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SUPREME COURT OF FIJI
Appellate Jurisdiction
MANGAL SARDAR
ats
BAKEWA
Corrie, C.J.
January 26, 1937
Native Dealings Ordinance, 1904[1]-s.5 - debts exceeding £20 not actionable against natives unless arising from a registered contract - Original debt in excess of £20-promissory note for £20 in part payment - whether an action lies on the promissory note.
Appellant's claim for an amount not exceeding £20 due by the respondent, a native, under a promissory note was dismissed in a Court of Summary Jurisdiction on the ground that the sum secured by the note was part payment of a debt of £22 18s. 10d., arising otherwise than by contract duly registered under s. 3 of the Native Dealings Ordinance, 1904.
HELD –
A promissory note constitutes and creates a fresh debt and if for an amount not exceeding £20 an action lies on the note notwithstanding s. 5 of the Native Dealings Ordinance 1904.
[EDITORIAL NOTE -This decision was followed in Ammai ats Govind Pillay [1937] 3 FLR and Giwar Singh & or. ats Birbal [1943] 3 FLR-].
APPEAL by the plaintiff against judgment for the defendant in an action for moneys due under a promissory note. The facts appear from the judgment.
R. L. Munro for the appellant.
(No appearance of the respondent.)
CORRIE, C.J.-The appellant is suing upon a promissory note for £20 made in his favour by the respondent.
The appellant has stated in evidence that the note was given in part payment of a debt amounting to £22 18s. 10d.
Upon this evidence, the Commissioner has held that no action lies in view of the provisions of s. 5 of the Native Dealings Ordinance, 1904.[1]
Under that section:-
"No action shall lie against a native party at the suit of a non-native party for a debt exceeding twenty pounds unless the obligation to pay shall have been incurred in pursuance of a contract registered under the provisions of s. 3 hereof."
The promissory note, however, constitutes and creates a fresh debt due from the respondent to the appellant for an amount not exceeding £20; and hence, notwithstanding the provisions of the section, action will lie upon the note.
The appeal is allowed; the judgment of the Commissioner is set aside and the case remitted for completion. The costs of this appeal will be costs in the case.
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