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  "title": "Costs of Litigation Act, 2017",
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  "text": "THE COSTS OF LITIGATION ACT, 2017 \r\n \r\n \r\n \r\n \r\nCONTENTS \r\n1. Short title, application and commencement. \r\n2. Amendment of Act V of 1908. \r\n3. Amendment of Act V of 1898. \r\n \r\n \r\n \r\n \r\n \r\n \r\n \r\n \r\n \r\n \r\n \r\n \r\n \r\n \r\n \r\n \r\n \r\n \r\n \r\n \r\n \r\n \r\n \r\n \r\n \r\n \r\n \r\n \r\n \r\n \r\n\r\n \r\n \r\nTHE COSTS OF LITIGATION ACT, 2017 \r\nACT NO. XVII OF 2017 \r\n [23th May, 2017] \r\n \r\nAn Act further to amend the Code of Civil Procedure, 1908 and the Code of Criminal Procedure, \r\n1898 \r\n \r\nWHEREAS it is expedient further to amend the Code of Civil Procedure, 1908 (V of 1908) and the \r\nCode of Criminal Procedure, 1898 (V of 1898), for the purposes hereinafter appearing; \r\n \r\nIt is hereby enacted as follows:— \r\n \r\n  1.  Short title, application and commencement.— (1) This Act may be called the Costs of \r\nLitigation Act. 2017. \r\n \r\n(2)   It shall apply to the Islamabad Capital Territory. \r\n \r\n(3)   It shall come into force on such date as the Federal Government may, by notification in \r\nthe official Gazette, specify and shall apply to such courts in the Islamabad Capital Territory as the \r\nFederal Government may, by notification in the official Gazette, determine in this behalf and different \r\ndates may be specified in respect of different courts. \r\n \r\nPART-I \r\n \r\nCIVIL PROCEEDINGS \r\n \r\n2.  Amendment of Act V of 1908.— In the Code of Civil Procedure, 1908 (V of 1908),— \r\n \r\n(I) for section 35, the following shall be substituted, namely:⸻ \r\n \r\n      “35.  Costs.— (1) Subject to such conditions and limitations, as may be prescribed, and to \r\nthe provisions of any law for the time being in force,— \r\n \r\n(i)    a party to any proceedings shall, before the announcement of final order, \r\njudgment or decree, file in the prescribed form, details of actual costs of \r\nlitigation, including but not limited to court fee, stamp fee. fee paid to counsel \r\nand all other ancillary or incidental expenses thereto; \r\n \r\n(ii)   the Court shall award the actual costs of litigation under clause (i) to the \r\nsuccessful party with markup not exceeding the prescribed limit per annum, as \r\nnotified by the State Bank of Pakistan, at the time of passing the order, \r\njudgment or decree; \r\n \r\n(iii)  the costs other than those mentioned in clause (i) shall be in the discretion of \r\nthe Court: and \r\n \r\n(iv) the Court shall have full power to determine out of what property such costs are \r\nto be paid and recovered and to give all necessary directions for the purposes \r\naforesaid. \r\n \r\n \r\n(2)  The fact that the Court has no jurisdiction in respect of the proceedings shall be no bar to \r\nthe exercise of such powers under this section.”; \r\n \r\n(II)  for section 35A, the following shall be substituted, namely:— \r\n \r\n“35A.  Adjournment costs.— If, on the date fixed for hearing in any proceedings, a party to \r\nthe proceedings or any other person, despite service of notice, fails to appear or comply \r\nwith any order of the Court or mandatory provision of the Code or any other law for \r\nthe time being in force, seeks an adjournment for such purpose, the Court shall, for \r\nsufficient cause and reasons to be recorded, grant such adjournment on the condition \r\nthat such party or person shall pay to the other party, costs of adjournment which shall \r\nnot be less than five thousand Rupees per adjournment or such higher amount as may \r\nbe prescribed from time to time: \r\n \r\nProvided that if the Court is satisfied that the adjournment being sought is on \r\naccount of unavoidable reasons beyond the control of the party concerned, which \r\nreasons shall be recorded by the Court, the Court may grant adjournment without \r\nimposing adjoumment costs: \r\n \r\nProvided further that if the Court finds that there is a tendency of seeking \r\nrepeated adjournments by any party on such grounds, the Court may not grant \r\nadjournment without imposing the adjournment costs as the Court may deem fit.”; and \r\n \r\n(III)    after section 35A, substituted as aforesaid, the following new sections shall be inserted, \r\nnamely: \r\n \r\n35B.     Special costs.— (1) If in any proceedings, the Court finds that any averment made by \r\nany party is false or vexatious to the knowledge of such party, the Court shall award \r\nspecial costs to the opposite party against whom such averment has been made. \r\n \r\n(2)  The amount of any special costs awarded under sub-section (1) shall be taken into \r\naccount in any subsequent suit for damages or compensation in respect of such claim \r\nor defence. \r\n \r\n35C.  General provisions as to costs.— The Government shall not be liable to costs under \r\nsections 35, 35A and 35B. \r\n \r\nExplanation.— In sections 35, 35A and 35B, the expression “proceedings” \r\nincludes suit, appeal, review, revision, execution or any other proceedings and any \r\nmatter incidental thereto.” \r\n \r\n \r\n \r\n \r\n \r\n \r\n \r\n \r\n \r\n \r\n \r\n \r\nPart - II \r\nCRIMINAL PROCEEDINGS \r\n \r\n3.  Amendment of Act V of 1898.— In the Code of Criminal Procedure, 1898 (V of 1898),— \r\n \r\n(I)  the existing section 200 shall be re-numbered as sub-section (I) thereof and,— \r\n \r\n(i)    in sb-section (1), re-numbered as aforesaid, in the proviso, after clause (aa), the \r\nfollowing new clause (b) shall be inserted, narrely:⸻ \r\n \r\n“(b)  Where a complainant is a Court or a public servant, the Court or a public \r\nservant, as the case may be, shall not be liable to adjournment costs \r\nunder sub-section (2); and \r\n \r\n(ii)    after sub-section (1), amended as aforesaid, the following new sub-section \r\nshall be added, namely:— \r\n \r\n(2)  Subject to provisions of section 344, if on the date fixed for hearing in any proceedings, a \r\nparty to a case or any other person, despite service of notice, fails to appear or comply with any order \r\nof the Court or mandatory provision of the Code or any other law for the time being in force, seeks an \r\nadjournment for such purpose, the Court may, for sufficient cause and reasons to be recorded, grant \r\nsuch adjournment on the condition that such party or person shall pay to the other party, adjournment \r\ncosts which shall not be less than ten thousand rupees per adjournment or such higher amount as may \r\nbe prescribed from time to time.”; \r\n \r\n(II)  in section 250, in sub-section (2), for the words “twenty five thousand” the words “one \r\nhundred thousand shall be substituted.”; and \r\n \r\n(III) in section 344, in sub-section (I), after the expression “terms” the commas and words “, \r\nincluding adjournment costs,” shall be inserted.”",
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