National Law Institute University Bhopal: Submitted To
National Law Institute University Bhopal: Submitted To
National Law Institute University Bhopal: Submitted To
BHOPAL
PROJECT ON
“ATTACHMENT AND SALE OF PROPERTY DURING
EXECUTION PROCEEDINGS”
EIGHTH TRIMESTER
1
ACKNOWLEDGEMENT
My vocabulary falls short on words to express our hearty gratitude towards my CPC professor Mr.
Amit Pratap Singh who gave me the opportunity to work upon such an astonishing project which
helped me in enhancing my thinking skills.
Also, I’d like to thank the prestigious library of NLIU with the material of which I was able to
supplement my project work I want to take out this moment to lastly (but certainly not the least)
thank my parents and The Almighty under whose blessings I am able to conclude this project. I
acknowledge the support of all the aforesaid and start with my project.
Thank you
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Content
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DECLARATION ..................................................................................................................................................2
ACKNOWLEDGEMENT......................................................................................................................................3
CONCEPT..........................................................................................................................................................5
OBJECTIVES.......................................................................................................................................................5
HYPOTHESIS......................................................................................................................................................5
RESEARCH METHODOLOGY..............................................................................................................................5
SOURCES OF DATA COLLECTION.......................................................................................................................6
PRIMARY SOURCE:....................................................................................................................................6
SECONDARY SOURCE:...............................................................................................................................6
SCOPE...............................................................................................................................................................6
LIMITATION......................................................................................................................................................6
1.......................................................................................................................................................................7
INTRODUCTION................................................................................................................................................7
2.......................................................................................................................................................................8
MODES OF EXECUTION.....................................................................................................................................8
(a) By delivery of any property specifically decreed ;.......................................................................................8
(b) By attachment and sale or by the sale without attachment of any property ;............................................8
(c) By arrest and detention in prison for such period not exceeding the period specified in Sec.58, where
arrest and detention is permissible under that section;...................................................................................8
(d) In such other manner as the nature of the relief granted may require.......................................................8
(e) By appointing a receiver..............................................................................................................................8
(f) Payment of money.......................................................................................................................................8
(g) Specific performance of contract................................................................................................................8
(h) Injunction....................................................................................................................................................8
Precept...........................................................................................................................................................12
3...................................................................................................................................................................... 13
ATTACHMENT OF PROPERTY, MOVABLE AND IMMOVABLE..........................................................................13
SALE OF PROPERTY UNDER CPC.....................................................................................................................19
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CONCLUSION………………………………………………………………………………………………………………………………………………20
BIBLIOGRAPHY………………………………………………………………………………………………………………………………………….21
1. INTRODUCTION
The Code acknowledges the right of a person on whom a verdict has been handed down to bind the
properties of the verdict-debtor in the execution proceedings and also sets out appropriate processes
for the implementation and enforcement of the connexion. Order 21 of the Code of Civil Procedure
deals with the solemn act of execution of the decrees issued from the grassroots to the highest by
the Judiciary. At the end of the day, after the decision has reached its finality or there has not been a
stay of execution even in any appeal or revision court, it is the responsibility of the court of original
jurisdiction which performs this sacred act of execution. Parts 60 to 64 and Rule 41 to 57 of Order
21 deal with the subject-matter of attachment to land. The CPC Code specifically points out the
various assets which can be added to and sold in the enforcement of the decree. It further describes
the process in which more than one court adds the same property to the execution of the decrees. It
has also been shown that, with the smaller units prescribed for the execution of the decree,
executions are not with as much time and priority as is necessary and needed. It is only the
execution which shows and demonstrates the value of the decrees to be passed and the pedestal of
the Court and the sanctity of the text. As such, the decrees are expected to be applied in such a
manner that the holder of the order, possessing a record bearing a declaration of his rights, does not
feel abused or powerless having received no fruit of the lis decided by him by the Court even after
spending decades in its entirety.1
1
Ibid
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1. MODES OF EXECUTION
Section 51 of the CPC lays out the following various types of implementation of the decrees,
subject to such terms and restrictions as may be prescribed by the court.
(c) arrest and imprisonment in custody for a term not extending the duration stated in sec.58,
where arrest and imprisonment is allowed under that section;
(d) in some other form as may be necessary by the terms of the relief provided.
