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2006 Supreme(AP) 935

2006 (6) ALT 266
V. ESWARAIAH, J.
Appeal Suit No. 646 of 1997
Decided on 21-8-2006.
P. Prabhakar Rao and another
vs.
Y. Venkata Mohan Rao.
Advocate Appeared
M/s. M.S. Ramachandra Rao and M. Krishna Mohan Rao, Advocates for the Appellants.
Mr. T. Bali Reddy, Senior Advocate for Mr. K. Venkat Reddy, Advocate for the Respondent.

Headnote:SPECIFIC RELIEF ACT, Sec.20 - EVIDENCE ACT - Suit for specific performance of agreement of sale - Defendant contends that agreement cancelled since plaintiff not paid balance sale consideration and that time is essence of contract - Trial Court decreed suit drawing adverse inference for failure of defendant to submit reply.

       Exchange of notices would only at utmost constitute demand and refusal in writing, but absence thereof would not either way constitute an admission - Even failure to issue notice cannot be said to be absence of demand nor failure to reply to such notice would amount to an admission of claim made in notice - Such omission would not amount to a tacit consent in respect of demanded liability.

       Plaintiff failed to prove averments made in plaint with regard to payment of balance sale consideration as there is neither endorsement on agreement of sale nor any receipt from defendant - Plaintiff gave conflicting versions and false statements in his deposition - Plaintiff who sets up false case cannot expect Court of equity to grant him relief and also plaintiff who sets up false plea of payment and failed to substantiate that he is always ready and willing to perform his part of contract cannot seek relief of specific performance.

       Plaintiff not entitled to relief of specific performance of agreement of sale and he is only entitled to alternative relief of return of amount - Judgment and decree of trial Court, set aside - Appeal, allowed.

JUDGMENT

This appeal is directed against the judgment and decree dated 03-12-1996 passed in O.S.No.35 of 1993 by the Additional District Judge, Ranga Reddy District.

2. The appellants herein are the defendants in the suit O.S.No.35 of 1993 filed by the plaintiff/respondent herein for specific performance of the agreement of sale dated 10-10-1979. Originally the suit was numbered as O.S.No.241 of 1980 on the file of the III Additional Judge, City Civil Court, Hyderabad, which was transferred to the Additional District Court, Ranga Reddy District and numbered as O.S.No.425 of 1982, later transferred to Sub-Court, Ranga Reddy District and numbered as O.S.No.603 of 1983 and again transferred to the Court of Additional District Judge, Ranga Reddy District, which was numbered as O.S.No.35 of 1993. The learned Additional District Judge by judgment dated 3-12-1999 decreed the suit with costs. Aggrieved by the said judgment and decree the defendants therein preferred this appeal. The parties herein are referred to as they were arrayed in the suit.

3. It is the case of the plaintiff that he and the defendants got acquainted with each other through one M. Brahma Reddy and that the defendants are related to each other as brothers-in-law. The defendants approached the said Brahma Reddy to introduce any friend of his to purchase their plot admeasuring 21/2 acres bearing S.Nos.181 , 182 and 163 situated at Peda Amberpet, Ranga Reddy district. Accordingly, the plaintiff was introduced to the defendants and after some negotiations the plaintiff agreed to purchase the said land at the rate of RS.1 0,000/- per acre totalling to Rs.25,000/- for entire suit schedule property and it was also agreed upon by the parties that the plaintiff would pay Rs. 15,000/- towards earnest money and advance. All this took place in the presence of Brahma Reddy, who being a common friend of the plaintiff as well as the defendants. An agreement of sale was prepared on 10-10-1979 and the advance and earnest money was mentioned as Rs.15,000/-. After signing the agreement when the defendants demanded an extra amount of Rs.6,500/-, the plaintiff expressed his inability to meet the demand as he had no prior information or such request was (sic. not) made to him. However, the plaintiff paid Rs.15,000/- and the same was acknowledged by the defendants in the agreement of sale dated 10-10-1979. When the plaintiff was pressurized to pay Rs.6,500/- the said Brahma Reddy at the instance of the plaintiff issued a cheque bearing No. SB/R. 128682 dated 10-10-1979 for the said amount in favour of the second defendant and the balance to be paid by the plaintiff to the defendants for the sale price of the suit land fixed at Rs.25,000/- was only Rs.3,500/-.

4. It is his further case that he performed a very major part of the contract when he paid 3/4th of sale price for the suit schedule land and took possession of the said land towards part performance of the contract. The defendants agreed to complete all formalities by producing the necessary title deeds and other documents to the plaintiff before drawing up the sale deed. The said Brahma Reddy approached the defendants several times since the agreement of sale requesting them to perform their part of the contract and further informed that the plaintiff was ready with Rs.3,500/- the balance of total consideration, but the defendants went on postponing the date of registration on some pretext or other. On 02-11-1979 the plaintiff sent a letter under certificate of posting to the defendants to produce the necessary documents and convey the suit property to him by 10-11-1979.

However, when the defendants attempted to sell the suit schedule land the plaintiff by way of abundant caution issued a telegraphic notice through his counsel on 29-11-1979 informing the defendants to complete the sale transaction immediately and also published a notice in Deccan Chronicle on 01-12-1979. The plaintiff also issued a detailed notice to the defendants on

















































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