Nepal Court Fees Act, 2017 (1960)

An Act made to provide for levying court fees

Preamble: Whereas, the Nepal law on the provision of court fees previously existing has applied only to the Kathmandu Valley is not adequate and it is expedient to apply it also to other areas of …………..Nepal1 , in order to maintain order for the public interest and maintain the convenience of the citizens of ……………Nepal2 ; Now, therefore, be it enacted and enforced by the Parliament in the Sixth year of reign of His Majesty King Mahendra Bir Bikram Shah Dev.

Chapter-1 Preliminary

1. Short title, extension and commencement:

(1) This Act may be called as the “Nepal Court Fees Act, 2017 (1960)”. (2) This Act shall extend throughout ………Nepal3 . (3) Sections 1 and 26, and Sub-section

(2) of Section 4 of this Act shall come into force immediately and the other Sections and Sub-sections shall come into force in such areas and on such dates as the Government of Nepal may appoint, by a Notification in the Nepal Gazette.4 2. Definitions: Unless the subject or the context otherwise requires, in this Act,

(a) ” Court fee” means such a fee as is chargeable and collected by a court along with a plaint, complaint or appeal and with a petition for review or revision as specified in this Act.

(b) ………..5

(c) …………6

(d) “Suit (Nalesh)” means a plaint (Phiradpatra).

(e) “Complaint” means a submission for the institution of a case originally, by a petition, instead of a plaint.

(f) “Court” means and includes the bench of an office or individual authorized to carry out the functions of a court.

(g) “Tax (Tiro)” means the land revenue or land tax.

Chapter-2 Amount in question and offence to be set out

3. Case not to be filed without payment of court fee: Except as otherwise mentioned in the other Sections of this Act, no court shall take a suit or complaint or memorandum of appeal or petition for review or revision, and proceed with the same without collecting the court fee as specified by this Act.

4. Matters to be set out in making plaint or complaint:

(1) In making a suit or complaint of a case chargeable with court fees pursuant to this Act, no suit or complaint shall lie if it does not clearly set out the cash value or amount in question of the movable or immovable property where the suit or complaints claims for the entitlement or disentitlement to such a movable or immovable property or clearly set down the matter of claim where the claim is only that any matter required to be done has not been done or any matter required not to be done has been done or about to be done by another person. Provided that:

(1) In relation to a case for the execution and provision of partition, a suit shall lie even if it does not set out the amount in question. After it is found that partition has to be executed, the amount in question/value shall be fixed upon taking an inventory of the partition share to be partitioned indicating its value and amount in accordance with the Nepal law and the court fees shall be collected accordingly.

(2) Where, while making a suit or complaint, only a claim that another person has not done any matter required to be done or has done or is going to do any matter required not to be done has been made in the beginning but it is required subsequently to settle (Taikat) also the matter involving the provision and recovery of a value and amount in question, such a case shall not be tried without payment of the chargeable court fees in relation to such a value and amount in question. (2)7 In setting out the value and amount in question pursuant to subsection (1), the value and amount in question shall be fixed as follows in the case of a land or other immovable property:

(a) The value/price, if any, determined by the Government of Nepal for the purpose of determining the registration fee or amount of tax. Provided that, where such a land or other immovable property has been purchased and sold and the price of the purchase and sale exceeds the value determined for the purpose of registration fee or amount of tax, the court fees shall be levied according to the value or price set while making such a purchase and sale.

(b) Where the value/price is not determined pursuant to Clause (a) nor is the price of sale and purchase is set out, the locally prevailing value.

Chapter-3 Determination of amount in question and rate of court fees

5. Determination of value, amount in question: While determining the value, amount in question in order to collect court fees, the value, amount in question shall be determined as follows, in the following matters including the matter of claim made by the plaintiff or for release from claim:-

(a) Where the claim is for entitlement to cash or for disentitlement to cash, according to the figure of cash as entitlement to which has to be established or de-established,

(b) Where the claim is for the recovery of gold, silver, ornaments (Jawaharat), utensils, livestock, grains, timber etc. movable property or the disentitlement of a claim thereon, according to the figure upon determining the value and amount in question of the property at the rate of the property in question prevailing at the local village or market,

Explanation: 8 If there arise any dispute as to the local village or market price of the gold, silver or ornaments, the value or price determined by any other bank or financial institution recognized by the Nepal Rastra Bank or the Government of Nepal shall prevail.

(c) In relation to goods of which selling price or value is not prevailing at the local village or market, according to the figure of value or amount in question determined by the plaintiff,

(d) Where a claim is made on entitlement to an immovable property or land or on disentitlement of right in such property, according to the figure of value or amount in question as determined by the suit or complaint maker pursuant to Sub-section (2) of Section 4,

(e) Where a claim is made on disentitlement of a secured farmer to the right of secured farmer, half the value, amount in question of the land as determined pursuant to Clause (d) shall be considered as its value or amount in question, and according to that figure,

(f) …………….9

(g) …………….10

(h) ……………11

(i) Where a claim is made for crops yields of a land cultivated on half crop-sharing basis or for disclaimer, according to the figure of income of the half crops of a previous year in which a divine act (Daibi) did not occur,