(e) by appointing a receiver.
(f) payment of money
(g) specific performance of contract
(h) injunction
Any order on reimbursement of the money or alternative means of other relief which be
executed either by the imprisonment of the detainee in the civil prison or by the attachment
and selling of his property or both.
(1) Where the decree refers to any individual movable or to any portion of a particular
movable, it may be executed by capture, if possible, of the movable or portion of the
movable or by surrender of the movable or part of the movable to the party to which it has
been judged, or to the person whom it appoints to obtain the distribution on its behalf, or by
imprisonment in the civil gaol of the judgement-debtor, or by attachment to its own goods.
(2) If an attachment pursuant to sub-rule (1) has been in effect for [three months] if the
judgement-debtor has not complied with the decree and the holder of the decree has applied
for the sale of the attached land, that land must be sold and, in situations where any
payment has been set by the decree to be charged as an alternative to the supply of movable
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goods, must be issued by the Court to the holder of the decree. That number, and. Among
such cases, such fee as it deems necessary and shall pay the balance (if any) on its appeal to
the judgement-debtor.
(3) The attachment of the property shall cease, the debtor has complied with the order
and has paid all the expenses of the execution of the same sum that he was bound to pay.
32. Decree for specific performance for restitution of conjugal rights, or for an
injunction
(1) The imprisonment of the person against whom the declaration is passed in the civil
prison or by attachment of his property or both shall be effected if he has voluntarily
refused to comply, even after having a fair opportunity to comply with the declaration for
the particular fulfilment of the contract, for the restoration of marital rights or for any
injunction whatsoever.
(2) In the case of a company as a party, the attachment of the property of the company or,
with the leave of the court, the imprisonment in the civil prison of the directors or other
principal officers of the corporation, or the attachment and imprisonment of both, may be
imposed for the reason of the enforcement of the order.
(3) Where an attachment pursuant to sub-rule (1) or sub-rule (2) has remained in effect
for [six months] if the judgement-debtor has not complied with the decree and the holder of
the decree has applied for the sale of the attached land, the pro shall be sold; and, out of the
proceeds, the Court may grant to the holder of the decree such compensation as it finds
necessary and pay the balance (if any) to the debtor on his appearance.
(4) If the debtor has complied with the declaration and has paid all the expenses of carrying
out the same duties which he is obliged to pay, or where, at the end of [six months] from
the date of attachment, no application has been made for the sale of the land, or if the
rejection has been made, the annexation shall cease.
(5) Where an order for the particular execution of a contract or for an injunction has not
been complied with, the Court may, in place to, or in addition to, any or either of the
procedures referred to above, instruct that the act necessary to be carried out may, in so far
as possible, be carried out by the holder of the decree or by any other person designated by
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the Court at the expense of the debtor and on the act in question, at the expense of the
debtor.
(1) Notwithstanding everything found in Rule 32, the Court could, either at the time of
the passage of a decree [against a husband] for the restoration of conjugal rights or at some
time afterwards, order that the decree be [executed in the manner provided for in that rule].
(2) In the order made pursuant to the above-mentioned provision, the court may further
order that, in the case that the decree is not complied with within the time limit which may
be set in that respect, the judgement-debtor shall make to the other party such periodic
payments as may be just and, if it finds fit, warrant that the judgement-debtor, to its
satisfaction, make such periodic payments to the holder of the decree.
(3) The Court may, from time to time, modify or amend any order made under sub-rule (2)
for the periodic payment of money, either by altering the time of payment or by raising or
decreasing the amount, or may temporarily postpone the same amount as the entire or any
part of the money so ordered to be paid, and re-examine the same, either in entire or in part,
as it may deem necessary.
(4) Any money required to be paid pursuant to this provision may be collected as if it had
been due pursuant to an order for payment of the money.
(1) Where a decree is for the execution of a document or for the approval of a negotiable
instrument and the judgement-debtor neglects or refuses to comply with the decree, the
holder of the decree may, in compliance with the provisions of the decree, prepare a
draught document or affirmation and deliver the same to the Court.
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(2) The Court shall, on that basis, send notice of the proposition to the judgement-debtor,
together with a note demanding that its objections (if any) be registered within the time
limit set by the Court in that name.
