Meaning

The concept of ‘appeal’ is not explicitly defined in the Civil Procedure Code (CPC). According to Black’s Law Dictionary, an ‘appeal’ is a formal complaint made to a higher court to rectify an injustice or error committed by a lower court. The superior court reviews and retrials the case, effectively transferring it from a court of lower jurisdiction to one with greater authority.

Essentials of Appeals

An appeal under CPC is a legal process in which a higher forum reviews the decision of a lower forum on both legal and factual grounds. The higher forum can uphold, reverse, modify the decision, or send the case back to the lower forum for a fresh decision following its directions. The three essential elements of appealing cases are:

1. A decree issued by a judicial or administrative authority.
2. An aggrieved individual who may not have been a party to the original proceeding.
3. A reviewing body established specifically to handle such appeals in CPC.

Right to Appeal

The right to appeal is both statutory and substantive. It is a statutory right because it must be specifically granted by a statute and establish the appellate machinery. Unlike the inherent right to institute a lawsuit, the right to appeal is provided by law. Additionally, the right to appeal is substantive, meaning that it must be exercised prospectively unless the statute states otherwise.

However, parties may waive this right through an agreement, and accepting benefits under a decree may stop a party from challenging its validity. The right to appeal is determined based on the law as it exists at the time of the original suit.

One Right to Appeal in CPC

There is usually one right to appeal, as stated in Section 96 of the CPC. This allows an aggrieved party to appeal a decree passed by a court exercising its original jurisdiction to a higher authority designated for this purpose. Exceptions to this single right of appeal are outlined in Sections 97, 98, and 102 of the CPC, which specify certain conditions under which no further appeal is permitted.

No Right to Appeal under CPC

Generally, a person who is not a party to the suit does not have the right to appeal unless they obtain special leave from the Court. The crucial factor to consider when determining one’s right to appeal is whether the person is adversely affected by the decision or the suit, and this is a matter of fact that must be evaluated on a case-by-case basis.

Who Can File an Appeal?

The right to appeal in CPC is available to specific categories of individuals:

1. Any party to the original proceeding or their legal representatives.
2. Any person claiming under such a party or a transferee of interests from such a party.
3. Any person appointed by the Court as the legal guardian of a minor.
4. Any other aggrieved person, with the Court’s permission.

The general rule is that only a party to a suit who has been adversely affected by the decree or their representatives can file an appeal in CPC. However, with the Court’s leave, a person not originally involved in the case may also appeal if they are bound by the decree, aggrieved by it, or maliciously influenced by it. To determine if a party is aggrieved, it must be shown that the judgment has unjustly affected their rights, whether financially or otherwise. A judgment cannot be said to adversely impact a party unless it acts as res judicata against them in future litigation. The content of the judgment and decree, rather than the form, should be evaluated to determine if it will have this effect.

Section 96(2) Remedies

Section 96(2) outlines remedies available to a defendant against whom an ex parte order is passed. They can either file an appeal under CPC against the decree or file a motion to set aside the ex parte decree. These remedies can be pursued concurrently and do not hinder each other.

Section 96(3) Consent Decree

Section 96(3) specifies that a consent decree cannot be appealed against. This provision is based on the principle of estoppel, assuming that parties to a suit may, through a lawful agreement, settlement, or behavior, relinquish their right to appeal. In a consent decree, both parties have willingly given up their right to appeal in CPC as part of the agreement.

Who Cannot File an Appeal in CPC?

To summarize the situations in which parties may not have the right to appeal:

1. A party that has explicitly and unambiguously given up its right to appeal as per an arrangement or agreement.
2. A party that has received benefits from a decree and has implicitly accepted its terms.
3. A consent decree binds parties, as they have willingly agreed to its terms.
4. Parties whose evidence or compromises were not presented or expressed during the dispute.
5. Parties involved in trivial instances where the matter is not significant enough to warrant an appeal in CPC.

Furthermore, legal representatives are not allowed to file an appeal under CPC on behalf of a deceased individual. Once a party passes away, their right to appeal also ceases to exist.

Characteristics of An Appeal

The right to appeal is not automatically assumed and must be explicitly provided for in the statute. It differs from the rights associated with filing cases, as it is a substantive right rather than a procedural one. These rights arise from the moment the suit is instituted. Once granted, these privileges cannot be invalidated unless a statute expressly or implicitly allows for such invalidation. The appellate authority has the final and conclusive discretion in matters related to appeals.

Form of Appeal: Rules

For an appeal to be considered valid, it must adhere to all the provisions specified in the Memorandum of Appeal. Rule 2 prohibits the appellant from raising objections that are not outlined in the memorandum of appeal, except with the Court’s permission. This rule is intended to inform the respondent of the specific case they are expected to address during the appeal hearing. If the memorandum of appeal in CPC is not in the appropriate form, the Court has the discretion to reject it or send it back to the appellant for necessary amendments.

