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P. B. BALAJI
N. Basuvaraj – Appellant
Versus
Gullamma – Respondent
JUDGMENT :
P.B. BALAJI, J.
PRAYER: Second Appeal filed under Section 100 of the Code of Civil Procedure, against the Judgment and Decree of the learned Subordinate Judge of Hosur, dated 10.01.2017 in A.S. No. 11 of 2015 reversing the Judgment and Decree of the learned District Munsif of Denkanikottai, dated 11.02.2015 in O.S. No. 65 of 2007.
1. The unsuccessful defendant in a suit for specific performance is the appellant before this Court.
2. For the sake of convenience, the parties are described as per their litigative status before the Trial Court.
3. The plaintiff filed a suit in O.S.No. 65 of 2007 before the District Munsif Court, Denkanikottai, seeking specific performance of an agreement of sale dated 17.05.2005 for purchasing the suit property. It is the case of the plaintiff that the defendant approached the plaintiff for selling the suit scheduled property measuring 6 cents, comprised of two items of three cents each for a total consideration of Rs.55,000/-. The plaintiff has further pleaded that an advance of Rs.50,000/- was paid on the date of sale agreement itself and for payment of remaining sale consideration of Rs.5,000/-, one year time was mutually agreed upon between
The court ruled that a sale agreement intended as security for a loan does not entitle the plaintiff to specific performance, emphasizing the necessity of proving readiness and willingness to perform....
The court established that an agreement labeled as a sale can be deemed a security for a loan if the evidence supports such a conclusion, and specific performance can be denied if the plaintiff fails....
A registered sale agreement may be deemed a loan transaction if its terms are inconsistent with a true sale, supported by the burden of proof on the party disputing its intended meaning.
A sale agreement must be proven by its written terms, and inconsistencies in evidence can undermine claims for specific performance.
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....
The burden of proof lies on the party disputing the validity of a written contract, and the conduct of the parties and the plaintiff's readiness and willingness are essential for specific performance....
The Court exercised its discretion under Sec. 20 of the Specific Relief Act to set aside the judgment and directed the defendant to return the advance amount with interest.
Point of law: Absence of any material, that the plaintiff had exercised undue influence in obtaining the sale agreement from the defendant at the time of the alleged loan transaction.
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