(3) Where the judgement-debtor objects to the request, the notice of opposition shall be
issued in writing within that time, and the Court shall make some order accepting or
amending the request as it finds necessary.
(4) The holder of the declaration shall send to the Court a copy of the bill with such
modifications (if any) as may have been ordered by the Court to the appropriate stamp-
paper if the statute needs a stamp for the time being in force; and the Judge or the officer
who may be named in that name shall execute the document so delivered.
(or as the case might be) for A. B., in an E.F. suit against A. B.,
It shall have the same effect as the implementation of the contract or the acceptance of the
negotiable instrument by the party to which it is intended or approved.
(6) (a) When, for the time being, the registration of a document is necessary by some
statute, the Court or any officer of the Court as may be allowed by the Court in that case
shall cause the document to be registered in compliance with that rule.
(b) Where the registration of the declaration is not necessary, however the holder of the
decree wishes it to be registered, the Court may make such an order as it considers
reasonable.
(c) Where the Court makes any order for registration of any document, it may make some
order as it finds necessary as to the costs of registration.
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(1) When a decision is made for the distribution of any immovable property, the
ownership of such immovable property shall be granted to the party to whom it has been
adjudicated, or to any person as is fraudulent, to receive the distribution on his behalf, and,
if necessary, to expel any person bound by the decision who refuses to dispose of the
property.
(2) If a. The declaration is for the mutual ownership of immovable property, the ownership
shall be granted by affixing a copy of the warrant to the property at any conspicuous place
and by announcing, at any suitable place, the content of the declaration, by drum or other
customary means.
(3). Where the possession of any building on the enclosure is to be handed over and the
person in possession, bound by the decree, does not have free access, the Court, by its
officers, may, after providing fair notice and facilities to a woman who does not appear in
public according to the customs of the land, withdraw, remove or open any lock or bolt or
open any door or act of any sort.
Where an application is made for the distribution of any immovable property in the hands
of a resident or other person entitled to occupy the property who is not required by an
application for that occupation to be deserted, the Court shall require that the distribution
be accomplished by affixing a copy of the warrant in a prominent position to the property
and by declaring it to the owner by drum or any usual means at any convenience.
Precept
Let us know about the precept until we go to the subject Attachments. Section 46 of the CPC
deals with Precept. The Court which has passed the decree shall issue a precept to any other
court which is competent to enforce the decree, to attach any property belonging to the
Debtor of the Judgment and to state the same in the precept. The object of Section 46 is to
allow the holder of the decree to receive an interim attachment to any property of the debtor
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in the jurisdiction of another court if it is apprehended and would otherwise have been
deprived of the fruits of the decree.
The connection of property is dealt with in compliance with Articles 60 to 64 of Order XXI,
Rules 41 to 57 of the Code of Civil Procedure. In order to allow the request for an affidavit
on the properties of the debtor 's verdict, Rule 41 of the Rules XXI is sufficiently amended.
Cases of unforeseen losses and cases of unforeseen mesne gains shall be controlled by this
rule. The fundamental aim behind this law is the prompt identification, for the benefit of the
execution, of the circumstances of the properties of the debtors in the judgement.
Attachment in case of decree for Rent or Mesne Profits or other matter, amount of
which to be subsequently be determined :-
Command XXI Rule 42 of the CPC Says attachment of property in the event of a command
for rent or benefit by Mesne. Where an investigation is directed by a decree as to the measne
income and rent or some other subject of a decree within the true sense of that law. After the
amount is determined in the investigation, the debtor's properties cannot be determined.
[Ghanshamdas – V. Shivarama Subramaniam.
Order XXI Rule 42 covers under its ambit, after the passing of the preliminary decree but
before the final decree the attachment is been sought.
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The process for adding movable land, rather than agricultural produce, to the debtor 's
authority is dealt with in compliance with Rule 43 of Order XXI, while Rule 44 applies to
agricultural produce. In compliance with Rule 43 of the Laws of Procedure, attachments can
also be made by capture of the movable debtors. If the product is made by another individual,
the rules referred to in Rule 46 shall be followed.
