Skip to content


Tara Chand Vs. Suklal and anr. - Court Judgment

LegalCrystal Citation
SubjectCivil;Property
CourtMumbai
Decided On
Judge
Reported in(1888)ILR12Bom559
AppellantTara Chand
RespondentSuklal and anr.
Excerpt:
champerty - agreement to divide property after litigation if successful--furnishing money under such agreement. - - cal, 4 the application of this test is considered, and the judgment may perhaps be of assistance to the courts below in determining whether the agreement in the present case was contrary to 'good policy and justice' in the sense in which that expression is used by the privy council in the cases above referred to......void in this country, unless accompanied by circumstances, which, in the language of the privy council in chedambara chetty v. renga krishna l.r., 1 ind. ap., 241 and ram coomar coondoo v. chunder canto mookerjee l.r., 4 ind. ap., 23 ; i.l.r. cal., 233 lead to the conclusion that it was not a 'bond-fide one for the acquisition of an interest in the subject of litigation, but an illegitimate transaction got up for the purpose merely of spoil, or of litigation, disturbing the peace of families, and carried on from a corrupt and improper motive '. in abdool hakim v. doorga proshad banerjee i.l.r. cal, 4 the application of this test is considered, and the judgment may perhaps be of assistance to the courts below in determining whether the agreement in the present case was contrary.....
Judgment:

Charles Sargent, C.J.

1. Both the Courts below, apparently following the strict English law, have held the agreement to be void, on the ground that it was one to furnish money for litigation on the terms of sharing the property recovered. Such a transaction, however, is not necessarily void in this country, unless accompanied by circumstances, which, in the language of the Privy Council in Chedambara Chetty v. Renga Krishna L.R., 1 Ind. Ap., 241 and Ram Coomar Coondoo v. Chunder Canto Mookerjee L.R., 4 Ind. Ap., 23 ; I.L.R. Cal., 233 lead to the conclusion that it was not a 'bond-fide one for the acquisition of an interest in the subject of litigation, but an illegitimate transaction got up for the purpose merely of spoil, or of litigation, disturbing the peace of families, and carried on from a corrupt and improper motive '. In Abdool Hakim v. Doorga Proshad Banerjee I.L.R. Cal, 4 the application of this test is considered, and the judgment may perhaps be of assistance to the Courts below in determining whether the agreement in the present case was contrary to 'good policy and justice' in the sense in which that expression is used by the Privy Council in the cases above referred to. We must, therefore, reverse the decree of the Court below, and send back the case for a fresh decision, having regard to the above remarks. Costs of this appeal to follow the result.


Save Judgments// Add Notes // Store Search Result sets // Organizer Client Files //