(k) In a case claiming that the half crops of the land suffering a divine act were not remitted, according to the figure, if any, specified that the same need not be paid,

(l) Where a claim is made for a house (building), cartilage and crop income, as well, or for disentitlement of right therein, according to the value of the house at the rate prevailing at the local village, market and the value as per that set forth in Clause (d) in the case of cartilage and according to the claimed amount of crop income,

(m) ……………….12

(n) ………………13

(o) ………………..14

(p) In a case requesting for the remission of any thing other than the crops of a land, according to the figure of amount in question requested for remission,

(q) In a case requesting for entitlement to the function of Guthi, Mahantyai, priest, store in-charge (Bhandare), Tahaluwa, server (Susare) etc. or for disentitlement of right claimed therein or for dismissal from the function, according to the figure of the residue or surplus receivable upon operation of the Guthi, and where claim is made for other, according to the value, amount in question of the land where the land is assigned and that of one year’s income receivable where the land is not assigned,

(r) In a case claiming that a land was disentitled in an unauthorized manner or that a land to which one is entitled was provided to another, according to the figure of tenant’s share in crops (Mohiboti) of one year,

(s) Where a claim is made that in making eviction (Pajani) of land, the land was given to another, which should have been given to him or her, according to the figure of such value of the claimed land as to be set pursuant to Clause (d),

(t) Where a claim is made that eviction of land was made by an unauthorized person (Betaluk), according to the figure of such value of the land as to be set pursuant to Clause (d),

(u) Where a claim is made for entitlement to a contract amount or for disentitlement of right therein, according to the figure of contract amount for the years as so claimed and where a claim is made against the loss of income, according to the figure of the loss of income as claimed,

(v) The price or valuation of a mortgaged (Bandhaki) land etc. the right or claim in which has not been given up shall be set as the amount in question, and according to that figure,

(w) In a case involving a suit by a debtor for insolvency (Damashahi) or specification of a repayment date (Bhakha), according to the figure of the amount in question indicated by the debtor,

(x) In a case claiming that one has not paid or received a salary, allowance, installment, food allowance, Jyuni, alimony (Manachawal) or that the same should be allowed not to be paid, where a land is claimed or claim is made that one be allowed not to pay the same, according to the figure of the value to be set pursuant to Clause (d) in the case of land, and according to the figure of the value claimed where other cash or in-kind has been claimed,

(y) In a case claiming that one has not paid or received a salary, allowance, installment, food allowance, Jyuni, alimony or that arrangement be made for the non-payment of the same, according to the figure thereof for one year, upon determining such figure,

(z) Where a claim is made for wages loss (damage) or compensation, according to the amount in question so claimed and in a case requesting for authorization for the non-payment of the same, according to the figure of the amount in question so requested for authorization for non-payment,

(aa) Where a claim is made for, Naso deposit or guarantee, according to the amount in question so claimed and in a case requesting for authorization for the non-payment of the same, according to the figure of the amount in question so requested for authorization for non-payment,

(bb) Where many matters including principal, profit, interest, land crops, yields, house, shop, rent thereof and movable and immovable property, cash, in-kind are claimed or a request is made for ordering non-payment of the same, according to the figure of the price, value to be set pursuant to Clause (d) in the case of land, and according to the figure of price and amount in question thereof in the case of other sum, profit, interest, rent, income, cash and in-kind,

(cc) Where a suit or complaint is made claiming principal and interest as well, court fees shall be charged according to the figure of interest to be accrued up to the date of such a suit or complaint, and if the interest is recoverable thereafter and up to the date of judgment, court fees chargeable on the interest from the date of making of the plaint or complaint to the date of final judgment shall be recovered when the amount in question is recovered,

(dd) In determining the amount in question of the goods the recovery whereof is requested for by making a suit or complaint as per the rate prevailing at the local village or market, then the value or amount in question thereof shall be set out in the complaint at the rate prevailing at the place of payment where a deed or contract is available to the effect that payment thereof shall be made at that place at the rate prevailing at the time of making suit, and failing such a contract, as per the rate prevailing at the village or market of the place where the price is fixed or of the place where it has to be to be received or taken and court fees collected accordingly; and if the price or value so set out seems doubtful, the suit or complaint hearing authority may ascertain the matter upon inquiring thereinto,

(ee) Where a claim is made for the establishment of right in a land or for the registration or transmission of a land or voiding the registration or transmission of a land, court fees shall be charged according to the figure of the value or amount in question of the land to be set pursuant to Clause (d), in the case of claim for the establishment of the right in the land, and court fee of One Hundred Rupees15 shall be charged in the case of the claim for the registration or transmission or voiding the registration, transmission.

6. Rate of court fee: In hearing a suit in a case charged with the court fee, there shall be charged the court fee as follows: (a) In a case involving a claim in, or request for disentitlement of claim in,……….16 in accordance with the following in each case according to the figure of value or amount in question:

(1) ……………17

(2) 18 Rs.100.00 (One Hundred Rupees) for the first Rs. 2,000.00 (Two Thousand Rupees),

(3) Up to Rs.25,000.00 (Twenty-five Thousand Rupees), at the rate of Four percent for the second up to Rs. 23,000.00 (Thirty Three Thousand Rupees),

(4) Up to Rs.100,000.00 (One Hundred Thousand Rupees), at the rate of Three percent for the third up to Rs. 75,000.00 (Seventy Five Thousand Rupees),

(5) Up to Rs.250,000.00 (Two Hundred Fifty Thousand Rupees), at the rate of Two percent for the fourth up to Rs. 150,000.00 (One Hundred Fifty Thousand Rupees),

(6) In the case of more than Rs.250,000.00 (Two Hundred Fifty Thousand Rupees), at the rate of One and half percent for the over and above figure.

