the rights of parties

The passage states that in Chunilal V. Mehta, the Supreme Court defined a substantial question of law as 'one of general public importance, or one on which there is divergence of judicial opinion, or one that materially affects the rights of parties.' A settled question, a question of fact, or a question merely affecting one case without wider significance does not qualify. The High Court must identify and formulate the specific substantial question of law at admission and confine its decision to that question.

Source note: Substantial Question of Law - Chunilal Mehta

Question 24MediumJurisdiction, Res Judicata and Place of Suing

According to the passage, what are the grounds for revisional jurisdiction under Section 115 CPC?

  1. A

    Any error in the judgment of the court below that the High Court finds needs correction

  2. B

    Exercise of jurisdiction not vested in the court, failure to exercise vested jurisdiction, or acting illegally or with material irregularity in exercise of jurisdiction

  3. C

    Errors of fact and law combined when the decree is unjust to the petitioner

  4. D

    Only errors of law, since factual errors can be corrected in a second appeal

View answer and explanation

Correct answer: B. Exercise of jurisdiction not vested in the court, failure to exercise vested jurisdiction, or acting illegally or with material irregularity in exercise of jurisdiction

The passage states that Section 115 CPC is available when a court below 'has exercised jurisdiction not vested in it, failed to exercise jurisdiction vested in it, or acted illegally or with material irregularity in the exercise of jurisdiction.' These are all jurisdictional errors. Revision cannot correct mere errors of law that do not go to jurisdiction, or errors of fact, which is why it is a more limited remedy than an appeal. The passage also notes that after the 1976 amendment, revision is limited to interlocutory orders not challengeable by appeal.

Source note: Section 115 - Scope of Revision

Question 25HardJurisdiction, Res Judicata and Place of Suing

The passage mentions Section 97 CPC. What bar does this provision create?

  1. A

    It bars a first appeal from being filed within 30 days of a preliminary decree

  2. B

    A party who fails to appeal a preliminary decree is barred from challenging it in any appeal from the final decree

  3. C

    It prevents filing of second appeal where only a preliminary decree has been passed

  4. D

    It bars the court from passing a final decree until all appeals against the preliminary decree are exhausted

View answer and explanation

Correct answer: B. A party who fails to appeal a preliminary decree is barred from challenging it in any appeal from the final decree

The passage states that Section 97 'provides that if a party aggrieved by a preliminary decree does not appeal it, he shall be precluded from challenging it in an appeal against the final decree.' This prevents the splitting of the litigation; a party who sits on his right to challenge the preliminary decree cannot use the final decree appeal to indirectly re-litigate the same issues. Preliminary decrees in partition, mortgage, and dissolution suits must therefore be challenged promptly after they are passed.

Source note: Section 97 - Preliminary Decree

Passage or principleOrder IX Rule 6 - Burden Remains on Plaintiff

The appearance of parties at hearings is the cornerstone of adversarial adjudication. Order IX of the Code of Civil Procedure, 1908 prescribes detailed consequences for non-appearance and provides carefully calibrated remedies to set right wrongful proceedings conducted in absence. The scheme balances two competing imperatives: permitting courts to proceed efficiently despite a party's deliberate absence, while protecting genuine non-appearing parties from irreversible prejudice. Where the summons is duly served and the defendant does not appear, Order IX Rule 6(1)(a) permits the court to proceed ex parte, but the plaintiff must still lead evidence and satisfy the court of his claim. The mere absence of the defendant does not entitle the plaintiff to an automatic decree. Once an ex parte decree is passed the defendant has two independent remedies: (a) an application under Order IX Rule 13 to set aside the ex parte decree by showing that the summons was not duly served OR that sufficient cause prevented appearance; (b) a first appeal under Section 96(2) CPC against the ex parte decree on merits. In Bhanu Kumar Jain v. Archana Kumar (AIR 2005 SC 626) the Supreme Court held that both remedies may be pursued simultaneously, but a final finding in the Rule 13 proceedings against the defendant creates issue estoppel in the Section 96(2) appeal. In Sangram Singh v. Election Tribunal (AIR 1955 SC 425), the Supreme Court articulated the foundational philosophy: codes of procedure are designed to facilitate justice and not to trip up litigants; a defendant who appears at an adjourned hearing after an ex parte order has an undoubted right to participate in future proceedings even without setting aside the ex parte order, though he cannot reopen matters already concluded in his absence.

