Axis Bank v. Fariya
Case brief
What is this about?
The Debts Recovery Tribunal considered an application for withdrawal of an original application and refund of court fees after an out-of-court settlement. The court relied on a Supreme Court ruling holding that such refunds are not permissible for amicable settlements not referred to arbitration or mediation.
What did the court decide?
Refund of court fees declined. Original application OA 28712024 dismissed as withdrawn. IA no. 4596/2025 allowed.
What the court decided
Debts Recovery Tribunal-Il, Delhi
o[l787l2024
AXIS BANK Vs FARIYA KHAN
13.06.2025
Item no. 19
Present: Ms. Harshita Anand, counsel for applicant bank. None for defendants.
Matter is taken through Video Conferencing/ hybrid Mode.
- IA doc. no.459612O25 dated 08.05.2025 affidavit has been filed by the applicant bank for withdrawal of the present OA.
- The Ld. Counsel for the applicant bank submits that the Defendant/ Borrower approached the Applicant Bank for amicable settlement of the captioned matter. Accordingly, a settlement arrangement was entered between the aforesaid parties and the Defendant/ Borrower made the payment which was mutually agreed between the parties. Henceforth, I say that the loan account of the Defendant/ Borrower has accordingly been closed.
- The Ld. Counsel of the applicant bank has also requested for refund of the court fees. It is submitted that the matter has been settled and therefore, the court fees may be refunded as per provisions contained in the rules. In this regard the Honble Supreme Court has passed the order in SLp(c) No(s).723/2023 dated 28.01.2025 titld as Jage Ram Vs Ved Kaur & Orc. The Honble Supreme Court has considered the matter and has held that:
Issues for consideration
2 issues framed by the court
Whether court fees are refundable when a loan account is settled out of court without reference to arbitration or mediation.
Whether an out-of-court settlement entitles the applicant bank to refund of court fees under Supreme Court precedent.
Parties & counsel
- applicant
Axis Bank
Coram
Sushil Kumar Rastogi
Case details
As recorded by the court registry
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