(b) In the following cases where the amount in question is not set out, and despite that the amount in question is set out, the prevailing law provides for specific punishment but not according to the value or amount in question and where punishment is imposable at the discretion according to offence, the following court fees in relation to each case:

(1) Rs. 1,00.00 (One Hundred Rupees) 19 in relation to each case requesting for the establishment of the figure of partition share only, without involving the recovery of partition, or for settlement without establishing the right in partition or for ascertaining the portion of share only,

(2) Rs. 1,00.00 (One Hundred Rupees) 20 in relation to each case, also out of the following cases:

(1) Requesting for the voidance of bonds, deeds,

(2) Claiming that a deed executed in household and required to be registered has not been caused to be registered, and requesting for the execution of registration thereof,

(3) Claiming that a receipt was not given upon payment, and requesting for the execution of the receipt thereof,

(4) Claiming that a bond, deed of date of repayment (Bhakapatra), guarantee letter (Jamanipatra), bond, receipt etc, was not voided upon the completion of act of receiving and giving or that a receipt was not given,

(5) Requesting for the eviction of any person staying in a land, house or shop or for an order against the eviction,

(6) Claiming that counterpart (Dohori) documents duplicates required to have been made were not made and requesting for the execution of the same,

(7) Requesting that amount be recalculated, upon being dissatisfied with the amount calculated,

(8) Claiming that one has not been allowed to make a barrage, ditch or course or to carry water through the same or that another person has not been involved in making the same,

(9) Claiming that one has not been allowed to irrigate a land with the water carried through a barrage, ditch or course,

(10) Claiming that, in irrigating a land, one should have done so in according to roll order, but one whose turn is later has taken water and irrigated one’s land earlier, and then requesting for an order requiring irrigation of land according to roll order or that water be provided,

(11) Claiming that one has closed or not allowed to open an exit, door, veranda, passage, window, and then requesting that the same be ordered to be opened or closed,

(12) Claiming that one has not allowed to install an window, door, veranda, exit and add a storey, and then requesting that the complaint be allowed to install the same or that the exit be closed,

(13) Claiming that registration, transmission be effected or the effected registration, transmission be voided, without a claim for the establishment of the right in a land, and

(14) Requesting for the issuance of an injunction ordering someone to refrain from doing a specific act. (3) 21 Notwithstanding anything contained in Clause (2), where the right in any movable or immovable property has to be established or de-established by the plea of the defendant or opponent, the court fee as referred to in Clause (a) shall be charged.

(c) Where, on a suit or complaint of partition case requesting for the execution of partition by taking an inventory of properties (Tayadati) because of the amount in question not being set out, after it is held that one is entitled to partition and the amount in question is set out upon taking the inventory of properties, the court fee shall be charged according to the amount in question. Deduction shall be made from the court fees paid in making a suit as referred to in Subclause (1) of Clause (b), and the shortfall shall be recovered subsequently, and surplus amount, if any, shall be refunded.

(d) Even in relation to a case tried summarily (Thado Karbahi) by a complaint, it shall be filed only upon collecting the court fee as if a suit were filed. No such complaint shall be tried if the court fee is not paid.

(e) The whole court fee shall be charged even in relation to a suit or complaint made by or against a woman or minor.

7. Provisions on levying court fee in some cases: (1) Where it appears that, if the claim made by the plaintiff on the same suit is sustained, one or more than one defendant are liable to punishment according to the value or amount in question and one or more than one defendant are liable to punishment according to the offence or to both punishments, the court fee shall be levied according to the figure of the value, amount in question in the case of punishment to be imposed according to the value, amount in question, according to the punishment of offence in the case of punishment to be imposed according to the offence, and according to that of both in the case of both punishments to be imposed.

(2) Where a suit or complaint is made for the provision of partition and the amount in question of some is set out and that of some is not set out, the whole court fee shall be levied to the extent of the amount in question so set out, and the court fee of One Hundred Rupees shall be levied in relation to that portion of which amount in question is not set out, and the remaining shall be recovered subsequently as mentioned in Clause (c) of Section 6.

(3) If, in collecting the court fee, some denomination less than Paisa has also to be collected according to the calculation of the court fee, such denomination shall not be collected.

8. Fee for statement of defense (Pratiuttar Patra): In making a statement of defense on a case chargeable with the court fee, the fee for the statement of defense leviable pursuant to the prevailing law cannot be waived, and on a case in which a statement of defense is not required to be made and which is inquired summarily (Thado Karbhi), the fee for the statement of defendant is not chargeable on the defendant.