Question 26EasyParties, Pleadings, Plaint and Written Statement

According to the passage, does the defendant's non-appearance entitle the plaintiff to an automatic decree?

  1. A

    Yes - where summons is duly served and the defendant does not appear the plaintiff is automatically entitled to a decree for the full amount claimed

  2. B

    No - the plaintiff must still lead evidence and satisfy the court of his claim even when the court proceeds ex parte; the defendant's absence does not relieve the plaintiff of his burden of proof

  3. C

    Yes - but only if the defendant's absence is wilful and not due to illness

  4. D

    No - but the court can draw adverse inference from the defendant's absence which automatically satisfies the plaintiff's burden

View answer and explanation

Correct answer: B. No - the plaintiff must still lead evidence and satisfy the court of his claim even when the court proceeds ex parte; the defendant's absence does not relieve the plaintiff of his burden of proof

The passage explicitly states that even after the court proceeds ex parte under Order IX Rule 6(1)(a), the plaintiff must still lead evidence and satisfy the court. The passage says the defendant's absence does not entitle the plaintiff to an automatic decree. This is a crucial safeguard: an uncontested claim still requires some evidentiary basis. Courts cannot pass decrees merely on the basis of pleadings without any evidence simply because the defendant is absent.

Source note: Order IX Rule 6 - Burden Remains on Plaintiff

Question 27HardCivil Procedure Mixed Practice

From the passage, what principle was established in Bhanu Kumar Jain v. Archana Kumar regarding the defendant's remedies against an ex parte decree?

  1. A

    The defendant must choose between Order IX Rule 13 and Section 96(2) and cannot pursue both

  2. B

    Both Order IX Rule 13 and a Section 96(2) first appeal may be pursued simultaneously; however a final adverse finding in Rule 13 proceedings on the question of non-appearance creates issue estoppel binding in the Section 96(2) appeal

  3. C

    Section 96(2) is always preferable and Order IX Rule 13 should not be pursued alongside it

  4. D

    Order IX Rule 13 must be exhausted before a Section 96(2) appeal can be filed

View answer and explanation

Correct answer: B. Both Order IX Rule 13 and a Section 96(2) first appeal may be pursued simultaneously; however a final adverse finding in Rule 13 proceedings on the question of non-appearance creates issue estoppel binding in the Section 96(2) appeal

The passage states: 'In Bhanu Kumar Jain v. Archana Kumar the Supreme Court held that both remedies may be pursued simultaneously, but a final finding in the Rule 13 proceedings against the defendant creates issue estoppel in the Section 96(2) appeal.' The simultaneous pursuit of both remedies is therefore possible, but the Rule 13 determination on the non-appearance question is binding in the appeal if it reaches finality. The Section 96(2) appeal's usefulness then shifts to challenging the merits of the plaintiff's evidence.

Source note: Bhanu Kumar Jain - Simultaneous Remedies

Question 28MediumAppearance, Ex Parte Proceedings and Restoration

According to the passage, what right does a defendant who appears at an adjourned hearing (after an ex parte order has been passed) have?

  1. A

    No right to participate until the ex parte order is formally set aside

  2. B

    An undoubted right to participate in future proceedings from the point of his appearance, though he cannot reopen matters already concluded in his absence

  3. C

    A right to seek re-examination of all witnesses already examined

  4. D

    A right to demand a complete re-trial from the beginning

View answer and explanation

Correct answer: B. An undoubted right to participate in future proceedings from the point of his appearance, though he cannot reopen matters already concluded in his absence

The passage summarises the Sangram Singh principle: a defendant who appears at an adjourned hearing 'has an undoubted right to participate in future proceedings even without setting aside the ex parte order, though he cannot reopen matters already concluded in his absence.' This is the important balance: the defendant joins from where the proceedings are, not from the beginning. He cannot demand re-examination of witnesses already recorded but can participate from that point forward.

Source note: Sangram Singh - Defendant's Right After Ex Parte

Question 29HardParties, Pleadings, Plaint and Written Statement

From the passage, what are the grounds on which a defendant can apply under Order IX Rule 13 to set aside an ex parte decree?

