Order XXXIX Rule 10 CPC - Deposit of Money or Property in Court
Order XXXIX Rule 10 of the Code of Civil Procedure, 1908 (CPC) enables a civil court to order the deposit or delivery of money or other deliverable property during a pending suit when a party admits holding it for, or owing it to, another party. The court may impose security and further conditions to protect the parties until the dispute is resolved.
Order XXXIX Rule 10 CPC - statutory text
Where the subject-matter of a suit is money or some other thing capable of delivery and any party thereto admits that he holds such money or other thing as a trustee for another party, or that it belongs or is due to another party, the Court may order the same to be deposited in Court or delivered to such last-named party, with or without security, subject to the further direction of the Court.
This provision forms part of Order XXXIX (Temporary Injunctions and Interlocutory Orders) in the First Schedule to the CPC. It concerns interim custody or delivery, not an automatic final determination of ownership.
Meaning and essential requirements
Rule 10 applies where the subject matter of a civil suit is money or another thing capable of delivery. A party must admit either that it holds that money or thing as a trustee for another party or that the money or thing belongs to, or is due to, another party to the suit.
- Subject matter of the suit: the money or deliverable property must be connected to the relief claimed in the litigation.
- Admission: the court must identify a relevant admission by a party. A genuinely disputed claim is not, merely by being asserted, an admitted liability under Rule 10.
- Trustee: a person holding property for the benefit of another, subject to the obligations of the relevant trust relationship.
- Discretionary power: the word may means that an order is not automatic even where the statutory conditions are met.
- Security and further directions: the court may require safeguards and specify how the money or property is to be held or delivered.
What orders may the court make?
Depending on the admission, the nature of the property and the circumstances of the suit, the court may direct the admitted money or property to be deposited in court or delivered to the party to whom it is admitted to belong or be due. The order can require security and can remain subject to further directions of the court.
For example, if a defendant expressly admits holding an identified sum on behalf of the plaintiff, the plaintiff may request a Rule 10 direction for deposit or delivery. Whether the court grants that request depends on the actual admission, pleadings, evidence and any necessary safeguards. A contested sum should not be treated as admitted simply because a plaintiff demands it.
How to seek a direction under Rule 10
- Identify the property: specify the sum of money or deliverable thing forming the subject matter of the suit.
- Show the admission: refer to the pleadings, correspondence or other material containing a clear admission, and explain how it satisfies Rule 10.
- Request precise relief: state whether deposit in court or delivery to the other party is sought and suggest appropriate security or preservation conditions.
- Address the other party's position: comply with applicable procedural and notice requirements and any directions issued by the court.
- Comply with the order: observe the specified time, deposit method, security and any later directions.
Related provisions of the CPC
Order XXXIX Rules 1 and 2 concern temporary injunctions. Rule 6 empowers the court to order interim sale of specified movable property where statutory conditions are met; Rule 7 addresses detention, preservation, inspection and related measures. Rule 8 prescribes timing and notice for applications under Rules 6 and 7. Rule 10 is distinct: it specifically addresses admitted money or deliverable property.
Order XII Rule 6 separately deals with judgment on admissions. A direction under Order XXXIX Rule 10 should not be confused with a judgment on admissions: the former is an interlocutory power concerning deposit or delivery, while the latter may permit judgment where the legal requirements are satisfied.
Important legal distinctions
Rule 10 is not a general mechanism to compel security for every disputed monetary claim. The admission required by its wording is central. The court's discretion, the exact terms of the order and the possibility of subsequent directions must be assessed in the context of the pending suit. The effect of an order and the availability of any appeal or other challenge depend on the applicable CPC provisions, the nature of the order and local procedural rules.
Official legislative reference
Consult the Code of Civil Procedure, 1908 (India Code official PDF), particularly Order XXXIX Rule 10 and the related provisions in the First Schedule. State amendments and relevant High Court rules should also be checked for the jurisdiction concerned.
Frequently asked questions
Can a court order a deposit under Order 39 Rule 10 without an admission?
Rule 10 is framed around a party's admission that the money or deliverable property is held as trustee for, belongs to, or is due to another party. A disputed claim alone does not satisfy that wording.
Can the court direct delivery instead of deposit?
Yes. The rule expressly allows deposit in court or delivery to the party entitled under the admission, with or without security and subject to further directions.
Does an order under Rule 10 finally decide ownership?
Not necessarily. Rule 10 provides an interim power during a suit; the final rights of the parties depend on the proceedings and orders in the case.
This is a general explanation of the central CPC provision and does not replace examination of the pleadings, orders, applicable state amendments or professional advice in a specific case.