Union of India & Anr. v. Satish Kumar Mehta (D) Thr. LRs.
Background
The respondent held a residential government property on lease but it was used for non-residential (commercial) purposes by a sub-tenant. The Union of India raised a demand of about Rs.42 lakh as misuser charges. The respondent's own civil suit, decreed by the Single Judge, had capped the recoverable amount at a lower figure based on what he himself had admitted he owed; the Division Bench on appeal restored a larger liability, prompting the Union of India to come to the Supreme Court.
Decision Breakdown
The Supreme Court examined the respondent's own plaint and found that he had unequivocally admitted the misuser charges could not exceed Rs.10,31,630, not merely offered it as an alternative figure as the Division Bench had assumed. Though normally the matter should have been sent back for fresh consideration, given the long pendency of the litigation and the interest of both sides in finality, the Court chose to restore the original decree of the Single Judge instead of ordering a fresh round of litigation. The appeal was partly allowed, with amounts already paid to be adjusted against the restored decree.
Lesson Learnt
What a party admits in their own court pleadings can bind them later: courts will hold a litigant to clear admissions made in a plaint rather than let them argue for a larger or smaller liability afterward.