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2011 Supreme(Mad) 4092

High Court of Judicature at Madras
R.S. RAMANATHAN
Adilingam & Another
Versus
Narayanan & Others
Second Appeal Nos.624 and 625 of 2009 & M.P.Nos.1 & 1 of 2009
Decided on : 28-09-2011

Advocates appeared:
For the Appellants:S. Parthasarathy, Senior Counsel for R. Nalliyappan, Advocate.
For the Respondents:R1 - P.B. Balaji, Advocate.

The plaintiff in a suit for specific performance is not obliged to deposit the amount before filing the suit, as per Section 16(c) of the Specific Relief Act.

Headnote:

specific performance - agreement of sale - - Specific Relief Act, Section 16(c)

Fact of the Case:

The first respondent filed a suit for specific performance of an agreement of sale. The deceased first defendant agreed to sell the property, but his sons objected, claiming it was joint family property. The trial court decreed the suit, and the first appellate court confirmed the judgment.

Finding of the Court:

The courts held that the property was the separate property of the deceased first defendant and that the first respondent proved readiness and willingness to proceed with the agreement of sale. The first respondent was awarded the relief of specific performance, and the first appellate court awarded costs.

Issues: 1. Whether the first respondent committed breach of conditions in the agreement of sale. 2. Whether the first respondent was ready and willing to perform his part of the contract.

Ratio Decidendi: The court found that the first respondent did not commit breach of conditions in the agreement of sale and was ready and willing to perform his part of the contract. The court also emphasized that the agreement of sale cannot be treated as a sale and the plaintiff was not obliged to deposit the amount before filing the suit for specific performance.

Final Decision: Both second appeals were dismissed, confirming the judgment of the Trial Court regarding specific performance and the judgment and decree of the first appellate court regarding cost.

JUDGMENT :-

1. Defendants 2 and 4 are the appellants.

2. The first respondent filed the suit for specific performance of an agreement of sale dated 5.5.1993 executed by the father of the appellants and respondents 2 to 8 agreeing to sell the suit property at the rate of Rs.300/= per cent and received an advance of Rs.25,950/= and nine months time was fixed for payment of balance sale consideration of Rs.1,29,850/=. As the father of the appellant Mahalingam failed to execute the sale deed, the suit was filed by the first respondent for specific performance. The case of the first respondent was that the suit property belonged to Mahalingam, the deceased first defendant and it was his separate property and he agreed to sell the suit property for Rs.300/= per cent and received Rs.25,950/= and executed the agreement of sale dated 5.5.1993 and thereafter, he did not evince any interest and therefore, the first respondent issued notice dated 8.9.1993 calling upon the deceased first defendant to execute the sale deed on receipt of balance sale consideration and the deceased first defendant admitted the execution of the agreement of sale and sent a reply on 7.10.1993 stating that without consulting his sons, he had executed the agreement of sale and the properties are the joint family properties of himself and the sons and the sons are objecting to the same and requested the first respondent to cancel the agreement and get back the advance amount.

3. The first appellant and the second respondent sent reply stating that by practising fraud on their father, the agreement was obtained for a low price and the properties belong to them jointly and therefore, requested the first respondent to cancel the agreement and get back the advance. As the deceased first defendant failed to execute the sale deed, the suit was filed for specific performance.

4. The deceased first defendant died before filing written statement, and therefore, his legal representatives were added as defendants 2 to 10. The second defendant viz., the first appellant filed a statement stating that the property belong to them jointly and his father had no right to execute the agreement of sale in favour of the first respondent herein and they have not given consent for the sale and by practising fraud, the signature of the father was obtained by the first respondent with the help of one Palani Chettiar and he also stealthily obtained the original sale deed in favour of their father and the third defendant and the second respondent herein also filed the suit for partition in O.S.No.284 of 1994 and as such, the first respondent/plaintiff is not entitled to the relief of specific performance.

5. The fifth defendant also filed statement stating that he was lured by Palani Chettiar and at his instance, he also helped his father to enter into the agreement of sale with the first respondent without knowing the mala fide intention of the first respondent/plaintiff and therefore, the sale agreement is not valid and the first respondent/plaintiff is not entitled to the relief prayed for.

6. The present appellants, who were defendants 2 and 4remained ex parte in the suit and the suit was contested by defendants 3, 5 and 7.

7. The Trial Court held that the property was the separate property of the deceased first defendant Mahalingam and it was not the joint family property of Mahalingam and his sons and that Mahalingam entered into the agreement of sale voluntarily and no fraud has been practised upon him and considering the price hike, he wanted to rescind from the agreement of sale and issued reply notice and the first respondent proved his readiness and willingness to proceed with the agreement of sale and decreed the suit as prayed for. Nevertheless the Trial Court did not award cost to the first respondent. Therefore, the first respondent filed A.S.No.27 of 2007 against the judgment and decree insofar as the cost is concerned and defendants 2 to 5, and 7, 8 and 10 filed A.S.No.28 of
















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