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2011 Supreme(J&K) 538

JAMMU & KASHMIR HIGH COURT
Muzaffar Hussain Attar, J.
Khurshid Ahmad Fazili & Anr. -Appellant
Versus
State & Ors. -Resopndent
CIMA No. 24 of 2005
Decided On : 17-11-2011

The main legal point established in the judgment is the application and interpretation of Section 52 of the Transfer of Property Act 1977, which protects the rights of parties in a civil suit involving immoveable property.

Headnote:

Transfer of Property Act - Injunction - Section 52 Transfer of Property Act 1977 - The court considered the mandate contained in Section 52 of the Transfer of Property Act 1977, which protects the rights of parties litigating in a civil suit in respect of immoveable property. The court modified the order by appointing a Commissioner to oversee the sale of constructions raised on the suit property and directed the appellants to file an undertaking to inform the Commissioner about the sales and abide by the decree if the plaintiffs succeed.

Fact of the Case:

A Civil Original Suit was filed by the plaintiffs against the defendants seeking cancellation of sale deeds, possession of suit property, and a decree for permanent injunction. The defendants were restrained from alienating the land in question till the lis is pending under Section 52 of the Transfer of Property Act 1977.

Finding of the Court:

The court found that the plaintiffs did not have a prima facie case of fraud, balance of convenience did not tilt in their favor, and they would not suffer irreparable injury. The court modified the order by appointing a Commissioner to oversee the sale of constructions raised on the suit property.

Issues: The issues revolved around the alleged oral agreement between the parties for a Joint Venture of constructing flats/residential houses, the validity of the sale deeds, and the protection of rights under Section 52 of the Transfer of Property Act 1977.

Ratio Decidendi: The court's decision was influenced by the provisions of Section 52 of the Transfer of Property Act 1977, which protects the rights of parties in a civil suit involving immoveable property. The court modified the order to ensure oversight of the sale of constructions and directed the defendants to file an undertaking to abide by the decree if the plaintiffs succeed.

Final Decision: The court disposed of the case and directed the record to be transmitted to the trial court for further proceedings.

JUDGMENT

Honble Mr. Justice Muzaffar Hussain Attar, Judge

1. A Civil Original Suit is filed by the plaintiffs (respondents 1&2 herein) against the defendants (appellants herein), which came to be amended with the prayer for issuance of decree of cancellation of sale deeds with further prayer for possession of suit property. It is also prayed that a decree for permanent injunction be also passed against the appellants defendants, directing them to pull down the structures raised on the suit land for effective and smooth handover of suit land to plaintiffs or in the alternative a decree for dissolution of partnership and rendition of accounts be passed in favour of the parties after the Hon'ble Court holds the capital investment raised through transfer of land as an investment in the partnership.

2. Alongside the suit, the plaintiffs also filed an application praying therein that pending disposal of the suit, the appellants defendants 1&2 be restrained from alienating or parting with the subject matter of the suit.

3. After hearing the learned counsel for the parties, the learned trial Judge, vide its order dated 20-12-2004 observed as under :

For all the foregoing reasons I am of the opinion that prima facie case for grant of the relief of injunction or any other interim relief is not disclosed. The only relief that can be considered and granted by this Court at this stage of the case is under Section 52 Transfer of Property Act to the effect that the defendants/non applicants shall not alienate the land in question till the lis is pending

4. The appellants ' defendants, being aggrieved of the said direction of the learned trial Judge have filed this appeal.

5. Heard learned counsel for the parties. Considered the matter.

6. Mr. Qureshi, learned counsel for the appellants, submitted that the learned trial Judge recorded the findings that there is no prima facie case in favour of the plaintiffs and that balance of convenience is not in their favour and they will not suffer any irreparable loss in case the reliefs sought for are not granted, but the learned trial Judge, ultimately, directed the appellants not to alienate the land in question till the lis is pending in view of the mandate contained in Section 52 of the Transfer of Property Act 1977. Mr. Qureshi further submitted that a valid sale transaction has taken place between the appellants and plaintiffs and the consideration amount has been paid to the plaintiffs and possession of the property was also handed over to the appellants. He further submitted that the appellants, in order to utilize the land for commercial purposes, obtained financial assistance from a Scheduled Bank for raising constructions on the suit land with a view to sell those constructions. It is further submitted that the constructions are being raised but in view of the order of the learned trial Judge, the appellants have been restrained from alienating the suit property, thus, the very purpose for which the suit property was purchased, would stand defeated. Mr. Qureshi also submitted that after recording prima facie findings by the learned trial Judge that the plaintiffs have no prima facie case and that balance of convenience is not in their favour and they will not suffer any irreparable loss, the appellants could not have been, in law, restrained from alienating the land in question. Learned counsel, accordingly, prayed for setting aside the operative part of the impugned order.

7. Mr. M.Sultan, learned counsel for the respondents 1&2, submitted that the appeal is not maintainable, in as much as, what is reiterated in the impugned order, is the mandate contained in Section 52 of the Transfer of Property Act 1977. He further submitted that on the material available before the learned trial Judge and in view of its own findings recorded in the impugned order, a case for grant of injunction is made in favour of the plaintiffs - respondents and against the appellants. It is further submitted that since the ma

















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