(1) If in the result of any such investigation the Court finds that the annual net profits or market-value have or has been wrongly estimated, the Court, if the estimation has been excessive, may in its discretion refund the excess paid as such fee: but if the estimation has been insufficient, the Court shall require the plaintiff to pay so much additional fee as would have been payable had the said market-value or net profits been rightly estimated.
(2) In such case the suit shall be stayed until the additional fee is paid and if the additional fee is not paid within such time as the Court shall fix, the suit shall be dismissed.
Legal Commentary & Landmark Judgments: Section 10
Section 10 of the Court-Fees Act, 1870 governs the procedure to be followed where net profits or market value of property in a suit has been wrongly estimated by the plaintiff.
If the plaintiff fails to pay the deficit within the time granted, sub-section (ii) commands that the suit shall be dismissed. Furthermore, sub-section (i) provides that where an inquiry into valuation was conducted by a local commission, the expenses of the commission shall be paid by the party whose estimate was found to be wrong, ensuring accountability in preliminary valuation proceedings.
Section 10 operates as a statutory sanction against deliberate undervaluation. However, courts maintain fairness by granting reasonable extensions under Section 149 CPC before invoking the drastic remedy of dismissal.