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2010 Supreme(Bom) 958

In the High Court of Bombay at Nagpur
A.P. BHANGALE
Sarita Gopalkumar Chand
Versus
Madgu s/o Sitaram Ramteke & Others
FIRST APPEAL NO.1549 OF 2008
Decided on: 13-07-2010

Advocates Appeared
For the Appellant:A. Shelat, Advocate. For the Respondents:S.V. Sirpurkar, Advocate.

Headnote:

lis pendens - Ejectment Suit - Transfer of Property Act, 1882, Section 52 - The court discussed the nature, scope, and applicability of the doctrine of lis pendens and the requirements for its application. It highlighted the legal effect of transfer pendente lite and emphasized that any transfer of the suit property pending the hearing and disposal of the suit would be subject to the decree/judgment that may be passed in the suit. The court concluded that the plaintiff's title under a registered sale deed, though subject to a decree in a pending suit, cannot be considered void, and the rights of the transferee would depend upon the result of pending legal proceedings or suit in respect of the suit property. The court also emphasized that the effect of lis pendens is not to annul the conveyance but only to make it subservient to the rights of the parties to the litigation.

Fact of the Case:

The plaintiff filed a suit for ejectment and vacant possession of a property purchased under a registered sale deed, which was challenged by the defendants citing the doctrine of lis pendens.

Finding of the Court:

The court found that the plaintiff satisfactorily proved her title to the suit plot and was entitled to recovery of possession from the respondents. The trial court was in error in not passing a decree in favor of the plaintiff.

Issues: The issues revolved around the application of the doctrine of lis pendens, the legal effect of transfer pendente lite, and the rights of the transferee in a pending legal proceeding.

Ratio Decidendi: The court emphasized that any transfer of the suit property pending the hearing and disposal of the suit would be subject to the decree/judgment that may be passed in the suit. It concluded that the effect of lis pendens is not to annul the conveyance but only to make it subservient to the rights of the parties to the litigation.

Final Decision: The appeal was allowed, and the impugned judgment and order were set aside. The plaintiff was entitled to recovery of possession of the suit plot from the respondents.

Judgment :-

1. This Appeal at the instance of original plaintiff is directed against the judgment and order dated 25.9.2008 passed by learned 2nd Joint Civil Judge S.D., Nagpur in Special Civil Suit No. 575 / 2006 whereby the suit for ejectment and vacant possession filed by her, was dismissed.


2. Facts briefly are: Suit plot No.253 in CRS III Scheme NIT Middle Precinct, Ward No.24, District Nagpur, admeasuring 1500 sq.ft. was allotted on renewable leasehold rights to Tulsabai Mahagu Khobragade and Dattatraya Mahagu Khobgrade, on 24.5.1996 by Nagpur Improvement Trust. Mahagu expired on 13.3.1975 leaving his legal heirs wife Tulsabai and son Dattatraya. Tulsabai expired on 12.7.1998 leaving behind her sole heir Dattatraya Mahagu Khobragade to inherit all the rights in suit property. The plaintiff purchased the suit property for a sum of Rs.2,75,000/on 17.9.1998 after Dattatraya obtained consent from Nagpur Improvement Trust ( in short “ NIT”) for transfer in favour of the plaintiff.


3. During life time of Mahagu, he had permitted Sitaram Khobragade to use and occupy temporary structure 3000 st.ft. without any occupation charges. In 1997, Regular Civil Suit No. 902/1997 was filed by Mahagu and two others vs. Dattatraya and two others which was dismissed with cost. The dismissal was challenged in Regular Civil Appeal No. 482 of 1998 which is pending before the District Court, Nagpur. Said Sitaram Khobragade or his legal heirs i.e. defendants have no right/share in suit property. They failed to vacate despite notice served on 22.4.2006. According to defendants, sale deed in favour of the plaintiff is void as hit by doctrine of 'lis pendense'. The trial Court found favour with the defendant and recorded finding that the sale deed in favour of the plaintiff was hit by doctrine of 'lis pendense' while disbelieving the plaintiff's case, dismissed the suit.


4. Learned Advocate for appellant submitted that as on the date of Special Civil Suit No. 575/2006 filed in the Court of Civil Judge, Senior Division, Nagpur, RCS No. 902/1997 as well as appeal being RCA No. 482 /1998 therefrom were not pending. RCS No. 902/1997 was dismissed and RCA No. 482/1998 was also dismissed. The claim of adverse possession set up by the respondent was negatived and, therefore, there was no impediment for transfer in favour of the Plaintiff-appellant as no lis was pending. Therefore, trial Court ought to have decreed the Special Civil Suit No. 575/2006. Learned Advocate further submitted the trial Court ought to have understood the legal effect of the transfer pendente lite, that it would be subject to decree in pending legal proceedings and, as such, as on 25.9.2008 when Special Civil Suit No. No. 575 of 2006 was decided nothing was pending as RCS No. 902/ 1997 and RCA No. 482/1998 preferred therefrom, were also dismissed.


5. According to learned Advocate for respondents-seller Mahagu's wife had instituted Special Civil Suit No.343/ 2009 to set aside the sale. He, therefore, prayed for dismissal of appeal.


6. Learned counsel for the plaintiff-in-reply, submitted that subsequently instituted suit may be as a result of collusion between present occupier and legal representative of ex-lease holder. He made a reference to Amit Kumar Shaw & another vs. Farida Khatoon: ( 2005 ) 11 SCC 403, to argue that the Apex Court has explained the nature, scope and applicability of the doctrine of lis pendense. The requirements are :


(i) There must be suit or proceeding pending in a court of competent jurisdiction;


(ii) The suit must not be collusive;


(iii) The litigation must be one in which right to immovable property is directly and specifically in question;


(iv) Transfer of suit property by a party to a suit;


(vi) Such transfer must affect the rights of other party that may ultimately accrue under decree.


7. Section 52 of the Transfer of Property Act, 1882 embodies a doctrine that any transfer of the suit property pending the hearing and disposal of the suit would be


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