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2025 Supreme(AP) 652

IN THE HIGH COURT OF ANDHRA PRADESH AT AMARAVATI
VENUTHURUMALLI GOPALA KRISHNA RAO, J.
Parasa Bhaskar Rao, (DIED) - Appellant 
Versus
Dokku Govindarajulu, (DIED) – Respondent 
SECOND APPEAL NO: 234 of 2022
Decided on : 14-07-2025

Advocates:
Advocate Appeared:
For the Appellant : A S C BOSE
For the Respondent: NARASIMHA RAO GUDISEVA, M SRI ATCHYUT

Time is of the essence in contracts, and failure to perform within the agreed timeline results in the claim being barred by limitation under the Specific Relief Act.

Headnote:(A) Code of Civil Procedure, 1908 - Section 100 - Second appeal against concurrent findings of fact - Second appeal dismissed at the stage of admission, confirming trial and appellate court's judgments; essential contractual obligation not performed; plaintiff's suit was hopelessly barred by limitation. (Paras 15, 20, 28)

(B) Specific Relief Act, 1963 - Section 20 - The court's discretion is preserved regarding specific performance; not bound to grant merely because lawful; motives considered. (Paras 27, 28)

Facts of the case:
The plaintiff initiated O.S.No.205 of 2007 for specific performance of an agreement of sale originally dated 04.02.1994, wherein Rs.50,000/- was paid as advance, but the plaintiff failed to pay the balance amount by the stipulated date. The suit was filed 13 years later.

Findings of Court:
The trial court dismissed the suit for being barred by limitation; first appellate court confirmed this dismissal.

Issues: The issues revolved around the enforceability of the sale agreement and the timing of legal actions taken post-deadline for performance.

Ratio Decidendi: The court emphasized that time is of the essence in contracts, and the longest time allowable for filing specific performance claims is three years from the performance date. Both courts found the plaintiff's claims meritless and late.

Result: Second appeal dismissed.

Table of Content
1. filing process and background of the case (Para 1 , 2 , 3 , 4 , 5)
2. details of the contractual agreement and defendant's defenses (Para 6 , 7 , 8 , 9)
3. trial issues framed based on complaints and defenses (Para 10 , 11)
4. arguments and points of consideration in the appeal (Para 12 , 13 , 14)
5. importance of substantial question of law in appeals (Para 15 , 16 , 17)
6. determining shortcomings in plaintiff's claim based on limitation (Para 18 , 19 , 20)
7. interpretation of limitation laws and enforceability of agreement (Para 21 , 22 , 24 , 27)
8. final judgment on the appeal and its implications (Para 28 , 29)
9. conclusion of the judgment and dismissal of the appeal (Para 30)

JUDGMENT :

VENUTHURUMALLI GOPALA KRISHNA RAO, J.

1. This second appeal under Section 100 of the Code of Civil Procedure (“C.P.C.” for short) is filed aggrieved against the Judgment and decree, dated 07.01.2022in A.S.No.165 of 2018, on the file of the IX Additional District & Sessions Judge, Krishna, Machilipatnam (“First Appellate Court” for short), confirming the Judgment and decree, dated 18.07.2018in O.S.No.205 of 2007, on the file of Principal Senior Civil Judge, Machilipatnam (“Trial Court” for short).

2. The 2ndappellantherein is the2nd plaintiff and respondent Nos.1 to 7 herein are the defendants in O.S.No.205 of 2007.

During the pendency of the suit, the sole plaintiff died and his legal representative was brought on record as 2nd plaintiff. During the pendency of the first appeal, the 1st respondent died and his legal representative brought on record as 8th respondent.

3.The deceased sole plaintiff initiated action in O.S.No.205 of 2007 with a prayer for specific permanence of suit contract directing the defendants to execute a regular registered sale deed in favour of 2nd plaintiff and for alternative prayer if any reason, the Court is not inclined to grant a decree for specific performance, to grant a decree for refund of Rs.50,000/- together with interest at 12% per annum against the defendants with a charge over the plaint schedule property from the date of contract till the date of suit and for costs of the suit.

4. The trial Court dismissed the suit without costs. Felt aggrieved of the same, the unsuccessful 2nd plaintiffin the above said suit filed A.S.No.165of 2018 before the First Appellate Court. The First Appellate Court dismissed the appeal confirming the decree and judgment passed by the trial Court. Aggrieved thereby, the unsuccessful 2nd plaintiffin the above suit approached this Court by way of second appeal.

5. For the sake of convenience, both parties in the appeal will be referred to as they are arrayed in the original suit.

6. The case of the plaintiffs, in brief, as set out in the plaint averments in O.S.No.205of 2007, is as follows:

On 04.02.1994 the defendants entered into an agreement of sale to sell the plaint schedule property for Rs.4,25,000/- to the 1st plaintiff and received Rs.50,000/- as advance and agreed to execute registered sale deed on 15.05.1994after receiving balance amount of Rs.3,75,000/-. Later, the defendants did not come forward to execute registered sale deed stating that there was pending tenancy litigation between them and their elder brother D. Edukondalu. On 08.08.2007, the plaintiff got issued a legal notice to the defendants. The defendants got issued a reply notice on 17.08.2007. The 1st defendant executed gift deed in favour of 3rd defendant in respect of Ac.0-88 cents. The 4th defendant executed gift deed in favour of 3rd defendant in respect of Ac.1-00 cents of land. The 3rd defendant executed three gift deeds in favour of the defendant Nos.5 to 7. The 3rd defendant again executed another gift deed in favour of 6th defendant and that the 1st plaintiff is constrained to file the suit.

7. The defendant Nos.1 and 4 filed written statement before the trial Court contending that the defendant Nos.1 and 4 are residents of Hyderabad and they never authorized defendant Nos.2 and 3 to enter

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