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1996 Supreme(AP) 73

Andhra Pradesh High Court
Judges : C.V.N.SASTRY, S.PARVATHA RAO
S.Nagulalrao - Appellant
Versus
Medam Jayaramaiah - Respondent
Decided On : 02-06-96

A decree for specific performance of a part of a contract can be granted under Section 12 of the Specific Relief Act, 1963, provided the plaintiff relinquishes all claims to the performance of the remaining part of the contract and all rights to compensation either for the deficiency or for the loss or damage sustained by him through the default of the defendant.

Headnote:

SPECIFIC PERFORMANCE - PART OF CONTRACT - AGREEMENT OF SALE - ENFORCEABILITY - SHARE OF ONE JOINT OWNER - SECTION 12 OF THE SPECIFIC RELIEF ACT, 1963 - INTERPRETATION AND APPLICATION.

Fact of the Case:

Plaintiff sued for specific performance of an agreement of sale executed by the first defendant, who was one of the joint owners of the suit property, on behalf of the joint family. The trial court found that the first defendant was not the manager of the joint family and that the agreement was not executed for the necessity of the joint family. The trial court also found that the first defendant received an advance of Rs. 5,000/- from the plaintiff. The trial court dismissed the suit. On appeal, the learned single Judge agreed with the trial court's view that the plaintiff was not entitled to a decree for specific performance as the first defendant was not empowered to enter into the agreement of sale for the entire suit property. However, the learned single judge granted a decree for refund of advance amount of Rs. 5,000/- with interest thereon at the rate of 12% per annum from the date of agreement.

Finding of the Court:

The court held that the agreement of sale was valid and binding on the first defendant and it could be enforced against him, even though it was not signed by the 7th defendant. The court also held that a decree for specific performance could not be granted in favor of the plaintiff at least for the share of the first defendant in the suit land, as the first defendant's share in the suit schedule property could not be ascertained with certainty in the absence of the other interested persons and also having regard to the fact that in any case, the first defendant's share comes to a very small extent of about Ac. 0. 04 cents.

Issues: 1. Whether the agreement of sale, Ex. A-1, is not enforceable even against the first defendant? 2. Whether a decree for specific performance can be granted in favor of the plaintiff at least for the share of the first defendant in the suit land?

Ratio Decidendi: 1. The court held that the agreement of sale was valid and binding on the first defendant and it could be enforced against him, even though it was not signed by the 7th defendant, as there was no evidence to show that the intention of the parties was that the agreement should not be enforced at all unless and until all the promissors sign the same. 2. The court held that a decree for specific performance could not be granted in favor of the plaintiff at least for the share of the first defendant in the suit land, as the first defendant's share in the suit schedule property could not be ascertained with certainty in the absence of the other interested persons and also having regard to the fact that in any case, the first defendant's share comes to a very small extent of about Ac. 0. 04 cents.

Final Decision: The Letters Patent Appeal was dismissed.

C. V. N. SASTRI, J.

( 1 ) THIS Letters Patent Appeal arises out of a suit for specific performance of an agreement of sale dated 25-2-1980 executed by the first defendant in favour of the plaintiff agreeing to sell the suit property, which comprises an extent of Ac. 0. 22 cents of land at the rate of Rs. 2, 100/- per cent. The agreement is purported to be executed by defendants Nos. 1 and 7, but it is actually signed by the first defendant only. The property is, admittedly, the joint family property of the defendants. Defendants Nos. 1 to 6 are the children of the 7th defendant. The father of defendants Nos. 1 to 6 and the husband of 7th defendant died intestate leaving behind him defendants Nos. 1 to 7 in the suit, besides another daughter by name Ramalingeswaramma and also his mother Saradamma, who were not impleaded as parties to the suit. The case of the plaintiff is that the first defendant is the Manager of the joint family of the defendants and that he executed the suit agreement for and on behalf of the family for their family benefit and necessity, representing that a sale deed would be executed by all the sharers. At the time of the agreement, a sum of Rs. 5,000/- is said to have been paid by the plaintiff to the first defendant as advance and it was agreed that a registered sale deed should be executed on or before 25-4-1980. As the defendants failed to execute the sale deed inspite of a notice got issued by the plaintiff on 19-4-1980, the suit was filed for specific performance.

( 2 ) THE firstdefendant filed a written statement admitting the execution of the agreement, but denying that he was the Manager of the Joint Family or that the agreement was executed by him as Manager of the Family. He further pleaded that when the plaintiff approached him to sell the suit site, he (1st defendant) informed him that he has no right to sell the suit land, as there was a partition in which the suit land was given to the 6th defendant towards her Pasupu Kumkuma and that the 7th defendant, who is the guardian of 6th defendant, can alone represent the minor and that the plaintiff induced him to sign the agreement representing that he will convince the 7th defendant and obtain her signature on the agreement of sale later. The first defendant also denied the receipt of the sum of Rs. 5,000/- as advance from the plaintiff. He further pleaded that the agreement, which is inchoate, is unenforceable.

( 3 ) THE third defendant on one hand and the defendants-6 and 7 on the other filed separate written statements, which were adopted by the defendants 2,4 and 5, contending inter alia that the suit property was allotted to the 6th defendant towardsherpasupu-Kumkuma and marriage expenses and that the defendants-1 to 5 and 7 have no right in the same, that the 7th defendant is not at all aware of the agreement of sale and she never agreed for the same and she did not receive any advance, that there is no necessity to sell the lancj and that the alleged agreement said to have been executed by the first defendant is not valid and binding on them.

( 4 ) THE trial Court found that the partition pleaded by the defendants wasnot established, that the first defendant did not execute the agreement of sale (Ex. A-l) as manager of the family and that the plaintiff did not also prove that Ex. A-1 was executed for the necessity of the joint family. The trial Court, however, found that the first defendant executed Ex. A-1 and received Rs. 5,000/- by way of advance from the plaintiff. On the said findings, the trial Courtheld that the plaintiff wasnot entitled to the relief of specific performance. Though the trial Court found that the first defendant received a sum of Rs. 5,000/- by way of advance, no decree for return of the said sum was granted to the plaintiff, since the plaintiff d id not claim any alternative relief in the plaint and observed that it is open to the plaintiff to take separate proceedings against the first defendant for return of the a



















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