Abdullakutty Haji vs H. Mushtafa

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The defendant-licensor of a shop room in a shopping mall at Palakkad challenged an order of the Principal Sub Court, Palakkad dismissing IA No.6/2024 filed under Order XII Rule 6 of the CPC for a decree on admission and directing transfer of the counter-claim along with the suit to the Commercial Court. The plaintiff-licensee had taken the property on a ten-year license from 26/4/2018 to run a supermarket. The defendant revoked the license on account of alleged default in payment of license fee and filed a counter-claim seeking mandatory injunction for ejectment, relying on an endorsement (Ext.A1(a)) purportedly made by the plaintiff agreeing to vacate within twenty days. The plaintiff denied the endorsement and contended that the commercial dispute could only be tried by the Commercial Court under Section 15(2) of the Commercial Courts Act, 2015.

The High Court of Kerala, on a reference order, addressed two distinct issues: first, whether the trial court was correct in dismissing IA No.6/2024 under Order XII Rule 6 of the CPC on the basis that there was no unequivocal admission warranting a decree, and second, whether the counter-claim filed by the defendant seeking ejectment was maintainable before the civil court or had to be transferred to the Commercial Court constituted under the Commercial Courts Act, 2015.

The court examined the scope of Order XII Rule 6 of the CPC and the provisions of the Commercial Courts Act, 2015, particularly Section 15(2), and considered several Supreme Court decisions on admissions, including Uttam Singh Duggal, Karam Kapahi, S.M. Asif and Karan Kapoor. The judgment is in the nature of a reference order reflecting the court's interim deliberation on these questions of law arising from the challenge to the trial court's common order.

Catchwords: Civil revision petition license deed shop room supermarket default in license fee revocation of license mandatory injunction ejectment counter-claim Order XII Rule 6 CPC decree on admission Commercial Courts Act 2015 Section 15(2) transfer to commercial court maintainability of counter-claim admission in pleadings discretionary power reference order