Chapter-4 Exemption and non-exemption of punishment

9. Punishment not required to be imposed: In a case chargeable with the court fee pursuant to this Act, no punishment imposable by the other prevailing law, other than the punishment that cannot be exempted by virtue of Section 10, shall be imposed. If the plaintiff wins the case, the plaintiff shall be entitled to the recovery of such court fee, as well as the amount in question, paid or held to be payable by the plaintiff as held recoverable by the plaintiff from the losing defendant. If the plaintiff loses the case, the plaintiff shall not be entitled to have the recovery of the court fee paid by him or her from the defendant; and where the case has been filed without collection of the court fee or without collection of the whole court fee, then judgment has to be made that the court fee that remains recoverable upon deducting the paid court fee be recoverable from the party who is liable to pay the same pursuant to this Act and recovery thereof shall be made in accordance with this Act.

10. Punishment cannot be exempted despite payment of court fee: (1) In spite of the court fee being chargeable, no punishment imposable for omission to do any act required to be done under, or for doing any act prohibited by, or default on giving any thing required to be given by, the prevailing Nepal law, including the matters set forth below shall be exempted:

(a) Punishment as referred to in law imposable on a person who makes a suit or complaint that can be made pursuant to the prevailing law, but upon producing a document that does not meet the requirements prescribed by the prevailing law.

(b) Punishment imposable on a person who fails to give a counterpart (Dohori) document or slip as required to be given or otherwise makes difference in witness and contents in a counterpart document.

(2) If the prevailing Nepal law provides for punishment to the publicly inquired persons who have been subpoenaed for evidence on a case chargeable with the court fee for having made false deposition (perjury), or being failure to appear within the time-limit, such punishment cannot be exempted.

(3) Any punishment imposable by the prevailing law on a person who, consequent to a judgment on a case chargeable with the court fee, does not do any act required to be done pursuant to the prevailing law, or causes obstruction in the recovery of the amount in question, in the foreclosure and does any forceful act in that course and conceals property cannot be exempted.

11. When case is dismissed, canceled or compromised:

(1) No fee for compromise (Baksauni) shall be charged on a case filed upon paying, or on the condition of the payment of, the whole court fee, and if that case is dismissed, canceled (Kharej), no punishment shall be imposed for the same.

(2) Where a case chargeable with the court fee has been filed without collecting the court fee is to be compromised in accordance with the prevailing law, compromise can be executed only upon collecting the remaining shortfall court fee, upon deducting the court fee paid from the court fee chargeable on the matters to be compromised payment, from the plaintiff or appellant. Where a case is dismissed or canceled (Kharej), the remaining shortfall court fee, upon deducting the court fee paid from the court fee chargeable pursuant to this Act, shall be recovered from the plaintiff or appellant in accordance with this Act.

(3) Despite that a case is dismissed or canceled after the filing of the case upon charging the court fee or subject to the payment of the court fee, no court fee already collected or about to be collected can be refunded or waived in any case. However, where such a case is compromised, only half the total figure of the court fee chargeable by this Act shall be collected, and surplus court fee collected, if any, shall be refunded and the remaining, if any, unchargeable shall be remitted. Provided that, in the event of cancellation of a case, if the case could not be instituted by the very writing of the suit or complaint but it appears that the case was filed by collecting the court fee by mistake of the court, the court fee remaining upon deducting the suit fee (Nales Dastur) chargeable pursuant to the prevailing law22 shall be refunded.

(4) Where a case which has already been dismissed, canceled or compromised in accordance with the procedures prescribed by law is revived in any manner and retried by a complaint of the litigant, the litigant on the complaint of whom the case is so retried shall pay again the court fee chargeable by this Act at the original or appellate level at which the case is being tried.

12. Security chargeable for giving attorney not to be collected: If, on a case chargeable with the court fee, in which attorney may be appointed, any attorney is appointed by the plaintiff or defendant or both, no security chargeable by the prevailing Nepal law for appointing the attorney shall be collected.

13. 23 Ten percent fee, Five percent fee and Jitauri: (1) Where Ten percent (Dashaud) fee is chargeable by the prevailing Nepal law in executing the recovery of the amount in question or foreclosure, no Ten percent fee shall be collected on a case charged with the court fee. 24Provided that, in the case of a party in relation to whom the case trying officer or judge has executed a memorandum pursuant to Section 23 to the effect that the party is not able to pay the court fee, no fee as referred to in this Sub-section shall be collected from that party in executing the recovery of the amount in question valued up to Rs. 5,000.00 (Five Thousand Rupees) or in foreclosing any property valued up to Rs. 5,000.00 (Five Thousand Rupees).

(2) No Jitauri and royalty (Salami) chargeable by the prevailing Nepal law shall be collected on a case charged with the court fee. (3) No Ten percent fee chargeable by the prevailing Nepal law shall be collected while executing the recovery of the amount in question or foreclosing any property on a case charged with the court fee.

14. Provisions relating to where suit or complaint or memorandum of appeal mentions lesser court fee and where more court fee is collected:

(1) A case chargeable with the court fee shall be filed by collecting the chargeable court fee by determining the value, amount in question according to what is mentioned in the suit or memorandum of appeal tendered for filing or in a complaint or statement on a case tried summarily or directly.

(2) Where a party, with intent to pay less court fee, does not show the correct value, amount in question but shows more value, amount in question, and a complaint is filed on that matter and upon an inquiry into the matter, it is so held, the shortfall court fee shall be collected subsequently in accordance with Sub-section (10), and the party shall also be punished in accordance with this Act.

