IN THE HIGH COURT OF JUDICATURE AT MADRAS
G.K.ILANTHIRAIYAN, J.
R.Selvam - Appellant
Versus
R.Mani – Respondent
A.S.No.357 of 2016 and C.M.P.No.8020 of 2016
Decided on : 22-07-2021
Civil Procedure Code,1908 - Section 96 - Possession of suit property - Settlement Deed - Whether contract has been induced by undue influence - Upon determination of this issue a third point emerges which is that of onus - Held, When no right has been reserved by first defendant to cancel settlement deed Court below rightly declared title in respect of suit property in favour of plaintiff - If at all defendants 2 to 4 have grievance over settlement deed executed in favour of plaintiff they ought to have challenged settlement deed executed in favour of plaintiff in manner known to law - Court below rightly held that cancellation deed is non-est in law - That apart no material evidence was produced by defendants to substantiate their contentions as averred in their written statement. Except first defendant no one was examined on their behalf to strengthen execution of cancellation deed - Appeal dismissed.
JUDGMENT :
PRAYER: This Appeal Suit filed under Section 96 of the Civil Procedure Code, to set aside the decree and judgment made in O.S.No.93 of 2014 on the file of the III Additional District Judge, Salem dated 11.12.2015.
This Appeal Suit is directed against the judgment and decree passed in O.S.No.93 of 2014 dated 11.12.2015 on the file of the learned III Additional District Judge, Salem.
2. For the sake of convenience, the parties are referred to hereunder according to their litigative status before the Trial Court.
3. The suit is filed for declaration and permanent injunction in respect of the suit property. The case of the plaintiff is that the suit property belonged to the first defendant as per the preliminary decree passed in O.S.No.18 of 2010 dated 08.12.2011 on the file of the Fast Track Court No.2, Salem. The first defendant filed suit against her brothers and the suit property was allotted in her favour. Thereafter, the first defendant had executed a registered gift settlement deed in favour of the plaintiff on 08.03.2012. From the date of the gift settlement deed, the plaintiff had taken possession of the suit property and he is in possession and enjoyment of the same. In the meanwhile, under the influence of defendants 2 to 4, the first defendant executed a registered cancellation deed dated 03.07.2012 unilaterally. On the same day, the first defendant executed another gift settlement deed in favour of the plaintiff and the defendants 2 to 4. The said cancellation deed and the subsequent gift settlement deed executed by the first defendant are void-ab-initio. Once, the first defendant had lost her title to the suit property, after execution of registered settlement deed in favour of the plaintiff, she has no title over the property. On the strength of the settlement deed executed in favour of the defendants 2 to 4, they created encumbrance by execution of agreement for sale with the defendants 5 and 6. Hence, the suit for declaration and permanent injunction.
4. Resisting the same, the defendants filed a written statement stating that the suit property originally belonged to the first defendant as per the preliminary decree passed in O.S.No.18 of 2010. The first defendant was allotted the suit property and on compulsion, the first defendant executed the alleged gift deed in favour of the plaintiff, that too without the knowledge of the defendant 1. After coming to know about the settlement deed, which was obtained fraudulently by the plaintiff, the first defendant had executed a cancellation deed and also another settlement deed dated 03.07.2012. When that being so, without challenging the cancellation of settlement deed and another settlement deed dated 03.07.2012, the suit filed challenging the subsequent agreement for sale, is not maintainable and liable to be dismissed.
5. On completion of pleadings of the both sides, the Trial Court framed the following issues:-
(ii) Whether the plaintiff is entitled to the relief of permanent injunction?
(iii) to what other relief?”
6. On the side of the plaintiff, he was examined as P.W.1 and the documents were marked as Ex.A.1 to Ex.A.6. On the side of the defendants, D.W.1 was examined and no documents were marked.
7. On a perusal of the oral and documentary evidence, the Court below decreed the suit in favour of the plaintiff. Aggrieved by the same, the appellant/second defendant alone preferred this Appeal Suit.
8. The learned counsel for appellant/second defendant submitted that Ex.A.1 was obtained by the plaintiff by misrepresentation and he played fraud, that too without knowledge of the first defendant. Thereafter, it was not acted upon and the first defendant rightly cancelled the gift deed by cancellation deed and the same was duly registered. The plaintiff had executed the alleged settlement deed by undue influence by fraud and as such, the plaintiff did not approached the Court wi
Chandr Das Mushib v. Ganga Prasad Das mushib AIR 1967 SC 878
S.P.Chengalvaraya Naidu -vs- Jagannath
The cancellation of a gift settlement deed is invalid if the donor reserves no right to revoke it, and the burden of proving absence of undue influence lies on the beneficiary.
Registered attested documents like settlement deeds require proof of execution under S.68/69 Evidence Act; registration presumes no validity when challenged.
A settlement deed executed and registered holds presumptive validity unless proven contrary; properties held in the name of a female are presumed self-acquired unless evidence suggests otherwise.
The main legal point established in the judgment is the determination of property rights based on the source of purchase and the validity of settlement deeds executed within a family.
A settlement deed requires acceptance by the donee to be valid, and unilateral revocation is not permissible if the deed has been acted upon. Additionally, rights conferred by a compromise deed can l....
A registered gift deed cannot be unilaterally revoked; cancellation requires judicial intervention to be valid.
The central legal point established in the judgment is the significance of the intention of the settlor and the transfer of interest in determining the nature and validity of a settlement deed.
Unilateral cancellation of a registered gift deed is invalid without specific grounds for revocation under law, reaffirming 'possession follows title'.
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