Supreme Court Quarterly Digest 2026 - Code of Civil Procedure (CPC)

Code of Civil Procedure, 1908 - Supreme Court Quarterly Digest Jan - Mar, 2026 Concurrent Findings — Scope of Interference by Supreme Court — While the Supreme Court ordinarily does not reappreciate facts where the NCLT and NCLAT have recorded concurrent findings, an exception exists when the perversity of such findings is clearly established – Noted that the NCLT and NCLAT erred by ignoring binding contractual terms of the DTD based on "surmises, conjectures and assumptions"- Appeal allowed. [Relied on Innoventive Industries Limited vs. ICICI Bank and another (2018) 1 SCC 407; Indus Biotech Private Limited vs. Kotak India Venture (Offshore) Fund and others (2021) 6 SCC 436; Para 18-22] Catalyst Trusteeship Ltd. v. Ecstasy Realty Pvt. Ltd., 2026 LiveLaw (SC) 192 : 2026 INSC 186 : AIR 2026 SC 1311 Section 9 - Courts to try all civil suits unless barred Section 9 CPC – The Supreme Court held that one party to a contract cannot be the sole arbiter to decide whether the other party committed a breach when liability is disputed. Such an interpretation violates the fundamental principle that no party shall be a judge in its own cause - Supreme Court clarified that while certain matters may be "excepted" from arbitration, they cannot be "excluded" from judicial remedy entirely, as a vacuum in legal remedies is opposed to the Rule of Law. ABS Marine Services v. Andaman and Nicobar Administration, 2026 LiveLaw (SC) 287 : 2026 INSC 274 Section 11 - Res judicata Sections 11, 151, and 152 CPC – Res Judicata between stages of the same proceeding – Clerical Errors – Once a High Court holds at an intermediate stage that an appeal has not abated because the deceased's interest is sufficiently represented, it cannot revisit and reverse this finding at a later stage of the same proceeding - Such a reversal is barred by the principle of res judicata - a typographical error in a court order directing the deletion of the original party instead of a deceased legal representative is a clerical mistake that can be corrected under Sections 151 and 152 of the CPC and should not be used to the disadvantage of a party. [Paras 41-44] Kishorilal v. Gopal, 2026 LiveLaw (SC) 39 : 2026 INSC 48 Section 34. Interest Section 34 CPC - Contractual Bar on Interest - Sustainability of interest on delayed payments when specifically excluded by contract – The Supreme Court set aside a High Court order that had granted interest for delayed payments to a government contractor - held that when parties explicitly agree via a contract clause (such as Clause 5 of the preliminary agreement) that no interest or damages shall be claimed for belated settlement of bills, such terms are binding - The Interest Act, 1978, mandates interest only in the absence of an agreement or where terms are contrary to law - Section 3(3) of the Interest Act, 1978, ensures that contractual prohibitions on interest are respected, and Section 34 of the CPC does not have an overriding effect on this provision. [Paras 6 - 10] Kerala Water Authority v. T.I. Raju, 2026 LiveLaw (SC) 172 Section 100 - Second Appeal Section 100 CPC — Second Appeal — Interference with concurrent findings — Held that the High Court is justified in interfering with concurrent findings of fact in a second appeal if such findings are found to be perverse, contrary to the statutory framework, or based on a misapplication of settled legal principles - The absence of cogent evidence regarding the exact location and measurements of the disputed property renders a decree for mandatory injunction legally unsustainable - A suit filed by partners of an unregistered firm for the protection of property rights (common law action) rather than the enforcement of a contractual right is maintainable and not barred by Section 69. [Relied on Anathula Sudhakar v. P. Buchi Reddy (Dead) by LRs and Others, (2008) 4 SCC 594; Para 13, 24 - 27] Sanjay Paliwal v. Bharat Heavy Electricals Ltd., 2026 LiveLaw (SC) 54 : 2026 INSC 61 Section 100 CPC – Second Appeal – Scope of Interference with Concurrent Findings of Fact – Possession and Injunction – The Supreme Court set aside a High Court judgment that had dismissed a suit for permanent prohibitory injunction despite concurrent findings of possession in favor of the appellant by the Trial Court and First Appellate Court – Noted that the High Court failed to frame a specific substantial question of law regarding the correctness or validity of the findings on possession returned by the lower courts - The Supreme Court held that interference with concurrent findings of fact under Section 100 CPC is permissible only on limited grounds, such as perversity, misreading of evidence, or consideration of inadmissible evidence. P. Elaiyappan v. Natarajan, 2026 LiveLaw (SC) 219 Sections 100 and 103 CPC – Jurisdiction of High Court in Second Appeal – Interference with ...

Supreme Court Quarterly Digest 2026 - Code of Civil Procedure (CPC)

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