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1999 Supreme(SC) 664

K.VENKATASWAMI, J.JAGANNADHA RAO
Bina Murlidhar Hemdev – Appellant
Versus
Kanhaiyalal Lokram Hemdev – Respondent


Judgement Key Points

Key Points:- The court holds that the rectification deed, being registered, provides notice to the builder under Section 3 of the Transfer of Property Act, affecting bona fide purchaser arguments. (!) (!) (!) (!) - The court finds prima facie that Lokram group has title to immovable property in plots 8 to 12 and that the alleged release deed dated 27.3.79 is forged, implying Murlidhar’s heirs retain a share in 8 to 12. (!) (!) (!) - There is evidence from letters (2.11.93; 3.1.94) and the rectification deed supporting Lokram group’s rights in the property, indicating the heirs’ title extends beyond mere profits in dissolution. (!) (!) (!) - The court limits itself to interlocutory relief under Order 39 Rule 1 CPC, recognizing that the suit will be decided on full evidence and that safeguards may be offered to protect plaintiffs’ interests. (!) (!) (!) - The injunction is granted to restrain construction on plots 8 to 12 and related development activities using the aggregate F.S.I.of the entire land, pending trial, with potential modification on terms safeguarding plaintiffs’ rights. (!) (!)

What is the status of Murlidhar’s heirs' rights in plots 8 to 12 and related common property in the context of a registered rectification deed?What is the effect of notice under Section 3 of the Transfer of Property Act on a purchaser's rights when a registered instrument (rectification deed) concerns the property and the rights of co-owners/heirs?What determines the entitlement to temporary injunction in a title-dispute involving a builder and co-partners where there are competing claims to immovable property and alleged forged release deeds?


JUDGMENT

M. Jagannadha Rao, J. - Leave granted.

This appeal is filed by the four plaintiffs, the widow and children of late Murlidhar Lokram Hemdev who died intestate on or about 8.5.1976. The appeal is directed against the order of the High Court of Bombay in Appeal No. 1019 of 1997 dated 12.9.97 confirming the order of the learned Single Judge dated 11.7.1997 in an application under Order 39 Rule 1 C.P.C. in Special Suit No. 83 of 1997.

2. The facts of the case are as follows :

3. There was an unregistered partnership w.e.f. 27.7.1964 (to which, of course late Murlidhar was not party) under a deed dated 4.9.1964 between five persons who were in two groups, the Sankhala group having 66 share and the Jains having 34 share. The said firm purchased land admeasuring31,075 sq. feet in Thane, with the intention of developing and selling the same. This firm is called the ‘main firm’ in these proceedings before us.

4. The main group entered into a sub-partnership, a registered firm dated 29-7-1964 with Lokram group consisting of 4 partners : (1) Kanhaiyalal Lokram Hemdev, (ii) Murlidhar Lokram Hemdev (deceased) (father of plaintiffs-appellants), (iii) Kanhaiyalal Sewaram and (iv) Srichand Dh








































































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