G.N.R. Babu @ S.N. Babu vs Dr. B.C. Muthappa & Ors.
Background
Dr. B.C. Muthappa sued for a declaration of ownership over a plot in Bengaluru and for removal of a structure the appellant had built on it. The trial court decreed the suit ex parte after the appellant did not appear, and the Karnataka High Court confirmed the decree. The appellant argued that the summons had been sent to the wrong address (he was living elsewhere at the time) and so he never actually got notice of the suit, and that a multi-storeyed building with several occupants now stood on the disputed plot without those occupants being made parties.
Decision Breakdown
The Supreme Court found from the record that summons had indeed been directed to be served by registered post at the address given in the plaint, and there was no proper basis for proceeding ex parte against the appellant. It also noted that a multi-storeyed building with occupied residential units now stood on the property, and demolishing it without hearing those occupants would be unjust, though the Court made no finding on whether those occupants are necessary parties. It set aside both the trial court decree and the High Court's judgment, restored the suit for fresh trial, and directed the parties to appear before the trial court by a fixed date, while directing the appellant to pay Rs. 2,00,000 in costs to the plaintiff given the resulting delay.
Lesson Learnt
A decree passed without proper service of summons on the defendant is liable to be set aside even years later, and courts will be cautious about drastic remedies like demolition when third parties (such as building occupants) may be affected without being heard.