Kerala High Court Issues Notice In Plea Challenging Enhancement Of Court Fee For Family Court And Negotiable Instruments Act Cases

The Kerala High Court has admitted and issued notice in a Writ Petition filed challenging the recent enhancement of the Court Fee for cases before the Family Court and under the Negotiable Instruments Act in the state of Kerala. The State Government through Chapter II of the Kerala Finance Bill, 2024 amended the Kerala Court Fees and Suit Valuation Act, 1955 with effect from April 1, 2024 classifying the original petitions filed before the FamiIy Courts and Criminal Complaints made under Section 138 of the Negotiable Instruments Act under the ambit of Schedule I to impose ad valorem fees.

The Bench of Justice A. Muhamed Mustaque and Justice MA Abdul Hakhim admitted and issued notice in the Writ Petition filed by Advocate Jobin PS who is the Secretary of the Varkala Bar Association.

Advocate Sajith Kumar V. appeared for the Petitioner and Government Pleader appeared for the Respondents.

It is contended in the Writ Petition that the Family Courts are the sole repository and temple of hope to the millions of hapless married women facing abuse, torture and ill-treatment from their spouses in the name of dowry and property and that the main objective of the Family Courts Act is to provide relief and support to Women and children who have been abandoned by their husbands and fathers.

"It is humbly submitted that the prescription of ad valorem court fee in original petitions before family courts would deprive the women, who may be financially handicapped in the family disputes from protesting and enforcing their freedoms and rights guaranteed by the Constitution of India solely due to their financial limitations. This basic objective has been defeated by the amendment made in the Court Fees and Suits Valuation Act, 1959..", the petition says.

The Petitioner contends that in case of the failure of the drawer of a cheque to honour the instrument, the affected party can approach the competent court to enforce specific performance and the same is instituted in the form of a complaint before the competent criminal court and for institution of the same, a fixed court fee of Rs. 10 was valued. "The basic principle behind such a prescription was that the party approaching the court has already suffered a monetary loss and the imposition of ad valorem fees on such person to institute the proceedings would enhance the loss and deprive the person of his hard-earned money, illegally withheld by the drawer of the instrument. The failure to honour a negotiable instrument like a banker' cheque would disrupt the mutual trust between the parties, which forms the basis of any business transaction", the petition says.

"Taken in that perspective failure of a person to honour the cheque causes injury, not just to the affected party, but to the society in toto, leading to chaos and anarchy in business transactions, affecting the development of society. Therefore, the prescription of ad valorem fees in case or complaints filed under Section 138 of the Negotiable Instruments would impose further financial loss on the party aggrieved by such breach and is thus, highly illegal, arbitrary, and sans logic", the Petitioner adds. 

The Petitioner has contended that the imposition of ad valorem fees creates an exorbitant financial threshold obstructing access to justice thereby depriving litigants of their fundamental right to legal recourse. The Petitioner has sought a declaration that Articles 20 and 21 of the Kerala Court Fee and Suit Valuation Act, I959 incorporated through the recent amendment is unconstitutional.

The matter has been listed for further hearing in June, 2024.

Cause Title: Adv. Jobin PS v. State of Kerala & Ors. (WP(c) 15172/2024)