Are you curious about how to transfer a lawsuit from one court to another court? Are you exited to know the grounds for transferring the law suit? Lets explore this article, by the end you will get to know about different provisions and grounds available in law to transfer the lawsuit from one court to another court especially from high court from supreme court to high court, session court to high court and magistrate court to session court.

Introduction

As courts operate within specific jurisdictions, this can be interpreted as the power granted to courts, tribunals, judges, etc., to resolve disputes between involved parties. Jurisdiction is determined by the territorial and pecuniary aspects of the matter. However, even when a court possesses jurisdiction, is it possible to transfer a case to a different court? If so, what is the procedure for applying to transfer a case from one court to another? Additionally, what criteria justify transferring cases in both civil and criminal proceedings? These aspects are explored below, emphasizing the legal framework in place.

The court is mandated to uphold impartiality in managing disputes between parties. Following the “Code of Civil Procedure 1908″1, when a plaintiff initiates legal action in their chosen venue, the defendant is obligated to appear before the court and submit a written statement, raising objections to the plaintiff’s claims. Should the defendant question the court’s jurisdiction based on the Code of Civil Procedure, the court must initially address this jurisdictional concern. If the court concludes that it lacks jurisdiction, it is compelled to transfer the case according to established guidelines. However, if either party encounters challenges during the legal process and seeks to shift the case to a different venue or court, they have the option to file a transfer petition in the relevant court under applicable law.

If the defendant has not consented to the chosen venue, the court cannot commence proceedings. Nevertheless, the court has the authority to reject the defendant’s transfer application, requiring the defendant to proceed with the case in the original location. Apart from the involved parties, the court, at its discretion, holds the power to transfer the case. This authority is conferred upon them by the Code of Civil Procedure of 1908, empowering them to address such matters and transfer the case to another court with suitable jurisdiction if the interests of justice so demand.

This analysis aims to critically examine the provisions within the Code of Civil Procedure related to the Transfer of Cases, supported by relevant case laws.

Legal Provisions Explained

A court case is commenced as per jurisdiction and Any scope for change in the trial court depends upon whether the existing laws allow it which is followed by an application for transfer of the case from one court to another. Following are some legal provisions,

Section 22 of CPC 1908

This Section of the Code of Civil Procedure encompasses a crucial provision that grants authority to the Civil Court for the transfer of a legal case. This particular section delineates the two fundamental prerequisites that must be fulfilled before the commencement of a lawsuit transfer:

1. Once the transfer application has been submitted by one party, notice of this application should be sent to the opposing party.
2. The transfer application should be presented to the court before the resolution of the disputes between the parties involved in the case.

After reviewing the objections and arguments presented by both parties, the Court will ascertain the court with the suitable jurisdiction and adjudicate the specific lawsuit. It is crucial to highlight that this principle is affirmed in the case of Ms. Basanti Devi v. Mst. Sahodra, where

when considering an application for the transfer of a suit under Section 22, the court should not only take into account the consent of both parties but should also assess the overall circumstances that suggest whether the case should proceed in a court different from the one where the plaintiff initially filed it. This ensures a comprehensive evaluation of the transfer request.

Ms. Basanti Devi v. Mst. Sahodra

Section 23 of CPC 1908

Section 23 of the Code of Civil Procedure designates the suitable court to which an application for the transfer of a lawsuit must be presented, considering the jurisdiction of the relevant courts.

1. If several courts possess jurisdiction subordinate to a common appellate court, the suit’s transfer application should be lodged with that shared appellate court.
2. In cases where the involved courts have jurisdiction inferior to distinct appellate courts but fall under the authority of the same High Court, the transfer request must be filed with that specific High Court.
3. When the concerned courts are subordinate to different High Courts, the transfer application should be submitted to the High Court within the local boundaries of which the court handling the original suit is situated.

These regulations guarantee that the transfer application is directed to the suitable higher authority, whether it is the identical appellate court, the corresponding high court, or a distinct high court with jurisdiction over the region where the original suit was initiated.

Section 24 of CPC 1908

This Section of the Code of Civil Procedure addresses the jurisdiction concerning the transfer of a lawsuit or the management of appeals or revisions. Significantly, this section permits the District Judge or High Court to independently exercise the power of transfer, even in the absence of a formal transfer application from any party involved in the case. The decision to transfer should be grounded in valid and justifiable reasons, considering both the legal aspects and the specific facts of the case. This implies that the court must assess the overall circumstances and merits of the case when determining the necessity of a transfer. Section 24 affirms that the court possesses the authority to transfer or withdraw cases under specific conditions, either in response to applications from the involved parties or suo moto.

