Summarize the following court judgment. Appeal No. 52 of 60. Appeal from the judgment and decree dated April 15	 1958	 of the Bombay High Court in Appeal ' No. 25 of 1957. B. R. L. lyengar	 for the appellants. M. C. Setalvad	 Attorney General of India	 section R. Vakil	 K. H. Bhabha	 J. B. Dadachanji	 O. C. Mathur and Ravindra Narain	 for the respondent	 170 1962. April 12. The Judgment of the Court was delivered by section K. DAS	 J. This is an appeal on a certificate granted by the High Court of Bombay under section 110 of the Code of Civil Procedure	 and arises put of a suit which the appellants had brought for recovery of Rs. 9	99	940/ with interest and cost from Mir Nawab Himayatalikban Azamjah	 who was then known as the Prince of Berar	 being the eldest son of the Nizam of Hyderabad. The circumstances in which the appeal has arisen are these. On or about January 31	 1937 Baboo Mull and Co. sold and delivered to the Prince of Berar in Bombay various articles of jewellery the aggregate value of which was Rs. 13	20	750/ . Lala Kapurchand Godha	 who was the first plaintiff in the action and Lala Heeralal Godha	 the original second plaintiff	 carried on business in jewellery in partnership with their father and one Lala Baboo Mull (since deceased) in the name and style of Baboo Mull and Co. It is not disputed that the appellants now before us own the entire interest in the Subject matter of the suit and instead of using the name of Baboo Mull and Co. we shall same the appellants as the persons who sold the jewellery to the Prince of Berar on January 31	 1937. A writing dated January 31	 1937 was executed by the Prince Of Berar	 respondent before us	 by which be declared and acknowledged having purchased the jewellery specified in a schedule from the ' appellants at the aggregate price of Rs. 13	20	750/ . In that writing (exhibit A) the respondent stated: "I promise on behalf of myself and my heirs	 executors	 administrators and successors to pay to you or to your order at my option and leisure at your abovementioned 171 address the said sum of rupees thirteen lacs twenty thousand seven hundred and fifty only together with simple interest thereon @ 10% ten per cent. per annum. " It is not disputed that the jewellery was in fact delivered by the appellants to the respondent	 and after January 31	 1937 the respondent passed various acknowledgements in respect of the debt due at the time of the passing of the respective acknowledgments. These documents consisted of an acknowledgement of liability and a promise to pay on behalf of the respondent and the last of such acknowledgments was passed on February 15/16	 1948. By that time the debt of Rs.13	20	 750/ with ten per cent. interest thereon had in oreased to about Rs.27	79	000/ . By that last document the respondent admitted his liability for the amount of Rs. 27	79	078 2 0 and promised to pay the amount	 again at his option and leisure. On April 30	 1948	 the appellants presented their bill and some time in January	 1949	 one of the appellants had an interview with the respondent and was told that the Nizam had passed the bill. In 1949 when Hyderabad was under military occupation after the Police Action	 a Committee was set up on February 8	 1949	 by the Military Governor known as the Princes Debts Settlement Committee. The report of this Committee shows that it was set up in accordance with a resolution made by the Military Governor in order to scrutinize all debts of the Prince of Berar and his younger brother. On February 19	 1949	 the appellants presented a petition to the Military Governor with regard to their claim and asked for payment of the amount due to them or in the at ternative for the return of the jewellery. The claim of the appellants was considered by the Committee in para 11 of their report. The Committee recommended that the appellants should 172 be paid a sum of Rs. 20 lacs in full satisfaction of their claim. The Committee further stated that they did not recommend the return of the jewellery. It may be here stated that the Committee consisted of two persons	 namely	 Zaheruddin Ahmed	 who was the Controller of Accounts to the Nizam and A. N. Shah	 a member of the Indian Civil Service. It may also be stated that the report of the Committee shows that it made a reduction of about ten per cent. In the case of all suppliers of goods to the two Princes because the Committee thought that in most of the cases the suppliers inflated the price for the supply of goods to the two Princes. The Committee also thought that the reasonable rate of interest would be six per cent. in the case of creditors who had to wait for a number of years for payment of their dues. On September 27	 1949	 a sum of Rs.1 1	25	000/ was paid to the appellants. At that time there was a dispute going on as to whether the appellants were entitled to the entire amount of Rs.20 lacs or to only 9/16th share there. That dispute having been finally settled in favour of the appellant 	 the appellants received a second payment of Rs.8	75	000/ on February 14	 1950. This amount along with the earlier amount paid to the