Time of attachment:
It can be interpreted from section 62 of CPC that the movable property can be attached only
after the sunrise but before the sunset and the exact timing of the sunset will be varying in
reference to the month of every year. However, the law does not require the attachment to be
made at or before 6:00 PM or 6:30 PM.
Rule 43-A: Three contingencies can be considered in compliance with Law 43-A. One, as
provided for in sub-rule (1), in the event that the attaching officer failed to act under the terms
of Rule 43 (where the property confiscated from the hands of the Judgment debtor was not
subject to rapid decay) was to be sold at once by the attaching officer. Two, if it is not sold,
through the decision of the debtor or the holder of the declaration or by any other party
involved in that land, the land can be left in the possession of the person concerned by the
attaching officer. Order 38 Rules 9 & 11-A, the third order specifies that it shall be read in
compliance with Rule 43-A of Order 21. Where the defense is provided or the claim is
dismissed in default, the attachment can be removed. But only because the suit has been
resurrected, it does not indicate that the connection has been renewed.
Law 47 of Order XXI deals with the attachment of shares of movables. Under this law, the
attachment of the share of the judgement-debtor with another is practicable only through the
2
AIR 1960 All 453
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issuing of a notice of order banning the judgement of the debtor and the attachment rendered
by the seizure is contrary to the terms of that clause.
Sections 60 & 64 and Rule 54 of Order XXI deal with the attachment of immovable property.
Command XXI Rule 54 sets out the protocol for the attachment of immovable property. Sub-
rule (1 ) provides that, in the event of immovable property attachment, an order prohibiting
the Debtor from transferring or charging the property in any way and any person from taking
advantage of such transfer or charge shall be made. Sub-rule (2) states that such an order of
attachment shall be declared at some location on or adjacent to the property attached by drum
or other customary means, and a double copy shall be affixed to it as part of the property and
consequently to it in the courtroom. It further states that where the property is land which
pays revenue to the Government, the said publication must be made by attaching a copy to
the Collector 's Office of the District in which the land is situated.
Order XXI Rule 51 states that if the property is a negotiable instrument not lodged in a court
of law or in the custody of a public official, the connection shall be effected by physical
capture and the instrument shall be placed before the Court and retained pursuant to further
directions from the Court of Justice.
Order XXI Rule 49 of the CPC deals with the attachment of relationship properties. The
general rule under sub-rule (1) of Rule 49 is that property belonging to a partnership can not
be added or sold in compliance with a decree rather than a decree passed against the company
or against the partners in the partnership as well. However, there are exceptions to the general
rule otherwise. Sub-rule (2) states that 'on application by the holder of an order against a
partner, the Court can render an order charging the interest of that partner in the partnership
property and benefits by payment of the sum due pursuant to that order and may, by the same
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or corresponding order, designate the receiver of the share of that partner in the benefits
(whether already declared or accrued) and of the beneficiary.
Decree against a company can be executed against (i) relationship property; (ii) any person
who has appeared separately on his own behalf and has been notified according to Order
XXX Rules 6 or 7; (iii) a person who has confessed to being a partner; and (iv) a person who
has been notified as a partner but has refused to appear.
GARNISHEE ORDERS
Order XXI Rules 46 to 46-I, 48, 48A and 52 of the CPC shall refer to the Garnishee
Commands. Order XXI Regulation 46 – Attachment of loans , bonds and other collateral not
in the hands of Judgment Debtor: this regulation concerns Garnishee Proceedings. These
shall apply when money from the Judgment-Debtor is in the possession of third parties. Order
arresting debt in the hands of the delinquent is known as the Garnishee Order. Attachment of
money The Decree-holder can continue against the garnishee only if the Judgment debtor has
the right to recover the money from the garnishee.
The receipt of the banker's bond will not, by itself, be a bar for the addition of Fixed Deposit
to the client in the execution proceedings. In such a case, the banker is a garrison, when the
attachment notice is issued, he must go before the Court to receive the necessary orders to
defend his interest.
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Attachment of salary or allowances of private employees
Order XXI Regulation 48-A of the CPC deals with the attachment of wages or allowances to
a private employee. In order to exercise powers under Rule 48A of Order XXI, it is
compulsory for the disbursing officer of the Debtor to be within the local limits of his
jurisdiction.