Below are the existing authorities and processes related to case transfers as outlined in Section 24 of the Code of Civil Procedure (CPC):

1. 1)Transferring Lawsuits or Proceedings via Application: Upon receipt of a case transfer application from the concerned parties, the court is required to notify all parties involved and listen to their objections. Subsequently, “the High Court or the District Court may, at any point in the lawsuit:”
   • Move a pending lawsuit or proceeding to a lower court that is considered appropriate for its trial or resolution.
   • Remove a pending lawsuit or proceeding from any lower court and either.
   • Proceed with the trial or resolution of the case directly.
   • Move the case to a lower court that is deemed suitable for its trial or resolution.
   • Send back the case for trial or resolution to the court from which it was initially transferred.
2. Retrying or Resuming from a “Transferred Stage”: In the event of a suit or proceeding being transferred or withdrawn, the court has the option to either commence a new trial or resume proceedings from the stage at which it was transferred or withdrawn.
3. Judicial Discretion: The court must impartially utilize its discretionary authority in relation to the case transfer, adhering to principles of justice and fairness. The court should objectively evaluate the grounds and justifications for the transfer, ensuring that the application is not driven by malicious intentions. If the court identifies that an application for transfer is baseless or made with ill intentions, it holds the power to reject it.
4. Notice to Parties: If an application is submitted under Section 24 CPC for transferring a case to the High Court, and parties are duly notified, it is regarded as an original proceeding as per Section 1418 of the Code of Civil Procedure.
5. Recording Reasons: When seeking the transfer of cases to a higher jurisdiction, the court is required to distinctly articulate the reasons or grounds for the transfer as per Section 24 CPC. These justifications should be documented separately from the primary case details, and a dedicated record for the transfer application should be maintained in the court’s archives. The initial order pertaining to the transfer must be preserved in the case record, with a duplicate sent to the pertinent court.

Essentially, Section 24 grants the District Judge or High Court the authority to take proactive measures in transferring cases for the sake of justice and efficiency, even in the absence of a formal transfer application, as long as valid grounds and principles are adhered to throughout the transfer proceedings.

Section 25 of CPC 1908

This Section of the Code grants “the Supreme Court of India the power to transfer suits or proceedings from the High Court or Civil Court of one state to another state.” The subsequent details outline the authority and process specified in this section:

1. Application for Transfer: The authority to transfer suits or proceedings as per Section 25 CPC can be invoked upon the submission of an application by any of the parties involved. This implies that any party involved in the case has the option to request the Supreme Court for the transfer of a suit or proceeding from one state to another.
2. Notice and Hearing: Upon the submission of such an application, the Supreme Court is obligated to issue notice to all parties participating in the case. Subsequently, following an opportunity for both parties to present their arguments and objections, the court will deliberate on the matter.
3. Reasons for Transfer: The Supreme Court can decree the transfer if it is satisfied that such an order is imperative and prompt for the attainment of justice. This signifies that the transfer should align with the principles of justice and should be in the best interest of a fair and equitable resolution of the case.
4. Interstate Jurisdiction: The primary intent of Section 25 CPC is to enable the relocation of cases between different states in India. It permits the shifting of cases from the jurisdiction of a High Court or Civil Court in one state to the corresponding High Court or Civil Court in another state when it is deemed essential for the cause of justice.

This provision ensures that the Supreme Court possesses the power to intercede and transfer cases when it is considered essential to uphold the principles of justice and fairness.

Impact of Transfer Order

The transfer order takes effect immediately upon issuance by the court, independent of whether it has been formally communicated to the subordinate court. Upon issuance, the case is deemed transferred to the specified court.

COMPENSATION

If the transfer application is rejected, or if the court finds that the transfer was not pursued for valid or justifiable reasons, it is empowered to instruct the party seeking the transfer to provide compensation to the opposing party. However, the compensation amount should not exceed Rs 2000. This provision serves as a deterrent against frivolous or unjustified transfer applications and aims to compensate the party that may have been inconvenienced by the transfer request.

Grounds for Allowing and Restriction Transfers

When Transfer of law suit is Allowed?