  1. A

    That the plaintiff's case is without merit and the defendant has a strong defence

  2. B

    That the summons was not duly served on the defendant, or that sufficient cause prevented his appearance on the date of hearing

  3. C

    That the ex parte decree was obtained by fraud or misrepresentation to the court

  4. D

    That the plaintiff failed to appear for cross-examination of his witnesses

View answer and explanation

Correct answer: B. That the summons was not duly served on the defendant, or that sufficient cause prevented his appearance on the date of hearing

The passage states the two grounds under Order IX Rule 13 as: showing 'that the summons was not duly served OR that sufficient cause prevented appearance.' Either ground independently supports the application. The passage does not mention merit of the defendant's defence as a ground under Rule 13 (though it may be relevant to the Section 96(2) appeal). Note that in summary suits under Order XXXVII the defendant must show both special circumstances AND a prima facie defence, which the passage distinguishes from ordinary suits.

Source note: Order IX Rule 13 - Grounds for Setting Aside Ex Parte

Question 30MediumCivil Procedure Mixed Practice

According to the passage, what is the foundational philosophy articulated in Sangram Singh v. Election Tribunal regarding procedural rules?

  1. A

    Procedural rules are strict and must be followed literally even where they cause injustice to parties

  2. B

    Codes of procedure are designed to facilitate justice and not to trip up litigants; strict rules should be interpreted so as not to exclude a litigant's right to be heard unless expressly provided

  3. C

    Procedural rules take precedence over substantive rights in all adversarial proceedings

  4. D

    Procedural compliance is always mandatory and courts cannot grant any relief for non-compliance

View answer and explanation

Correct answer: B. Codes of procedure are designed to facilitate justice and not to trip up litigants; strict rules should be interpreted so as not to exclude a litigant's right to be heard unless expressly provided

The passage quotes the Sangram Singh principle directly: 'codes of procedure are designed to facilitate justice and not to trip up litigants.' This philosophy means procedural provisions should be interpreted liberally to enable parties to present their case rather than narrowly to exclude them. The right to be heard is a fundamental principle of natural justice (audi alteram partem) and procedural rules implement rather than undermine it.

Source note: Procedural Philosophy - Sangram Singh

Passage or principleSection 10 Post-2018 - Nature of Specific Performance

The Specific Relief Act, 1963 was substantially amended by the Specific Relief (Amendment) Act, 2018, which came into force on 1 October 2018. The amendment fundamentally altered the character of specific performance from a discretionary remedy to an ordinarily available remedy. Section 10 of the amended Act provides that the courts shall enforce specific performance of a contract, eliminating the earlier judicial discretion to refuse it. The 2018 amendment introduced several significant changes. Section 20 was substituted to introduce the concept of 'Substituted Performance': where a contract is broken, the party suffering from the breach can, after giving the party in default a 30-day written notice, get the contract performed by a third party or by the aggrieved party's own agency, and recover the cost and expenses so incurred from the defaulting party. This remedy is an alternative to specific performance, not a precondition for it. Section 20A was introduced to prohibit courts from granting an injunction that would have the effect of impeding or delaying the progress or completion of an infrastructure project, reflecting the government's priority for infrastructure development. A new Schedule to the Act lists the categories of infrastructure projects. Section 16 of the amended Act continues to bar specific performance where the plaintiff has not performed or is not ready and willing to perform the essential terms of the contract on his part which are to be performed at the same time. Readiness and willingness must be specifically averred in the plaint and continuously established from contract to decree. Section 14 continues to exclude contracts involving continuous duties difficult to supervise and contracts for personal service from specific performance.

Question 31EasyJurisdiction, Res Judicata and Place of Suing

According to the passage, how did the 2018 amendment change the nature of specific performance under Section 10?

  1. A

    It made specific performance available only for infrastructure contracts

  2. B

    It changed specific performance from a discretionary remedy to an ordinarily available remedy; courts shall now enforce specific performance eliminating earlier judicial discretion to refuse it

  3. C

    It made specific performance available only where compensation in damages would be inadequate

  4. D

    It restricted specific performance to contracts above a specified monetary threshold

View answer and explanation

Correct answer: B. It changed specific performance from a discretionary remedy to an ordinarily available remedy; courts shall now enforce specific performance eliminating earlier judicial discretion to refuse it

The passage states that the 2018 amendment 'fundamentally altered the character of specific performance from a discretionary remedy to an ordinarily available remedy' and that Section 10 now provides that 'courts shall enforce specific performance' eliminating 'earlier judicial discretion to refuse it.' This is a major shift from the pre-amendment position where courts could refuse specific performance on equitable grounds even if the contract was valid and enforceable.