GARNISHEE PROCEEDINGS:
Order XXI Rule 46-A CPC deals with Garnishee note. The borrower and the debtor must
have a relationship between the judgement-debtor and the garrison in order to allow the Court
to issue an order under Order XXI Rule 46-A of the CPC. Order XXI Rule 46-B Says that if
the garrison could not pay the sum pursuant to the notice and does not appear to give cause in
reply to the notice, the Court may order the garrison to comply with the terms of that notice;
and that order may be executed as if that order were an injunction against the garrison.
Order XXI Rule 46-C specifies that it is available to the garrison to raise objections directly
after the command for attachment has been made or at least when making the deposit. Failure
to present an argument at the proper time bars the garrison to present the argument at the time
of the issue of the check to the holder of the decree.
Order XXI Rule 46-D specifies that if the debt belongs to a third party or if a third party has a
lien or charge on or other interest in that debt, the Court may order the third party to appear
and to state the existence and specifics of its claim, if any, to that debt and to show the same.
Order XXI Rule 46-E states that, after hearing the third party or persons referred to in 46-D
who may subsequently be required to appear, or if such third or other person or persons do
not appear when so required, the Court may make other orders or orders in respect of the lien,
fee or interest, as the case may be, of such third or other person or persons as the Court
considers fit and proper.
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Pursuant to Order XXI, Rule 46-F, the payment rendered by the garrison on notice pursuant
to Rule 46A or under any other order shall be eligible for discharge as against the Judgment
Debtor and any other person ordered to appear in favour of the amount charged or imposed,
even though the order in favour of which the application pursuant to Rule 46A has been
rendered or the order in respect of that application may be set aside or withdrawn in the
proceedings.
Exemption from attachment: The clause in Section 60 of the CPC allows for products which
are exempted from attachment. The exemptions are as follows.
Attachment of property in custody of Court or Public Officer: Order XXI Rule 52 deals
with the attachment by one Court or property in the custody of another Court or of a public
officer.
(a) The sum decreed with damages and all payments and fees arising from the
attachment to any property shall be charged to the Court; or (b) the fulfilment of the
declaration shall be either rendered by the Court or certified to the Court; or (c) the
declaration shall be set aside or revoked, the attachment shall be declared to be removed
and, in the case of immovable property, the removal shall be considered. If the debtor so
wishes, he shall make a declaration at his expense, and a copy of the declaration shall be
affixed in the manner prescribed by the last preceding law.
Order for payment of coin or currency notes to party entitled under decree:. Where
the present coin or currency notes are attached to the land, the Court may, at any time
during the continuity of the attachment, order that such coin or note or part thereof,
necessary to conform with the decree, be paid to the party entitled to receive the same coin
or note or part thereof.
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Determination of the annexation: (1) If any property has been annexed in the execution of
the decree and the Court, for whatever cause whatsoever, passes an order rejecting the
application for the execution of the decree, the Court shall decide if the annexation is to
proceed or to cease and shall also specify the time up to which the annexation is to proceed
or the date on which the annexation is to cease.
(2) If the Court fails to send those orders, the annexation shall be considered to have
ceased.
It is provided that, as the parties go to the executing court for the execution of a decree, the
executing court needs to perform a variety of duties, ranging from whatever the decree allows
the debtor to be seized and held for the attachment of his land, and so on. For this reason, the
selling of such land shall be effected only for the payment of costs as per the decree to the
holder of the decree. The rules relating to the same are explicitly dealt with in compliance
with Sections 65 to 73 and XXI, Rule 64 to 94 of the Code of Civil Procedure, with reference
to the general rule on the selling of land in respect to the sale of property in accordance with
Rule 64 to 73 of Order XXI of the Code.
It is provided that the executing court has the right to order the attachment and selling of the
property in such a manner that the amount so received must be divided among the applicants.