(3) Where it appears that the party tenders lesser court fee than that chargeable according to the writing of a suit, complaint or memorandum of appeal filed on a case chargeable with the court fee, the case can be filed only upon payment of the shortfall court fee. If the party, being unable to pay the court fee, makes a submission for a time-limit for payment of the same and the period of limitation for making suit, complaint or appeal is less than Fifteen days, the court may extend the time for up to Fifteen days running from that remaining period. In the event of failure to pay the court fee within that time-limit, no suit or memorandum of appeal or complaint shall lie.

(4) If the court knows in any manner or it is held, after the filing of case, that the court fee that is lesser than that to be collected according to the writing of a suit, complaint or memorandum of appeal has been collected or paid, the court shall give an order slip to the concerned party to pay the short fall amount of court fee within a time-limit not exceeding Fifteen days. In the event of failure to pay the court fee, the court shall void the suit or complaint or memorandum of appeal.

(5)25 If it appears that more court fee than that required has been collected from any litigant, the excess court fee shall be refunded to the litigant in accordance with this Act. In having the recovery of the court fee by a litigant who has filed a suit on payment of the court fee and won the case from the losing litigant, that winning litigant is entitled to the recovery of only the court fee that is chargeable on the case. In refunding the court fee upon finding that more court fee has been paid, a memorandum shall be executed indicating that such-and-such amount has been paid instead of such-and-such as chargeable and such-and-such excess is to be refunded, and recorded in the case-file.

(6) Where, after the collection of the court fee by determining the value, amount in question according to the writing set down by the plaintiff or appellant, a complaint is made that lesser court fee has been charged or though a complaint is not made, more value, amount in question appears from the evidence recorded on the case-file, and it appears that lesser value, amount in question is shown in order to charge lesser court fee, adjudicating authority or judge shall personally or through other employee subordinate to him or her determine or cause to be determined again the court fee of such lesser value, amount in question, 26 and take action, pursuant to Sub-section (10), against one who has shown such lesser value, amount in question for having shown the value, amount in question of lesser court fee, and the case cannot be instituted and shall be canceled in the event of failure to pay the shortfall court fee within the time-limit specified pursuant to Sub-section (3).

(7) Where, on a suit or complaint made indicating the value, amount in question, for making partition, the court fee has been charged according to the value, amount in question as so indicated and shown but when having execution of the recovery of partition share, the party is entitled to more partition share than that so indicated and shown, the remaining court fee shall be recovered at the time of executing the recovery of partition share, after the judgment on the case.

(8) In examining the case-file by the official empowered to do so or also by the appeal hearing official on a case appealed, such official shall examine whether the required court fee has been collected or not, and if it appears that lesser court fee has been collected, such official shall order to collect the shortfall court fee from the plaintiff or appellant in accordance with Sub-section (3). In the event of failure to pay the court fee within the specified time-limit, such case shall be canceled (rejected). The concerned employee of the court shall be liable to action as referred to in this Subsection (14).

(9) If a party who is not satisfied with the court fee as determined by the court makes a complaint with the appeal hearing authority within Three days excluding the time required for journey where the party has not yet paid the court fee as determined and prior to the passing of judgment on the case on which the court fee has been paid where the court fee so determined has already been paid, the appeal hearing court shall inquire into the matter and ascertain the matter within the time-limit of Seven days specified for payment of the same, whichever is earlier, and punish the concerned employee of the court who has collected or determined the court fee in accordance with Sub-section (14) if it is held that more court fee has been collected or determined and punish the complainant with a fine at the rate of Fifteen percent of the figure as alleged to have been collected or determined in excess if it is held that the court fee has been collected or determined correctly and that the complaint is false. Where a suit, complaint or appeal is tendered for filing, accompanied by the court fee as held chargeable, within Three days, excluding the time required for journey, after the date of settlement of a complaint made that excess court fee has been determined, the limitation cannot expire where the suit, complaint or appeal was earlier tendered for filing with the competent court within the limitation as referred to in the prevailing law, and the official of the court shall set down that matter as well as all other required matters on the heading of the suit or complaint and sign it and file the case, and record it on case-file, accompanied by an evidence of the settlement of complaint.

(10) One who files a case showing lesser value, amount in question in order to pay lesser the court fee shall be liable to the following consequences:

(a) If, upon inquiring into the matter by a complaint of the opponent, a party is held to have shown and set down lesser value, amount in question, the party who has so shown and set down lesser value, amount in question shall, despite that the party wins the case on the judgment of the case, not be entitled to have recovery of that court fee so paid subsequently from the person who has provided that such lesser court fee has been shown and set down and lost the case.

(b) If, upon inquiring into the matter by a complaint of any person other than the opponent or also upon examining even without a complaint, a party is held to have shown and set down lesser value, amount in question in order to pay lesser court fee, the party who has so shown and set down lesser value, amount in question shall be liable to a fine of One Tenth (1/10th) of the court fee so lessened and to a fine of One Twentieth (1/20th) in the case as referred to in Clause (a).

(c) If it appears that the court itself knowingly or having reason to know has collected the court fee that is lesser than that chargeable, the plaint or appellant shall not be liable to the fine.