appellants came to the total of Rs.20 lacs. which the Committee had recommended should be paid to the appellants in full satisfaction of their claim. On February 14	 1950	 a receipt was passed by the appellants for the sum of Rs.8	75	000/(Ex. C) and this receipt ran in the following terms: "Received from the Controller General of Accounts and Audit	 Hyderabad Government	 the sum of Rs.8	75	000/ (Rupees eight lacs and seventy five thousand) only in full and final payment of the balance of rupees twenty lacs allowed by the Government in respect of my claims under the pronote dated 15 February 1948 passed by the Prince 173 of Berar in my fovour	 reserving however my right to recover the balance amount due to me under the said pronote from the Prince of Berar. " The relevant authorities refused	 however	 to make payment on the receipt exhibit C in which the appellants reserved their right to recover the balance amount due from the Prince of Berar. Thereupon	 the appellants discharged all the previous promotes and on each one of them recorded a satisfaction of full payment. We may refer to the last of them	 namely	 the one dated February 15/16	 1948. This was for a sum of Rs.27	79	078 2 0 and on this document Kapurch and Godha	 one of the appellants recorded "received payment in full". Then	 on August 14	 1950	 the appellants served through their solicitors a notice on the respondent asking him to make payment of the balance of Rs.9	99	940/ with interest at ten per cent. The respondent not having paid the amount a suit was instituted on February 5	 1951	 in the High Court of Bombay for recovery of the amount. The suit was tried by Coyajee	 J. The principal issue for trial was issue No. 6	 namely	 whether the appellants had accepted payment of Rs. 20 lacs in full satisfaction of their claim against the respondent and surrendered all the writings duly discharged and there was absolute release of the debt as stated in paras. 7	 8 and 11 of the written statement. On a consideration of the oral and documentary evidence given in the case and relying particularly on exhibit C	 Coyajee	 J. came to the conclusion that the appellants did not take the sum of Rs. 20 lacs in full satisfaction of their claim. The learned Judge said "Ordinarily	 a plaintiff would have been in a most difficult and unenviable position to 174 enforce this claim after having endorsed those documents namely exhibit No. 1 as payment in full satisfaction. But evidently "payment in full satisfaction" there meant full satisfaction as regards the liability of the Hyderabad State and that would naturally be the meaning if taken in conjunction with exhibit C where	 he reserved liberty to proceed personally against the Prince of Berar. I have therefore come to the conclusion on the main issue in the suit namely	 that there was no accord and satisfaction when the plaintiff received the second cheque from the Accountant General of Hyderabad State. " Then there was an appeal by the respondent which was heard by the appellate court (Chagla	 C. J. and Mody	 J.) By its judgment dated April 15	1958	 the appellate court came to a contrary conclusion and held that on the evidence	 oral and documentary	 given in the case it was clearly established that the appellants accepted the sum of Rs. 20 lacs in full satisfaction of their claim and duly discharged the promissory notes by endorsing full satisfaction thereon; therefore	 section 63 of the 	 applied and the suit of the appellants was liable to be dismissed. It accordingly allowed the appeal and dismissed the suit with costs. In the appeal before us Mr. B. R. L. Iyengar appearing on behalf of the appellants has very strongly contended that the view of Coyajee	 J. is the correct view on the evidence given in the case. He has emphasised two points in connection therewith: (1) the crucial question is what does the evidence show as to the intention of the creditor in accepting Rs. 20 lacs? and '2) what is the effect of exhibit C	 a receipt executed contemporaneously with the payment of the second instalment of Rs. 8	 75	000 ? Mr. Iyengar has argued that the appellate 175 court did not attach sufficient importance to these two points and the conclusion which it reached is vitiated for that reason. As the judgment of the appellate court is a judgment in reversal and the question raised are essentially questions of fact on which there are conflicting findings	 we allowed counsel for the parties to place before us the relevant evidence along with the pleadings of the parties. Two of the witnesses whose evidence appears to be decisive of the questions raised were	 Putta Madhava Rao who was examined on behalf of the appellants and Kapurchand Godha	 one of the appellants. Putta Madhava Rao was at the relevant time	 Assistant Accountant General	. Hyderabad and he was present before the Committee on more than one occasion when the claim of the appellants was considered. Before Coyajee	 J. a question was raised whether the statements of this witness as to what transpired before the Committee were admissible in evidence	 when none of the two members of the Committee