subject matter of Suit differs from subject matter of Compromise Though properties not subject matter of Suit, it became subject matter of Compromise

Citation
2022 (6) CTC 206 (Mad)

IN THE HIGH COURT OF MADRAS

P.T. Asha, J.

Appin. Nos 298 & 299 of 2018 in 1.P. No.5 of 2013

June 14, 2021

Kotak Mahindra Bank Limited, No.3, Dass India Tower, 2nd Floor, 2nd Lines Beach, Parrys, Chennai-600 001; A. Manohar Prasad

Vs.

...Creditor

...Respondent

A. Manohar Prasad; Kotak Mahindra Bank Limited, No.3, Dass India Tower, 2nd Floor, 2nd Lines Beach, Parrys, Chennai-600 001. 2. Official Assignee, Madras High Court, Chennai-600 104

Code of Civil Procedure, 1908 (5 of 1908), Order 23, Rule 3, Proviso to [as amended by Madras High Court Amendment, dated 3.10.1979 & 23.1.1981] Compromise Decree Validity of Subject matter of Suit is recovery of money Subject matter of Compromise is repayment of amounts negotiated between parties and secured by two immoveable properties Properties situate in Andhra Pradeshi Held, subject matter of Suit differs from subject matter of Compromise Though properties not subject matter of Suit, it became subject matter of Compromise on offering it as security under Compromise Deed Property being outside Court's jurisdiction, Compromise recorded is contrary to amended Proviso to Order 23, Rule 3-But same is only irregularity In respect of Territorial and Pecuniary jurisdiction, parties may confer or waive the right to question jurisdiction Applicant not questioned Territorial jurisdiction of Court to record Compromise though properties situate outside Court's Jurisdiction -Decree not nullity on account of lack of Territorial jurisdiction.

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