(11) In giving a notice process as mentioned in this Section for the payment of the short fall court fee where lesser court fee has been collected, it shall be written in the heading or margin of the notice process so given that the notice process corresponding there has been received on such-andsuch date, which shall be signed by the recipient plaintiff or appellant or his or her attorney, and where such plaintiff or appellant are not on recognizance, the notice process shall be served in accordance with the procedures to be followed while serving a process or summons, and one copy of the served notice process shall be recorded on the case file.

(12) Where the shortfall court fee so appearing has been collected or excess court fee refunded after the filing of a case upon paying the court

fee, the same matter shall be indicated in the receipt issued against collection of the court fee earlier. (13) Where a complaint is made claiming that lesser value, amount in question has been shown and set down in order to pay lesser court fee, and upon inquiring into the matter, it is not held that the value, amount in question has been so lessened, the false complainant shall be liable to a fine of Five percent of the court fee alleged to have been lessened. (14) Legal action shall be taken against the employee of the court who knowingly collects more or less court fee than that chargeable, and where the case in relation to which less court fee has been so collected has already bee adjudged finally or the time-limit for making appeal has already expired, the amount of court fee omitted shall be recovered from such person who has so omitted to collect.

Explanation: The term “knowingly” mentioned in this Sub-section means non-collection or excess collection of the court fee of the amount in question as shown from the writing of a suit or complaint or memorandum of appeal or from the evidence, in accordance with this Act.

Chapter-6 Recovery of court fee

15. Execution of recovery of court fee:

(1) If the plaintiff or appellant wins a case filed upon payment of the chargeable court fee, he or she shall be entitled to the recovery of the court fee paid by him or her from the losing party.

(2) In executing the recovery of the court fee to the plaintiff on a case containing Two or more defendants, the court fee shall be recovered, in relation to the recovery of the amount in question, according to the respective figure of amount in question to be recoverable from each of the defendants, and in relation to the disentitlement or relinquishment of right or claim, according to the amount of respective disentitlement or relinquishment from each of the defendants, and in relating to the other matters or amounts, the court fee shall be recovered on pro rata from the losing parties.

(3)27 Where a case chargeable with the court fee has been filed without payment of the court fee, the court fee as held to be chargeable on the plaintiff or appellant winning the case shall be recovered from the opposite party as a fine, penalty.

(4) Where the plaintiff or appellant makes claims on several matters and wins on some and loses on others, he or she shall not be entitled to recover the court fee on the matters lost from his or her opponent.

(5) Where the plaintiff or appellant loses a case filed without payment of the court fee or on payment of partial court fee, the chargeable court fee shall be recovered from the losing plaintiff or appellant.

(6) If the plaintiff loses a partition case filed on payment of the court fee of One Hundred Rupees28 or on payment of partial court fee, the remaining chargeable court fee shall be recovered from the plaintiff, upon deducting the collected court fee from the court fee chargeable according to the amount in question.

(7) Despite that the defendant or opponent dies prior to the recovery of the court fee recoverable to the plaintiff or appellant, the plaintiff or appellant shall be entitle to recover the same from the inheritor of such a defendant or opponent.

(8) If, on a case requesting for insolvency or giving a date for repayment, the defendant creditor agrees thereto and insolvency or a date for repayment is made or given, the plaintiff debtor shall, despite winning the case, not be entitled to have the recovery of the court fee from the defendant. If the defendant creditor pleas that insolvency or a date for repayment should not be made or given and the plaintiff wins the case, the court fee shall be caused to be recovered from the losing defendant to the plaintiff.

(9) If the plaintiff or appellant wins a partition case on which amount in question is not set out or any other case filed upon payment of partial court fee or without payment of the court fee at all and the winning plaintiff makes an application within the time-limit specified by the prevailing law, requesting for the recovery of amount in question to which he or she is entitled, the remaining court fee upon deducting the court fee already collected on filing the suit or complaint or memorandum of appeal from the property of the defendant attached for the amount in question recoverable by the plaintiff shall be recovered or realized, and the surplus amount shall be recovered to the plaintiff in consideration for the amount in question, upon collecting the fee chargeable for the court fee. Where an application is not made within the time-limit as referred to in the prevailing law for the recovery or after the application has been made for recovery the plaintiff gives up in the meantime, within Fifteen days after the expiration of the time-limit for making application or after the expiration of the time-limit for the extension of the expired appointed date for appearance after the making of application, the property of the defendant shall be attached in the sum of the court fee due and recoverable on the case, in addition to the figure of the amount in question held recoverable by the plaintiff from the defendant, and the court fee shall be recovered accordingly. The remaining court fee not recovered from the attachment of the property of the defendant shall be recovered from the attachment of the property of the plaintiff.

(10) If such court fee or fee as held recoverable by the winner from the loser or as recovered from the plaintiff himself or herself pursuant to Sub-section  (9) cannot be recovered in full from the attachment of the property of the loser, and the winner makes an application, 29 showing any property, within Two years, for the recovery of the remaining court fee or fee, and it is held that the loser has such property, the recovery of the same shall be executed as if it were the recovery of the court fee or fee originally.

