IN THE HIGH COURT OF JUDICATURE AT MADRAS
S.S. Sundar, K.Rajasekar, JJ.
Mrs.Nafisa Ismail Dhariwala - Appellant
Versus
Taher Bhai Sheikh Abbas Bhai Deesawala and ors. - Respondents
OSA.Nos.166 & 167/2021 & CMP.Nos.7330 & 7350/2021
Decided On : 04-10-2024
JUDGMENT :
S.S.SUNDAR, J.
Prayer : Original Side Appeal filed under Clause 15 of Letters Patent read with Order 36 Rule 1 of High Court Original Side Rules against the judgment and decree passed in CS.No.222/2007 dated 18.11.2019.
Prayer : Original Side Appeal filed under Clause 15 of Letters Patent read with Order 36 Rule 1 of High Court Original Side Rules against the judgment and decree passed in CS.No.121/2009 dated 18.11.2019.
1. The appeal in OSA.No.166/2021 is against the judgment and decree dated 18.11.2019 in CS.No.222/2007 filed under the Original Side jurisdiction of this Court by the respondents for partition and separate possession among other reliefs as against the appellant.
2. The appeal in OSA.No.167/2021 is against the judgment and decree dated 18.11.2019 in CS.No.121/2009 filed by the appellants for specific performance of an Agreement of Sale by directing defendants 1 to 6 to execute the Sale Deed in respect of 1/3rd of undivided share of the suit property and for granting a decree for a sum of Rs.1,08,00,000/- as damages for the loss of opportunity due to the non performance of the Agreement by the defendants 1 to 6.
3. The case of the respondents in CS.No.222/2007 is that the suit property measuring an extent of 15 grounds 811 sq.ft., bearing Door No.37/1, West Mada Church Road, Royapuram comprised in RS.No.97/4, 4th Tondiarpet Taluk, Chennai District, originally belonged to a Firm M/s.Goolamally & Co., consisting of one Akbarally Esufally Visnagarwala and three others as partners. It is stated in the plaint that by subsequent arrangement each partner was given 1/4th share. It is stated further that in an oral partition among the legal heirs of all the four persons on 01.03.1972, which was subsequently recorded on 16.03.1972, the suit property was allotted to Abbasbahi Mulla Akbarali Deesawala, Siraj Bhai Mulla Akbarali Deesawala and Husasiny Bhai Mulla Akbarali Deesawala.
4. Respondents 1 to 6 are the legal heirs of Akbarli Deesawala who died on 01.08.1989. In the year 2000, respondents 1 to 6 and other sharers who are entitled to 2/3rd share in the suit property, entered into a Memorandum of Understanding with the appellant for joint development. It is admitted that the Joint Venture Agreement for development and construction of a superstructure of built up area of 30,000 sq.ft. did not go through.
5. It is also admitted that without the consent of respondents 1 to 6, the co-sharers of 2/3rd share who are Siraj Bhai Mulla Akbarali Deesawala and Husasiny Bhai Mulla Akbarali Deesawala, sold their 2/3rd share in the scheduled property to the appellant in OSA.No.166/2021 by two Sale Deeds dated 22.07.2005 bearing Doc.Nos.2293 of 2005 and 2294 of 2005 for a total consideration of Rs.92 lakhs. Therefore, in the plaint in CS.No.222/2007, the plaintiffs/respondents 1 to 6 contended that they have a right of pre-emption to purchase the shares of other sharers and the respondents are willing to purchase the 2/3rd share of other two sharers. Therefore, the plaintiffs filed the suit in CS.No.222/2007 for partition and separate possession of their 1/3rd share in the suit property by metes and bounds and for a direction to the appellant/defendant to sell her 2/3rd share purchased by her under the two Sales Deeds. The plaintiffs have also prayed for permanent injunction restraining the defendant from in any manner interfering with the peaceful possession and enjoyment of the suit property by the plaintiffs by transferring 2/3rd share of suit schedule property to anyone. Later, the respondents in OSA.No.166/2021 gave up their prayer based on their alleged right of pre-emption.
6. The appellants in OSA.No.167/2021 as plaintiffs, filed the suit in CS.No.121/2009 for specific performance by directing the respondents to execute the Sale Deed in respect of 1/3rd of undivided share of suit property in favour of the appellants and to grant a decree of a recovery of a sum of Rs.1,08,00,000/- as damages for the loss of opportunity due t
The court affirmed that a plaintiff seeking specific performance must prove a valid agreement and readiness to perform, which was not established in this case.
The court upheld specific performance of a contract where the plaintiff proved payment despite the defendant's encumbrance issues, establishing that time was not of the essence in performance.
Specific performance under Section 20 of the Specific Relief Act is discretionary even when an oral contract is established, allowing for compensation in lieu if deemed appropriate.
Point of law: specific performance of oral Agreement of sale – Not proved - In a case of specific performance of contract, a greater degree of certainty is required and it demands a clear, definite a....
(1) Agreement to sell – Specific performance will not be ordered if contract itself suffers from some defect which makes contract invalid or unenforceable – Discretion of court will not be there even....
Agreement to sell – Decree of specific performance can be granted on the basis of oral contract.
A plaintiff seeking specific performance must demonstrate continuous readiness and willingness to complete contract obligations, failing which relief may be denied.
Time is of the essence of a contract if the parties have agreed that it is or if the circumstances of the case show that it is.
Agreement to Sell – In a suit for specific performance of agreement, it is for Plaintiff to prove his readiness and willingness to perform his obligations under the agreement – Where a certain amount....
The main legal point established in the judgment is the requirement for the plaintiff to prove continuous readiness and willingness to perform the essential terms of the contract, as mandated by Sect....
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