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THE HIGH COURT OF JUDICATURE AT MADRAS
N. SATHISH KUMAR, J
C.Kuppusamy – Appellant
Versus
P.Vijaya – Respondent
JUDGMENT :
N. SATHISH KUMAR, J.
Challenging the judgment and decree of the trial Court decreeing the suit in favour of the plaintiff, the present appeal has been filed by the unsuccessful defendants.
2. The parties are arrayed as per their own ranking before the trial Court.
3. It is the case of the plaintiff that the first defendant is a financier and is doing finance business with the second defendant, third defendant is the wife of the second defendant and the fourth defendant is the wife of the first defendant. The suit property is situate in Coonoor, Nilgiris District. The plaintiff's daughter has joined MBBS at Armenia, an Eastern European country. In order to meet out the educational expenses, as the plaintiff was in dire need of funds, she approached the first defendant through one Prabhu for availing loan of Rs.10 lakhs. The first defendant has agreed to lend the amount on condition that General Power of Attorney in favour of the first defendant as well as an agreement for sale in favour of the second and third defendants are to be executed. As the plaintiff was in dire need of funds, due to undue influence exerted on her by the first defendant, she had executed Power of Attor
The burden of proof lies on the party in a dominant position to demonstrate the fairness of a transaction when the other party is in economic duress.
Registered Power of Attorney presumed valid under S.114(e) Evidence Act unless fraud specifically pleaded and proved; lack of Tamil literacy and attesting witness ignorance insufficient to invalidate....
A power of attorney does not confer title to property; fraudulent sales executed by an agent without the principal's consent are invalid under the Benami Transactions Act.
The court ruled that a power of attorney does not confer title; fraudulent sales to a power agent's spouse are invalid and do not transfer ownership, reinforcing the principles against benami transac....
A power of attorney cannot authorize self-serving transactions without the principal's consent, rendering such documents void due to fraudulent execution.
The court affirmed that a sale deed executed with authority is valid unless fraud or coercion is proven, and claims must be filed within a statute of limitations.
A plaintiff must prove the validity of a sale agreement and show readiness and willingness to perform contractual obligations for specific performance.
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