High Court Of Delhi
JASBIR SINGH BAJAJ - Appellant
Versus
GURDEEP SINGH BAJAJ - Respondent
Suit 3070 of 1989
Decided On : 09/14/2001
Family Arrangement - Property Rights - The court held that an oral settlement together with a memorandum reciting the earlier settlement does not require registration, as per the decision of the Supreme Court in Teh Bahadur Bhujil vs. Debi Singh Bhujil and Ors. AIR 1966 SC 292 and Roshan Singh and Ors. vs. Zile Singh and Ors. AIR 1988 SC 881.
Fact of the Case:
The plaintiff filed a suit seeking a declaration as the sole owner of leasehold rights of a property. The parties had arrived at an oral settlement which was subsequently reduced into writing, but the defendants claimed that the document required registration.
Finding of the Court:
The court found that the oral settlement together with a memorandum reciting the earlier settlement did not require registration, based on the Supreme Court decisions in Teh Bahadur Bhujil vs. Debi Singh Bhujil and Ors. AIR 1966 SC 292 and Roshan Singh and Ors. vs. Zile Singh and Ors. AIR 1988 SC 881.
Issues: Dispute over ownership of property rights, requirement of registration for the written settlement.
Ratio Decidendi: An oral settlement together with a memorandum reciting the earlier settlement does not require registration, as per the Supreme Court decisions.
Final Decision: The court decreed the suit in favor of the plaintiff, holding that the plaintiff is the owner in possession of the leasehold rights of the property.
( 1 ) PLAINTIFF Jasbir Singh Bajaj has filed the present suit seeking a declaration that he is the sole owner of lease hold rights of Plot No. 16, Block No. 48, Malcha Marg Commercial cun-Residential Premises, New Delhi.
( 2 ) THE facts alleged are that plaintiff and defendants 1, 2 and 4 are brothers. They are sons of late Inder Singh Bajaj who died on 24/7/1987. The wife of Shri Inder Singh Bajaj had already died on 4/10/1985. Inder Singh Bajaj and Narinder Kaur had executed Wills dated 16/12/1985 and 3/5/1983 according to which they bequeathed their share in immovable property to plaintiff and defendants 1, 2 and 3 besides certain amounts given to the daughters. There were various conflicting claims and counter claims with respect to the moveable and immovable properties. For the sake of peace and preservation of honour and dignity of the family and through the good offices of Harbajan Singh Narula the plaintiff and defendants in order to resolve all family disputes voluntarily settled their controversy and an oral settlement was arrived at on 15/10/86. The parties divided the properties by notes and bounds, as a result of which the plaintiff became the absolute owner of plot no. 16, Block 48, Malcha Marg Commercial-cum-Residential Premises. Details have been given about other properties uhich fell to the share of the defendants. Subsequently the same was reduced into writing, on 31/12/1986. The oral family settlement in this process was incorporated therein. Plaintiff claims that clouds are being cast on his right to the property at Malcha Marg hence the present suit for declaration.
( 3 ) ON 21/7/1992 defendant no. 1 was appointed as the guardian ad litem of defendant no. 8 who was a minor, defendant no. 2 was appointed as guardian ad litem of defendant no. 10 and defendant, no. 11 was appointed as guardian ad litem of defendants 12 and 13 while defendant no. 3 was appointed as such of defendants 15 to 18.
( 4 ) IN the joint written statement filed it is not denied that disputes had arisen and oral settlement was arrived at. It was subsequently reduced into writing. However, it was alleged that the document required registration and in the absence of the same it cannot be given effect to.
( 5 ) THERE uas no appearance on behalf of the defendants. On 15/11/2000 and 12/3/2001 besides 9/4/2001. Today there was no appearance on behalf of defendants. In these circumstances the court did not have the advantage of hearing of defendants learned counsel.
( 6 ) FROM the pleadings of the parties it is obvious that it is admitted that there uas an oral settlement which was subsequently reduced by way of memorandum with respect to the past transaction.
( 7 ) THE only objection taken up was that the transaction that was so arrived at subsequently required registration.
( 8 ) THE said plea is totally devoid of any merit and the answer is provided by the decision of the Supreme Court in the case of Teh Bahadur Bhujil vs. Debi. Singh Bhujil and and Ors. AIR 1966 SC 292. The Supreme Court held :-
"family arrangement as such can be arrived at orally. Its terms may be recorded in writing as a memorandum of what had been agreed upon between the parties. The memorandum need not be prepared to the purpose of being used as a document on which future title of the parties be founded it is usually prepared as a record of uhat had been agreed upon so that there be no hazy notions about it in future. It is, only when the parties reduce the family arrangement in writing with the purpose of using that writing as proof of what they had arranged and, where the arrangement is brought about by the document as such, that the document would require registration as it is then that it would be a document of title declaring for future what rights in what properties the parties possess. . . . . . . . The document, to our mind, is nothing but a memorandum of what had taken place and, therefore, is not a document which would require compulsory registr
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