Any court administering a decree which order that any property which is attached to it and
which is liable to be sold, or any portion thereof which may seem appropriate to conform
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with the decree, be sold and that the proceeds of such selling, or a sufficient portion thereof,
be paid to the party entitled to receive the same in compliance with the decree. Except as
otherwise given, any sale made pursuant to a decree shall be made by an officer of the court
or by any other person as the court may appoint in that name and shall be made by public
auction in the manner specified by that court..3
In addition, the next move is one that needs to be taken cautiously. It is the proclamation by
the court of such a sale. It has been held that it is the responsibility of the court to ensure that
the provisions of Rule 66 are complied with The protocol laid down in Rule 66 requires that,
in the first instance, if any land is ordered to be sold by public auction in the course of the
execution of a decree, the court shall make a declaration of the intended sale in the language
of that court.
Second, such proclamation shall be drawn up after notice to the holder of the declaration and
the debtor 's decision, specifying the time and place of selling and specifying, as equally and
specifically as possible, in such a manner that the property to be sold or, if a part of the
property is appropriate to fulfil the declaration, the part of the revenue levied on the estate or
part of the estate where the property is liable .the amount for the recovery of which the sale is
ordered and every other thing which the court considers material for a purchaser to know in
order to judge of the nature and value of the property:
There are two provisions attached to the clause which state that, where notice of the date for
the settlement of the terms of the declaration has been given to the debtor 's judgement by
order under Rule 54, it is not necessary to give notice to the debtor 's judgement under that
rule unless otherwise directed by the court. Furthermore, it states that nothing in this
provision shall be read as forcing the court to make its own estimation of the valuation of the
property in the decree of sale, but the declaration shall provide an estimation, if any, provided
by either party or
Third, any request for an order for sale pursuant to that law shall be followed by a declaration
signed and validated in the manner prescribed for the signing and verifying of the pleadings
and containing, in so far as it is understood or can be ascertained by the person making the
verifying, the matters needed by sub-rule (2) to be stated in the declaration. Fourthly, for the
3
Order XXI Rule 65
17
purpose of deciding the matters to be set out in the proclamation, the court may nominate any
person whom it considers appropriate to render a summons and may examine him or her in
respect of any such matter and order him or her to produce some document in his or her
possession or power relating thereto. by all parties.
The mode of making such a sale is laid down in Rule 67, which provides that every
proclamation shall be made and published, as nearly as it may be, in the manner prescribed
by Rule 54, where the court so directs, and shall also be published in the Official Gazette or
in a local newspaper, on both, and the costs of such publication shall be considered to be the
cost of the sale. Where properties are divided in lots for sale separately, separate
proclamations for the lots are not required until proper notice The selling time is given under
Rule 68 which specifies that, if the property is not lost, written permission of assessing debtor
must be sold for 15 days in the case of immovable property and seven days in the event of
property being settled separately, the selling time shall be issued.
From now on, as a concluding remark, it can be said that the procedure for the sale of
property is both strict and exhaustive and that it can be molded in any circumstance. Not only
the procedural aspect of the declaration must be the property followed by the court, but also
the obligation which the court observes as to the default of the purchaser must also be
fulfilled. The holder of the decree shall be provided with a remedy for his aggrieved case and
the defaulter shall be called upon by the court to deal with his default. The most peculiar
feature of the auction of such property for the recovery of sums is that the holder of the
decree is not allowed to participate in the bidding or purchase of such property by decree
unless prior authorization is given by the executing court, whereas that provision is rather
strict for court officials, in which they are completely restricted from participating in the
bidding and purchase of the property. 4of the sale cannot, in the opinion of the court,
otherwise is given.
4
Order XXI Rule 73
18
19
CONCLUSION
The primary purpose of the attachment of property is to provide notice to the debtor 's
judgement not to alienate the property from another individual, nor to the general public not
to buy or otherwise associate with the property of the debtor 's judgement attached to the
execution process. At the same time, it protects the debtor by granting exemption from
attachment and sale to certain properties. The execution court shall have authority to attach
the property if it is within the territorial boundaries of the jurisdiction of the court. The
position of company of the debtor in the judgement is immaterial. The code further specifies
that, after attachment, the private alienation of property is invalid.
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BIBLIOGRAPHY
STATUTE
Code of Civil Procedure, 1908
BOOKS
Takwani, C.K; Civil Procedure with Limitation Act, 8th ed. EBC Publication, 2017.
Jain, M.P; The Code of Civil Procedure, 3rd ed. LexisNexis, 2011.
WEBSITES
http://ecourts.gov.in
http://cja.gov.in/data/Executions.pdf
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