IN THE HIGH COURT OF GAUHATI, ASSAM, NAGALAND, MIZORAM AND ARUNACHAL PRADESH
ROBIN PHUKAN, J.
M/S. AADHAR, (A PARTNERSHIP FIRM), REP. BY ITS PARTNER SMTI PURNASHREE DAS, W/O. SRI JYOTI PRAKASH DAS – Appellant
Versus
AJIT DEB, S/O. LATE KAMADA RANJAN DEB AND ORS. – Respondents
RFA No.33 Of 2024
Decided On : 04-11-2024
(A) Code of Civil Procedure, 1908 - Section 96 and Order XLI Rule 1 - Specific performance of contract - Appeal against judgment and decree passed on admission - The trial court decreed the suit for specific performance based on the agreement dated 28.06.2021, despite disputes regarding additional costs for extra work - The appellant contended that the trial court erred in invoking Order 12 Rule 6 CPC without a full trial, as substantial disputes existed regarding the agreement's terms and additional costs. (Paras 2, 4, 5, 8, 26)
(B) Admissions - The court emphasized that unqualified admissions made by the appellant in the written statement regarding the execution of the agreement and receipt of payments justified the trial court's decision to decree the suit on admission, despite the appellant's claims of additional costs being integral to the sale agreement. (Paras 22, 24)
Facts of the case:
The appellant and respondents entered into an agreement for sale of a flat for Rs. 25,00,000/-, with the respondents paying Rs. 33,00,000/- including additional costs. The respondents sought specific performance after the appellant failed to execute the sale deed.
Findings of Court:
The trial court found that the additional costs claimed by the appellant were not part of the original agreement and decreed the suit for specific performance based on the admissions made by the appellant.
Issues: Whether the trial court erred in decreeing the suit on admission without a full trial considering the disputes over additional costs.
Ratio Decidendi: The court upheld the trial court's decision, stating that the admissions made by the appellant were clear and unqualified, allowing for a judgment on admission under Order 12 Rule 6 CPC.
Result: Appeal dismissed, trial court's judgment affirmed.
JUDGMENT :
(Robin Phukan, J.)
Heard Mr. B.K. Jain, learned counsel for the appellant and Mr. B.D. Deka, learned counsel for the respondents.
2. In this appeal, under Section 96 read with Order XLI Rule 1 of the C.P.C., the appellant has put to challenge the correctness or otherwise of the Judgment dated 01.02.2024, and the Decree dated 07.02.2024, passed by the learned Civil Judge (Senior Division) No. 3, Kamrup (M) at Guwahati, in Title Suit No. 413/2022.
3. It is to be noted here that vide impugned Judgment dated 01.02.2024, and Decree dated 07.02.2024, the learned Civil Judge (Senior Division) No. 3, Kamrup (M) at Guwahati has decreed the suit of the plaintiff on admission.
Background Facts:-
4. The background facts, leading to filing of the present appeal, are adumbrated herein below:-
Then, on 09.12.2021, the respondents had sent a legal notice to the appellant to come forward and execute the sale deed and in response to the said notice, the appellant stated that the respondents are liable to pay a further sum of Rs. 27,85,400/-towards the extra work carried out in the suit premises.
The respondents have further pleaded that they have already paid an amount of Rs. 33,00,000/-to the appellant and only a sum of Rs. 50,000/-remains to be paid.
Then being left with no option, the respondents, as plaintiffs, had instituted a Title Suit No. 413/2022, for a decree for specific performance of contract, declaration and permanent injunction along with an application, being Misc. (J) Case No. 545/2022, under Order 39 Rules 1 & 2 read with Section 151 of the C.P.C. for temporary injunction in respect of the Schedule B Unit/Flat, as described in the Schedule ‘B’ of the plaint as well as application. Then, the appellant had contested the suit as defendant by filing written statement along with documents on 13.12.2022.
During the trial, the respondents herein had filed a petition, being Petition No. 3311/2023, under Order XII Rule 1 read with Section 151 of the C.P.C. for passing a judgment on admission.
Thereafter, hearing learned counsel for both the parties, the learned trial court, vide Judgment and Order dated 01.02.2024, has decreed the suit on admission. It was provided that the respondents are entitled to specific performance of the agreement for sale, bearing No. 8722/2021, dated 28.06.2021. It was further provided that the appellant is directed to execute a registered Sale Deed in favour of the respondents in respect of the suit flat as described in Schedule ‘B’ of the plaint by accepting the balance sale consideration of Rs. 50,000/-within a period of 3 months from the date of the decree. However, the learned trial court has accepted the counter-claim filed by the appellant and taken on record.”
Grounds:-
5. Being highly aggrieved and dissatisfied, the present appellant has preferred the present appeal, under Section 96, read with Order XLI Rule 1 of the C.P.C. for quashing and setting aside the impugned Judgment and Order dated 01.02.2024, along with Decree dated 07.02.2024, passed by the learned Civil Judge (Senior Division) No. 3, Kamrup (M) at Guwahati, in Title Suit No. 413/2022, on the following grounds :-
Karan Kapoor vs. Madhuri Kumar
Hari Steel and General Industries Limited vs. Daljit Singh and Others
Uttam Singh Duggal and Company Limited vs. United Bank of India and Others
B. Santoshamma and Another vs. D. Sarala and Another
Krishi Utpadan Mandi Samiti, Sahaswan, District Badaun vs. Bipin Kumar and Another
Raveesh Chand Jain vs. Raj Rani Jain
Jeevan Diesels and Electricals vs. Jasbir Singh Chadha (HUF) and Another
S.M. Asif v. Virender Kumar Bajaj reported in (2015) 9 SCC 287
The court affirmed that a judgment on admission under Order 12 Rule 6 CPC is valid when unqualified admissions exist, despite disputes over additional costs not included in the original agreement.
The appellate court must respect trial court findings unless clear errors exist, particularly regarding the existence and terms of contractual agreements and the parties' readiness to perform.
The central legal point established in the judgment is the importance of following the proper procedure for admitting additional evidence and considering subsequent events that may impact the validit....
Discretion in granting specific performance under Section 20 of the Specific Relief Act requires sound judicial reasoning, considering hardship and fairness to both parties, especially in the presenc....
A contract for sale is enforceable where there is evidence of readiness to pay the balance amount, and claims of fraud must be substantiated to invalidate the agreement.
A decree on admission under Order XII Rule 6 of the CPC requires clear, unconditional admissions of fact, which were absent in this case.
An agreement of sale signed by vendor alone and delivered to purchaser, and accepted by the purchaser, has always been considered to be a valid contract. In the event of breach by the vendor, it can ....
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