2019 Supreme(Chh) 636
IN THE HIGH COURT OF CHHATTISGARH AT BILASPUR
PRASHANT KUMAR MISHRA, VIMLA SINGH KAPOOR, JJ.
ANIL MISHRA - Appellant
Vs.
RAMPAL BORKAR - Respondent
First Appeal No. 278 of 2015
Decided On : 11-01-2019
Prasoon Agrawal, Adv., Hemant Gupta, Adv., Shashank Thakur, Adv.
Headnote:
Specific Relief Act, 1963 - Section 17 and 20(2) - Hindu Succession Act - Section 8 - Property - Sale deed – Partition - Suit for specific performance of agreement - Property belonging to ancestors of defendants No.1 to 3 devolved on them upon death of their mother - Their names are recorded as joint owners in revenue record but according to plaintiff, partition has already taken place amongst defendants in which defendant No.1 was allotted 1/3rd share admeasuring 0.79 acre - Defendant No.1 approached plaintiff for sale of his share i.e. 0.79 acre at rate per acre - Negotiation was finalised in presence of witnesses & and defendant No.1 received two cheques to tune in total as advance and executed agreement - Defendant No.1 requested that for purpose of payment of stamp duty he desires to mention market value of property at rate per acre albeit he will accept sale consideration at rate per acre - After this agreement between the parties another registered agreement was executed by defendant No.1 – Held, agreement (Ex.P/1) it is mentioned in para 6 that sale deed shall be executed by defendant No.1 within 10 months in favour of plaintiff or in favour of any other person indicated by plaintiff, therefore, agreement was not benefiting plaintiff only, but it could have been in favour of any other person to whom plaintiff wants to sale property - Such term in contract is usually inserted when either plaintiff has no means to purchase property at time of agreement or he subsequently intends to get sale deed executed in favour of a person of his choice and in such condition plaintiff works as a middle man or property dealer - Plaintiff has not filed any document nor there is any explanation as to why value of property was earlier shown per acre and later on it was reduced per acre and further that plaintiff has failed to prove availability of funds for purchasing the property - If intention to show less value of the property was to avoid stamp duty it is again such conduct of plaintiff, which disentitles him to discretionary relief of specific performance contract - Court are of considered view that agreement to sale undivided share in property is not enforceable in view of Section 17 of the Act and further plaintiff being a property dealer, his failure to submit proof of availability of fund disentitles him for a decree for specific performance - In the result, appeal, sans merit is liable to be and is hereby dismissed.
Prashant Kumar Mishra, J.
Trial Court has dismissed the appellant/plaintiff's suit for specific performance of agreement dated 1-10-2008 for an area admeasuring 0.79 acre out of total area of 0.968 hectares (2.38 acres) bearing khasra No.1355/1 situated at village Tifra, PH No.23, Tahsil & District Bilaspur.
2. The property belonging to the ancestors of the defendants No.1 to 3 devolved on them upon death of their mother namely; Smt. Padmini Bai. Their names are recorded as joint owners in the revenue record, but, according to the plaintiff, the partition has already taken place amongst the defendants in which the defendant No.1 was allotted 1/3rd share admeasuring 0.79 acre. The defendant No.1 approached the plaintiff for sale of his share i.e. 0.79 acre at the rate of Rs.42,00,000/- per acre. The negotiation was finalised in the presence of witnesses Bharti & Rajesh and the defendant No.1 received two cheques to the tune of Rs.1,70,000/- & Rs.80,000/-, in total Rs.2,50,000/- as advance and executed the agreement on 1-10-2008. As the execution of sale deed might have taken some time, the defendant No.1 requested that for the purpose of payment of stamp duty he desires to mention the market value of the property at the rate of Rs.11,00,000/- per acre albeit he will accept the sale consideration at the rate of Rs.42,00,000/- per acre. After this agreement between the parties another registered agreement was executed by the defendant No.1 on 7-3-2009. The plaintiff further averred that the defendant No.1 moved an application for separation of his holding before the Tashildar, Bilaspur, but during pendency of the suit the defendants No.1 to 3 joined hands and withdrew the application so as to avoid execution of sale deed in favour of the plaintiff.
3. The defendant No.1 filed his own written statement whereas the defendants No.2 & 3 jointly filed a separate written statement. According to the defendants, the land was purchased by their mother Smt. Padmini Bai and after her death all the legal heirs have inherited equal share in the property though only the defendant No.1 is in possession of the land. It was also stated that the mental condition of the defendant No.1 was not proper, therefore, the plaintiff took advantage of the situation and got executed the agreement as also the revenue proceedings. It was further stated that the defendant No.1 has not got any share up to 0.79 acre as no partition has ever taken place amongst legal heirs. It was specifically pleaded in para 4 of the written statement that the appellant is a property dealer.
4. The plaintiff examined himself as PW-1 and his witness S.L. Bharti (PW-2) whereas the defendant No.1 examined himself as DW-1 and his witnesses Shiv Shankar Humne (DW-2) and Ramkali Nagdone (DW-3). Defendant No.2 examined himself as the only witness.
5. The trial Court has dismissed the suit on the ground that an agreement to sell the property could not have been executed nor any such decree of joint property can be passed unless the other shareholders agree. It is also found by the trial Court that the plaintiff has failed to demonstrate his readiness and willingness to purchase the property.
6. Challenging the decree, it is argued that the trial Court's finding about the impermissibility of an agreement to sell a joint property is not in accordance with law and further that the plaintiff has proved his readiness and willingness.
7. Admittedly, the suit property is recorded jointly in the name of the defendants No.1 to 3 as is reflected in the documents Ex. P/3 & Ex.P/4 as also Ex.D/2 to Ex.D/5.
8. The law as to when the contract to sell or let property by one who has no title is not specifically enforceable as contained in Section 17 of the Specific Relief Act, 1963 (for short 'the Act'). While dealing with the said provisions the Supreme Court in Pemmada Prabhakar and Others v. Youngmen’s Vysya Association and Others, (2015) 5 SCC 355 held thus in paras 27, 28 & 29 :
27. With reference