Understanding Court Fees in India – A Beginner’s Guide

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Court-Fees Act, 1870 – Simplified Summary for Beginners

Purpose of the Act

The Court-Fees Act, 1870 was introduced to regulate the fees (charges) payable to courts for filing legal documents such as plaints, appeals, applications, probate, etc. The revenue collected is used to maintain the functioning of the judiciary.

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Key Features

1. Introduction of Uniform Court Fees

   • Before 1870, court fee rates were inconsistent and created confusion.

   • The Act introduced uniform rates and removed unnecessary distinctions.

2. Fee Computation

   • Fees are calculated either:

     • Ad valorem (based on the value of the subject matter), or

     • As fixed amounts for specific cases like petitions, criminal complaints, etc.

3. Valuation in Civil Suits

   • For money: Fee based on the amount claimed.

   • For land/house: Fee based on the market value or revenue records.

   • For maintenance/annuities: Ten times the annual amount claimed.

   • For injunctions, declarations, and accounts: Fee as per value stated by plaintiff.

4. Exemptions from Court Fees

   • Certain documents like complaints by military personnel, applications related to land revenue, and bail bonds are exempted from fees.

5. Refunds

   • Refunds allowed in limited cases (e.g., suit remanded, wrong valuation).

   • Some refunds discontinued to prevent loss to state revenue.

6. Appeals and Probates

   • Separate provisions for appeals and applications related to probates and wills.

   • Penalties apply if the value of the estate is understated.

7. Process Fees

   • Rules made by High Courts for serving summons and other processes.

   • Fixed charges introduced for simplification.

8. Use of Stamps

   • All court fees to be paid via stamps (adhesive or impressed).

   • Rules for supply, cancellation, and accounting of stamps are provided.

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Practical Use for Lawyers

• While filing any case, correct court fee must be affixed based on the value and nature of the claim.

• If the fee is short or wrong, the court can stay the case or dismiss the suit.

• Always refer to Schedules I and II of the Act to determine applicable fee.

• The valuation set by the plaintiff can be questioned by the defendant or the court.

• Probate cases require a full inventory and accurate value of the estate.

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Important for Beginners

• Understand how to compute fees for each type of suit.

• Keep updated on state amendments, as states may modify the rates and rules under the Act.

• Always double-check valuation and fee payment before submitting court documents.

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