(11) In requesting for the recovery of such fee, court fee, amount in question as held to be recoverable30from the loser, one application may be made for the recovery of the court fee as held to be recoverable or the fee, charge paid on the case, after the expiration of the time-limit for making appeal or after the settlement of appeal thereby ruling out the possibility of appeal complaint. Provided that such an application has to be made no later than Two years31 after the date of final judgment.

12) If the defendant who makes an appeal upon furnishing the security of the court fee held to be recoverable by the plaintiff loses and the original verdict is upheld, even though the plaintiff does not make an application for the recovery at the same time of the court fee which has been furnished as security by the defendant in making appeal as well as the amount in question and fee pursuant to Sub-section (11) but for the recovery of only the money furnished as security for the court fee in making such an appeal, the recovery shall be executed in accordance with the procedures as referred to in the prevailing Nepal law.

(13) In executing the recovery of such amount in question or court fee and other fee or charge levied on the case as held to be recoverable, the recovery of the amount in question shall be executed only after executing the recovery of the court fee and fee or charge.

(14) If, prior to making an application by the winner, the judgment debtor appears to pay all moneys required to be paid by him or her within the time-limit for making an application for recovery, the court shall receive the same and give a receipt thereof, and credit the same to the deposit revenue, and post a time-limit notice/process within Three days, indicating that the judgment holder is thereby required to appear within the time-limit as referred to in the prevailing law and that recovery of the same cannot be executed and it shall be as per the prevailing law, after the expiry of the time-limit, and the recovery shall be executed and receipt given if the judgment holder appears to receive the same within the time-limited; and if the judgment holder, despite getting such notice, does not appear within the time-limit, the money remaining upon deducting any money, if any, chargeable under this Act, from the same shall be dealt with in accordance with the prevailing Nepal law.

16. Recovery of expenses from losing party to winning party: (1) 32 If the plaintiff or appellate making a suit or complaint or appeal wins the case, he or she shall be entitled to have recovery from the defendant or opponent the summons, process and duplicate fees paid by him or her and such legal practitioner’s fee, reasonable expenses incurred for experts, witnesses and attorneys as may be recoverable pursuant to the prevailing laws and such other expenses as well, as appear reasonable from the case-file, and if the plaintiff or appellate loses and the defendant or opponent wins the case, the defendant or opponent shall be entitled to the recovery of the above-mentioned fee, charge or expenses required to be paid by him or her from the losing plaintiff or appellant.

(2) If the case is canceled (rejected) or dismissed by virtue of the suit, complaint being incapable of being tried since only the plaintiff gives up the recognizance while the defendant is in attendance on the appointed dates, the defendant shall be entitled to have the recovery of the fee chargeable on him or her from the plaintiff.

17. Refund of court fee:

(1) If the party entitled to the refund of such court fee as held to be refundable appears to have refund of the same within Two years after that date on which such refund is so held, and it is required to wait until the time-limit for appeal, the refunding court shall, subject to the budget provision, refund or cause to be refunded the moneys from the income reserve of the court, after the expiration of the time-limit for making appeal. If the income reserve does not allow for making such a refund, the sanction of the remaining amount shall be obtained and refund made accordingly.

(2) After the refund required to be made has been pursuant to Subsection (1), the matter that such-and-such more court fee or such-and suchcourt fee held to be refundable has been refunded on such-and-such date shall be set down in the receipt issued against payment of the court fee earlier, and the receipt shall be signed by the refund maker.

Chapter-7 Provisions relating to court fee on making appeal

18. Court fee chargeable on making appeal:

(1) On making an appeal the following provisions shall apply to the following matters, and the fee for memorandum of appeal shall not be charged:

(a) In making an appeal on a case in which the amount in question is set out, the court fee shall be charged on appeals of all levels at the rate of 15 (Fifteen) percent of such court fee as is chargeable, while making a suit or complaint originally, on those matters on which appeal is made upon being dissatisfied therewith.

(b) If, in a partition case filed upon payment of the court fee of 33One Hundred Rupees only, the plaintiff loses the case upon being held to be entitled to the claimed partition and makes appeal and the amount in question is not set out, the court fee equivalent to that chargeable originally shall be charged on appeal of any level.

(2) Only after the payment of such court fee as held to be payable to the plaintiff and the specified penalty, fine by the appellant defendant who has, on the first appeal, lost the case and made appeal and after payment of such court fee as held to be payable and the specified penalty, fine by the plaintiff who has lost the case filed without payment of the court fee and made appeal or only after furnishing a wealth guarantee in consideration for the same, and an appeal has to be made subsequently, such appeal may lie only after making payment of what is required as per the judgment of first appeal or furnishing a wealth guarantee for the same.

(3) If an appeal, complaint is made upon paying the court fee or subject to the payment of the court fee and the appellant litigant loses the case upon the verdict of the lower court being upheld, the litigant shall not liable to other punishment for making such an appeal.

(4) If the appellant litigant wins the case in whole or in part, the litigant shall be entitled to the recovery of such court fee as held chargeable on the matter won by and paid by him or her from the losing opponent. Such court fee, penalty and fine as paid or furnished as security on making appeal and held refundable shall also be refunded in accordance with the procedures as referred to in the prevailing Nepal law.