Source note: Section 10 Post-2018 - Nature of Specific Performance

Question 32MediumJurisdiction, Res Judicata and Place of Suing

From the passage, what is the concept of Substituted Performance introduced by the 2018 amendment?

  1. A

    A court-ordered substitute for specific performance where the defendant refuses to perform

  2. B

    Where a contract is broken the aggrieved party may after giving 30 days written notice to the defaulting party get the contract performed by a third party or by the aggrieved party's own agency and recover the cost from the defaulting party; this is an alternative to specific performance

  3. C

    The court's power to appoint a commissioner to perform the contract in lieu of the defaulting party

  4. D

    A power given to the government to substitute a private contractor with a public agency for infrastructure contracts

View answer and explanation

Correct answer: B. Where a contract is broken the aggrieved party may after giving 30 days written notice to the defaulting party get the contract performed by a third party or by the aggrieved party's own agency and recover the cost from the defaulting party; this is an alternative to specific performance

The passage describes Section 20 substituted performance as: the aggrieved party can 'after giving the party in default a 30-day written notice, get the contract performed by a third party or by the aggrieved party's own agency, and recover the cost and expenses so incurred from the defaulting party.' The passage also states this is 'an alternative to specific performance, not a precondition for it' - meaning the aggrieved party may choose between these remedies.

Source note: Section 20 - Substituted Performance

Question 33HardJurisdiction, Res Judicata and Place of Suing

According to the passage, what protection does Section 20A of the amended Specific Relief Act provide for infrastructure projects?

  1. A

    It makes all contracts for infrastructure projects specifically enforceable as a priority

  2. B

    It prohibits courts from granting an injunction that would have the effect of impeding or delaying the progress or completion of an infrastructure project

  3. C

    It allows infrastructure project developers to avoid specific performance obligations

  4. D

    It grants a 5-year moratorium on legal proceedings against infrastructure projects

View answer and explanation

Correct answer: B. It prohibits courts from granting an injunction that would have the effect of impeding or delaying the progress or completion of an infrastructure project

The passage states Section 20A 'prohibit[s] courts from granting an injunction that would have the effect of impeding or delaying the progress or completion of an infrastructure project.' This provision reflects the government's priority for infrastructure development. Courts cannot exercise their normal injunction jurisdiction to halt infrastructure projects; the parties affected by such projects must seek alternative remedies such as compensation or declaratory relief rather than injunctions that would stop the project.

Source note: Section 20A - Infrastructure Projects

Question 34HardJurisdiction, Res Judicata and Place of Suing

According to the passage, how must the plaintiff demonstrate readiness and willingness under Section 16 of the amended Act?

  1. A

    By depositing 25% of the contract price in court at the time of filing the suit

  2. B

    By specifically averring it in the plaint and continuously establishing it from the date of the contract to the date of the decree

  3. C

    By producing bank guarantees showing financial capacity

  4. D

    Only at the stage of final arguments in the suit

View answer and explanation

Correct answer: B. By specifically averring it in the plaint and continuously establishing it from the date of the contract to the date of the decree

The passage states: 'Readiness and willingness must be specifically averred in the plaint and continuously established from contract to decree.' This two-fold requirement (specific pleading in the plaint AND continuous proof throughout the proceedings) makes readiness and willingness a strict condition for specific performance. A mere assertion without proof of actual financial capacity to perform has been rejected by courts.

Source note: Section 16 - Readiness and Willingness

Question 35MediumCivil Procedure Mixed Practice

According to the passage, which types of contracts does Section 14 continue to exclude from specific performance even after the 2018 amendment?

  1. A

    All government contracts and contracts for personal property

  2. B

    Contracts involving continuous duties difficult to supervise and contracts for personal service

  3. C

    Only contracts for personal service and artistic works

  4. D

    Contracts where the performance involves skill that cannot be replicated

View answer and explanation

Correct answer: B. Contracts involving continuous duties difficult to supervise and contracts for personal service

The passage states: 'Section 14 continues to exclude contracts involving continuous duties difficult to supervise and contracts for personal service from specific performance.' These exclusions reflect the practical limitation of court supervision: courts cannot monitor day-to-day compliance with an obligation requiring continuous performance, and cannot compel a person to perform a purely personal obligation (such as acting in a film or playing in a sports team). These exclusions were retained despite the general shift to mandatory specific performance for commercial contracts.

