2019 Supreme(HP) 74
IN THE HIGH COURT OF HIMACHAL PRADESH
TARLOK SINGH CHAUHAN, J.
Janki (Deleted Since Deceased) Through Her LR SH Ram Pal - Appellant
Vs.
Gurdev and Another - Respondent
Regular Second Appeal No. 275 of 2016
Decided on : 10-01-2019
Advocate Appeared:
Rajeev Sood, Adv., Sanjeev Kuthiala, Adv.
The main legal point established in the judgment is the importance of correct framing of issues and the requirement for a substantial question of law to be debatable and to have a material bearing on the decision of the case.
Headnote:
FRAUD - Specific Performance of Contract - Order XIV Rule 1 CPC - [ISSUES] - The court discussed the framing of issues, the importance of correct framing of issues, and the consequences of omitting to frame proper issues. The court emphasized that each material proposition affirmed by one party and denied by the other should form the subject of a distinct issue. The judgment also highlighted the need for a substantial question of law to be debatable, not previously settled, and to have a material bearing on the decision of the case.
Fact of the Case:
The plaintiffs entered into agreements with the defendant for the sale of land. The defendant later executed a gift deed in favor of another party, allegedly to frustrate the plaintiffs' legal rights. The plaintiffs sought specific performance of the contracts and a declaration that the gift deed was void, or in the alternative, recovery of damages.
Finding of the Court:
The trial court decreed the suit of the plaintiffs, which was affirmed by the first appellate court. The defendants appealed the decision, arguing that the findings were based on evidence and should not be interfered with. The court dismissed the appeal, stating that the findings were based on the correct appreciation of the pleadings and evidence and were pure findings of fact, immune from challenge in second appeal.
Issues: The issues included the validity of the gift deed, the execution of the agreements, entitlement to specific performance, maintainability of the suit, locus standi, valuation, and suppression of material facts.
Ratio Decidendi: The court emphasized the importance of correct framing of issues and the need for a substantial question of law to be debatable, not previously settled, and to have a material bearing on the decision of the case. It also highlighted that findings of fact are immune from challenge in second appeal.
Final Decision: The court found no merit in the appeal and dismissed it, leaving the parties to bear their own costs.
TARLOK SINGH CHAUHAN, J.
1. The appellants are the defendants, who have suffered a decree at the hands of the learned trial Court and the same stands affirmed by the learned first Appellate Court vide judgment and decree dated 6.8.2014, constraining them to file the instant appeal. The parties shall be referred to as the ‘plaintiffs’ and the ‘defendants’.
2. Brief facts of the case as enumerated in the plaint are that Smt. Janki, who died during the pendency of the suit, entered into agreements with the plaintiffs for sale of land comprised in Khasra No. 41 (2-1 bighas) and 43 (4-2 bighas), Khata/Khatauni Nos. 5 min/5 min, situated in village Banehra, Pargana Dharampur, Tehsil Nalagarh, District Solan, H.P. (for short ‘Suit Land’) vide agreements dated 14.6.2007 Ex.P-1 and dated 29.6.2007, Ex.P-2, with the plaintiffs. As per agreement Ex. P-1, she agreed to sell land measuring 4 bighas 2 biswas to the plaintiffs for total sale consideration of Rs.1,64,000/- as well as vide agreement Ex.P-2, dated 29.6.2007, land measuring 2 bighas 1 biswa was agreed to be sold for sale consideration of Rs.82,000/-. It was averred by the plaintiffs that they paid Rs.1,40,000/- and Rs.12,000/- to said Janki at the time of execution of agreements Ex.P-1 and Ex.P-2, respectively. At the time of execution of agreements, Ex.P-1 and Ex.P-2, the remaining sale consideration was agreed to be paid on 20.8.2007 and 30.9.2007, respectively. The plaintiffs paid an amount of Rs.24,000/- on 20.8.2017 as per Ex.P-1 and with the consent of parties, date of execution of sale deed was extended upto 5.3.2008 and qua this endorsement was made in the presence of witnesses. The plaintiffs paid Rs.60,000/- as per Ex.P-2 and with consent of the parties, the date of execution of sale was extended upto 5.3.2008 and endorsement qua this was made in the presence of the witnesses on 30.9.2007. The remaining sale consideration of the amount of Rs.10,000/- was agreed to be paid at the time of execution of sale deed on 5.3.2008. It was specifically pleaded by the plaintiffs that they remained present in the office of Sub Registrar, Nalagarh on 5.3.2008 alongwith remaining sale consideration in order to perform their part of agreement, but said Smt. Janki did not come to perform her part of contract. Thereafter, the plaintiffs personally approached her with the request to perform her part of contract but she tried to linger on the matter on one pretext or the other. The plaintiffs then issued a legal notice to defendant No.1 through counsel on 7.3.2008 and asked her to come to the office of Sub Registrar on 20.3.2008 to perform her part of contract. Notice was duly served upon her but she did not file any reply nor did she come to the office of Sub Registrar to execute the sale deed. The plaintiffs marked their presence by swearing on an affidavit on 20.3.2008 before the Notary Public. It was further averred that the plaintiffs came to know on 29.4.2008 that said Janki, defendant No.1, gifted the land in favour of defendant No.2, who is son of her husband from second wife by executing a false and frivolous transaction, vide gift deed No.1075/2008, dated 23.4.2008, registered with Sub Registrar, Nalagarh. It was averred by the plaintiffs that the said gift deed was executed by defendant No.1 in connivance with defendant No.2 to frustrate the legal rights of the plaintiffs and defendant No.2 was having complete knowledge of the agreements as they were members of one family. It was pleaded that the plaintiffs always remained ready and willing to perform and are still ready to perform their part of contract and sought grant of decree for possession by way of specific performance of the contracts and also sought declaration to the effect that gift deed No.1075, dated 23.4.2008 was wrong and void and in alternative, prayed for recovery of damages to the tune of Rs.3,40,000/- alongwith interest.
3. The suit was contested by the defendants by filing written statement wherei