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1983 Supreme(Mad) 488

High Court of Judicature at Madras
SENGOTTUVELAN
Bole Naidu
Versus
N. Kothandarama Pillai & Others
Appeal No. 56 of 1978
Decided On :Decided on: 07-10-1983

Advocates Appeared:
For the Appellants:R. Kesava Iyengar Advocate for M/s. T. Vadivelu & T. Seshadri, Advocates.
For the Respondents:M.R. Narayanasamy, Sr. Advocate for M/s. M. Venkatachalapathy & M. Ramakrishnan, Advocates.

Headnote:

SPECIFIC PERFORMANCE - AGREEMENT TO SELL - RESTRICTION ON ALIENATION - ABSOLUTE ESTATE - BONA FIDE PURCHASER - NOTICE - INDEX REGISTER - ADDITIONAL EVIDENCE - SPECIFIC RELIEF ACT, 1963 - SECTION 19(B) - TRANSFER OF PROPERTY ACT, 1882 - SECTIONS 11, 43, 58-C, 59, 60 - REGISTRATION ACT, 1908 - SECTIONS 57, 59 - EVIDENCE ACT, 1872 - SECTIONS 3, 52, 114, 115 - GENERAL CLAUSES ACT, 1897 - SECTION 3(22) - INDIAN SUCCESSION ACT, 1925 - SECTION 88 - CIVIL PROCEDURE CODE, 1908 - ORDER 41, RULE 27.

Fact of the Case:

The appellant entered into an agreement to sell the suit property to the plaintiff on 28.4.1972 and received an advance of Rs. 1,300 agreeing to receive the balance at the time of execution of the sale. The defendants 3 and 4 purchased the suit property with full knowledge of the agreement Ex.A 1 and the rights of the plaintiff under the same.

Finding of the Court:

The trial court found that the respondents 1 and 2 are not entitled to execute the sale agreement Ex.A-1 in favour of the appellant in view of the restrictions contained in the settlement deed Ex.A-8. The trial court also found that Chelvanayagi Ammal, the mother of the second respondent, continued to be in possession of the suit property inspite of the settlement deed Ex.A-8. The learned Subordinate Judge also found that the subsequent sale deed in favour of the respondents 3 and 4 executed by the respondents 1 and 2 and Chelvanayagi Ammal is true and valid. The trial court also came to the conclusion that the respondents 3 and 4 are the bona fide transferees for value without notice of the agreement Ex.A-1.

Issues: 1. Whether the suit agreement to sell dated 28.4.1972 is true, valid and binding on defendants 3 and 4? 2. Whether the plaintiff had been ready and willing to perform his part of the conduct under the suit agreement? 3. Whether the defendants 1 and 2 had no right to the suit property and to enter into the suit agreement to sell the same? 4. Whether the defendants 3 and 4 are bona fide purchasers of the suit property for value without notice of the suit agreement? 5. Whether the plaintiff is entitled to the relief of specific performance as prayed for?

Ratio Decidendi: 1. The recitals in Ex.B-4 indicate an absolute gift. The subsequent recitals in Ex.B-4 relied on by the respondents 3 and 4 in support of their contention that the respondents 1 and 2 have no right in praesenti in the suit property are repugnant to the absolute disposition and hence void. 2. The interdiction with regard to alienation can only be regarded as a condition subsequent repugnant to the absolute estate and the same will have to be rejected as a condition repugnant to the grant. 3. The respondents 3 and 4 are not transferees without notice of Ex.A-1 and they cannot be brought under the Exception to S.19(b) of the Specific Relief Act.

Final Decision: The judgment and decree of the trial court are set aside and the appeal is allowed and consequently there will be a decree for specific performance in favour of the appellant/plaintiff, as prayed for.

Judgment :-

1. The facts of the case are briefly as follows:— The 2nd respondent, second defendant in the suit Neelaveni Ammal, is the daughter of one Chelvanayaki Ammal. The first respondent the first defendant, M. Kothandarama Pillai, is the husband of Neelaveni Ammal. The case of the appellant/plaintiff is that defendants 1 and 2 agreed to sell the properties comprised in the plaint schedule to the plaintiff for Rs. 12,500 and executed a registered sale agreement on 28.4.1972, marked as Ex.A-1, and received an adva nce of Rs. 1,300 agreeing to receive the balance at the time of execution of the sale. Defendants 1 and 2 undertook to execute a sale deed in favour of the plaintiff in pursuance of the agreement within three months from 28.4.1972. The plaintiff had always been ready and willing to do his part of the contract. Defendants 3 and 4 who claimed to be the subsequent purchasers in collusion with the defendants 1 and 2 brought about two sale deeds in their favour, marked as Exs.B.1 and B-2, respectively. The plaintiff on coming to know about the unlawful conduct of the defendants 1 to 4 issued a notice on 19.5.1972 to the defendants 1 to 3 and one Sreenivasalu Naidu, the paternal uncle of the 4th defendant. The said notice is marked as Ex.A-

3. Ex.A-4 is the postal acknowledgement showing the receipt of notice by the second defendant on 29.5.1972. Similarly Ex. A-5 is the postal acknowledgement from the first defendant for having received the notice Ex.A-3 on 29.5.1972. Exs.A-5 and A-7 are the unserved covers containing the notice issued to the third defendant and Sreenivasalu Naidu. The plaintiff also alleges that the defendants 3 and 4 purchased the suit property with full knowledge of the agreement Ex.A 1 and the rights of the plaintiff under the same. Hence the plaintiff prayed for a decree for specific performance directing the defendants 1 to 4 to execute the sale deed in favour of the plaintiff as stipulated in Ex. A-1 after receiving the balance of consideration.

2. Defendants 1 and 2 have not filed any written statement though they have appeared through advocates.

3. The third defendant filed a written statement raising the following conteations:—The suit property originally belonged to one Chelvanayaki Ammal, the mother of the second defendant and mother-in-law of the first defendant. The said Chelvanayaki Animals husband had left a son by his first wife. It was represented to her that in order to enable the second defendant and her husband to get the suit property she might make a testamentary disposition in favour of them. The first defendant who was in a posit ion to dominate her will secured a document, the registration copy of which is marked as Ex.A-8, on the representation that it was will. The said Chelvanayaki Ammal executed it without knowing the contents and believing that it was only a will. There is no valid attestation of the document and the document was not given effect to and acted upon. The said Chelvanayaki Ammal continued to be in possession of the property. Even if the document Ex.A-8 is true and valid defendants 1 and 2 have no power to alienate the suit property conveyed to them since there is a prohibition against any alienation till the death of the said Chelvanayaki Ammal.

4. Defendants 3 and 4 are the bona fide purchasers of the suit property for value without notice of any defective title. They were not aware of the alleged agreement Ex.A-1 in favour of the plaintiff. The agreement Ex.A-1, even if it is true, is not enforceable against the defendants 1 and 2 in view of the prohibition incorporated in Ex.A 8.

5. The fourth defendant in his written statement adopted the written statement of the third defendant and contended that he is a bona fide purchaser for value under the registered sale deed, marked as Ex.B-2. Only after ascertaining the encumbrances in the Sub-Registrars Office and after having been satisfied that there was no agreement as alleged by the plaintiff the defendants p












































































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