IN THE HIGH COURT OF DELHI AT NEW DELHI
S. RAVINDRA BHAT & DEEPA SHARMA, JJ.
MRS. PRITAM DEWAN AND ANR. – Appellant
Versus
MRS. RASHMI KHANNA AND ANR. – Respondents
RFA (OS) 147/2013
Decided On : 13-07-2016
Hindu Succession Act - Property Rights - Section 14(1) - Section 14(2) - Summary of Acts and Sections: The court discussed the application of Section 14(1) and Section 14(2) of the Hindu Succession Act, 1956, and the interpretation of these provisions in determining the absolute ownership of the suit property. The judgment highlighted the legal principles established in various cases, including V Tulsamma vs Sesha Reddy, Mangat Lal vs. Punni Devi, Maharaja Pillai Lakshmi Ammal vs. Maharaja Pillai Thillanayakom Pillai, and Palchuri Hanumayamma v. Tadikamalla Kotlingam, to determine the pre-existing right of maintenance and its impact on the ownership rights of a Hindu woman. The court's decision was influenced by the interpretation of the husband's intention in transferring the property to his wife and the recognition of the limited interest created in the property.
Fact of the Case:
The appeal involved a dispute over the ownership of a property bequeathed by the deceased husband to his widow and children. The widow claimed absolute ownership of the property under Section 14(1) of the Hindu Succession Act, 1956, while the defendants contested the claim, citing family settlements and collaboration agreements.
Finding of the Court:
The court found that the widow did not become the absolute owner of the suit property under Section 14(1) of the Hindu Succession Act, 1956. However, the court acknowledged the widow's right to receive rents from the property during her lifetime based on the statements and admissions of the defendants.
Issues: The issues before the court included the determination of the widow's ownership rights under the husband's will, the effect of the family settlement and collaboration agreement on the property rights, and the entitlement of the widow to rental income and security deposits from the property.
Ratio Decidendi: The court's decision was based on the interpretation of the husband's intention in transferring the property to his wife, the recognition of the limited interest created in the property, and the preservation of the widow's existing rights under the will and family settlement.
Final Decision: The appeal was dismissed, and the court held that the widow's life interest in the property did not ripen into absolute ownership under Section 14(1) of the Hindu Succession Act, 1956. However, the widow was entitled to rental income and security deposits received from leasing the second floor of the property.
S. RAVINDRA BHAT, J.
1. In this appeal, the unsuccessful plaintiffs/appellants who are the widow and son of late Col. B.R. Dewan question the judgment of a learned Single Judge of this court (dated 11.10.2013)which held that the first Appellant (widow) was not the absolute owner of the suit property under Section 14(1) of the Hindu Succession Act, 1956. However, in view of the statement and admission of the defendants (i.e the daughter and her husband) the widow’s right to receive rents paid by tenants of the second floor, during her lifetime was acknowledged and a consequential decree made.
2. The facts of the case are that D-246, Defence Colony, New Delhi (hereafter “the suit property”), was a self-acquired property of Col.(Retd.) B.R. Dewan. By his will dated 24.06.1984 he bequeathed life interest in the suit property in favour of the first Appellant (his widow) to hold it as a trustee on behalf of the legal owners (the second Appellant-hereafter “the son” or “Ranvir” and the first Respondent, herafter “the daughter” or “Rashmi”) and income arising during her lifetime was to be enjoyed by her. She was also entitled to evict the tenants and or create new tenancies of her own will in the capacity of her being the owner till her demise after which the legal ownership would vest with Ranvir and Rashmi of their respective portions.Thereafter, the ground floor was to be left to Ranvir Dewan and first floor to the daughter, Rashmi. The relevant extracts of the Will are as follows:
“…After my demise, Ranvir Dewari and Rashmi Khanna would be owners but upto the death of my wife – Pritam Dewan - who has served and cared about me throughout my life, would first be entitled to live and/ reside in the House D-246 Defence Colony, New Delhi, free of rent and also enjoy all the Income from the tenants (presently GSIC) She would also be entitled to dispose of the tenants and/or take, new tenants of her own will in the capacity of her being the owner till her demise. Legal Ownership would vest the Ranvir Dewan and Rashmi Khanna of their respective portions. In short Mrs. Pritam Dewan would hold life interest in my house property D-246, Defence Colony, New Delhi, as trustee on behalf of the legal owners and the Income arising during her life time will be assessed in her hands and only after her demise would the income be that of the legal owners. For, all purposes Ranvir Dewan and Rashmi Khanna would be assessed to Wealth after my demise…”
3. Before the probate of the said Will was granted, a family settlement was entered between the parties (i.e. the mother, the son and daughter) under which the a residential plot at R-7/189, Raj Nagar, Ghaziabad was settled as the exclusive property of Brig. Ashok Dewan, the son of late Col. B.R. Dewan from his first wife. Certain other payments were also made to him and Smt. Kamla Dewan.
4. To carry out the repairs of the 45 year old suit property, a Collaboration Agreement was entered into with a builder enabling construction of a basement, ground floor and two floors above it, on the suit property. A family settlement dated 23.07.2008 (hereinafter referred as “the family settlement”) was also entered into between the parties which granted rights of the entire basement and ground floor along with 40% freehold rights in favour of the son. The entire second floor including roof and the right to build and construct the third floor with her own funds was given to the daughter along with 30% of the freehold shares. The balance 30% was to vest with the builder. The said settlement also recorded that the life interest in the entire property was to remain with the mother, i.e. the first appellant.
5. After the cancellation of the first collaboration agreement, another collaboration agreement dated 17.12.2008 (hereinafter referred as collaboration agreement) was signed with Chandan & Chandan Enterprises. In terms of the collaboration agreement a sum of Rs. 1 crore was to be paid by the builder to the
V Tulsamma vs Sesha Reddy (1977) 3 SCC 99
Mangat Lal (dead) vs. Punni Devi (1995) 6 SCC 88
Palchuri Hanumayamma (Smt) v. Tadikamalla Kotlingam (Dead) BY LRs (2001) 8 SCC 552
Jagan Singh vs. Dhanwati 2012 (2) SCC 628
Shiv Dev Kaur vs. RS Grewal AIR 2013 SC 1620
Sadhu Singh vs. Gurudwara Sahib Narike & Ors. AIR 2006 SC 3282
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