Divya (nil) 12 March 2017

Compromise decree in money decree

Respected experts

Plaintiff has obtained a decree in summary suit for money.. Some external compromise of plaintiff happened with 3rd party. As per which plaintiff in writing made undertakings that he shall give 3Rd party 50% ownership in summary suit and in decree..
Now the plaintiff and his advocates have backed off. They have told 3Rd party that their name cannot be added in suit and decree. Entire compromise conditions breached by plaintiff and advocate. Many litigations were already Withdrawn against plaintiff by 3rd party on account of compromise..

But third party is now denied 50% ownership in suit and decree.. Court where decree is obtained at Bombay says that court will not touch suit decree.

Can a fresh compromise mou be filed in court where any compromise terms of plaintiff and third party be recorded by court on account of which court passes a compromise decree in money decree. Compromise MOU is that third party to protect their interests in suit and decree can appear as power of attorney holder.. can the court after passing money decree make a compromise decree on the basis of a joint compromise MOU.

Third party has filed a miscellaneous application in summary suit for ownership Un suit and decree.. Can plaintiff with decree holder make a new compromise and if that can be turned into a compromise decree. Above money decree..

Pls guide best course of action

Thankyou

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4 Replies

Dr J C Vashista (Advocate) 12 March 2017

1. Whether the decree was passed by the Trail/Appellete Court on the basis of Compromise Deed and decree was passed on its terms and conditions binding upon the parties to it? What are the terms and conditions of the compromise, is most important.

2. Is it a covenant in the Compromise Deed that, "both the parties to the compromise shall be bound by the terms and conditions" of this (Compromise) deed? In case either of the party do not honour the terms and condition(s) set out therein, than the case shall proceed de-novo?

3. In the absence of Compromise Deed nothing can be presumed to form an opinion, you will agree.

4. Discuss with your lawyer if you are a party to it, if you are the Counsel for either of the party, consult a local senior and prudent lawyer practicing civil/revenue cases.

Divya (nil) 12 March 2017

Sir 'A' obtained a money decree in summary suit claiming to b lawful owner of properties in suit. Properties in suit belonged 50% to someone else. Third party filed counter criminal complaint n civil claims against 'A'. Before 'A' could start execution both 'A' and third party compromised their legal wars whr third party withdrew all litigations against 'A' with a parallel condition that 'A' shall add third party in summary suit already disposed off. Now the court says that third party cannot be added. As the suit is already disposed and money decree passed. ''A" and third party have mutually thought that to protect interests of third party, third party will obtain an attorney of "A" and proceed with "A" for execution. So if these two parties are agreeing to such route, can the court record their compromise and make a compromise decree in summary suit whr a money decree is already passed.. Third party is confused for its rights. Please advise