Section 92 CPC: No Interim Order Before Leave to Sue Public Trust Is Granted, Supreme Court Holds

The Supreme Court has held that a civil court cannot pass interim protective orders in a proposed representative suit under Section 92 CPC before granting leave to institute the suit.

Background

The appellants had moved proceedings concerning People's Education Trust and sought leave under Section 92. While that application was still pending, the civil court constituted an ad hoc committee under Order XL Rule 1 to manage the trust. The Karnataka High Court set that order aside.

The Supreme Court agreed with the High Court. It held that leave under Section 92 is not a procedural formality but a statutory precondition to institution of the representative suit. Until leave is granted, no lis comes into existence in which interlocutory jurisdiction may be exercised.

Court's reasoning

The Bench also rejected reliance on Section 151 CPC. Inherent powers cannot be used to defeat a specific legislative safeguard intended to protect public trusts from unnecessary litigation.

At the same time, the Court recognised that genuine emergencies may arise. Where urgent relief is required, a court may for recorded reasons dispense with notice before deciding whether leave should be granted.

Result and practical significance

The appeal was dismissed and the High Court's order setting aside the ad hoc management arrangement was left undisturbed.