Step 1: Understanding the Concept:
The question asks to identify the section in the Code of Civil Procedure (CPC), 1908, that governs 'interpleader suits'. An interpleader suit is a special type of suit filed by a person who holds property or money that is claimed by two or more other persons. The plaintiff in such a suit has no interest in the property and wants the court to decide the rightful owner.
Step 2: Detailed Explanation:
- Section 88 of the CPC is titled "Where interpleader suit may be instituted". It lays down the substantive right to file an interpleader suit. It states that where two or more persons claim adversely to one another the same debt, sum of money or other property from another person, who claims no interest therein other than for charges or costs and who is ready to pay or deliver it to the rightful claimant, such other person may institute a suit of interpleader.
- The detailed procedure for an interpleader suit is provided in Order XXXV of the CPC.
- Section 87 deals with suits by or against the Government in foreign States.
- Section 89 deals with the settlement of disputes outside the Court (ADR mechanisms).
Step 3: Final Answer:
The substantive provision for filing an interpleader suit is contained in Section 88 of the CPC. Therefore, option (B) is the correct answer.