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2021 Supreme(HP) 630

IN THE HIGH COURT OF HIMACHAL PRADESH AT SHIMLA
JYOTSNA REWAL DUA, J.
Ram Rattan, S/o. Shri Banta Ram & Ors. - Appellants
Versus
Shri Sat Pal Saini, S/o. Shri Moti Ram Alias Upinder Lal & Ors. - Respondents
Regular Second Appeal Nos. 517, 499 of 2010
Decided On : 10-12-2021

Advocates Appeared:
For the Appellant :Mr. B.S. Chauhan, Senior Advocate with Mr. Munish Datwalia.
For the Respondents: Mr. Y.P. Sood, Ms. Devyani Sharma.

Headnote:

Transfer of Property Act – Section 54 – Land - Sale consideration - Agreement to sell suit land - A civil suit was instituted by appellant for (i) possession through specific performance of an agreement to sell, of land comprised declaration that sale deed executed in favour of defendant with respect to suit land is illegal, null and void - Factual foundation pleaded in plaint was that defendant- respondent was the GPA of his mother his brother (defendant) and his sisters (non-parties to suit) – One was owner in possession of suit land - Defendants along with their mother approached plaintiff to sell suit land – A consensus was arrived regarding purchase of suit land by plaintiff for a total sale consideration - A sum was paid by plaintiff as earnest money towards sale consideration – Held, in support of submissions, reliance was placed upon a decision of Hon’ble Apex Court in Civil Appeal, titled Kewal Krishan Vs. Rajesh Kumar and others etc. wherein it was held that a sale of an immovable property has to be for a price - Price may be payable in future - It may be partly paid and remaining part can be made payable in future - Payment of price is an essential part of a sale covered by section 54 of TP Act - If a sale deed in respect of an immovable property is executed without payment of price and if it does not provide for payment of price at a future date, it is not a sale at all in the eyes of law - It is of no legal effect - Therefore, such a sale will be void - It will not affect transfer of immovable property - For all reasons, substantial questions of law framed in RSA are decided against the appellant therein (defendant No.1). Regular Second Appeal and Regular Second Appeal are dismissed - Pending applications, if any, in both appeals are also disposed of.

JUDGMENT :

These two appeals arise out of common judgments and decrees passed by the learned Courts below, hence are taken up together for decision. RSA No. 517 of 2010 is plaintiff’s appeal whereas RSA No. 499 of 2010 is defendant No.1’s appeal.

Defendants No. 1 & 2 are sons of late Smt. Gurbax Kaur. Smt. Gurbax Kaur, defendant No. 2 and daughters of Smt. Gurbax Kaur had executed a General Power of Attorney (in short GPA) in favour of defendant No. 1 on 09.03.1981. Plaintiff’s case was that defendant No. 1 acting as GPA of his mother, on 11.09.2001 executed an agreement to sell the suit land to the plaintiff for a sale consideration of Rs.75,000/-. Earnest money of Rs.10,000/- was received by Smt. Gurbax Kaur and Rs.30,000/- was received by defendant No.1 towards sale consideration. Instead of executing the sale deed in plaintiff’s favour, Smt. Gurbax Kaur sold the suit land in favour of defendant No. 2 vide a registered sale deed on 28.12.2001. In his written statement, defendant No. 1 supported plaintiff’s case in entirety but did not step into the witness box. Defendant No. 2 vehemently contested plaintiff’s case and called the suit to be collusive between plaintiff and defendant No. 1. Learned trial Court decreed the suit on 16.03.2009. Learned First Appellate Court on 16.08.2010 reversed the decree and dismissed the suit. Plaintiff was, however, held entitled to recover Rs.30,000/- from defendant No. 1. Aggrieved against dismissal of his suit, plaintiff has preferred RSA No. 517 of 2010. Defendant No. 1 has filed RSA No. 499 of 2010 against the common judgment and decree, whereby he has been held liable to pay Rs.30,000/- alongwith interest @ 6% per annum from the date of institution of suit till its realization to the plaintiff.

2. Brief facts may now be noticed :-

2(i) A civil suit was instituted by the appellant for (i) possession through specific performance of an agreement to sell, dated 11.09.2001 of land comprised in Khewat No. 595, Khatauni No. 646, Khasra Nos. 1540, 1541 and 1542, measuring 114.86 square meters, situated at village Santoshgarh, Tehsil and District Una, H.P.; (ii) declaration that sale deed dated 28.12.2001 executed in favour of defendant No. 2 with respect to the suit land is illegal, null and void.

The factual foundation pleaded in the plaint was that defendant No. 1 (respondent No. 1) was the GPA of his mother Smt. Gurbax Kaur, his brother Ashok Kumar (defendant No. 2) and his sisters (non parties to the suit). Smt. Gurbax Kaur was owner in possession of the suit land. In July, 2001, the defendants alongwith their mother approached the plaintiff to sell the suit land. A consensus was arrived on 09.07.2001 regarding purchase of suit land by the plaintiff for a total sale consideration of Rs.75,000/-. A sum of Rs.10,000/- was paid by the plaintiff as earnest money on 09.07.2001. A sum of Rs.5,000/- was paid on 07.08.2001. Rs.5,000/- was also advanced on 21.08.2001 towards sale consideration. At the time of payment of further amount of Rs.20,000/- an agreement to sell the suit land was executed in plaintiff’s favour on 11.09.2001 by defendant No. 1 as the general power of attorney on behalf of his mother. The plaintiff pleaded that the defendants and their mother received total amount of Rs.40,000/- towards total sale consideration of Rs.75,000/-. The plaintiff was ready and willing to pay the balance sale consideration amount of Rs.35,000/-, however, the mother of the defendants died in February, 2002. The sale deed was not executed in plaintiff’s favour. After issuing legal notice to the defendants on 29.08.2002, the plaintiff inspected the revenue record and became aware of the fact that sale deed of suit land had already been executed by late Smt. Smt. Gurbax Kaur in favour of her son i.e. defendant No. 2 on 28.12.2001.

In the backdrop of above facts, plaintiff instituted the suit for specific performance of agreement dated 11.09.2001 and for declaration that the sale deed dated 28.12.2001 and cons

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