Supreme Court questions Waqf bodies' court fee exemption claim, next hearing August 7
Synopsis
Key Takeaways
The Supreme Court on Monday, 1 June 2026, raised pointed questions over the legal basis for exempting Waqf institutions from paying court fees in proceedings before Waqf Tribunals, observing that any such exemption must rest on a clear statutory provision. The remarks came during the hearing of a special leave petition challenging orders of the Gujarat High Court that had upheld the rejection of suits filed by Waqf bodies for non-payment of court fees.
What the Supreme Court Said
A Bench comprising Justice P.S. Narasimha and Justice Aravind Kumar expressed prima facie doubt over the Waqf institutions' contention that they are not liable to pay court fees. 'How can there be an exemption? What is the law which allows you to take an exemption from court fees?' the Bench asked during the oral hearing.
The petitioner, represented by advocate Ejaz Maqbool, sought additional time to place material on record and indicated that further petitions challenging the Gujarat High Court's December 2025 ruling would be filed. The apex court accepted the request and scheduled the next hearing for 7 August 2026.
Background: The Gujarat Dispute
The controversy originates from a batch of suits filed by Waqf institutions before the Gujarat State Waqf Tribunal under Section 83 of the Waqf Act, seeking recovery of possession of Waqf properties from tenants and alleged encroachers, along with mesne profits. The Tribunal found that the plaintiffs had failed to properly value the proceedings and pay the requisite court fees, and after granting opportunities to cure the defects, rejected the plaints under Order VII Rule 11 of the Code of Civil Procedure (CPC).
On 17 December 2025, the Gujarat High Court, in a common judgment delivered by Justice J.C. Doshi, dismissed a large batch of revision petitions filed by various Waqf institutions challenging the Tribunal's orders. A subsequent batch of petitions raising identical issues was dismissed on 20 January 2026, with the High Court applying the same reasoning.
The Competing Arguments
The Waqf institutions argued that proceedings before the Tribunal were merely 'applications' before a specialised body and not civil suits, that the Waqf Act was silent on court fees, and that imposing ad valorem court fees would defeat the beneficial legislative purpose of protecting Waqf properties. They also contended that the Tribunal lacked authority to reject proceedings under Order VII Rule 11 CPC.
The Gujarat state government opposed the plea, maintaining that the Gujarat Court Fees Act, 2004 applies to all judicial proceedings unless specifically exempted, and that disputes before Waqf Tribunals — involving claims for possession and mesne profits — are adversarial in nature and attract court fees like civil suits.
How the High Court Ruled
The Gujarat High Court held that no statutory exemption was available to Waqf institutions and that failure to pay the requisite court fees justified rejection of the plaint. It observed that merely labelling a proceeding an 'application' could not take it outside the scope of court-fee laws when it substantively sought adjudication of rights and recovery of possession. The court further ruled that the Waqf Tribunal, being deemed a civil court for specified purposes, could validly invoke Order VII Rule 11 CPC.
What Comes Next
With the Supreme Court reserving its scepticism on the exemption claim, the matter now turns on whether the petitioners can produce a statutory basis for their position when the case is taken up on 7 August 2026. The outcome could have significant implications for how Waqf institutions across India pursue property-related claims before Tribunals.