IN THE HIGH COURT OF CHHATTISGARH, BILASPUR
GOUTAM BHADURI, RADHAKISHAN AGRAWAL, JJ.
Rakesh Agrawal, S/o. Shri Raja Ram Agrawal - Appellant
Versus
Laljee, S/o. Shri Raja Ram Agrawal & Ors. - Respondents
FA No. 431 of 2019
Decided On : 29-04-2024
Family Partition - Property Dispute - Indian Registration Act - [KEYWORD] - [Property Dispute] - [Indian Registration Act] - [Section 17, Indian Registration Act] - The court discussed the family partition agreement and its admissibility as evidence, emphasizing the necessity of registration when the terms of family arrangements are reduced into writing by a document. The court highlighted the legal principles laid down by the Supreme Court in K. Arumuga Velaiah v. P.R. Ramasamy and another, emphasizing the requirement of registration for family arrangements reduced into writing.
Fact of the Case:
The plaintiff filed a suit against his brothers for declaration and permanent injunction regarding a property dispute arising from a family partition agreement. The trial court held that the plaintiff failed to prove the legality of the partition deed and dismissed the suit.
Finding of the Court:
The court found that the family partition agreement was not admissible as evidence due to its non-registration, and therefore, the plaintiff's claim for relief based on the agreement was not valid.
Issues: The issues revolved around the legality of the family partition agreement, the ownership of the disputed property, and the admissibility of the agreement as evidence.
Ratio Decidendi: The court emphasized the necessity of registration for family arrangements reduced into writing by a document, as per the legal principles laid down by the Supreme Court. It held that the non-registered family partition agreement was not admissible as evidence.
Final Decision: The court dismissed the appeal, affirming the judgment and decree of the trial court, as the family partition agreement was not admissible as evidence due to its non-registration.
JUDGMENT :
Goutam Bhaduri, J.
1. The instant appeal is against the judgment and decree dated 17th September, 2019 passed by the Court of IX Additional District Judge, Durg, District Chhattisgarh in Civil Suit No. 80-A/2016 whereby the suit bearing No. C.S.No.80-A/2016 filed by the plaintiff for declaration, execution of sale deed and permanent injunction regarding property of Survey Nos. 459, 460, 462 area 40000 sqft wherein the Petrol pump namely Gourav Filling Station established over 10,000 sqft and the office of the same with its operation existing over 30,000 sqft situated at village Kohka, Tehsil, Bhilai, District Durg was dismissed.
2. The brief facts as pleaded in the plaint are that plaintiff Rakesh Agrawal, son of Raja Ram Agrawal filed a suit against his brothers namely defendants Lalji, Shivram and Vivek Kumar for declaration and permanent injunction inter-alia stating that the plaintiff and the defendants are the real brothers and constituted a joint family but subsequently they got separated. It was stated that one Company namely M/s. Ganesh Olio Chemical Pvt. Ltd was being run and operated at Raipur and the brothers inter-se entered into a family arrangement and got separated their shares. According to the plaintiff, the partition agreement (Ex.P-1) akin to Ex.P-12 was executed in between the brothers and as per the terms of agreement, (i) the disputed property namely Gourav Filling Station situated at Vaishali Nagar, Industrial Estate Kohka was being run in the name of Shiv Ram Agrawal and after the partition, the said petrol pump was agreed to be run by the plaintiff Rakesh Agrawal and it was further decided that the transfer-deed would be executed in respect of the said petrol pump as per the partition; (ii) It was further agreed therein the joint property situated at District Bharuch Gujarat was in the name of Rakesh Agrawal and after the partition, the same was to be recorded in the name of brother Shiv Ram Agrawal; (iii) another joint property which was in the name of Sakti Roadways and was operating at Raipur wherein different tankers, luxury buses were also partitioned and 3 residential houses of the joint property was also subject of partition. It was further stated that a house situated at Alkapuri Society in the name of plaintiff Rakesh Agrawal which was mortgaged with the Bank would be discharged by him on payment of dues of the Bank.
3. Reading of plaint averments would go to show that according to the family partition deed dated 12.7.2014, different properties were partitioned. The subject property in the suit is the petrol-pump which stands established over Kh. Nos. 459, 460 & 462 admeasuring 40000 sqft. The plaintiff claimed that it fell to the share of plaintiff and the defendant no.2 Shiv Ram Agrawal is not entitled to sell the same. By way of amendment, the plaintiff claimed that on the basis of partition deed, since the petrol pump situated over the aforesaid land bearing Khasra numbers area 40000 sqft (supra) has fallen to the share of the plaintiff, the decree be passed directing defendant no.2 to execute the sale deed in favour of plaintiff and further sought per permanent injunction in respect of the suit property.
4. Defendants 1 & 3 supported the case of plaintiffs and stated that as per the partition, both the movable and immovable properties on the basis of family partition Ex.P-12 fell to the share of plaintiff. One of the brothers defendant no.2 namely Shiv Ram Agrawal denied the claim. It was stated that he is the proprietor and is in possession of the disputed property i.e., petrol pump. It was further stated that the defendant was residing at Gujarat and was running business over there and the plaintiff has not provided the account of disputed property since 2004 to 2013 and in respect of management/running of the petrol pump on the basis of power of attorney, it was alleged that it has been forged for which different FIRs were also lodged against the plaintiff. It was stated that the
K. Arumuga Velaiah Versus P.R. Ramaswamy and another
Oral family settlements are valid and require no registration if acknowledged by all parties, and prior admissions bind parties in subsequent related suits.
An unregistered document that creates or extinguishes rights in immovable property for the first time requires mandatory registration. If such a document is the sole basis of a suit and lacks registr....
Point of law : Family property - Settlement - Admission - Statement made in the earlier plaint constitutes an admission under Order XII Rule 6 CPC. Thus, the Plaintiffs would be bound by the said adm....
Existence of an unregistered family arrangement deed does not confer partition rights absent proper registration and stamp duty where required by law.
Family settlements are binding and enforceable even if not registered; parties must challenge prior arrangements within limitation periods to maintain claims.
The family settlement, though unregistered, operated as estoppel against the signatories and partitioned the suit properties among the plaintiff and Defendants 1 to 3. The plaintiff was estopped from....
(1) A document of partition which provides for effectuating a division of properties in future would be exempt from registration--Memorandum of understanding/family arrangement do not require registr....
Login now and unlock free premium legal research
Login to SupremeToday AI and access free legal analysis, AI highlights, and smart tools.
Login
now!
India’s Legal research and Law Firm App, Download now!
Copyright © 2023 Vikas Info Solution Pvt Ltd. All Rights Reserved.