Norman Macleod, Kt., C.J.
1. Disputes between the plaintiff and the defendant Municipality arose under a contract between the parties. The Municipality had entered into that contract under the powers granted to it under Section 40 of the Bombay District Municipal Act. The Municipality claimed according to the terms of that contract to deduct a certain amount from the plaintiff's deposit for non-performance of his contract. As the Municipality obtained their powers to enter into this contract from the Act, it follows that their powers to enforce the contract, according to the construction they put upon it, must also be in pursuance of the Act. Therefore, any suit which the plaintiff might wish to bring under the contract would come within the provisions of Section 167 of the Bombay District Municipal Act. I think the decision of the lower appellate Court was right and the appeal must be dismissed with costs.