Court Fees Act 1870 | Ad Valorem Court Fees Is Payable In Suit Filed For Declaring A Gift Deed As Null & Void: Allahabad HC

The Allahabad High Court ruled that ad valorem court fees are payable in suits seeking to declare a gift deed as null and void under Section 7(iv-A) of the Court Fees Act, 1870, applicable in Uttar Pradesh. The court clarified that this section applies to suits involving the cancellation or adjudging of an instrument securing money or property. The court rejected the argument that the fixed court fees under Article 17(iii) of Schedule II of the Act should apply, as this article pertains to declaratory decrees without consequential relief. The court emphasized that defendants have a statutory right to raise objections on valuation and court fee deficiencies under Sections 6(3) and 6(4) of the Act. The ruling came in response to a first appeal challenging a lower court’s order requiring ad valorem court fees for a suit declaring a fraudulently executed gift deed as null and void.