Rule 4 explains that if a decree is based on a common ground that applies to all the plaintiffs or defendants, each of them has the right to appeal under CPC against the entire decree. The Court may then either reverse or modify the decree collectively favouring all the plaintiffs or defendants. This rule allows multiple parties who share a common interest in the case to collectively challenge the decree on the shared ground.

Condonation of Delay

The Amendment Act of 1976 introduced Rule 3A, which states that if an appeal is filed after the prescribed limitation period expires, the appellant must submit a statement explaining the reasonable grounds for the delay in filing the appeal. The purpose of this rule is twofold: firstly, to inform the appellant that the delayed appeal in CPC may not be accepted until the Court considers the application justifying the delay, and secondly, to alert the respondent that the appellant may not be immediately prepared to argue on the merits of the case, as the Court needs to address the application for condonation of the delay as a preliminary matter. However, it is essential to note that this clause is considered a directory and not mandatory.

Stay of Proceedings

Rules 5 to 8 deal with the provision for a stay of execution of a decree or order during the appeal process. Rule 5 allows the appellate Court to order a stay of proceedings under the decree or the enforcement of the decree once an appeal under CPC has been filed. However, it’s important to note that the mere filing of an appeal does not automatically suspend the implementation of the decree.

The purpose of Rule 5 is to protect the interests of both the party who obtained the decree and the party against whom the decree was passed. For the Court to grant a stay, the following conditions must be met:

1. The application for a stay must be filed without any undue delay.
2. The party seeking the stay must demonstrate that they would suffer significant harm if the order is not granted.
3. The applicant must provide adequate security to ensure the due performance of the decree or order in case the appeal is unsuccessful.

If these conditions are satisfied, the Court may also issue an ex parte order for a stay of execution pending the hearing of the appeal without requiring the other party’s presence. This allows for immediate protection of the appellant’s interests while the Court considers the matter further.

Summary Dismissal

Rule 11 pertains to the trial court’s authority to summarily dismiss an appeal in CPC. This process occurs after the appellant has submitted the memorandum of appeal and the appeal has been filed in accordance with Rule 9. Rule 11 enforces the fundamental principle that the appeal court has the right to dismiss an appeal without a full hearing if it finds that it lacks merit after hearing the appellant or their counsel.

However, this discretionary power should be exercised judiciously and not in an arbitrary manner. The Court should use this control only in exceptional circumstances and with restraint. In other words, the summary dismissal of an appeal should be rare and sparingly applied.

The purpose of Rule 11 is to allow the appeal court to swiftly dispose of frivolous or meritless appeals, thus preventing unnecessary delays and ensuring that the Court’s resources are used efficiently. However, this authority should not be misused, and the Court must be cautious not to deny legitimate appeals that may require a full hearing for proper adjudication.

Doctrine of Merger

The concept of the merger theory is rooted in the principle that there should not be multiple operative decrees governing the same subject matter simultaneously. As a result, when an appeal is adjudicated by an appellate court, the decree of the trial court no longer remains effective under the provisions of the statute. Instead, it is replaced by the decree passed by the appellate Court, and the decree of the trial court effectively combines or “merges” with the decree of the appellate Court.

Cross Objections

Order 41 Rule 22 is a special provision that permits the respondent, who has not filed an appeal against the decree, to raise objections to the decree by filing cross-objections in response to the appeal filed by the other party. However, filing cross-objections is purely discretionary and voluntary for the respondent. This provision is permissive and encouraging rather than being mandatory or obligatory.

Cross-objections should not be confused with cross-appeals under CPC. A cross-appeal is when the respondent, who is typically the plaintiff in the original case, brings an appeal against the appellant (typically the defendant) if they are dissatisfied with a particular aspect of the judgment, even if the overall decree is in their favour due to other findings.

The terms of Order 41 Rule 22 only permit the right to file cross-objections when an appeal is filed and the appellate Court accepts the appeal, issuing a notice to the respondent. Only after the appeal is accepted and the Court notifies the respondent, may the process of filing cross-objections begin.

It is important to note that cross-objections cannot be filed if the appellant has filed no appeal or if an appeal has been filed but has not been accepted by the Court. In such cases, the respondent cannot raise objections through cross-objections.

Powers of Appellate Court under CPC

The appellate Court is granted several powers under Section 107 and the corresponding rules of Order 41 of the Code of Civil Procedure:

Power to decide a case finally (Section 107(l)(a) and Rule 24)

When the evidence on record is sufficient, the appellate Court can make a final decision on the case, even if the judgment of the lower Court was based on different grounds.

Power of remand (Section 107(1)(b) and Rule 23)

If the trial court decides the case on a preliminary point without considering other issues, and the appellate Court reverses that decree, it can remand the case back to the trial court to decide the remaining issues and reach a decision.

Power to frame issues and refer them for trial (Section 107(1)(c), Rules 25 and 26)

If the trial court fails to frame an issue or overlooks a crucial factual question, the appellate Court can frame those issues and refer them for trial to the lower Court. The lower Court is directed to take the additional evidence required to properly determine the case.

