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Issues: Whether an appeal can be dismissed on merits when the appellant is absent, or only for non-prosecution under Order XLI Rule 17 of the Code of Civil Procedure, 1908.
Analysis: Order XLI Rule 17 permits the Court to dismiss an appeal when the appellant does not appear, but the Explanation expressly bars dismissal on merits in such a situation. A dismissal on merits in the absence of representation is contrary to the statutory scheme and cannot be sustained.
Conclusion: The dismissal on merits was unsustainable. The order was set aside and the appeal was restored to the High Court for consideration afresh.
Final Conclusion: The matter was remitted to the High Court for decision on merits after affording the parties an opportunity to be heard.
Ratio Decidendi: When an appellant is absent, the appeal may be dismissed for default, but not on merits, because the Explanation to Order XLI Rule 17 expressly excludes a merits-based dismissal in such circumstances.