IN THE HIGH COURT OF JUDICATURE AT MADRAS
Mr. Justice Govinda Menon, Mr. Justice Basheer Ahmed Sayeed and Mr. Justice Ramaswami,JJ.
N.B. Sitarama Rao
Versus
Venkatarama Reddiar
Appeal No. 168 of 1949.
Decided On : 08 September 1955
The argument of the learned counsel for the appellant, Mr. T.M. Krishnaswami Ayyar, may be briefly stated thus. The sale deed executed by the Naidus in favour of defendants 1 and 2 and the agreement to reconvey were two distinct transactions. The 1st defendant was neither a de jure nor a de facto guardian of the 2nd defendant but at the best was only an ad hoc guardian and as such he had no legal competency to represent the minor in agreeing to reconvey the property to the Naidus. The 2nd defendant being a minor at the time of the agreement to reconvey, the agreement was bad for want of mutuality. In any view, the Naidus did not comply with the conditions laid in the agreement and on that ground also the agreement became unenforceable. Learned counsel for the respondents countered this argument by stating that the sale-deed and the agreement to reconvey constituted an indivisible transaction, that the law in respect of competency of the contracts entered into by guardians on behalf of minors has undergone a change in view of the judgment of the Judicial Committee in Subrahmanyam v. Subba Rao1, and that under the present law the agreement to reconvey entered into by the guardian on behalf of the 2nd defendant was valid. He further argued that the 1st defendant was a de facto guardian of the 2nd defendant at the time when the said agreement was executed and that the Naidus complied with the conditions laid down under the agreement. He also pressed on us to hold that, in any view, the minor, having taken the benefit of the contract and having adopted it after attaining majority, could not enjoy the benefit and deny his liability.
After hearing the arguments at the Bar, we, constituting as Divisional Bench, found it difficult to steer clear of conflicting decisions placed before us particularly with reference to the validity of an executory contract entered into by a gu
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