Chapter III SUITS AND DECREES

Notwithstanding anything contained in any other law for the time being in force, every suit to which this Act applies, shall be instituted in a court within the local limits of the jurisdiction of which,- (a) the defendant or, if there are more than one, any of the defendants resides; or (b) in case the defendant or, if there are more than one, all the defendants, reside outside the limits of Himachal Pradesh,- (i) the holding or the land of the defendant or, if there are more than one, or any of the defendants is situate, or (ii) the defendant or, if there are more than one, any of the defendants carries on trade or profession.

1. (a) the defendant or, if there are more than one, any of the defendants resides; or
2. (b) in case the defendant or, if there are more than one, all the defendants, reside outside the limits of Himachal Pradesh,-
   • (i) the holding or the land of the defendant or, if there are more than one, or any of the defendants is situate, or
   • (ii) the defendant or, if there are more than one, any of the defendants carries on trade or profession.

Notwithstanding the terms of any contract regarding the date or dates on which a debt shall become due, a suit to which this Act applies for the redemption of a mortgage or for accounts may be instituted by a debtor at any time after the commencement of this Act.

(1) Notwithstanding the provisions of any decree or of any law for the time being in force, a person liable to pay the amount due under a decree to which this Act applies, may apply to civil court, which passed the decree or to which the execution of the decree has been transferred, for the amendment of the decree by reduction, according to the provisions of this Act, of the amount due under it, and on receipt of such application the court shall after notice to the opposite party, calculate the amount due from the applicant in accordance with the provisions of sections 8 and 9 and shall amend the decree accordingly. (2) A decree amended under the provisions of sub-section (1) shall be deemed to bear the date of the original decree. (3) In amending a decree under the provisions of this Act the court shall accept the findings of which the decree was passed except in so far as they are inconsistent with the provisions of sections 8 and 9.

1. (2) A decree amended under the provisions of sub-section (1) shall be deemed to bear the date of the original decree.
2. (3) In amending a decree under the provisions of this Act the court shall accept the findings of which the decree was passed except in so far as they are inconsistent with the provisions of sections 8 and 9.

(1) In a suit to which this Act applies or in an application made in a suit to which this Act applies or in amending a decree under the provisions of section 7, the court shall, notwithstanding anything to the contrary in any law, decree or contractor in any agreement purporting to close past transactions, determine the principal and take into account all sums paid by or on behalf of the debtor and in the case of a mortgage with possession, the net profits realised by the mortgagee or which with the exercise of ordinary deligence might have been realised by him and shall determine the amount, if any, due by the debtor in accordance with the provisions of sub-sections (2) and (3);

Provided that for the purpose of determining the principal, the court shall treat as principal any accumulated interest which has been converted in to principal at any statement, settlement of account or any contract in the course of transaction made before the first day of January, 1917 but shall treat as interest any accumulated interest which has been converted as aforesaid at any such statement, settlement, or contract made on or after that date. (2) The amount due by the debtor shall not exceed the amount that could have been due if the rate of interest had been, in the case of a secured loan 6 per cent per annum simple interest, and in the case of unsecured loan 12 per cent per annum simple interest. (3) The total amount due by the debtor as interest and principal shall not in any case, exceed- (a) in respect of a loan advanced before the commencement of this Act, twice the amount of the principal less any amount already received by the creditor in excess of the amount due under sub-section (2); (b) in respect of loan advanced after the commencement of this Act, twice the amount of principal less any amount already received by the creditor. (4) Nothing in this section shall entitle the debtor to a refund of any sum already paid by him.

(1) Notwithstanding anything contained in section 34 of the Code of Civil Procedure, 1908 (5 of 1908), the court shall not order further interest on the aggregate sum adjudged in a decree to which this Act applies or any decree amended under the provisions of this Act, at a rate exceeding three percent per annum simple interest:

Provided that where future interest has not been allowed in the original decree it shall not be allowed in the decree amended under the provisions of this Act. (2) If in a decree to be amended under the provisions of this Act, a higher rate of future interest has been allowed by the court passing the decree, such rate shall, with effect from the date of the decree, be reduced to a rate permitted by the provisions of sub-section (1) and the decree shall be amended accordingly. (3) When a decree in executed by the grant of mortgage under the second proviso to sub-section (1) of section 11 then, notwithstanding a different rate in the decree, the rate of interest shall, from the date when such mortgage is granted, be deemed to be three per cent per annum.