was called for examination. Madhava Rao was undoubtedly competent to prove what he himself heard or saw if such hearing or seeing was a fact in issue	 and we consider it unnecessary to determine the further question as to whether be was competent to prove the statements alleged to have been made by one or other of the two members of the Committee. Therefore	 we confine ourselves to the statements of Madhava Rao as to what happened before him. Madhava Rao said that before the Committee the appellants insisted on payment of their full claim	 but the Committee decided that the appellants must take Rs. 20 lacs in full satisfaction of their claim; on this Kaparchand Godha protested and said that he would have to reserve his right for the balance. The Committee thereupon made it clear that they could not recommend payment of anything more	 because a specific amount for distribution had been allotted to them. The reference to "a specific 176 amount" was to a sum of rupees two crores earmarked for the liquidation of the debts of the two 'Princes out of a fund known as Sarf e Khan. What happened after the Committee had made its recommendation is very important. The first instalment of Rs. 11	25	000/ was paid on September 27	 1949. At that time a dispute was going on about the share of the appellants to the money. The receipt which was passed for the payment of Rs. 11	25	000/ is marked exhibit B. That receipt does not show whether the appellants had agreed to accept Rs. 20 lacs in full satisfaction of their claim. As to the second instalment of Rs.	8	75	000/ which was paid on February 14	 1950	 Madhava Rao give the following evidence. He said that when exhibit C was brought to him by Kapurchand Godha	 the witness told the latter that he could not make payment against that receipt as the receipt recited	 reservation of the right of the appellants for the balance. The witness took the document	 exhibit C	 to Zaheruddin Ahmed who was the Accountant General then. Zaheruddin Ahmed suggested that the claimant should endorse full satisfaction and payment of all the promissory notes and then only the payment would be made. The witness then said: "Thereupon I obtained these endorsements (on the promissory notes) from Kapurchand. Kapurchand whilst endorsing these documents protested that he had been forced to endorse these and he was not at all satisfied. This happened on the 14th of February	 1950. " We may here state that no plea was raised by the appellants to the effect that the endorsements on the promissory notes had been obtained by coercion	 and no issue was struck between the parties as to the endorsements on the promissory notes having been obtained by coercion. That 177 being the position	 what is the effect of Madhava Rao 's evidence ? The clear effect is that the authorities who were paying the money in discharge of the debt of the respondent made it clear that they would pay the money only if a full satisfaction of the claim was given by the appellants. The appellants after some initial protests agreed and duly discharged all the promissory notes by endorsing thereon full payment and satisfaction. The question of coercion was introduced as and by way of after thought. Two facts seem to be clearly established by the evidence of Madhava Rao. One is that the authorities refused to pay the second instalment unless full satisfaction of the claim was endorsed in accordance with the recommendation of the Committee; the second is that the appellants did record full payment in satisfaction of the promissory notes before they received the money. In our opinion	 these twofactsclearly established the case of the respondent that the appellants had given a full discharge when they received the second instalment. Indeed	 the evidence of Madhava Rao is supported by the evidence of Kapurchand Godha. Kapurchand Godha said that when he presented the receipt	 exhibit C	 to Madhava Rao the latter said that he would not accept the receipt in that form. Madhava Rao then took Kapurchand to the Accountant General. Kapurchand was asked to produce the promissory notes and was told that unless the promissory notes were endorsed with full satisfaction	 no payment would be made. Kapurechand then said "I was told that unless I signed the receipt for full payment	 no cheque would be issued to me. Thereupon I endorsed the receipt for full payment. By that I mean I was asked to endorse full payment on the vouchers and I did so. I protested and said that as I was asked to endorse full payment	 I 178 was doing so despite the fact that I was not receiving full payment. Thereafter I signed the receipt as the vouchers and handed ever the documents to the Accountant General. " This evidence is in accord with the evidence of Madhava Rao and again establishes that appellants when they received the second and the last instalment of Rs. 8	75	000/ gave a full discharge of their claim and the plea of coercion was later introduced as and by way of an after thought. There was some difference of evidence as to whether exhibit C bore the signature of Kapurchand when it was first presented to Madbava