Source note: Section 14 - Contracts Not Specifically Enforceable

Passage or principleSection 91 - Who Can File

The Code of Civil Procedure, 1908 contains special provisions for suits of a public nature where individual litigants may represent wider public interests. Section 91 CPC addresses suits relating to public nuisances and other wrongful acts affecting the public. Under Section 91, a suit for a declaration or injunction against a public nuisance or other wrongful act affecting the public may be instituted by the Advocate General, or with leave of the court, by two or more persons even though no special damage has been suffered by those persons beyond the common public nuisance. The leave requirement ensures that the suit is bona fide and not a device for harassment. Section 92 CPC deals with suits concerning public charitable trusts and religious endowments. It provides that a suit against such a trust for breach of trust, directions regarding management, accounts, removal of a trustee, or appointment of a new trustee must be brought by the Advocate General or by two or more persons having an interest in the trust with leave of the court. This leave requirement is a condition precedent to the court's jurisdiction, not merely a procedural formality. A suit filed without the required leave under Section 92 is incompetent and must be dismissed; the defect cannot be waived or cured during the proceedings. Section 11, Explanation VI CPC extends the res judicata doctrine to representative suits and suits under Section 92: a judgment in such a suit binds all persons on whose behalf it was instituted, even those not individually named as parties, provided the suit was conducted bona fide. This prevents the same public trust or charitable institution from being subjected to repetitive litigation by members of the same beneficiary class.

Question 36EasyJurisdiction, Res Judicata and Place of Suing

According to the passage, who may institute a suit under Section 91 CPC for a public nuisance?

  1. A

    Any private citizen who has personally suffered damage from the nuisance

  2. B

    The Advocate General, or with leave of the court two or more persons even though they have suffered no special damage beyond the common public nuisance

  3. C

    Only the government through the Attorney General

  4. D

    Any registered organisation working in the public interest field

View answer and explanation

Correct answer: B. The Advocate General, or with leave of the court two or more persons even though they have suffered no special damage beyond the common public nuisance

The passage states Section 91 allows a suit by 'the Advocate General, or with leave of the court, by two or more persons even though no special damage has been suffered by those persons beyond the common public nuisance.' The key feature is that private individuals need not have suffered special damage (as would be required in a private nuisance suit); the common nuisance affecting the public is sufficient. The leave requirement however ensures bona fides.

Source note: Section 91 - Who Can File

Question 37HardJurisdiction, Res Judicata and Place of Suing

From the passage, what is the legal status of the leave requirement under Section 92 CPC?

  1. A

    A procedural formality that can be waived by the court if the suit is otherwise meritorious

  2. B

    A condition precedent to the court's jurisdiction; a suit filed without the required leave is incompetent and must be dismissed; the defect cannot be waived or cured during proceedings

  3. C

    A requirement that can be satisfied at any stage of the proceedings

  4. D

    A requirement that applies only to suits by private persons and not to suits by the Advocate General

View answer and explanation

Correct answer: B. A condition precedent to the court's jurisdiction; a suit filed without the required leave is incompetent and must be dismissed; the defect cannot be waived or cured during proceedings

The passage explicitly states that the Section 92 leave requirement 'is a condition precedent to the court's jurisdiction, not merely a procedural formality' and that 'a suit filed without the required leave under Section 92 is incompetent and must be dismissed; the defect cannot be waived or cured during the proceedings.' This makes the leave requirement fundamental rather than technical: the court literally has no jurisdiction to entertain the suit without leave.

Source note: Section 92 - Leave as Condition Precedent

Question 38HardJurisdiction, Res Judicata and Place of Suing

According to the passage, how does Section 11 Explanation VI extend res judicata to representative suits under Section 92?

  1. A

    Res judicata binds only the named parties to the representative suit

  2. B

    A judgment in a representative suit binds all persons on whose behalf it was instituted even those not individually named as parties, provided the suit was conducted bona fide

  3. C

    The judgment only binds those who were notified of the proceedings

  4. D

    Res judicata in representative suits operates only for five years before a fresh suit can be filed

View answer and explanation

Correct answer: B. A judgment in a representative suit binds all persons on whose behalf it was instituted even those not individually named as parties, provided the suit was conducted bona fide

The passage states: 'Explanation VI extends the res judicata doctrine to representative suits: a judgment in such a suit binds all persons on whose behalf it was instituted, even those not individually named as parties, provided the suit was conducted bona fide.' This ensures that members of a beneficiary class cannot re-litigate issues decided in a representative suit merely because they were not personally named. The bona fide conduct requirement protects against collusive representative suits that might bind members without properly representing their interests.

