IN THE HIGH COURT OF JUDICATURE AT MADRAS
R. Subramanian, R. Sakthivel, JJ.
M/s. Sri Abhirami Foundations, rep. by its Partner and Others – Petitioners
Versus
K. Cowndamani and Others – Respondents
Original Side Appeal (CAD) No. 115 of 2021 & CMP Nos. 19288 of 2021, 75 & 5802 of 2022
Decided On : 14-03-2024
Construction Contracts - Recovery of Possession - Commercial Courts Act, 2015 - Section 13(1)
Fact of the Case:
The plaintiffs, members of a family, purchased land and entered into construction agreements with the defendants for a commercial complex. The defendants abandoned the project, leading the plaintiffs to take over and seek renewal of permits. The defendants attempted to evict the plaintiffs and installed unauthorized occupants on the property. The plaintiffs filed a suit seeking recovery of possession and damages.
Finding of the Court:
The court found that the plaintiffs were entitled to the reliefs sought, as the defendants' possession was illegal and they were bound to surrender possession. The court also awarded damages to the plaintiffs for the illegal occupation by the defendants.
Issues: The issues included entitlement to reliefs, possession of the defendants, entitlement of unauthorized occupants, damages, mis-joinder of parties, cause of action, and enforceability of agreements.
Ratio Decidendi: The court held that the subsequent construction contracts superseded the original memorandum of understanding, and the defendants' possession was illegal as they failed to complete the construction as per the contract. The court also found that the plaintiffs were entitled to damages for the illegal occupation by the defendants.
Final Decision: The appeal was dismissed, and the court upheld the decree for recovery of possession and damages in favor of the plaintiffs.
JUDGMENT :
R. Subramanian, J.
(Prayer: Original Side Appeal (CAD) filed under Order XXXVI Rule 1 of the Original Side Rules read with Clause 15 of Letters Patent under Section 13(1) of the Commercial Courts Act, to set aside the Judgment and decree passed in C.S. No.509 of 2011 dated 26.11.2019.)
1. The defendants 1 and 4 in CS No.509 of 2011 are on Appeal challenging the decree for recovery of possession, permanent injunction, damages towards illegal occupation and mandatory injunctions directing the return of the original documents granted in favour of the plaintiffs. The parties will be referred to as per the ranks in the suit.
2. The suit came to be filed by the plaintiffs claiming the reliefs aforesaid on the following backdrop:
2.2. According to the plaintiffs, the fourth defendant represented that the Parent Title Deeds were required for inspection by the Chennai Metropolitan Development Authority and the Greater Chennai Corporation for the purposes of sanctioning of plans for construction and took those documents, viz. the Sale Deed dated 21.05.1958 and the family arrangement dated 31.12.1968. A plan for construction of a commercial complex measuring about 22700 sq. feet was granted by the Chennai Metropolitan Development Authority on 07.03.1997. The defendant was permitted to enter upon the suit property for the purposes of construction.
2.3. As per the agreements, the first defendant was to complete the construction within 20 months. Though the plaintiffs were making payments of monies as required by the agreement, the second defendant required more monies and demanded payments ahead of the periods scheduled in the agreement. Between March 1996 and February 1999, the plaintiffs had paid a sum of Rs.1,04,53,465/- to the first defendant towards the cost of construction.
2.4. To their dismay, the plaintiffs found that the construction has not progressed up to the desired levels and the planning permission also expired. The defendants permanently abandoned the project in July 2004. They have removed their men and material from the plaint schedule property. Finding no other alternative, the plaintiffs took over the property and appointed their own security personal to enable completion of the construction through other contractors. They had also to seek renewal of the sanctions and licenses obtained for construction.
2.5. The fourth defendant, in February- March 2006, attempted to forcibly evict the security men appointed by the plaintiffs and this attempt was, however, scuttled by Mr.Pradeeshkumar, a relative of the first plaintiff. The plaintiffs left without any other alternative filed the suit in CS No.196 of 2006 seeking a permanent injunction in order to protect their possession. Interim orders of injunction were also granted by this Court. However, the fourth defendant using rowdy elements forced out the plaintiffs’ security men and installed his maid servant and her family and the seventh defendant, who is said to be the Yoga Teacher of the fourth defendant.
2.6. The seventh and eighth defendants viz. the Yoga Teacher and the maid servant have
The judgment emphasizes the importance of timely approval for construction, the need for clean hands in seeking equitable relief, and the significance of possession in property disputes.
Defendants, who file a counter claim against the plaintiff, can maintain an application for temporary injunction against the plaintiff. Additionally, the court may injunct the plaintiff to maintain s....
In a suit for permanent injunction, the plaintiff must establish possession; failure to contest evidence leads to confirmation of ownership and injunction.
In a suit for permanent injunction, a plaintiff must establish possession; mere claims of ownership without evidence do not suffice to challenge established rights.
In a suit for permanent injunction, the plaintiff must establish possession of the property to obtain relief, and mere claims of ownership by a defendant do not suffice to cloud the title of the plai....
(1) Recovery of possession – Limitation – Suit based on title where plea of adverse possession had not been raised could not be barred by limitation on ground that it was filed after more than 12 yea....
The plaintiff's lawful ownership and entitlement to recovery of possession were established, and the defendants' possession was found to be unlawful.
A tenant cannot claim ownership or protection against eviction based on an unregistered oral agreement. The jural relationship of landlord and tenant persists until surrender of possession, and the d....
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