GAUHATI HIGH COURT
R.S.Mongia, Amitava Roy, JJ.
Parbati Choudhury -Appellant
Versus
Bhagwan Das Gupta -Respondent
F.A.No. 93 of 1998
Decided On : 20-02-2002
specific performance - contract for sale of immovable property - Indian Contract Act, 1872, Section 4 - Urban Land Ceiling Act, 1976 - agreement to sell - readiness and willingness of the respondent-plaintiff to perform his part of the contract - deliberate refusal of the defendant to accept the balance consideration price and execute the sale deed - equitable considerations
Fact of the Case:
The respondent-plaintiff entered into an agreement to purchase a plot of land and houses from the original defendant. The respondent-plaintiff paid an advance and subsequent installments towards the consideration price, but the defendant refused to accept the balance amount and execute the sale deed. The respondent-plaintiff filed a suit for specific performance of the contract.
Finding of the Court:
The court found that the respondent-plaintiff had been ready and willing to perform his part of the contract by offering the balance consideration amount within the stipulated period. The defendant deliberately refused to accept the balance consideration price and execute the sale deed. The court also noted inconsistencies in the defendant's stand and conduct, indicating his deliberate avoidance of the contract.
Issues: The issues included the cause of action for the suit, maintainability, limitation, existence of the agreement, payments made by the respondent-plaintiff, and his readiness and willingness to perform the contract.
Ratio Decidendi: The court held that the respondent-plaintiff had proved his readiness and willingness to perform the contract, while the defendant deliberately refused to accept the balance consideration price and execute the sale deed. Equitable considerations favored granting specific performance of the contract.
Final Decision: The appeal was dismissed, upholding the judgment and decree of the trial court in favor of the respondent-plaintiff for specific performance of the contract.
We have heard Mr. B.K. Goswami, the learned senior counsel for the appellants-defendants and Mr. C.K. Sarma Barua, the learned senior counsel for the respondent. 2. This appeal has been directed against the judgment and decree dated 25.9.98 passed by the learned Civil Judge (Senior Division) No. 1, Guwahati in Title Suit No. 183/1986 decreeing the same. The original defendant in the suit Nabalal Choudhury (since deceased) had filed the present appeal. During the pendency of the appeal before this Court the original defendant expired and was substituted by the present appellants being his heirs and legal representatives.
3. The case of the respondent-plaintiff as narrated in the plaint, shortly put, is that the original defendant Nabalal Choudhury (since deceased) was the owner of a plot of land measuring 13 lechas covered by K.P. Patta No. 91(old)/67(new), Dag No. 1241 of village Sahar Guwahati under Mouza Guwahati and that he was the recorded pattadar of the same. The said land is the suit land. His further case is that on 6.8.84 the original defendant approached him proposing to sell the said land alongwith the houses thereon and he (respondent-plaintiff) having agreed to the proposal, an agreement was executed between the parties on the same date i.e. 6.8.84 pursuant whereto the original defendant received Rs.30,000/- as advance. The consideration price of the land and houses was agreed to be Rs.2.10 lacs only. The respondent-plaintiff further averred that it was agreed that the balance consideration money of Rs. 1,80,000/-would be paid within 2 years. On 25.5.85, on the request of the original defendant, the respondent-plaintiff paid a further sum of Rs.20,000/- out of the balance consideration of money of Rs. 1,80,000/-and the original defendant acknowledged the receipt thereof by making necessary endorsements on the back side of the agreement. The further case of the respondent-plaintiff is that thereafter between 15.7.85 and 28.5.86 he paid a further amount of Rs.25,000/- on the request of the original defendant. According to the respondent-plaintiff, the payments were made as under :
(i) Rs.5,000/- on 15.7.85;
(ii) Rs.10,000/- on 15.9.85;
(iii) Rs.5,000/- on 24.3.86 ; and
(iv) Rs.5,000/- on 28.5.86.
4. The respondent-plaintiff asserted that on such payments being made he requested the original defendant on every occasion to either issue a money receipt or to acknowledge the receipt of the said payments by making endorsements on the back side of the agreement, but though the defendant assured to do so, he neither issued the money receipts nor made any endorsements on the back side of the agreement acknowledging payments of the above mentioned amounts. The respondent-plaintiff categorically stated in the plaint that he, however, recorded the payments of the above amounts in his books of accounts which were regularly maintained in the usual course of business. The respondent-plaintiff averred that till 28.5.86, the defendant had received Rs.75,000/- out of the total consideration price and though he, the respondent-plaintiff, had always been ready and willing to pay the balance amount of Rs.1,35,000/- the defendant was neither ready to accept the same nor to execute and register the sale deed as agreed upon. The respondent-plaintiff alleged that the original defendant also, inspite of his assurances, did not take any step for applying and obtaining the necessary sale permission from the Deputy Commissioner, Kamrup at Guwahati which was necessary under the provisions of the Urban Land Ceiling Act, 1976 for transfer of the land/houses. The further case of the respondent-plaintiff is that situated thus, he got served a legal notice dated 31.7.86 on the defendant by registered post through his Advocate intimating inter-alia that he was ready and willing to pay the balance amount of Rs.1,35,000/- even before execution and registration of the sale deed. The respondent-plaintiff categorically stated in the plaint that
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