CPC Case Brief – Ramesh Hiranand Kundanmal v. Municipal Corporation Of Greater Bombay (O1R10).

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Facts: Appellant is in possession of service station created on land held by respondent 2 (Hindustan Petroleum Corporation Limited) as lessee. The dispute between appellant and respondent 1(Municipal Corporation) is a demolition of unauthorised construction in pursuance to notice u/s. 351 of Bombay Municipal Corporation Act. Appellant instituted suit before City Civil Court, challenging the validity of notice and for injunction restraining Municipal Corporation from demolishing structures. No notice has been issued to respondent 2 by Municipal Corporation in the present case. Respondent 2 applied for being impleaded as an additional defendant in the suit to which court directed appellant to add respondent 2 as a defendant. Subsequently Appellant filed Writ Petition challenging correctness of order to which the High Court dismissed Writ Petition

Issue:  Whether respondent 2 is a necessary or proper party?

Held: Proper and necessary parties, as they have interest in subject matter of litigation and presence will be necessary and proper to effectively adjudicate upon and determine the cause of action in the suit. The notice does not relate to that structure but is in relation to two chattels started to have been created by present appellant unauthorised. But Respondent 2 had no interest in these chattels and demolition of same in pursuance to notice is not a matter which affects legal rights of respondent.  No direct interest in subject matter of litigation and addition of respondent would result in a new cause of action and will widen issue. The person to be joined must be one whose presence is necessary as a party. The only reason which makes it necessary to make a person a party to an action is that he should be bound by the result of the action and the question to be settled, therefore, must be a question in the action which cannot be effectually and completely settled unless he is a party.

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