31/08/2026
A request to withdraw a suit with liberty to litigate afresh cannot succeed unless the facts disclosed constitute a legally recognisable ground under Order XXIII, Rule 2(b), C.P.C.
Withdrawal of Suit with Liberty to File Afresh: Requirement of a Legally Recognisable Ground
Legal Principle
Permission to withdraw a suit with liberty to institute a fresh suit under Order XXIII, Rule 2(b), C.P.C. arises only where the application discloses facts constituting a legally recognisable ground whose sufficiency can then be judicially examined.
Ratio Decidendi
Order XXIII, Rule 2(b), C.P.C.—Withdrawal of suit with permission to institute fresh proceedings—Application stating only that plaintiff did not presently wish to proceed and reserved the right to sue later—Such assertion did not constitute a “ground” in law—Question of sufficiency therefore did not arise—Withdrawal without permission to institute a fresh suit was valid—Civil Appeal No.782 of 2014, decided on 14.01.2021.¹
Issue
Whether an application seeking withdrawal of a suit against one defendant with permission to institute fresh proceedings under Order XXIII, Rule 2(b), C.P.C. was required to be allowed or rejected as an indivisible whole where the application disclosed no legally recognisable ground for granting such permission.
Law
The Court considered Order XXIII, Rules 1, 2(b) and 3, C.P.C., particularly the requirement that permission to institute a fresh suit under Rule 2(b) may be granted where “there are other sufficient grounds”. In the Province of Punjab and within the jurisdiction of Lahore High Court, Lahore, the relevant provision was specifically amended through Lahore High Court Notification No. 237/Legis/XI-Y-26 dated 15.08.2018 by inserting the words “after recording reasons” after the words “the Court is satisfied”, which amendment became effective from 01.11.2020. The Court relied upon Muhammad Yar (dec’d) and others v Muhammad Amin (dec’d) and others 2013 SCMR 464² and Karim Gul and another v Shahzad Gul and another 1970 SCMR 141³ while interpreting the statutory scheme.
Analysis
The Supreme Court held that the law stated in Muhammad Yar was correct but required clarification. Before examining whether a disclosed ground is sufficient under Rule 2(b), the facts stated in the application must first amount, in law, to a “ground”. The appellant had merely stated that it did not presently wish to proceed against respondent No. 2 and reserved the right to sue whenever necessity arose. This was no ground in law. Permitting a plaintiff to withdraw and re-enter litigation at will would defeat the consequences contemplated by Rule 3 and could permit repetition without limitation. Since the application disclosed no legally recognisable ground, the trial Court was not required to examine its sufficiency.
Conclusion
The Supreme Court held that the civil Judge had correctly permitted withdrawal of the suit against respondent No. 2 while refusing permission to institute fresh proceedings. As no legally recognisable ground was disclosed under Order XXIII, Rule 2(b), the appellant could not claim liberty to sue afresh. The order required no interference, the High Court had correctly dismissed the revision petition, and the appeal was accordingly dismissed without costs.
Practical Implications
A plaintiff seeking withdrawal with liberty to institute a fresh suit must disclose facts constituting a legally recognisable ground under Order XXIII, Rule 2(b), C.P.C. Mere unwillingness to continue litigation for the time being, coupled with a reservation of a future right to sue, is insufficient. Within Punjab, the applicable amendment further requires the Court to record reasons when exercising satisfaction under the relevant provision. The statutory discretion must therefore operate upon a legally cognisable ground and through a reasoned judicial determination rather than at the unrestricted discretion of the plaintiff.
Footnotes
¹ Civil Appeal No.782 of 2014, Khawaja Bashir Ahmed & Sons Pvt. Ltd. vs M/s Martrade Shipping & Transport etc., decided on 14.01.2021.
² Muhammad Yar (dec’d) and others v Muhammad Amin (dec’d) and others 2013 SCMR 464.
³ Karim Gul and another v Shahzad Gul and another 1970 SCMR 141.
About the Authors
Ikyan Shah and Aneeqa Qureshi both are Advocates High Court, professional legal practitioners, attorneys at law, and researchers with several years of experience. They regularly and actively appears before the High Court and civil courts. Their practice primarily covers civil law, family law, intellectual property law, and corporate law, with a strong focus on practical, rights-oriented legal solutions.
You may reach writers at +923026111222.
The videos of articles are available at [https://youtube.com/](https://youtube.com/)
Disclaimer
This article is intended solely for academic, informational, and legal awareness purposes. It does not constitute legal advice, nor does it create an advocate–client relationship. While every effort has been made to ensure accuracy, errors and omissions are expressly accepted. The author makes no representations or warranties regarding the completeness, correctness, or applicability of the contents to any specific factual situation.
The views expressed are personal and based on general principles of law as understood at the time of writing. Laws, statutory provisions, and judicial interpretations may vary and are subject to change. Readers are strongly advised to consult a qualified legal professional before acting upon any information contained herein.
The authors have no intention whatsoever to hurt, defame, offend, or harm any individual, group, institution, religion, community, or entity, whether real or artificial, living or deceased. Any resemblance to any person, character, incident, or situation is purely coincidental, incidental, and unintentional, and should not be construed otherwise.