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2025 Supreme(Guj) 1614

IN THE HIGH COURT OF GUJARAT AT AHMEDABAD
SANGEETA K. VISHEN, NIRAL R. MEHTA, JJ.
Swapnilbhai Arvindbhai Doshi and Others - Appellants
Versus
Bahadursang Bhavsang - Respondents
First Appeal No. 1043 of 2025, Civil Application (For Stay) No. 1 of 2025
Decided On : 20-06-2025

Advocates:
Advocate Appeared:
For the Appellant : Dev D. Patel

An agreement to sell does not confer any legal right until formally executed; merely having such an agreement without a registered sale deed leaves no interest to sue third parties.

Headnote:(A) Code of Civil Procedure, 1908 - Order VII Rule 11(a) and 11(d) - Appeal against order rejecting plaint - Plaintiffs claimed rights based on agreement to sell not culminated into sale deed, later cancelled, and seeking cancellation of subsequent sale deeds - Seeking to join parties after dismissal for default and arguing jurisdiction - Court held plaintiffs have no right to sue, no cause of action disclosed, and the plaint was rejected accordingly. (Paras 1, 2, 10, 12, 13)

(B) Legal principles regarding cause of action - Agreement to sell does not convey interest unless registered; only provides rights against the vendor; standing to sue requires ownership or enforceable interest; inventive drafting cannot create rights where none exist. (Paras 18, 19, 15.2.1, 15.2.2)

(C) Dismissal for default does not equate to direct dismissal on merits, does not prevent filing of new suit, but does bar subsequent claims based on same cause of action. (Paras 12, 12.1)

JUDGMENT :

NIRAL R. MEHTA, J.

1. This Appeal, at the instance of the original plaintiffs, is directed against the order dated 17th January, 2025 passed in Special Civil Suit No.675 of 2017 passed below Exh.17 by learned Principal Senior Civil Judge, Sanand, Ahmedabad (Rural), whereby the learned Judge has rejected the plaint under the provisions of the Order VII Rule 11(a) and 11(d) of the Code of Civil Procedure, 1908.

2. Basic facts of the case can be stated as under:

2.1 Land bearing Survey No.314 admeasuring 5868 sq. mtrs. and Survey No.316 admeasuring 6576 sq. mtrs. situated in Village Godhavi, Taluka Sanand, District Ahmedabad, was originally owned by original Defendant No.1. Defendant No.1 has executed power of attorney in favour of Defendant No.2 with respect to the aforesaid lands. Pursuant to the said power of attorney, Defendant No.2-power of attorney holder, executed a registered agreement to sell dated 28th October, 1996 bearing No.2306 with possession in favour of one Shri Swapnilbhai Arvindbhai Doshi, now deceased, happened to be the husband of original plaintiff No.1 and father of original plaintiff Nos.2 and 3.

2.2 Said Swapnilbhai Doshi expired on 21st November, 2003. During life span of Swapnilbhai Doshi, the said agreement to sell was not culminated into the sale deed. Pertinent to note that the registered agreement to sell dated 28th October, 1996 appears to be cancelled on 20th February, 2004.

2.3 Defendant No.1 thereafter appears to have sold out the aforesaid lands in favour of original Defendant Nos.3 to 5 by way of registered sale deed Nos.323 and 324 dated 19th February, 2004. The said transaction got mutated in the revenue record by way of Mutation Entry Nos.4412 and 4417 dated 27th February, 2004 and later on certified on 07th April, 2004.

2.4 The plaintiffs appear to have filed one Special Civil Suit No.80 of 2005 against the present Defendant Nos.1 to 5 seeking, inter alia, specific performance of agreement to sell dated 28th October, 1996 and challenge to the sale deed dated 19th February, 2003 (sic. 19th February, 2004) executed in favour of Defendant Nos.3 to 5 and also sought perpetual injunction.

2.5 During the pendency of the said Special Civil Suit No.80 of 2005, Defendant Nos.3 to 5 have further sold out the suit property in favour of Defendant No.6 by way of registered sale deed Nos.5842 to 5844 dated 01st December, 2007. Defendant No.6 then sold out the suit property in favour of Defendant No.7 by executing registered sale deed No.530 dated 21st January, 2010.

2.6 In view of the aforesaid subsequent development during the pendency of the suit, the plaintiffs have moved an application under Order I Rule 10 of the Code of Civil Procedure, 1908 (hereinafter referred to as ‘the Code’) for joining Defendant Nos.6 and 7 in Special Civil Suit No.80 of 2005. The said application, however, was rejected by the learned trial court vide order dated 16th November, 2013.

2.7 It appears that thereafter the said Special Civil Suit No.80 of 2005 ordered to be dismissed for default on 01st December, 2014.

2.8 It further appears that the plaintiffs have filed Civil Miscellaneous Application No.45 of 2017 in the court of learned Principal Senior Civil Judge, Ahmedabad (Rural) at Mirzapur for restoration of Special Civil Suit No.80 of 2005. The said application was ordered to be returned under Order VII Rule 10 of the Code vide order dated 03rd August, 2019 by learned Principal Senior Civil Judge, Ahmedabad (Rural) on the ground of having no jurisdiction. After the aforesaid order, learned advocate for the appellants has not shown and/or produced any application for restoration of Special Civil Suit No.80 of 2005 filed in the appropriate court.

2.9 In the meantime, however, present suit for cancellation of sale deed of Defendant Nos.6 and 7 filed on 02nd May, 2017. For the brevity, reliefs prayed for in the said suit are reproduced hereunder:

“(a) In consideration of the facts and circumstances of the plaint, the Defend

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