IN THE HIGH COURT OF JUDICATURE AT MADRAS
S. SOUNTHAR, J.
T.K.T.G. Srinivasan - Appellant
Versus
A. Murthy and Ors. - Respondents
S.A.No.510 of 2017 and C.M.P.No.12291 of 2017
Decided On : 03-01-2024
Specific Performance - Civil Procedure Code - Section 100 - Ex.A1, Ex.A2, Ex.A3, Ex.A4, Ex.A5, Ex.A9, Ex.A11, Ex.A12, Ex.B1, Ex.B2 - The court discussed the execution of the suit sale agreement, the denial of payments, and the continuous readiness and willingness of the plaintiff to perform his part of the contract. The court also considered the framing of points for consideration in the appeal and the entitlement of the appellant to maintain the second appeal.
Fact of the Case:
The first respondent filed a suit for specific performance, claiming to have entered into a sale agreement with the deceased Duraiammal. The trial Court dismissed the suit, but the First Appellate Court reversed the decision. The 8th defendant, the subsequent purchaser, appealed to this Court.
Finding of the Court:
The trial Court found that the first respondent failed to prove the execution of the suit sale agreement and the payments made. The First Appellate Court, however, granted a decree for specific performance. The Court analyzed substantial questions of law and found that the First Appellate Court failed to consider important issues and did not comply with the mandate under Order 41 Rule 31 of CPC.
Issues: The issues included the execution of the suit sale agreement, denial of payments, continuous readiness and willingness of the plaintiff, and the framing of points for consideration in the appeal.
Ratio Decidendi: The Court held that the first respondent failed to prove the execution of the suit sale agreement and the payments made. It also found that the First Appellate Court did not comply with the mandate under Order 41 Rule 31 of CPC.
Final Decision: The second appeal was allowed, the judgment and decree passed by the First Appellate Court were set aside, and the judgment and decree passed by the trial Court dismissing the suit were restored. There was no order as to costs, and the connected miscellaneous petition was closed.
JUDGMENT :
(Prayer : Second Appeal filed under Section 100 of the Civil Procedure Code, against the judgment and decree dated 08.12.2016 passed in A.S.No.54 of 2014 on the file of the Principal District Judge, Vellore, reversing the judgment and decree dated 16.09.2014 passed in O.S.No.3 of 2001 on the file of the Subordinate Judge, Vellore.)
The 8th defendant/subsequent purchaser is the appellant. The first respondent herein filed a suit for specific performance. The suit was dismissed by the trial Court and the appeal filed by the first respondent was allowed. Aggrieved by the same, the 8th defendant in the suit is before this Court.
2. Plaint Averment:
According to the first respondent/plaintiff, he entered into a sale agreement dated 05.03.2000 with deceased Duraiammal (first defendant/predecessor of respondents 2 to 4). As per the terms of agreement, the sale consideration was fixed at Rs.9,00,000/-. The first respondent paid a sum of Rs.3,00,000/- on the date of agreement, the time fixed for performance was six months. The said period expired on 04.09.2000. It was further claimed by the first respondent, he paid a further sum of Rs.2,25,000/- to third defendant/third respondent on 21.04.2000 and obtained an endorsement under Ex.A2. It was also averred that the first respondent paid further sums of Rs.25,000/-, Rs.20,000/- and Rs.30,000/- to third respondent on 21.05.2000, 30.06.2000 and 13.09.2000 respectively and obtained endorsements under Exs.A3, A4 and A5. Thus the said agreement vendor Duraiammal received a total sum of Rs.6,00,000/- till 13.09.2000. It was claimed by the first respondent, he was ready and willing to perform his part of the agreement and the deceased first defendant was evading execution of sale deed. The first respondent acquired knowledge about alienation made by deceased first respondent in favour of 3rd parties and hence he issued a legal notice dated 25.12.2000 calling upon the deceased first defendant to receive balance sale consideration of Rs.3,00,000/- from him and execute the sale deed. Since there was no favourable reply from 1st defendant, the first respondent filed a suit for specific performance on 02.01.2001.
3. Subsequent to filing of the suit, the agreement vendor Duraiammal had passed away and her legal representatives were arrayed as defendants 2 to 4 (respondents 2 to 4 herein).
4. The defendants 2 to 4 filed a written statement and then remained ex-parte. It is admitted fact that the agreement mentioned property was sold by deceased first defendant Duraiammal in favour of 5th respondent [D5] under Ex.A9 dated 27.12.2000. The 5th respondent inturn sold the agreement mentioned property to D6 and D7 (R6, R7 herein) on 04.03.2022 under Ex.A11. The defendants 6 and 7 sold the suit property to 8th defendant/appellant under Ex.A12 dated 27.04.2004. The defendants 2 to 4, 5th defendant and 8th defendant filed separate written statements. The defendants 6 and 7 remained ex-parte.
5. Averment found in the written statement of respondents 2 to 4/D2 to D4 :
The defendants 2 to 4 denied the execution of suit sale agreement and receipt of advance amount of Rs.3,00,000/-. They also denied the receipt of various amounts under various endorsements made under Ex.A1 suit sale agreement. It was further averred in the written statement that the 3rd defendant had no authority to receive any amount and make an endorsement on behalf of the first defendant. It was also averred that the first respondent/plaintiff was a money lendor and he used to lend money to deceased first defendant and take her signature and other members of her family on blank papers and on blank stamp papers. Those papers could have been pressed into service to file the present suit.
6. Averment found in the written statement of 5th defendant/5th respondent:
The 5th respondent herein in his written statement claimed that he purchased the suit property from the first respondent after due verification and he found no encumbrance over t
PadmaKumari Vs. Dassayan reported in (2015) 8 SCC 695;
Vijay Kumar Vs. Om Prakash reported in AIR 2018 SC 5098;
Ritu Saxena Vs. J.S.Grover reported in (2019) 9 SCC 132;
C.S.Venkatesh Vs. ASC Murthy reported in (2020) 3 SCC 280;
U.N.Krishnamurthy Vs. A.M.Krishnamurthy reported in AIR 2022 SC 3361;
U.Manjunath Rao Vs. U.Chandrasekar reported in (2017) 15 SCC 309;
Somakka Vs. K.P.Basavaraj reported in (2022) 8 SCC 261;
The continuous readiness and willingness of the plaintiff to perform his part of the contract is a condition precedent to grant the relief of specific performance.
The court affirmed that specific performance can be granted when the execution of the sale agreement is proven and the plaintiff demonstrates readiness and willingness to perform their contractual ob....
The main legal point established in the judgment is the requirement for the plaintiff to prove the execution of the agreement of sale, payment of consideration, and continuous readiness and willingne....
The judgment establishes that specific performance can be granted when the plaintiff proves the execution of the contract and demonstrates readiness and willingness to perform, despite the defendant'....
Sale agreement genuine but specific performance denied due to plaintiff's delay proving lack of readiness and willingness.
To obtain a decree for specific performance, the plaintiff must prove continuous readiness and willingness to perform his part of the contract at all stages from the date of the agreement till the da....
The central legal point established in the judgment is the requirement for the plaintiff to prove continuous readiness and willingness for specific performance, as well as the availability of the def....
The appellate court must respect trial court findings unless clear errors exist, particularly regarding the existence and terms of contractual agreements and the parties' readiness to perform.
Specific performance can be granted when the buyer has made substantial payments and the seller's refusal to execute the sale deed is unjustified, even if specific issues on readiness and willingness....
Specific performance – Relief of specific performance is equitable remedy – Plaintiff have to necessarily show their readiness and willingness in performing their part of contract from date of agreem....
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