Badal Law Academy

How to value a suit and to pay court-fees

A suit is to be valued for two purposes. One is to pay court fees and another is to determine
pecuniary jurisdiction of the Court whether the court concerned has power to try the suit as per the
provision of the section 18 and 19 of the Civil Court Act, 1887. There are two separate laws on the
subjects. The Court -fees Act, 1870 and the Suit valuation Act, 1887. The court-fee is to be paid
according to the valuation of a suit and the valuation of a suit is determined on two matters. One is
the value of 'the subject matter' and the other is the value of the 'relief'. The section 3 of the suit
valuation Act, 1887 provides that " The Government may make rules for determining the value of
land for purposes of jurisdiction in the suits mentioned in the Court-fees Act, 1870, section 7,
paragraphs v and vi, and paragraph x, clause (d)." What we have seen here that the suits mentioned
under this section are suit for possession of land, building and garden, enforcement of right to pre-
emption and an award. In these suits lands are the subject matter and lands are to be valued
according to the rule made by the government to determine the pecuniary jurisdiction of the court.
But probably there is no such rules being made so far. If there is any dispute regarding the value of
the subject matter and where the 'land' is subject matter, in most of the cases the court asks the Sub-
registrar concerned for valuation statement of land and decides about the valuation of land involved
with the suit. Under these suits mentioned under section 7, paragraphs v and vi, and paragraph x,
clause (d), the Court-fees Act, 1870 the plaintiff needs to pay court fees according to jurisdictional
value that is according to the value of the land. There are some suits in which 'relief' (remedy for
which the suit is brought) is to be valued for paying court-fees only and in those suits subject matter
is to be valued for determining the pecuniary jurisdiction of the Court. Those suits are mentioned
under section 7, paragraph iv of the Court -fee Act, 1870 and the suits are suit for cancellation and
rectification of instruments, suit for declaration with consequential relief ( for example, declaration
and perpetual injunction or mandatory injunction), suit for perpetual injunction, suit for mandatory
injunction, suit for easement right relating to air, light, pathway, water canal, irrigate water from
any tank and grazing field etc. or suit for dissolution of partnership. Under these suits the remedy
or the relief is to be valued and the plaintiff has liberty to value its amount whatever he likes
for payment of court-fees. But if these suits relate to land then the land is to be valued for
determining the pecuniary jurisdiction of the court and under section 4 of the Suit Valuation Act,
1887 such valuation of relief must not exceed the value of the land. Here the valuation of the relief
is called "court-fee value" as on the basis of which the court fee is to be paid and the value of the
land is called "jurisdictional value" which will determine the pecuniary jurisdiction of the court.
The section 8 of the Suit Valuation Act, 1887 says that "Where in suits other than those referred to
in the Court-fees Act, 1870, section 7, paragraphs v, vi and ix, and paragraph x, clause (d), court-
fees are payable ad valorem under the Court-fees Act, 1870, the value as determinable for the
computation of court-fees (court-fee value) and the value for purposes of jurisdiction (jurisdictional
value) shall be the same. Then if the suit is for perpetual injunction on land then how the suit is to
be valued and to pay court-fees thereon? According to section 7, paragraph iv, clause 'd' if it is a
suit for obtaining injunction so, the plaintiff shall state the amount at which he values the relief
sought for. The relief here is injunction so the plaintiff can value the injunction having no market
value at his desire. The plaintiff may state value of the amount of the relief as 1000.00 (one
thousand) taka as injunction has got no market value and this 1000.00 taka is court-fee value of this
suit and according to section 7 paragraph iv, ad valorem court fees are to be computed on it but that
is not the case if it relates to land. If that injunction is sought for against the defendants restraining
them from illegal threats to occupy the land then the plaintiff is to value the land for determining
the court's pecuniary jurisdiction. Suppose, perpetual injunction is sought on 10 decimals land and
the value thereof is 100000.00 (one lac) taka. This one lac taka is called jurisdictional value of the
suit. According to section 8 of the Suit Valuation Act, 1887 both the value shall be same and for
this 100000.00 taka will be the valuation of the suit and Ad valorem Court-fees are to be paid on it.
In the same way if it is a suit for declaration of title to the land with either of perpetual injunction or
mandatory injunction which is treated as consequential relief in which an ad valorem court-fees is
to be paid according to value of the land. Then if there is a suit for cancellation of deed or
rectification of deed or suit for easement right then ad valorem court -fees are to be paid according
to the value of the land. If it is a suit for partition then relief need not be valued and only the land or
other subject matter involved in the suit need be valued for purpose of determining the pecuniary
jurisdiction of the court and fixed court -fees of 300.00 (three hundred) taka is to be to paid in it.
Now fixed court fee of taka 300.00 is to be paid for pre-emption case. Suit for recovery of
possession of land, building and garden ad valorem court-fees are to be paid according to the value
of the subject-matter, and such value shall be deemed to be fifteen times the net profit which have
arisen from the land, building or garden during the years next before the date of presenting the
plaint.
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