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1996 Supreme(Bom) 327

IN THE HIGH COURT OF BOMBAY
(PANAJI BENCH)
R.K. Batta, J.
Dr. Fondo Shivram Dessai and others ....Appellants.
Versus
Shri Mahendra Shivram N. Dessa and others ....Respondents.
Civil Revision Application No. 22 of 1994, decided on 24-6-1996.
Advocates appeared:
M.P. Almeida, for the appellants.
Nitin Sardessai, or the respondents.

Headnote:Order XXIII, Rule 3-Nonfiling of compromise/agreement for more than two years-Property dispute-Term of guidelines not followed-None of party applying for Order XXIII, Rule 3-HeldCompromise term not followed for more than 4 years-Evidence recorded-Dismissal of application by trial Court for a decree under Order XXIII, Rule 3, CPC with reasoned order-Proper.- Taking into consideration the above mentioned circumstances and the conduct of the parties in not filing the said agreement for a period of over two years in the Court and none of the parties applying for an order under Order XXIII, Rule 3, CPC except on 5.11.1992, it Is crystal clear that the parties did not intend to act upon the said compromise/agreement.

       Not only none of the parties filed any application under Order XXIII. Rule 3, CPC for a period of more than 4 and half years from the date of the said compromise/agreement but the parties continued to proceed with the suit and, in that process, even the evidence of the plaintiff was also started gives a clear indication that the said agreement did not bind the parties and the parties never intended to act upon the said compromise/agreement.

       The said compromise/agreement was never pursued by any of the parties to the suit and, on the contrary, the parties proceeded with the suit and it was only at a much later date that defendant Nos. 1 and 2 sought to file application on 5.11.1992 for a decree under Order XXIII, Rule 3. CPC which was rightly dismissed by the trial Court by a reasoned order.

JUDGMENT- R.K. BATTA, J.:---The petitioners (defendants Nos. 1 and 2 and defendants Nos. 5 and 6 in the suit) had filed an application on 5-11-1992 under Order 23, Rule 3, C.P.C. in which it was prayed that this suit may be decreed in terms of compromise/agreement dated 23-4-1988. This application was dismissed by impugned order dated 16th September, 1993 by Civil Judge, Senior Division, Margao and it is this order which is challenged in revision.

2.Learned Advocate Shri M.P. Almeida took me through the contents of the said compromise/agreement and submitted that the same is a concluded agreement and nothing more remained to be done by the parties; that whatever was left to be done under the said compromise/agreement could be subject-matter of execution; that the said compromise/agreement is not opposed by the opposite party on grounds of undue influence, fraud or plea of like nature; that the execution of the said compromise/agreement has not been denied by the parties and that in a suit for partition whatever was required to be done was done under the said compromise/agreement and nothing remained to be done any further. Relying upon a number of judgments of the Bombay High Court in (Keshav s/o Dattram v. Yamunabai w/o Nagoba)1, 1986(1) Bom.C.R. 81, (Union Bank of India v. Shri Byram Pestonji Gariwala and others)2, 1991(1) Bom.C.R. 575, (R.V. Kulkarni v. Messrs. La Builde Corporation and others)3, 1994(4) Bom.C.R. 46 and (Ratanchandra and another v. Mrs. Suruchi Chand and others)4, 1995 A.I.H.C. 191, it was contended by learned Advocate Mario Almeida that the trial Judge had erred in not allowing the application in question and that the impugned order be set aside and necessary orders be passed under Order 23, Rule 3, C.P.C.

3.On the other hand, Advocate Shri Nitin Sardessai has objected to the grant of relief sought by the petitioners on the ground that it is apparent from the terms of the said compromise/agreement that it was not a concluded agreement and that many things had remained to be done including draft consent terms. According to Shri Sardessai, the said compromise/agreement was merely a guideline which the parties had agreed for the settlement of the matter in pursuance of which the final terms were still to be agreed. He took me through letter dated 18-10-1988 which further gives an indication that the said compromise/agreement was not a final document, but that certain things had to be done and since the same were not done, the respondents had repudiated the said agreement. He also dwelt on the question of conduct of parties and submitted that the conduct of parties gives a clear indication that the said compromise/agreement was not intended to be acted upon by the parties. He, therefore, submits that the revision is liable to be dismissed.

4.In a suit for partition between the brothers which was filed in the year 1985, a document called "terms of compromise" was executed on 23rd April, 1988. The said agreement provided for arrangements for distribution of houses and paddy field. The terms of the said compromise - some of which will be referred hereinafter - give a clear indication that the said document cannot be treated as a concluded compromise/agreement since many things are required to be done under the said compromise/agreement so as to attain finality. The agreement provided that the paddy fields shall be divided into 4 equal parts maintaining as far as possible the continuity making necessary adjustments. Therefore, maintenance of continuity by making necessary adjustments was still required to be done under the said document. The agreement further provided that the division of paddy fields shall be done in consultation with Pratap and Arvind which was again required to be done under the said document. Another term therein was that it was further agreed that consent terms shall be drafted and shall be filed in the Civil Suit No. 174 of 1985. It further provided that a consent decree with actual plans showi










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