Chapter-8 Miscellaneous

19. Court fee chargeable on review or revision:

(1) In making a petition to the court competent to do so by the prevailing law for the review (reexamining) or revision (revisiting the verdict) of a case, no action shall be taken on the petition for review or revision unless and until such court fee or charge or penalty as chargeable by the judgment for the review or revision of which the petition is made is paid or any other provision made by law in relation thereto is made.

(2) If an order is made for review or revision, the court fee shall be paid at the rate of 10 (Ten) percent of the court fee chargeable on making a suit in the original court or after judgment.

(3) If, in making review or revision, the petitioner if wins the case partly or wholly, it shall be equivalent to the case appealed pursuant to Subsection (4) of Section 18. 20.34 Collection of court fee in cash: (1) In collecting and giving the court fee on a case chargeable with the court fee, it shall be collected and given in cash.

(2) After collecting the court fee pursuant to Sub-section (1), the court shall credit the same to its cash book, duly prepare a receipt thereof in duplicate, give one copy receipt to the litigant paying the court fee and retain the other copy of receipt in the concerned case-file.

(3) After examining a suit or complaint or appeal chargeable with the court fee and upon finding it to be capable of being file, the concerned official shall get it to be signed and mention on the top of the deed that such-and-such court fee has been collected and clearly mention that so much has been collected out of so much as required where court fee has not been collected at all or full court fee has not been collected originally, and duly sign the same.

(4) The Registrar of the Supreme Court or other officer designated by him35 or her and the chief officer of any other court shall on daily basis examine, or cause to be examined, whether such court fee as leviable on a case chargeable with the court fee has been collected properly or not and where the income of collected court fee has been maintained or recorded or not, and indicate the proof of examination. No case may be entered on the diary unless and until examination is made whether the court fee is credited to the revenue book and proof thereof is indicated.

(5) It shall be the duty of the Supreme Court to examine, or cause to be examined, each year the matters including whether the sub-ordinate courts have collected such court fee as required to be collected and income of collected court fee has been credited to income or not.

(6) Where a case has been filed without collecting the court fee leviable pursuant to this Act or the security fee and judgment on it has also been made and the court fee could not be recovered from the litigant, then

legal action shall be taken against the employee who have collected less or more court fee for that loss in relation to the court fee not recovered.

(7) The court inspecting authority shall examine and inquire whether the court fee has been collected in full and the court fee has been credited in accordance with this Act or not, and if appears in order, the authority shall indicate the same, and if it appears that the court fee has not been collected in full or the court fee required to be credited has not been credited, the authority shall take required action against those who fail to do so, in accordance with the prevailing law; and after an appeal, compliant is made on a case chargeable with the court fee and the case-file is submitted to the appeal hearing court, that court shall also examine the above-mentioned matters. If some defects or irregularities are found, the appeal hearing authority who makes examination of courts shall set down the matter found and date and sign the same and submit that matter to the Supreme Court.

(8) In relation to the cases filed prior to the commencement of this Act, the then prevailing law shall apply, and the court fee as referred to in this Act shall not be levied on such cases.

21. Procedures to be followed while recovering remaining court fee: In recovering the remaining court fee, the recovery shall be made by taking action as if it were a court penalty, fine.

22. Register of court fee to be maintained: There shall be a duly established and maintained register clearly showing cash figure of court fee, and indicating how much court fee has been collected from whom on which case.

23.Cases of those unable to pay court fee may be tried: Notwithstanding anything contained in the other Sections of this Act, the Adjudicating Authority or judge may, in the following circumstance, and for reasons to be recorded in a memorandum, order to file a suit, complaint, memorandum of appeal or petition for review or revision, subject to the collection of whole or some of the court fee subsequently:

(a) If the Adjudicating Authority or judge has any reasonable ground to believe that the person making a suit, complaint, memorandum of appeal or petition for review or revision, being indigent, is not able to pay whole or some of the court fee,

(b) If it is recommended by the concerned Village Development Committee or Municipality that the person making a suit, complaint, memorandum of appeal or petition for review or revision has no other asset other than the goods in dispute and is thus unable to pay the court fee or the Adjudicating Authority or judge has any reasonable ground to believe that matter.

24. This Act to prevail: (1) This Act shall not apply to sate cases and criminal cases as referred to in the then prevailing Nepal law. 38 (2) If any local self-governance body is conferred the powers of court by any Nepal law or in accordance with Nepal law, such a body shall not be entitled to use this Act.

25. Power to frame Rules: The Government of Nepal may frame Rules in order to accomplish the objectives of this Act.

26. This Act or Rules under this Act to prevail, and repeal: (1) The Khadga Nisana Sanad of 8 Marg 1999 and of 17 Shrawan 200 in relation to the court fee shall and the Act of 28 Number of the Chapter on Punishment are hereby repealed with effect from the date of commencement of this Act. (2) The matters contained in this Act or the Rules framed under this Act shall be governed by this Act or the Rules and the other matters shall be governed by the prevailing Nepal law.

27. Power to remove difficulties: (1) If there arises any difficulty with the implementation of the objectives of this Act, the Government of Nepal may, by a Notification in the Nepal gazette, issue necessary order in order to remove such difficulties, and such an order……………39 shall be deemed to have been contained in this Act. (2) ………………….40