Rao or whether the signature was later put on it. With that difference we are not now concerned. Nor are we concerned with certain minor discrepancies between the evidence of the two witnesses referred to above. The substantial result of the evidence of the two witnesses to whom we have referred is that whatever	 reluctance Kapurchand might have had in accepting Rs. 20 lacs in full satification of the claim of the appellants	 he ultimately agreed to do so	 Not; only did he agree	 but he actually en dorsed full satisfaction and payment on all the promissory notes and thereafter be receive payment of the second instalment of Rs. 8	75	000/which along with the first instalment of Rs. 11	25	000/ made up the sum of Rs. 20 lacs. On these facts which are established by the evidence given on behalf of the appellants themselves	 the only conclusion is that there was full satisfaction of the claim of the appellants. The legal position is clear enough. Section 63 of the reads : "Every promisee may dispense with or remit	 wholly or in part	 the performance of the promise made to him	 or may extend the time for such performance or may accept 179 instead of it any satisfaction which he thinks fit. " Illustration (c) to the section says "A owes B 5000 rupees. C pays to B 1000 rupees	 and B accepts them in satisfaction of his claim on A. This Payment is a discharge of the whole claim. 		 It seems to us that this case is completely covered by section 63 and illustration (c) thereof. The appellants having accepted payment in full satisfaction of their claim	 are not now entitled to sue the respondent for the balance. A reference may 'also be made in this connection to section 41 of the Contract Act under which when a promisee accepts performance of the promise from a third person. he cannot afterwards enforce it against the promiser. There is some English authority to the effect that discharge of a contract by a third person is effectual only if authorised or ratified by the debtor. ID India	 however	 the words of section 41 of the Contract Act leave no room for doubt	 and when the appellants have accepted performance of the promise from a third person	 they cannot afterwards enforce it against the promisor	 namely	 the respondent. When a statute clearly covers a case	 it is hardly necessary to refer to decisions. In deference however	 to the arguments advanced on behalf of the appellants	 we refer to the two decisions on which learned counsel for the appellant has relied. One is the decision in Day vs Mc Lea (1). In that case the plaintiffs made a claim against the defendants for a sum of money as damages for breach of contract; the defendants sent a cheque for a less amount stating that it was in full payment of all demands. The plaintiffs kept the cheque stating they did so on account and brought an action for (1) 180 the balance of their claim. It was held that keeping	 the cheque was not as a matter of law conclusive that there was an accord and satisfaction of the claim ; but that it was a question of fact on what terms the cheque was kept. We do not think that that decision is of any help to the appellants As Lord Justice Bowen said in Day vs Mc Lea (1) : "If a person sends a sum of money on the terms that it is to be taken	 if at all	 in satis faction of a larger claim ; and if the money X X is kept	 it is a question of fact as to the terms upon which it is so kept. Accord and satisfaction imply an agreement to take the money in satisfaction of the claim in respect of which it; is sent. If accord is a question of agreement there must be either two minds agreeing or one of the two persons acting in such a way as to induce the other to think. that the money is taken in satisfaction of the claim	 and to cause him to act upon that view. In either case it is a question of fact. " We have already referred to the facts which are clearly established by the evidence in this case. Those facts clearly established that the appellants took the second instalment in full satisfaction of their claim. The second decision relied on on behalf of the appellants Neuchatel Asphalte Co. Ltd. vs Barnett (2) also proceded on a similar ground. In that case the claim of the plaintiff company amounted to pound 259	 but the defendant raised some minor question which might reduce it by E14 or pound 15. The defendant then sent a cheque for pound 125 and stated in covering letter that this sum was "on account" pending the receipt of the plaintiffs reply to outstanding queries in connection with the work done. Some time later the defendant enclosed a further cheque for pound 75 and on the back of the (1) (1899) 32 Q.D. D.610	 613. (2) [1957] 1 All. R.R. 362. 