Tuesday 10 September 2013

Order of injunction when Interim relief likely to affect large number of persons



Margaret Almeida v. Bombay Catholic Coop. Housing Society Ltd., (2013) 6 SCC 538
Civil Procedure Code, 1908
Or. 39 Rr. 1, 2 & 4 - Interim order - Injunction - Balance of convenience - Comparison of losses and gains of the
contesting and affected parties including affected parties not before court - Affairs of cooperative housing societies -
Bifurcation of cooperative housing society sought by a small minority of members of society vis--vis redevelopment of
entire society land pursuant to resolution of society - Redevelopment resolution of respondent housing Society for
transfer of entire society land to developer for demolition of existing cottages and construction of apartment
blocks/buildings on said land for allotment to licensee occupant Society members of said cottages (cottage members, for
short; some of whom were the appellants) and other allottees - Redevelopment resolution sought to be injuncted by
appellant cottage members of Society on ground that implementation of redevelopment resolution would frustrate claim
of appellants for bifurcation of Society and would amount to their losing membership of Society - Status quo obtained by
appellants had thwarted implementation of said redevelopment resolution for nearly four decades by virtue of which,
held, gains to appellants and other cottage members were incomparable to loss which ensued on account of status quo
to remaining majority of members of Society who had passed redevelopment resolution - Hence, held, grant of injunction
against redevelopment resolution on ground of frustration of bifurcation claim of minority of members of Society not
justified
- Also, as they were to be granted allotment rights in redeveloped apartments as per High Court they would not
lose their membership - Furthermore, prima facie it was evident that entire litigation to forestall implementation of
redevelopment resolution was really on behalf of a rival builder - Hence, prima facie action of appellants lacks bona fides -
Hence, all arguments of appellant-plaintiffs seeking equitable relief of injunction, vanished - Vacation of injunction by
High Court, upheld, 
Civil Procedure Code, 1908
Or. 39 Rr. 1, 2 & 4 - Interim relief - Maintainability - Locus standi/Standing - Interim relief likely to affect large number of
persons - Suit not filed in representative capacity - Need for plaintiffs to at least constitute simple majority of affected
persons, 
Civil Procedure Code, 1908
Or. 39 Rr. 1, 2 & 4 - Interim injunction in respect of property - Maintainability - Ordinarily, party seeking injunction in
such cases must have proprietary interest in subject-matter of dispute - Licensees/tenants-at-will described as tenant
members - Injunction restraining cooperative housing Society from taking steps in furtherance of its resolution for sale
and redevelopment of society property to developer for demolition of existing cottages and construction of
apartment/blocks/buildings - Sought by tenant members (licensees/tenants-at-will) - Said persons though members of the
Society but having no proprietary interest in the property in question - Held, ordinarily interim injunction cannot be sought
by such persons, 
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