Court Fee -- Suit Framed as Declaration of Ownership and Possession, Real Object Cancellation of Agreement to Sell -- Ad valorem fee payable only on earnest money
(i) Court Fees Act, 1870, S.7 -- Ad Valorem Court Fee -- Suit for Cancellation of Agreement to Sell and Forfeiture of Earnest Money -- Where a suit is instituted for cancellation of an agreement to sell and forfeiture of earnest money, and possession has not been delivered, ad valorem court fee is required to be computed on the amount of earnest money alone, and not on the entire sale consideration. (ii) Court Fees Act, 1870, S.7 -- Ad Valorem Court Fee -- Suit Framed as Declaration of Ownership and Possession -- Where a suit is drafted as one for declaration of ownership and possession, but its real object is to negate an agreement to sell on the premise that it stands terminated and earnest money forfeited, the plaintiff, being an executant of the agreement, is in effect seeking its cancellation, and is liable to affix ad valorem court fee only on the amount of earnest money involved in the agreement.
LOGIN TO READCaseLawToday.com is powered by M/s Law Herald Infotech
