CPCExecutionSupreme Court of India

Jugalkishore Saraf v Raw Cotton Co Ltd

AIR 1955 SC 376; (1955) 1 SCR 136919551 min read
The case in brief30-second read
Facts
A firm sued the appellant for a debt. While the suit was pending, the firm transferred its business and book debts, including this debt, to the respondent company by a written deed.
Issue
Can the transferee of a debt in suit execute the decree later passed on it?
Held
A decree, or a decree to be passed in future, is not an actionable claim. A written transfer of the debt did not, by itself, assign the later decree in writing under O.XXI r.16. Equity gives the transferee a beneficial interest, but it does not make an assignment in writing.
Principle
A written transfer of a debt that is the subject of a pending suit is not an assignment in writing of the later decree under O.XXI r.16 CPC; but the transferee claims under the decree-holder and may apply for execution under S.146 CPC.

Facts

  • A firm sued the appellant for a debt. While the suit was pending, the firm transferred its business and book debts, including this debt, to the respondent company by a written deed.
  • The decree was later passed in the firm's name. The respondent company applied to execute it.

Issue

  1. Can the transferee of a debt in suit execute the decree later passed on it?

Held

  • A decree, or a decree to be passed in future, is not an actionable claim. A written transfer of the debt did not, by itself, assign the later decree in writing under O.XXI r.16. Equity gives the transferee a beneficial interest, but it does not make an assignment in writing.
  • The transferee is still a person claiming under the decree-holder, so it may apply for execution under S.146 CPC.
  • The judgment-debtor's appeal was dismissed.

Cite this

Citation

Jugalkishore Saraf v Raw Cotton Co Ltd AIR 1955 SC 376; (1955) 1 SCR 1369

Reported: Indian Kanoon doc 1108235; SC judgment PDF (JUDIS 840). This is an educational summary, not the judgment itself. Cite the reported version in professional or academic work.