Chapter III MORATORIUM ON EXECUTION OF DECREES AGAINST SMALL FARMERS

(1) No debt or part thereof including any interest thereon due from a small farmer as on the appointed day shall be recoverable from him for a period of one year commencing from the appointed day. (2) All proceedings in execution of any decree for money, or proceedings for making final, any preliminary decree for foreclosure or sale, or proceedings in execution of any final decree for sale, passed by a civil court on the basis of a liability incurred before the appointed day in which the judgment debtor or defendant, as the case may be, is, on the appointed day, a small farmer, shall be stayed against such judgment debtor or defendant, on an application made by him in this behalf for a period of one year from the appointed day. (3) All attachments of growing crops, agricultural produce, livestock and other movable property of a perishable nature made in execution of decrees for money the execution of which has been stayed under sub-section (1) and existing on the date on which the stay order is passed shall be withdrawn. (4) Every stay order passed by the court under this section shall relate back to the date of the application for stay filed by the judgment debtor or defendant, as the case may be, and the proceedings shall for all purposes of this Act be deemed to have been stayed with effect from such date.

1. (2) All proceedings in execution of any decree for money, or proceedings for making final, any preliminary decree for foreclosure or sale, or proceedings in execution of any final decree for sale, passed by a civil court on the basis of a liability incurred before the appointed day in which the judgment debtor or defendant, as the case may be, is, on the appointed day, a small farmer, shall be stayed against such judgment debtor or defendant, on an application made by him in this behalf for a period of one year from the appointed day.
2. (3) All attachments of growing crops, agricultural produce, livestock and other movable property of a perishable nature made in execution of decrees for money the execution of which has been stayed under sub-section (1) and existing on the date on which the stay order is passed shall be withdrawn.
3. (4) Every stay order passed by the court under this section shall relate back to the date of the application for stay filed by the judgment debtor or defendant, as the case may be, and the proceedings shall for all purposes of this Act be deemed to have been stayed with effect from such date.

(1) On the appointed day, every small farmer undergoing detention in a civil prison in execution of any decree for money passed by civil court in respect of his debt shall be released.

1. (2) No small farmer shall in any case be liable to arrest or detention in a civil prison in execution of any such decree as is referred to in sub-section
2. (1) for a period of one year from the appointed day.

(1) Where a decree for payment of the decretal amount by instalments contains a provision that in default of one or more instalments, the whole amount shall become due at once, then, notwithstanding anything in such provision, non-payment of any instalment falling due during the period in which the proceedings in execution remain stayed under this Act shall not be deemed to be a default for the purposes of such provision.

1. (2) If the judgment debtor pays the instalment so falling due within a period of twelve months after the expiry of period prescribed in sub-section
2. (1) then such instalment shall be deemed to have been paid on the due date. shall-

The State Government may by notification in the Official Gazette extend the period of one year referred to in sub-sections (1) and (2) of section 5 and sub-section (2) of section 6 by a further period not exceeding one year.

In computing the period of twelve years prescribed by the Limitation Act, 1963 (3 of 1963) the period during which proceedings are stayed under this Act shall be excluded.

1. (a) apply to a decree for money arising out of claims relating to trusts or for maintenance or for profits in favour of a cotenant, or co-owner, or for mesne profits or for damages for tort, or for contribution between co-tenants of agricultural lands ; or
2. (b) apply to a mortgage decree against property in the hands of a subsequent transferee who has taken the transfer in order to satisfy the mortgage subject to the mortgage on the basis of which such decree has been obtained; or
3. (c) apply to decisions, orders of any authority, made under the provisions of the Himachal Pradesh Co-operative Societies Act, 1968 (3 of 1969).

Every transfer of property made by a small farmer against whom proceedings in execution have been stayed under this Act shall be voidable at the option of the creditor whose claim against such small farmer is defeated or delayed.

1. (1) On the expiry of one year or such extended period as may be notified under section 8 from the appointed day, no claim arising out of any proceeding,; which are stayed under sub-section (1) of section 5 or out of any decree described in sub-section (1) of that section in respect of which no execution proceedings have been taken shall ever exceed the amount of the principal by more than one hundred fifty percent, of such amount.
2. (2) No interest shall accrue on any amount included in any claim referred to in sub-section (1) during the period this Chapter is in operation.