When party can not wriggle out of valid compromise by taking plea that counsel was not authorised to enter into contract?
The analysis of the above decisions make it clear that the counsel who was duly authorised by a party to appear by executing the vakalatnama [pic]and in terms of Order 3 Rule 4, empowers the counsel to continue on record until the proceedings in the suit are duly terminated. The counsel, therefore, has the power to make a statement on instructions from the party to withdraw the appeal. In such a circumstance, the counsel making a statement on instructions either for withdrawal of appeal or for modification of the decree is well within his competence and if really the counsel has not acted in the interest of the party or against the instructions of the party, the necessary remedy is elsewhere.”
18. Likewise in 2011, this Court in Jineshwardas (D) through L.R.s and Ors. v. Smt. Jagrani and Anr., (2003) 11 SCC 372, has held as under: “If a power-of-attorney holder can enter into an agreement or compromise on behalf of his principal, so can counsel, possessed of the requisite authorization by vakalatnama, act on behalf of his client.”
19. We find that in the present case the Government Pleader was legally entitled to enter into a compromise with the appellant and his written endorsement on the Memo filed by the appellant can be deemed as a valid consent of the Respondent itself. Hence the Counsel appearing for a party is fully competent to put his signature to the terms of any compromise upon which a decree can be passed in proper compliance with the provisions of Order XXIII Rule 3 and such decree is perfectly valid. The authority of a Counsel to act on behalf of a party is expressly given in Order III Rule 1 of Civil Procedure Code which is extracted hereunder;
“Any appearance, application or act in or to any court, required or authorized by law to be made or done by a party in such court, may except where otherwise expressly provided by any law for the time being in force, be made or done by the party in person, or by his recognized agent, or by a pleader, appearing, applying or acting as the case may be, on his behalf.
Provided that any such appearance shall, if the court so directs, be made by the party in person.”
There is another very important aspect in this case which cannot be sidetracked and needs to be highlighted by us At the time of arguments, on a pertinent query from the learned counsel for the respondents as to whether any action was taken against the Government Pleader, the learned counsel was candid in accepting that not only no action was taken, the said counsel continued to be on the panel of the Government and was entrusted in with further briefs of Court cases. This itself shows that the respondents have tried to wriggle out of a valid compromise by taking such spacious plea which cannot be countenanced.
Supreme Court of India
Y.Sleebachen Etc vs Superintending Engineer Wro/Pwd ... on 4 August, 2014
Bench: J. Chelameswar, A.K. Sikri
Citation;(2015) 5 SCC 747
https://www.lawweb.in/2015/07/when-party-can-not-wriggle-out-of-valid.html
