Andhra Pradesh High Court
Judges : Y.V.ANJANEYULU
K.Sambasiva Rao - Appellant
Versus
P.Bangaru Raju - Respondent
Decided On : 01-13-85
SPECIFIC PERFORMANCE - AGREEMENT FOR SALE - LIMITATION - SECTION 54 OF THE LIMITATION ACT - NOTICE OF REFUSAL TO PERFORM THE CONTRACT - DELAY IN FILING SUIT - DISCRETION OF THE COURT - SECTION 22 OF THE SPECIFIC RELIEF ACT - READINESS AND WILLINGNESS TO PERFORM THE CONTRACT - SECTION 16 (C) OF THE SPECIFIC RELIEF ACT.
Fact of the Case:
The appellant and the respondent entered into an agreement on 30-9-1965 for the sale of one acre of land out of 13 acres of land in Begumpet, Secunderabad. The appellant purchased the 13 acres of land under a registered sale deed dt. 3-9-1965. The respondent filed a suit for specific performance of the agreement and for permanent injunction restraining the appellant and his men from interfering in any manner with one acre, out of the plaint schedule land, which was the subject-matter of the agreement for sale by the appellant to the respondent, under the above referred agreement. The trial Court decreed the suit filed by the respondent and directed the appellant to execute a regular deed of conveyance in favour of the respondent in respect of one acre out of the 13 acres of the plaint schedule property, as per the said agreement dt. 30-9-1965 within two months and also directed division of the plaint schedule land and delivery of one acre out of the 13 acres to the respondent. The appellant filed an appeal, A. S. No. 302 of 1982, in the Court of the Chief Judge, City Civil Court, Hyderabad, challenging the decision of the trial Court. The first appellate Court confirmed the judgment and decree of the trial Court and dismissed the appeal.
Finding of the Court:
The Court held that the suit was not barred by limitation as the appellant refused to perform the contract for the first time in the letter dt. 4-9-1978 addressed by the appellant's Advocate to the respondent's Advocate. The Court also held that the delay in filing the suit was not unconscionable and that the discretion should have been exercised to decree the suit filed by the respondent for specific performance of the contract, entered into by the appellant on 30-9-1965. The Court further held that the respondent had not failed to aver and prove that he has always been ready and willing to perform his part of the contract and that the claim for specific performance of the agreement dt. 30-9-1965 was not hit by the provisions contained in S. 16 (c) of the Specific Relief Act.
Issues: 1. Whether the suit was barred by limitation under Art. 54 of the schedule to the Limitation Act? 2. Whether there was unconscionable delay on the part of the respondent plaintiff in filing the suit and consequently discretion should not have been exercised to decree specific performance of the agreement dt. 30-9-1965? 3. Whether the respondent failed to indicate that he was ready and willing to perform his part of the contract and there was no specific averment in the plaint of the respondent's readiness and willingness to perform his part of the contract?
Ratio Decidendi: 1. The period of limitation for specific performance of a contract is three years from the date fixed for the performance, or, if no such date is fixed, when the plaintiff has noticed that performance is refused (Art. 54 of the Limitation Act). 2. Mere delay without more extending upto the said period cannot possibly be a reason for a Court to exercise its discretion against giving a relief of specific performance (Satyanarayana v. Yellojirao, AIR 1965 SC 1405). 3. The words "ready" and "willing" imply that the plaintiff was prepared to carry out those parts of the contrct to their logical end so far as they depend upon his performance.
Final Decision: The appeal was dismissed.
( 1 ) DEFENDANT in O. S. No. 703 of 1981 on the file of the III Assistant Judge, City Civil Court, Hyderabad, is the appellant herein. The respondent plaintiff filed the suit bearing O. S. No. 703 of 1981 for specific performance of the agreement entered into between the appellant and the respondent on 30-9-65 and for permanent injunction restraining the appellant and his men from interfering in any manner with one acre, out of the 13 acres of the plaint schedule land, which was the subject-matter of the agreement for sale by the appellant to the respondent, under the above referred agreement. The trial Court decreed the suit filed by the respondent and directed the appellant to execute a regular deed of conveyance in favour of the respondent in respect of one acre out of the 13 acres of the plaint schedule property, as per the said agreement dt. 30-9-65 within two months and also directed division of the plaint schedule land and delivery of one acre out of the 13 acres to the respondent. In other words, the respondent s prayer for directing the specific performance of the agreement dt. 30-9-65 was allowed by the trial Court. The appellant filed an appeal, A. S. No. 302 of 1982, in the Court of the Chief Judge, City Civil Court, Hyderabad, challenging the decision of the trial Court. The first appellate Court confirmed the judgment and decree of the trial Court and dismissed the appeal.
( 2 ) IT is necessary to state the relevant facts: An agreement (Ex. A-1) was entered into between the appellant and the respondent on 30-9-65, according to which, the appellant agreed to sell to the respondent one acre out of the 13 acres of land in S. No. 194/8 in Begumpet, Secunderabad. The appellant purchased the 13 acres of land under a registered sale deed dt. 3-9-1965. Out of these 13 acres of land, one acre was agreed to be sold by the appellant to the respondent for consideration of Rs. 500/ -. Cl. 1 of the agreement is relevant and it is quoted below :"the 2nd among us (respondent hereinsic) will select 1 acre on one side of 13 acres plot described in the schedule within six months from this date and 2nd among us will get the same measured and partitioned immediately after the selection by the 2nd among us and the 2nd among us shall be put in physical possession of the same. "it may be mentioned that the entire extent of 13 acres of open land was one single plot and it was, therefore, provided in the agreement that the respondent shall select one acre on one side of the 13 acres plot within a period of six months from the date of the agreement and, after such selection by the respondent, the one acre shall be partitioned and the respondent shall be put in physical possession of the same and a proper deed of conveyance, executed by the appellant, in favour of the respondent. There is no information as to what happened subsequently. There appeared to be a complete lull. On 7-7-1975, the appellant wrote a letter to i the respondent, which inter alia contained a reference to the Begumpet land, covered by the agreement. The appellant referred to the possibility of a law soon, taking effect putting a ceiling on holdings of urban land. The appellant mentioned that, before the law is enacted, ways and means must be found to dispose of the land. The appellant also mentioned that he needed Rs. 5,000/-immediately "to sit at Hyderabad and get things done". It was also mentioned in the letter that, on account of the ceiling on the holdings of agricultural lands, the appellant was unable to get any money and requested the respondent to come to his rescue. Ultimately, the appellant required the respondent to remit to him as much money, as he could before the 13th July, 1975. There was apparently no response to this letter from the respondent. There was another letter dt. 1-9-75, addressed by the appellant to the respondent, wherein it was pointed out that the last date for conversion of inam land into patta land was fixed as 26th
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