Power to take additional evidence (Section 107(1)(d), Rules 27-29)

Generally, the appellate Court decides the appeal in CPC based on the evidence presented during the original trial. However, the Court may admit additional evidence if the party requesting it demonstrates that this evidence was not available during the initial trial despite their best efforts. The other party must have an opportunity to challenge the additional evidence, which should be relevant to the issues under consideration.

Power to modify the decree (Rule 33)

The appellate Court is empowered to grant or refuse relief to the appellant and provide suitable relief to the respondents as necessary. The Court can make any decision it deems appropriate, not just between the appellant and the respondent but also between two respondents.

These powers enable the appellate Court to ensure fair and just adjudication of the case based on the evidence and merits presented before it.

First Appeal in CPC

According to Section 96 of the CPC, a regular first appeal can be filed against a decree passed by any Court exercising original jurisdiction, except when expressly prohibited. Analyzing Sections 2(2), 2(9), and 96 of the CPC together, it becomes evident that a first appeal may or may not be maintainable in certain adjudications.

Second Appeal in Civil Procedure Code

Section 100 of the CPC provides for a second appeal under this code. It stipulates that an appeal may be filed to the High Court from a decree passed in the first appeal by a subordinate Court, except where contrary provisions exist. However, the jurisdiction exercised under this section is limited to substantial questions of law framed either at the time of admission of the appeal or subsequently.

Conversion of an Appeal into Revision

In the case of Bahori v. Vidya Ram, it was established that since there is no specific provision under the CPC for the conversion of an appeal into a revision or vice versa, the Court can only exercise its power under Section 151. Though discretionary, the Court’s inherent powers allow it to issue orders necessary to meet the ends of justice. The only prerequisite for such conversion is that proper procedures are followed during the filing of the original appeal or revision under the Civil Procedure Code.

Appeals from Orders of the Tribunal

When parties involved in proceedings are dissatisfied with the orders or conclusions of the tribunal, they have the option to submit an appeal to the National Company Law Appellate Tribunal (NCLAT). The Company Act, 2013, in Section 421, elaborates on the process as follows:

• Either one or both parties aggrieved by an order of the tribunal may file an appeal under CPC with the appellate tribunal.
• An appeal cannot be filed with the tribunal without the consent of both parties.
• The appeal must be filed with the NCLAT within forty-five days of the tribunal’s order, in the prescribed form, and accompanied by the required fees.
• In exceptional circumstances, if the tribunal is convinced that there is sufficient cause for not filing the appeal within the forty-five-day period, it may allow the appeal to be filed beyond this period, but it cannot extend beyond the forty-five days limit.
• After giving both parties a reasonable opportunity to be heard, the tribunal may pass appropriate orders.
• The tribunal has the authority to either confirm, modify, or set aside the order being appealed against.
• The appellate authority is responsible for sending a copy of the order to the tribunal and the parties involved in the appeal in CPC.

Appeals by Indigent Persons

If a person is unable to pay the required fee for filing a memorandum of appeal under the Civil Procedure Code, they have the option to file an appeal as an indigent person. However, the Court has the discretion to reject such an application and may direct the applicant to pay the necessary court fee within a specified time.

Appeals to the Supreme Court

Appeals to India’s highest jurisdictional body, the Supreme Court, can be made under two circumstances. Firstly, when the lower Court considers the case appropriate for an appeal to the Supreme Court, and secondly, when the Supreme Court grants special leave for the appeal under the Civil Procedure Code. A petition must be submitted to the Court that issued the decree to file an appeal under CPC. The petition will be heard and disposed of within sixty days. It should state the grounds of appeal and include a request for a certificate declaring that the case involves a substantial question of law that requires the Supreme Court’s decision.

The opposite party will have an opportunity to raise objections to the issuance of such a certificate. The petition will be disposed of if the certificate is denied. If the certificate is granted, the appellant must deposit the required security and costs within a specified period. After fulfilling these obligations, the Court from whose decision the appeal in CPC is made will declare the appeal as admitted and notify the respondent accordingly. The jurisdictional body will then provide a sealed copy of the record and furnish copies of the relevant papers in the suit.

Conclusion

An appeal in CPC is a legal process through which a party dissatisfied with a court’s decision seeks a review and reconsideration of the judgment by a higher court. It allows parties to challenge the lower court’s ruling on specific legal or factual grounds and present arguments for a different outcome.

The process of appeals in the legal system plays a crucial role in ensuring justice and fairness. Understanding the various provisions and powers involved in filing appeals can be instrumental in achieving favourable outcomes for parties dissatisfied with trial court decisions. From first appeals to second appeals and the option for indigent persons to file appeals, the legal framework aims to address grievances effectively. Additionally, the avenues for appeals to the Supreme Court provide a vital recourse for cases deemed appropriate for further review. Overall, a comprehensive grasp of the appeal process empowers individuals to navigate the legal system with confidence, seeking redress for their grievances.