ashok kumar (Social Worker) 21 September 2014

Proceedings for recovery-without notice to all lrs

Proceedings for Recovery-Without Notice to all LRs

The borrower died and the account became NPA. Bank filed suit for decree in 1996 and succeeded in securing the decree in 2003. Decree was granted ex-parte in Favour of the Bank for sale of the property mortgaged.

When the Bank filed the suit for decree, all the LRs were not impleaded. The Bank started the execution proceedings in 2013. One of the LRs say X, which was not impleaded in the suit for decree comes to know about the suit for decree and the execution proceedings only now in 2014.

1.What is the right legal course of action for this LR?

2.Can this LR now challenge the award of decree itself and want him to be heard by the court? i.e. Can the recovery proceedings be reopened now on the application of this LR?

3.Can the decree execution be stayed till the suit for recovery is reopened?

Kindly guide with the relavant provisions of the Civil Law

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1 Replies

Hardeep (Business) 26 September 2014

Only " necessary " parties need be impleaded in a suit. Further, the Defendant has to claim non Joinder of parties at the earliest, in his written statement. Those who are likely to be affected by the result of the suit do not automatically become necessary parties.

see general manager south central railway Secunderabad vs AVR Siddhantti

Also see order 1 Rule 9 and 10 of CPC