BABU KHAN vs NAZIM KHAN (D) BY LRS.

The Supreme Court held that the benefit of Section 14(1) of the Limitation Act, which allows exclusion of time spent in prosecuting a prior suit, is not applicable when the earlier suit was decided on merits rather than being dismissed for lack of jurisdiction. The Court affirmed the High Court's decision to dismiss the appellants' suit for declaration of title and possession, as the earlier proceedings were deemed to have been entertained and decided on merit. Consequently, the appeal was dismissed, upholding the High Court's ruling.