(1.) This is a decree-holder's appeal and the question involved is a Question of limitation and one of first impression.
(2.) In a suit for foreclosure of a mortgage, a preliminary decree was passed on 16-2-1935. Certain other minor events took place, which it is not necessary to follow. On 15 February, 1938 an application for the preparation of the final decree was made. It was followed by an application for amendment of the decree and, on April 2,1938 the decree was amended. It provided for the payment of the amount in three half, yearly instalments falling due in July, 1938 a January, and July, 1939. It was also provided that, in the event of default of three instalments the mortgagee would be entitled to apply for preparation of the final decree for foreclosure. There was a default. Before, however, an application for the final decree could be made, the U.P. Debt Redemption Act (Act XIII of 1940) came into force. This Act only allowed a self-liquidating mortgage within the meaning of Section 17. Such an application was made by the decree-holder on 20 July 1943.
(3.) The defence, in the main, was that the application was barred by limitation. This plea, in defence, was accepted by the trial Court and also by the lower appellate Court, though on different grounds.