Source note: Explanation VI - Res Judicata in Representative Suits

Question 39MediumJurisdiction, Res Judicata and Place of Suing

From the passage, what is the essential distinction between Section 91 and Section 92 suits?

  1. A

    Section 91 requires leave in all cases while Section 92 never requires leave

  2. B

    Section 91 relates to public nuisances and wrongful acts affecting the public; Section 92 relates specifically to public charitable trusts and religious endowments requiring suits for breach of trust management accounts or trustee appointment

  3. C

    Section 91 is filed in criminal courts and Section 92 in civil courts

  4. D

    Section 91 provides only for damages while Section 92 provides only for injunctions

View answer and explanation

Correct answer: B. Section 91 relates to public nuisances and wrongful acts affecting the public; Section 92 relates specifically to public charitable trusts and religious endowments requiring suits for breach of trust management accounts or trustee appointment

The passage describes Section 91 as addressing 'public nuisances and other wrongful acts affecting the public' while Section 92 addresses 'public charitable trusts and religious endowments' with suits for 'breach of trust, directions regarding management, accounts, removal of a trustee, or appointment of a new trustee.' Both require leave but serve different public interests: Section 91 protects against public wrongs generally while Section 92 protects the integrity of charitable institutions specifically.

Source note: Section 91 vs Section 92 - Distinction

Question 40MediumJurisdiction, Res Judicata and Place of Suing

According to the passage, why is a leave requirement built into Section 91?

  1. A

    To restrict access to courts and reduce the burden of litigation

  2. B

    To ensure that the suit is bona fide and not a device for harassment

  3. C

    To ensure that the Advocate General has first opportunity to file the suit before private parties

  4. D

    To prevent public interest litigation from being misused to challenge government policies

View answer and explanation

Correct answer: B. To ensure that the suit is bona fide and not a device for harassment

The passage states the leave requirement in Section 91 'ensures that the suit is bona fide and not a device for harassment.' Without the leave requirement any two persons could file a suit claiming public nuisance against any entity they disliked without any genuine public interest purpose. The court examines at the leave stage whether there is a genuine public nuisance and whether the proposed plaintiffs are acting bona fide in the public interest.

Source note: Purpose of Leave Requirement in Section 91

Passage or principleSection 12A - Consequence of Non-Compliance

The Commercial Courts Act, 2015 and its 2018 amendment represent a significant re-engineering of civil procedure for commercial disputes. Three structural innovations deserve particular attention. First, mandatory pre-institution mediation under Section 12A: before filing any commercial suit (except where urgent interim relief is sought), the plaintiff must attempt pre-institution mediation through the mechanisms provided under the Legal Services Authorities Act, 1987. If settlement is reached the agreement has the same effect as an arbitral award under Section 30(4) of the Arbitration and Conciliation Act, 1996, rendering it final and binding. Non-compliance with Section 12A makes the suit non-maintainable. The Supreme Court in Patil Automation Pvt. Ltd. v. Rakheja Engineers (2022) held that this requirement is mandatory. Second, Case Management Hearings under Order XV-A: after the pleadings are complete, the court fixes a Case Management Hearing at which it draws up a detailed schedule for the proceedings including dates for completion of discovery, witness filing, cross-examination, arguments, and judgment. The court may impose costs for non-compliance with the schedule. The objective is to complete commercial suits within one year of the first Case Management Hearing. Third, summary judgment under Order XIII-A: the court may grant summary judgment in favour of either party without a full trial where that party demonstrates that the other side has no real prospect of succeeding or defending, and there is no compelling reason for a trial. Applications for summary judgment may be filed after the written statement is filed but before issues are framed.

Question 41HardCivil Procedure Mixed Practice

According to the passage, what is the consequence of failing to comply with the pre-institution mediation requirement under Section 12A of the Commercial Courts Act?

  1. A

    The plaintiff must pay costs to the defendant for the non-compliance

  2. B

    The suit is non-maintainable; the court cannot entertain a commercial suit that has not complied with the mandatory mediation requirement

  3. C

    The plaintiff is given 30 days to attempt mediation after filing the suit

  4. D

    The case is transferred from the Commercial Court to a regular civil court

View answer and explanation

Correct answer: B. The suit is non-maintainable; the court cannot entertain a commercial suit that has not complied with the mandatory mediation requirement

The passage states: 'Non-compliance with Section 12A makes the suit non-maintainable.' This is a severe consequence: the entire suit falls, not merely a procedural penalty. The passage further notes that the Supreme Court in Patil Automation held this requirement is mandatory. A non-maintainable suit must be dismissed, requiring the plaintiff to first attempt mediation and then re-file if mediation does not succeed.