1. Reasonable Fear of Unfairness: In situations where a party reasonably apprehends an unjust trial in the existing court due to bias or a charged atmosphere, the case can be transferred, as elucidated in the Raghunandan v. G. H. Chawla case.
2. Convenience Consideration: In instances such as the Jotendro Nath v. Raj Kristo case, if the convenience of the parties and the property’s location suggest a more suitable court, the case might undergo a transfer. In the mentioned case, since the parties resided in Calcutta, the transfer was initiated.
3. Judge’s Bias Towards a Party: In situations where there is bias or a justifiable concern, as exemplified in the Gujarat Electricity Board & Anr v. Atmaram Sungomal Poshani case, a transfer of the case to a different bench may be warranted.
4. Preventing Redundancy and Discrepancy: To avert the occurrence of numerous proceedings and conflicting judgments concerning the same cause of action, as established in the Rajulu v. Govindan. case, wherein two individuals filed suits on the same cause of action.
5. Shared Issues of Fact and Law: In situations where various lawsuits in distinct courts encompass interconnected common questions of fact and law, they may be consolidated for expediency, as exemplified in the Purna Chandra v. Samantha. case.

When Transfer of Case is Not Allowed?

1. Pure Convenience: A transfer solely driven by the convenience of the applicant may not constitute a satisfactory criterion, as stated in the Indian Overseas Bank v. Chemical Construction Co case.
2. Judge’s Comments on Merits: The judges’ expressions regarding the merits of a case, as demonstrated in the Gujarat Electricity Board & Anr vs Atmaram Sungomal Poshani case, do not inherently warrant a transfer.
3. Opponent’s Local Influence: The simple influence of an adversary within the locality, as observed in the case of Dr. Subramaniam Swamy v. Ramakrishna Hegde, may not be sufficient grounds for a transfer.
4. Applicant’s Residence Proximity: The distance from the applicant’s residence, as highlighted in the case of Arvee Industries v. Rata Lal, is not a robust justification for transfer, particularly when the cause of action stems from civil proceedings in the existing court.
5. Erroneous Judge’s Order: An erroneous order does not necessarily imply bias and may not be a ground for transfer, as per Madan Lal v. Babul Lal.

Relevant Case Laws

Guda Vijayalakshmi v. Guda Ramchandra Sekhara Sastry

the petitioner, a wife seeking maintenance, initially filed a suit as an indigent person (in forma pauper) in Eluru, Andhra Pradesh. The respondent, her husband, then filed a divorce case against her in Udaipur, Rajasthan. “The petitioner subsequently filed a transfer petition under Section 25 of the CPC, seeking to move the respondent’s divorce case from Udaipur to Eluru. The court determined that, in the interest of justice, it would be convenient to transfer the respondent’s suit from the District Court in Udaipur to the District Court in Eluru so that both cases could be heard together.” Read More

Indian Overseas Bank v. Chemical Construction

the court ruled that when considering the transfer of a suit, the primary factor to be taken into account is the “balance of convenience.” This balance of convenience should not be limited to the convenience of either the plaintiff or the defendant alone but of both parties involved in the case. In other words, the court should weigh the overall convenience and fairness for all parties concerned when making decisions regarding the transfer of a suit. Read More

Durgesh Sharma v. Jayshree

the Supreme Court clarified the scope of the power defined in Section 24²¹ of the Code. The Court’s ruling established that the power granted under Section 24 does not allow a High Court to transfer a suit, appeal, or any other legal proceeding from a court subordinate to that High Court to a court that is not subordinate to it, under the provisions of either Section 23(4) or Section 24 of the CPC. Read More

Nahar Industrial Enterprises Ltd. v. Hong Kong and Shanghai Banking Corporation

the Apex Court clarified that Section 24(5)²³ of the CPC pertains exclusively to the inter-state transfer of civil suits between civil courts. Such transfers should only occur in exceptional circumstances when jurisdictional issues demand it, with the overarching purpose of ensuring justice rather than obstructing it through procedural rules. Read More…

M.V. Ganesh Prasad v. M.L. Vasudevamurthy

 the court emphasized that the allegation of bias must be reasonable, proper, and made in good faith by the petitioner seeking the transfer of a suit. In other words, the petitioner must have a genuine and valid reason to suspect bias on the part of the judge. If the court finds that the petitioner’s claim of bias is unfounded, speculative, or made with malicious intent, the application for the transfer of case may be rejected. The court should carefully consider all circumstances surrounding the case] to maintain the integrity and trustworthiness of the judicial process when addressing transfer requests to ensure that they are made for legitimate and justifiable reasons. Read More….

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