181 cheque was endorsed 	in full and final settlement of the account". The cheque was accepted by the plaintiff company	 which later sued for the balance of the amount of the claim. It was held that having regard to the correspondence and the surrounding circumstances	 there was no intention on the part of the plaintiff company to accept the cheque for pound 75 in full satisfaction of the plaintiff 's claim	 because the words "in full and final settlement of the account" typed on the back of the cheque were inconsistent with the main object and intention of the transaction	 particularly since (a) the covering letter sent by this defendants plainly imported that the cheque was sent only on account and riot in full and final settlement	 and (b) it could not reasonably be supposed that. in the circumstances	 the plaintiff company had agreed to a reduction of the amount claimed. The facts of the case before us are entirely different. The appellants were clearly and unambiguously told that unless they gave a full satisfaction of their claim	 they would not be paid the amount. The appellants were left in no doubt as to the condition on which payment would be made to them. The appellants clearly accepted the condition and recorded full satisfaction on all the pro missory notes. It is now impossible to accept the 'position that the appellants reserved their right to sue the respondent for the balance of the amount. In Hirachand Punam chand vs Temple (1) the father of a debtor wrote to the creditor offering an amount less than that of the debt in full settlement of the debt and enclosing a draft for that amount. The creditor cashed and retained the proceeds of the draft and afterwards brought an action against the debtor for the balance of the debt. It was held that the creditor must be takan to have accepted the amount received by him on the terms upon which it was offered and therefore he could not (1) [1911]2 K. B. 330. 182 maintain the action. The case was considered under the English law and it was observed that assuming that there was no accord and satisfaction in the strict sense of the law in England	 it could still be held that the creditor had ceased really to beholder of the negotiable instrument on which he sued. With the niceties of English law in the matter of accord and satisfaction we are not concerned. The position in the present case is that the appellants must have known that they could receive the second instalment and retain the first instalment by accepting the condition on which the sum of Rs. 20 lacs was offered to them	 namely that they must record a full satisfaction of their claim. They accepted the money on the condition on which it was offered and it is not now open to them to Jay	 either in fact or in law	 that they accepted the money but not the condition. For these reasons we are satisfied that the appellate court was right in the view which it took. Therefore	 thus appeal fails and is dismissed with costs. Appeal dismissed.

In January 1937 one M & Co. sold and delivered jewellery valued at about 13 lakhs to the respondent Prince of Berar. The Prince acknowledged in writing the purchase of the jewellery and the price thereof and passed various acknowledgments in respect of the debts due and the last of such acknowledgments was made for sum of Rs. 27	79	000. In April 1948	 the appellants presented their bill and were informed in January	 1949	 that the Nizam had passed the bill. In February	 1949	 when Hyderabad was under military occupation	 a Committee was set up by the Military Governor to scrutinise all debts of the Prince of Berar and his younger brother. The claim of the appellants was considered by the Committee which recommended that the appellants should be paid a sum of Rs. 20 lakhs in full satisfaction of their claim. The appellants were paid the sum of Rs. 20 lakhs in two instalments. The appellants tried to pass a receipt when they received the second instalment reserving their right to recover the balance under the pronote from the 169 Prince of Berar. The relevant authorities refused to make payment on the said receipt. Thereupon the appellants dis charged all the previous pronotes and on each one of them recorded a satisfaction of the full amount. The appellants thereafter sued the respondent for the recovery of the balance of the monies due to them on the pronote. The trial court decreed the suit on the ground that there was no accord and satisfaction when the plaintiff received the second cheque from the Accountant General	 Hyderabad. In appeal by the respondent the Appellate Court set aside the decree holding that the appellants had accepted the sum of Rs. 20 lakhs in full satisfaction of their claim and duly discharged the promisory notes by endorsing full satisfaction thereon. The appellants came up to the Supreme Court in appeal by certificate granted by the High Court. Held	 that when payment is accepted on the condition on which it is offered	 it is not open to the person receiving the payment to say	 either in fact or in law	 that they have accepeted the money but not the condition. A promisee accepting performance of the promise from a third person	 can not afterwards enforce it against the promiser. In the present case the appellants had given a full discharge when they received the second instalment; and as they accepted the money in full satisfaction of their claim	 they were not entitled to sue the respondent for the balance. Obiter : When a statute clearly covers the case it is hardly necessary to refer to a decision.