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2019 Supreme(Del) 1103

IN THE HIGH COURT OF DELHI AT NEW DELHI
Prathiba M. Singh, J.
Sunita Aggarwal & Anr. - Appellants
Vs.
Tej Ram Aggarwal And Others - Respondents
Civil Suit (Os) No. 11 of 2017
Decided On : 12-03-2019

Important Points

The judgment underscores the requirement for clear evidence and intention to establish a Hindu Undivided Family, emphasizing the significance of parties' conduct and surrounding circumstances in determining the validity of family settlements.

Subject

Civil Law - Property Disputes

Act Referred

CIVIL PROCEDURE CODE : O.39 R.1, O.39 R.2, S.151, O.7 R.11
CRIMINAL PROCEDURE CODE : S.340, S.195(1)(b)

Headnote

Hindu Undivided Family - Family Settlement - Arbitration Petition 226/2011, Section 340 Cr. P.C

Fact of the Case:

The Plaintiffs, daughters of Shri Tej Ram Aggarwal, filed a suit seeking declaration, partition, and injunction against their father, mother, and brothers, alleging that the properties purchased in the name of the family were meant for the entire family's benefit. They claimed exclusion from a family settlement and subsequent sale of property without their involvement.

Finding of the Court:

The court found that the existence of a Hindu Undivided Family (HUF) was disputed by the Defendants, who claimed the properties were self-acquired. The court noted the family settlement and subsequent settlement agreement, but held that the exclusion of the Plaintiffs raised doubts about the validity of the agreements. It directed the matter to trial and maintained status quo on the properties.

Issues: Dispute over the existence of HUF, exclusion of Plaintiffs from family settlement, and validity of subsequent settlement agreement.

Ratio Decidendi: The court emphasized the need for clear evidence to establish the existence of a HUF and the intention to include properties in the HUF. It highlighted the importance of parties' conduct and surrounding circumstances in determining the validity of family settlements.

Final Decision: The court directed the matter to trial, maintained status quo on the properties, and ordered the Defendant to respond to a Section 340 Cr. P.C. application regarding false statements.

Advocates Appeared:
Jayant K Mehta, Adv., Nitesh Jain, Adv., Abhinav Makhi, Adv., Pranav Gopalakrishnan, Adv., Nand Kishore, Adv., Anshul Mittal, Adv., Harshit Vashisht, Adv., Bharat Gupta, Adv., Varun Tyagi, Adv., Shreya Rao, Adv.

JUDGMENT :

Prathiba M. Singh, J.

Cs (OS) 11/2017

1. The Plaintiffs Mrs. Sunita Aggarwal and Mrs. Anju Aggarwal, both daughters of Shri Tej Ram Aggarwal have filed the present suit seeking declaration/cancellation, partition and injunction against their father, Shri Tej Ram Aggarwal (Defendant No. 1), mother Smt. Pushpa Devi (Defendant No. 2) as also their four brothers Shri Ravi Shankar Aggarwal, Shri Vijay Shankar Aggarwal, Shri Shiv Shankar Aggarwal and Shri Prem Shankar Aggarwal who are Defendant Nos. 3 to 6, and a third party purchaser of one of the properties, Smt. Bimla Kumari -Defendant No. 7.

2. The case of the Plaintiffs is that the Plaintiffs, together with their parents and brothers constitute a Hindu Undivided Family which has various assets, which are detailed in the plaint as under:-

"(i) An industrial property built up on an industrial plot of about 2232 sq. yards bearing municipal No. A-12, Lawrence Road, Delhi, purchased in the name of Shri Tej Ram Aggarwal, the Defendant No.1 herein;

(ii) An immovable property at Bhiwadi, Rajasthan standing in the name of Jai Complex Pvt. Ltd., a company held by two shareholders, namely, the Defendant No. 1 herein and Defendant No.4 herein. Not only the shares of the aforesaid company are held by the Defendants No. 1 and 4 herein but the said company has also been under the total control and management of the same. In fact, the said company though registered under the provisions of the Companies Act, is in fact in the nature of Hindu Undivided Family business, which was being carried on in the name of the said company only for the purposes of convenience and administrative reasons;

(iii) An immovable property situated at Kucha Chalan, Naya Bazar, Delhi - 110006 (the true and correct address thereof are known to the Defendants No. 1 to 6 herein; however, the identity of this property is accepted), standing in the names of Defendants No. 3 to 6 or any of them;

(iv) An immovable property situated at Ghaziabad, U.P. (the true and correct address thereof are known to the Defendants No. 1 to 6 herein; however, the identity of this property is accepted), was acquired in the name of the Defendant No. 2 herein.

It is emphasized that the Defendant No. 2 never ever had or has any independent source of income, rather no source of income and has been totally dependent for all purposes on the Plaintiffs, the Defendants No. 1 and the Defendants No. 3 and 6 herein. In fact, the Defendant No. 2 is not even (fully) educated and can hardly put her signatures on any document. Thus, it is manifest that the said property in fact belonged to the Defendant No. l and / or the Hindu Undivided Family as stated later, though acquired in the name of Defendant No.2; and

(v) An immovable property constructed on a plot of land admeasuring about 500 sq. yards forming part of Khasra No. 401 in the Lal Dora Area of Village Qudipur, Delhi, acquired in the names of the Defendants No. 5 and 6 herein."

3. The Plaintiff's case is that the entire family was living in A-12 Lawrence Road, Delhi. The Plaintiffs were married in the 1980s. Though the properties were purchased in the name of the father, mother and brothers, they were meant for the enjoyment and benefit for the entire family. It is their case that sometime after the enactment of the Hindu Succession (Amendment) Act, 2005, it was agreed between the parties that all the properties form part of the common hotchpotch.

4. The Plaintiffs came to know that a family settlement dated 14th September, 2009 was executed amongst their father and brothers without involving or including the Plaintiffs. In the said settlement, it was clearly described that the parties therein constituted a joint Hindu family. Since the factum of existence of the Joint Hindu Family was admitted, the Plaintiffs ought not to have been excluded from the settlement and from their legitimate share in t














































































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