Andhra Pradesh High Court
Yelchuri Venkateswarlu - Appellant
Versus
Nukala Venkata Narasimham - Respondent
Decided On : 09-18-56
RES JUDICATA - SALE DEED - CONSIDERATION - BURDEN OF PROOF - MITAKSHARA LAW - SON'S LIABILITY FOR FATHER'S DEBTS - TRANSFER OF PROPERTY ACT, SECTION 55, CLAUSE 6 (B) - CHARGE ON PROPERTY.
Fact of the Case:
Plaintiffs filed a suit for recovery of Rs. 6,200 with interest from the first defendant personally and the properties of the joint family in his hands. The first defendant sold an ancestral house to the 2nd plaintiff for Rs. 4,000. The minor son of the first defendant brought a suit for recovery of possession of the house, impeaching the sale as devoid of consideration and not binding on the joint family. The trial Court declared the sale not to be binding on the joint family and ordered it to be cancelled. The plaintiffs then brought the present suit for recovery of Rs. 6,200 and interest as upon a failure of consideration for the sale deed.
Finding of the Court:
The Court held that the finding in the prior litigation that there was no consideration for the sale deed operated as res judicata. However, the Court found that the appellate Court in the prior litigation did not give a finding on the issue of consideration but confirmed the decree of the trial Court on the ground that the sale was for a consideration not binding on the joint family. Therefore, there was no final decision on the question whether the sale deed was supported by any consideration at all and if so, to what extent.
Issues: 1. Whether the finding in the prior litigation that there was no consideration for the sale deed operated as res judicata? 2. Whether the sale deed was supported by consideration and if so, to what extent?
Ratio Decidendi: 1. The Court held that the finding in the prior litigation that there was no consideration for the sale deed did not operate as res judicata because the appellate Court in the prior litigation did not give a finding on the issue of consideration but confirmed the decree of the trial Court on the ground that the sale was for a consideration not binding on the joint family. Therefore, there was no final decision on the question whether the sale deed was supported by any consideration at all and if so, to what extent. 2. The Court held that the sale deed was supported by consideration to the extent of Rs. 4,000 as recited in the deed. The Court found that the first defendant admitted the execution of the promissory notes and the loan, and that there was ample evidence to prove that the sale deed was supported by consideration to the extent of Rs. 4,000 as recited in the deed.
Final Decision: The Court modified the decree of the lower court and held that the first plaintiff was entitled to a charge for the amount claimed by him on a moiety of the property covered by the sale deed. The second defendant was given three months' time for payment of the decretal amount. In default of such payment, there would be a final decree for sale of a moiety of the property covered by the sale deed.
( 1 ) THIS is an appeal from the decree of the Subordinate judge of Bapatla dismissing a suit filed by two plaintiffs for recovery of Rs. 6,200 with interest from the first defendant personally and the properties of the joint family in his hands. The second defendant, the minor son of the first defendant, got himself impleaded as a party to the suit so as to enable him to contest the claim of the plaintiffs. The first plaintiff is the daughter s son of the and plaintiff the latter being alleged to be a benamidar for the former. The first plaintiff is the appellant before us, the second plaintiff being the 3rd respondent.
( 2 ) ON 22nd February, 1945, the first defendant sold under Exhibit A-1 an ancestral house belonging to himself and his minor son to the 2nd plaintiff for Rs. 4,000. The minor son, the present second defendant brought O. S. No. 56 of 1946 on the file of the Sub-Court, Bapatla, for recovery of possession of the hourse impeaching the sale under Exhibit A-1 as being devoid of consideration and not binding on the joint family, impleading his father and the purchaser as defendants to the suit. The trial Court declared the sale not to be binding on the joint family and ordered it to be cancelled and its decree was affirmed by the District Court on appeal in a. S. No. 189 of 1948. There is good reason to think that the father was behind his minor son in starting and conducting the suit. The present suit was then brought for recovery of Rs. 6,200 and interest as upon a failure of consideration for Exhibit a-1. The suit was dismissed by the Court below on two grounds: (1) that Exhibit a-1 was in fact not supported by consideration and (2) that the finding in the prior litigation that there was no consideration for Exhibit A-1 operated as res judicata. The appellant challenges the correctness of this conclusion. The Advocate for the contesting respondents having reported that he had no instructions to conduct case, we have gone into the evidence fully. The point of res judicta will first be dealt with.
( 3 ) ACCORDING to the Court below there was an adverse decision in the previous litigation to which the second plaintiff was a party, that Exhibit A-1 was not supported by consideration and that though the second plaintiff and first defendant were ranged as co-defendants in that suit, the decision on the issue as to consideration nevertheless operated as res judicata between them. On the admission of the first plaintiff that the second plaintiff, who was a party to the prior litigation, was his benamidar, it must be held that the second plaintiff fully represented him in the prior litigation and the first plaintiff, the person claiming to be beneficially entitled, though not a party, is fully affected by the rule of res judicata. Gurnarain v. Sheo Lal singh, (1918) L. R. 46 LA. 1 : 36 M. L. J. 68 : I. L. R. 46 Cal. 566 (P. C. ). is sufficient authority for the view that a benamidar represents the real owner and a decree obtained against the benamidar binds the real owner. The further question is, what was the decision in the prior litigation that could be relied upon as res judicata. The Court below went wrong in its discussion of this point. It is true that in trial Court evidence was adduced and a decision was given on the issue as to the existence of consideration for Exhibit A-1 and the decision was adverse to the present and plaintiff, the benamidar. But then the matter went up on appeal. The appeal destroyed the finality of the judgment of the trial Court and the appellate judgment superseded that of the trial Court. It is the appellate judgment that has to be looked to determine the question of res judicata. Annamalai v. Thorn- hill, (1931) 61 M. L. J. 420 (P. C. ). Sheosagar v. Sitaram, (1897) I. L. R. 24 Cal. 616 : L. R. 24 LA. 50 (P. C. ). Abdullah v. Ganesh Das, (1917) i. L. R. 45 Cal. 442 ; L,r. 44 LA. 213 : 34 M. L. J. 12 (P. C. ). Now the appellate Court rested its conclusion not on t
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