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2014 Supreme(Del) 2369

High Court of Delhi
GITA MITTAL & SUNIL GAUR, JJ.
T. Muralidhar
Versus
PVR Murthy
RFA (OS) No. 115 of 2014 & CM No. 12344 of 2014
Decided on: 07-11-2014

Advocate Appeared
For the Appellant:Suman Doval, Advocate.
For the Respondent:Ankit Jain & Nimesh Chib, Advocates.

Headnote:

CS(OS)No.1397/2009 - Suit for specific performance of an agreement to sell - Plaint rejected under Order VII Rule 11 of the Code of Civil Procedure - Appeal - Whether the plaint in this case discloses a cause of action? - Whether a concluded and binding Agreement to Sell took place between the parties? - Whether the present suit is barred by limitation? - If answer to the second issue is in the affirmative, whether the plaintiff was ready and willing to perform his part of the Agreement to Sell? - Appeal dismissed.

Fact of the Case:

Appellant filed CS(OS)No.1397/2009 against the respondent seeking a decree in his favour and against the respondent directing the respondent to execute the sale deed and/or all necessary documents for transferring the flat in question in his favour. The respondent filed a written statement and the matter was listed for framing of issues. The court framed the issues and directed that issue no.1 be treated as a preliminary issue. The arguments on the preliminary issue were heard and judgment was passed on 1st July, 2014 whereby the issue no.1 was decided in favour of the respondent and the plaint was rejected under Order VII Rule 11 of the Code of Civil Procedure with costs resulting in the present appeal.

Finding of the Court:

The court held that the plaint did not disclose a cause of action, there was no concluded and binding Agreement to Sell between the parties, the suit was barred by limitation, and the plaintiff was not ready and willing to perform his part of the Agreement to Sell. The court also held that the appellant had abused the process of law and was liable to be burdened with heavy costs.

Issues: 1. Whether the plaint in this case discloses a cause of action? 2. Whether a concluded and binding Agreement to Sell took place between the parties? 3. Whether the present suit is barred by limitation? 4. If answer to the second issue is in the affirmative, whether the plaintiff was ready and willing to perform his part of the Agreement to Sell?

Ratio Decidendi: 1. The plaint must disclose a cause of action and there has to be proper joinder of cause of action. It is settled principle of law that the plaint filed by the plaintiff should neither be vague nor vexatious. 2. The ingredients necessary to make out a legal, valid and enforceable agreement to sell include (i) the date of the agreement; (ii) the particulars of the consideration; (iii) certainty as to party i.e. the seller and the purchaser (iv) certainty as to the property which was the subject matter of the agreement (v) certainty as to other terms relating to probable cost of conveyance to be borne by each of the parties (vi) time within which the conveyance of the property was to be effected. There must have been clear consensus between the parties about the above stipulations and the parties must be ad-idem. 3. A suit filed beyond the prescribed period of limitation under the Limitation Act is barred by law.

Final Decision: Appeal dismissed with costs quantified at Rs.75,000/-.

Judgment

Gita Mittal, J:

1. What is not the pleaded, cannot be proved, what is admitted need not be proved. It is this fundamental principle which binds every court. It is this very principle which shall be violated if the present appeal is accepted.

2. On the 28th of July, 2009, the appellant had filed CS(OS)No.1397/2009 against the respondent. For the purpose of convenience, we propose to refer to the parties as plaintiff and defendant in the present judgment. Besides the residual prayer, the plaintiff sought the following prayers:

“a) Pass a decree in favour of the plaintiff and against the defendant directing the defendant to execute the sale deed and/or all necessary documents for transferring the flat no.7430, Sector B10, Vasant Kunj, New Delhi 110070 in favour of the plaintiff.

b) pass a decree of permanent injunction in favour of the plaintiff and against the defendant restraining the defendant from taking forcible possession of the flat no.7430, Sector-B-10, Vasant Kunj, New Delhi – 110070 from the plaintiff, or to do any act that may hinder a peaceful occupation and enjoyment of the said flat by the plaintiff”

3. The defendant filed a written statement and the matter was listed on the 29th of August, 2013 for framing of issues. The following issues were framed by the court:

“(i) Whether the plaint in the present suit discloses any cause of action? OPD.

(ii) Whether a concluded and binding Agreement to Sell took place between the parties? OPP.

(iii) Whether the present suit is barred by limitation? OPD.

(iv) If answer to the second issue is in the affirmative, whether the plaintiff was ready and willing to perform his part of the Agreement to Sell? OPP.

(v) Relief.”

The defendant made a request that issue no.1 be treated as a preliminary issue on the ground that the reading of the averments in the plaint in their entirety would show that no concluded agreement to sell has been arrived at between the parties. Accordingly, by the same order, issue no.1 was directed to be treated as preliminary issue.

4. The arguments on the preliminary issue no.1 were heard on the 28th of March, 2014 and judgment came to be passed on the 1st of July, 2014 whereby the issue no.1 was decided in favour of the defendant/respondent and the plaint was rejected under Order VII Rule 11 of the Code of Civil Procedure with costs resulting in the present appeal.

5. A bare reading of the prayer clause would show that the appellant has cleverly evaded mentioning the dates or particulars of any agreement by the defendant/respondent in his favour and carefully desisted from seeking the specific performance of a particular agreement to sell.

6. Before proceeding any further, let us firstly examine the scope of consideration by the court under Order VII Rule 11 of the CPC.

Scope of inquiry under Order VII Rule 11 of the Code of Civil Procedure

7. While construing the plaint from the perspective of its rejection for want of cause of action or its being barred by law under Order VII Rule 11 of the Code of Civil Procedure, the Supreme Court has unequivocally declared that the court should not pick out averments in the plaint in isolation but has to conduct its meaningful reading. In this regard, reference may be made to (1977) 4 SCC 467 T. Arivandandam v. T.V. Satyapal & Anr. wherein it was held that:

“5. ...The learned Munsif must remember that if on a meaningful -- not formal -- reading of the plaint it is manifestly vexatious, and meritless, in the sense of not disclosing a clear right to sue, he should exercise his power under Order VII Rule 11, C.P.C. taking care to see that the ground mentioned therein is fulfilled. And, if clear drafting has created the illusion of a cause of action, nip it in the bud at the first hearing by examining the party searchingly under Order X, C.P.C. An activist Judge is the answer to irresponsible law suits. The trial Courts would insist imperatively on examining the party at the first hearing so that bogus litigation ca


























































































































































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