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2016 Supreme(Del) 2502

IN THE HIGH COURT OF DELHI AT NEW DELHI
RAJIV SAHAI ENDLAW, J.
NUTAN TYAGI – Appellant
Versus
NIRMALA DABAS – Respondent
RFA No. 795 of 2015
Decided On : 22-07-2016

Advocates Appeared:
For the Appellants : Mr. Pawan Sharma, Adv.
For the Respondents: Mr. Gaurav Bhardwaj and Ms. Garima Bhardwaj, Advs.

The main legal point established in the judgment is that while the suit for specific performance was barred by Order II Rule 2 CPC, the appellant/plaintiff was entitled to file a fresh suit for the subject matter of the earlier suit, including the relief of specific performance.

Headnote:

CPC - Specific Performance - 96 - [CIVIL PROCEDURE CODE, 1908, SECTION 96] - The court discussed the applicability of Order II Rule 2 CPC and the liberty granted to the appellant/plaintiff to file a fresh suit. The court analyzed the judgments in Lakhbir Singh Vs. Arun Kumar Khanna, Inbasagaran Vs S. Natarajan, and Rathnavathi Vs. Kavita Ganashamdas to determine whether the appellant/plaintiff was precluded from suing for specific performance and the scope of the liberty granted to file a fresh suit. The court also examined the effect of the permission to withdraw the earlier suit and the bar of Order II Rule 2 CPC. The court concluded that the appeal should be allowed and clarified the impact of the suit for specific performance on the suit for ejectment filed by the respondent/defendant.

Fact of the Case:

The appellant/plaintiff filed a suit for specific performance of an agreement of sale of immovable property, which was dismissed on a preliminary issue as barred by Order II Rule 2 CPC. The appellant/plaintiff claimed to have paid a bayana amount and installments towards the property and sought specific performance. The respondent/defendant contested the suit on the ground that it was hit by Order II Rule 2 CPC as the appellant/plaintiff previously filed a suit for permanent injunction without including the claim for specific performance. The trial court framed issues and decided in favor of the respondent/defendant, rejecting the plaint based on the appellant/plaintiff's omission to seek the relief of specific performance in the earlier suit.

Finding of the Court:

The court found that the suit for specific performance was barred by Order II Rule 2 CPC due to the appellant/plaintiff's omission to claim the relief in the earlier suit for permanent injunction. The court also analyzed the effect of the permission granted to withdraw the earlier suit with liberty to file a fresh suit and concluded that the appellant/plaintiff was entitled to file a fresh suit for the subject matter of the earlier suit, which included the relief of specific performance.

Issues: The issues included whether the appellant/plaintiff was precluded from suing for specific performance due to the earlier suit for permanent injunction and the scope of the liberty granted to file a fresh suit.

Ratio Decidendi: The court held that the suit for specific performance was barred by Order II Rule 2 CPC, but the appellant/plaintiff was entitled to file a fresh suit for the subject matter of the earlier suit, including the relief of specific performance. The court also clarified the impact of the suit for specific performance on the suit for ejectment filed by the respondent/defendant.

Final Decision: The appeal was allowed, and the impugned order/judgment and decree were set aside. The suit was required to proceed to trial on other issues, and the appellant/plaintiff was directed to appear before the District Judge (North) Rohini Courts, Delhi. The Trial Court record requisitioned was to be sent back forthwith. No costs were awarded.

JUDGMENT :

1. This first appeal under Section 96 of the Code of Civil Procedure,1908 (CPC) impugns the judgment and decree dated 16th September, 2015 of the Court of District and Sessions Judge (North) Rohini Courts, Delhi of dismissal, on a preliminary issue as barred by Order II Rule 2 CPC, of CS(OS) No. 69/2014 filed by the appellant/plaintiff for (a) specific performance of an agreement of sale of immovable property; (b) injunction restraining the respondent/defendant from dispossessing the appellant/plaintiff from the said property; and, (c) injunction restraining the respondent/defendant from creating third party interest in the said property.

2. The appeal came up before this Court first on 27th November, 2015 when notice thereof was issued. Thereafter on 29th April, 2016, the following order was passed.

“1. The appeal impugns the judgment and decree of dismissal of a suit for specific performance of an agreement to sell of immovable property as barred by Order II Rule 2 of the Code of Civil Procedure, 1908.

2. Notice of the appeal was issued and the Trial Court record requisitioned.

3. Though the notice is reported to have been served but none appears for the respondent.

4. Though the learned Additional District Judge in dismissing the suit has relied upon my judgment in Lakhbir Singh Vs. Arun Kumar Khanna 209 (2014) DLT 708 but as far as I recollect, Supreme Court in Inbasagaran Vs S. Natarajan (Dead) Through LRs (2015) 11 SCC 12 has taken a view contrary to that taken by me in Lakhbir Singh supra against which it appears no appeal was preferred.

5. The counsel for the appellant seeks time to examine.

6. Even otherwise, it is deemed expedient to give another opportunity to the respondent to appear.

7. List on 19th May, 2016.”

3. The counsels were heard on 19th May, 2016 and judgment reserved.

4. The trial court record has been requisitioned and has also been perused.

5. The appellant/ plaintiff on 18th March, 2014 instituted the suit from which this appeal arises pleading (i) that the husband of the respondent/defendant was the owner of property No. C-21, Top Floor, measuring 200 sq yds, Adarsh Nagar, Village Bharola, Netaji Road, Delhi – 33 and had agreed to sell the same to the appellant/plaintiff for a total sale consideration of Rs. 13,50,000/- and received bayana amount of Rs. 1,50,000/- from the plaintiff and executed a bayana agreement dated 16th May, 2007; (ii) that as per the said bayana agreement the balance consideration of Rs. 12,00,000/- was to be paid in installments of Rs. 15,000/- each per month w.e.f. 1st January, 2008 to January, 2012 and thereafter the sale deed had to be executed; (iii) the husband of the respondent/defendant had also handed over peaceful and vacant possession of the said property to the appellant/plaintiff and the appellant/plaintiff has since then been in possession thereof; (iv) that the appellant/plaintiff has paid Rs. 15,000/- per month w.e.f. 1st January, 2008 had has paid total amount of Rs. 8,75,000/- on different dates upto December, 2011 against receipt; (v) as per bayana agreement dated 16th May, 2007, the appellant/plaintiff is liable to pay interest at 2% on the delayed payment; (vi) that the husband of the respondent/defendant expired and which fact came to the knowledge of the appellant/plaintiff in February, 2012; (vii) though the appellant/plaintiff approached the respondent/defendant to execute the sale deed after receiving the balance sale consideration but the respondent/defendant refused; (viii) the respondent/defendant sent legal notice dated 2nd March, 2013 to the appellant/ plaintiff averring the appellant/plaintiff to be a tenant in the property and terminating the tenancy of the appellant/plaintiff; (ix) that the respondent/defendant on 30th August, 2013 attempted to dispossess the appellant/plaintiff from the property.

Accordingly, the suit for reliefs aforesaid was filed.

6. The respondent/defendant contested the suit by filing a written statement inter alia on the


















































































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