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2025 Supreme(Mad) 2210

IN THE HIGH COURT OF JUDICATURE AT MADRAS
V.SIVAGNANAM, J.
K.V.Alagesan - Appellant
Versus 
K.V.Ramakrishnan - Respondent 
A.S.Nos.154 & 155 of 2014
Decided on : 30-04-2025


Advocates:
Advocate Appeared:
For the Appellant : M/s.Chithra Sampath & Senior counsel for Mr.R.Nalliyappan
For the Respondent: Mr.S.Senthil, Mr.D.Ganesh Raj

The court affirmed the validity of a sale deed executed under a power of attorney, ruling that subsequent cancellation of the power did not affect the completed transaction.

Headnote:(A) Indian Contract Act, 1872 - Section 25 - Registration Act, 1908 - Sections 28, 64, 65, and 66 - Dispute over sale deed validity - The plaintiff sought declaration that the sale deed dated 11.07.2005 is void due to lack of consideration and jurisdictional issues. The trial court dismissed the plaintiff's suit, affirming the sale deed's validity based on the power of attorney executed by the plaintiff. (Paras 11, 12, 14, 30, 32)

(B) Power of Attorney - The court held that the power of attorney executed was valid and binding, and the subsequent cancellation did not affect the completed sale transaction. (Paras 14.6, 14.9)

(C) Consideration - The court found that the sale deed was supported by consideration, and the argument of inadequacy of consideration was dismissed. (Paras 28, 30)

(D) Jurisdiction - The court ruled that registration of the sale deed was valid despite the plaintiff's claims regarding jurisdictional issues. (Paras 30, 32)

Facts of the case:
The plaintiff and defendants are brothers involved in a dispute over property ownership and sale transactions. The plaintiff claimed the sale deed was fraudulent and sought recovery of possession. The defendants contended the sale was valid and supported by consideration.

Findings of Court:
The trial court found the sale deed valid, supported by consideration, and dismissed the plaintiff's claims.

Issues: The main issues included the validity of the sale deed, the effect of the power of attorney, and the adequacy of consideration.

Ratio Decidendi: The court emphasized that the power of attorney was valid, the sale deed was executed lawfully, and the cancellation of the power of attorney did not invalidate the sale.

Result: Appeals dismissed.

JUDGMENT :

Aggrieved over the Judgement and Decree dated 11.10.2013 passed in O.S.Nos.115 of 2007 & 43 of 2009 by the Additional District Court, Namakkal, the plaintiff in O.S.No.115 of 2007 and the defendant in O.S.No.43 of 2009 has preferred the appeal suits.

2. The plaintiff in O.S.No.115 of 2007 and the defendant in O.S.No.43 of 2009 on the file of the Additional District Court, Namakkal, is the appellant in both the appeal suits. The defendants in O.S.No.115 of 2007 and the plaintiffs in O.S.No.43 of 2009 are the respondents herein.

3. O.S.No.43 of 2009 was transferred to District Court, Namakkal from the file of the District Munsif Court, Namakkal and it was assigned to Additional District Judge, Namakkal.

4. For the sake of convenience, the parties are referred to as per their rankings in the trial Court in O.S.No.115 of 2007.

5. Suits filed for declaration of title, delivery of possession and for permanent injunction.

6. The plaintiff's case, in brief, in O.S.No.115 of 2007 is as follows:

(a). The plaintiff and defendants 1 to 3 are sons of one M.K.Venkatachalam. The properties which are described in Schedule "A" belonged to the plaintiff under three sale deeds, one dated 20.09.1995 executed by Lakshmi and others registered as Doc.No.2498 of 2003 in Book- 1, Vol. 1896, another dated 29.09.2003 executed by L.S. Gopalan and others which was registered as Doc. No. 1891 of 2003 in Book-I and the third one dated 20.08.2004 executed by Karuppannan and others which was registered as Doc. No.1856 of 2004 in Book of the Office of the Joint Sub Registrar No.II, Namakkal.

(b). The properties which are described as scheduled "B" belonged to the defendants 1 to 3 under several registered sale deeds. Item-1 of the properties which are described in Schedule 'B' belonged to the 1st defendant under two registered sale deeds, one dated 16.07.2001 registered as Doc. No. 2843 of 2001 and another dated 29.09.1995 registered as Doc. No.2497 of 95 in the office of the Joint-II Sub Registrar, Namakkal. Item-II of the properties in Schedule 'B' belonged to the 2nd defendant under a registered sale deed dated 20.09.1995 and registered as Doc.No.2499 of 95 in Book-I, Vol. 1896 of the Joint Sub Registrar No.11, Namakkal. Item III of the properties belonged to the 3rd defendant under 2 registered sale deeds one dated 20.08.2003 registered as Doc. No. 1533 of 2003 and another sale deed dated 09.07.2004 registered as Doc.No.1616 of 2004 in the office of the Joint No.Il, Sub Registrar, Namakkal.

(c). The plaintiff and defendants 1 to 3 originally were proposing to sell the said 'A', & 'B' schedule of properties and they were negotiating with the 4th defendant and he agreed to purchase the suit 'A' schedule of properties for a sum of Rs. 20,00,000/- (Rupees Twenty Lakhs only) and as a token of this understanding, a receipt was given by the plaintiff, though no consideration was paid by the 4th defendant. The 4th defendant wanted a registered deed of power of attorney to be executed by plaintiff and defendants 1 to 3 appointing the 5th defendant as their agent to complete the sale transaction. Accordingly, the plaintiff and defendants 1 to 3 have jointly executed a registered deed of power of attorney appointing the 5th defendant as their power of attorney agent on 30.06.2005 registered as Doc. No.284 of 2005 in Book-IV of Joint I Sub Registrar, Namakkal for completing the sale of the properties.

(d). Immediately, within two or three days of the Execution of deed power of attorney dated 30.06.2005, the plaintiff changed his mind not to sell the properties described in schedule 'A' of the plaint mentioned properties and proposed to revoke the power of attorney deed. But the Defendants 1 to 3 prevailed upon the plaintiff with a promise that his properties will not be dealt with by the 5th defendant under the deed of power of attorney and requested the plaintiff not to cancel it since the power of attorney being a joint deed of power of attorney, if cancelled, the

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