Source note: Section 12A - Consequence of Non-Compliance

Question 42HardSettlement, ADR and Compromise

From the passage, what is the legal effect of a settlement reached through pre-institution mediation under Section 12A?

  1. A

    The settlement is a contract binding on parties but requires a fresh court suit to enforce if violated

  2. B

    The settlement has the same effect as an arbitral award under Section 30(4) of the Arbitration and Conciliation Act; it is final and binding and can be enforced as an arbitral award

  3. C

    The settlement must be registered under the Registration Act to be enforceable

  4. D

    The settlement is merely a gentlemen's agreement without legal enforcement mechanism

View answer and explanation

Correct answer: B. The settlement has the same effect as an arbitral award under Section 30(4) of the Arbitration and Conciliation Act; it is final and binding and can be enforced as an arbitral award

The passage states the mediation settlement 'has the same effect as an arbitral award under Section 30(4) of the Arbitration and Conciliation Act, 1996, rendering it final and binding.' This is a powerful legal status: under the Arbitration Act an award is enforceable as a decree of a civil court. The settlement through mediation is therefore not merely a contractual compromise but an instrument with the full legal force of an arbitral award.

Source note: Settlement Through Pre-Institution Mediation - Legal Effect

Question 43MediumCommercial Courts and Case Management

According to the passage, what is the primary objective of Case Management Hearings under Order XV-A?

  1. A

    To enable parties to challenge the court's jurisdiction before the main hearing

  2. B

    To draw up a detailed schedule for proceedings and to complete commercial suits within one year of the first Case Management Hearing

  3. C

    To provide an opportunity for the court to suggest that parties pursue mediation

  4. D

    To allow the court to hear preliminary objections before the main case is tried

View answer and explanation

Correct answer: B. To draw up a detailed schedule for proceedings and to complete commercial suits within one year of the first Case Management Hearing

The passage states the objective is to draw up a detailed schedule and 'to complete commercial suits within one year of the first Case Management Hearing.' This is the 'one-year disposal' goal of the Commercial Courts Act. Case Management Hearings achieve this by imposing strict time discipline on pleadings, discovery, and hearings, with cost consequences for non-compliance.

Source note: Order XV-A - Objective of Case Management

Question 44MediumCommercial Courts and Case Management

According to the passage, at what stage can an application for summary judgment under Order XIII-A be filed?

  1. A

    At any time including before the written statement is filed

  2. B

    After the written statement is filed but before issues are framed

  3. C

    Only after issues are framed and evidence has been led

  4. D

    Only at the conclusion of arguments in the main case

View answer and explanation

Correct answer: B. After the written statement is filed but before issues are framed

The passage states: 'Applications for summary judgment may be filed after the written statement is filed but before issues are framed.' This timing is deliberate: the written statement has been filed (so the court knows the defendant's case) but issues have not yet been framed (so a full trial has not commenced). If summary judgment is granted the need for a full trial is eliminated; if refused the case proceeds to normal trial.

Source note: Order XIII-A - When Summary Judgment Available

Question 45HardCommercial Courts and Case Management

From the passage, on what basis may summary judgment be granted under Order XIII-A?

  1. A

    Where the plaintiff can prove his case beyond reasonable doubt

  2. B

    Where the applying party demonstrates that the other side has no real prospect of succeeding or defending, and there is no compelling reason for a trial

  3. C

    Where both parties agree that the case can be decided on documents without a trial

  4. D

    Where the court considers the dispute is straightforward enough to be decided without evidence

View answer and explanation

Correct answer: B. Where the applying party demonstrates that the other side has no real prospect of succeeding or defending, and there is no compelling reason for a trial

The passage states summary judgment may be granted where 'that party demonstrates that the other side has no real prospect of succeeding or defending, and there is no compelling reason for a trial.' The standard is 'no real prospect' not an impossible case: if there is even a genuine arguable point summary judgment should not be granted. This standard mirrors the English CPR Part 24 and balances efficiency (avoiding unnecessary trials) against fairness (ensuring genuinely arguable cases get a full hearing).

Source note: Summary Judgment - Standard for Grant