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2026 Supreme(Mad) 950

BEFORE THE MADURAI BENCH OF MADRAS HIGH COURT
P.B. Balaji, J.
Pambaiyan – Appellant
Versus
V.Sethuraman - Respondent
SA(MD). No.237 of 2024 and CMP(MD)No.4666 of 2024
Decided On : 05-06-2026

Advocates Appeared:
For the Appellant : Mrs.P.Jessi Jeeva Priya
For the Respondent: Mr.S.M.Arun Kumar

Specific performance is a discretionary equitable relief; the existence of a valid agreement is insufficient. The plaintiff must affirmatively demonstrate continuous readiness and willingness to perform their obligations, supported by evidence of financial capacity. Absence of such proof warrants the denial of the claim.

Headnote:(A) Specific Relief Act, 1963 - Suit for specific performance - Discretionary equitable relief - Requirement of proving continuous readiness and willingness to perform contractual obligations - Merely establishing a binding agreement is insufficient for grant of relief. (Paras 18, 25)

(B) Evidence - Power of Attorney - Admission of signature and registration - Burden of proof rests upon the party alleging undue influence or fraud to substantiate such claims - Failure to provide corroborative evidence renders the challenge unsustainable. (Para 16)

(C) Appellate Jurisdiction - Scope of interference - Concurrent findings of fact - Appellate court will not interfere with lower court rulings concerning the appreciation of evidence unless the findings are perverse or demonstrate significant legal error. (Para 26)

Facts of the case:
A lawsuit was initiated for specific performance of a sales agreement executed by an authorized attorney on behalf of a property owner. The owner challenged the validity of the power of attorney, alleging collusion between the attorney and the agreement holder, citing familial ties and lack of necessity. The trial and first appellate courts dismissed the suit, observing that the plaintiff failed to establish possession and failed to discharge the burden regarding the essential requirement of financial readiness and willingness to complete the transaction.

Findings of Court:
The court observed that while the principal failed to prove the allegation of undue influence regarding the power of attorney, the plaintiff concurrently failed to demonstrate the requisite readiness and willingness. Specifically, there was an absence of cogent evidence regarding the availability of funds to perform the contract at all material times, leading to the conclusion that the discretionary relief could not be granted.

Issues: The central issues were whether the lower courts erred in their appraisal of the power of attorney's validity and whether the failure to provide evidence of financial capability precluded the plaintiff from obtaining specific performance.

Ratio Decidendi: Specific performance is an equitable and discretionary relief that requires the claimant to prove continuous readiness and willingness to fulfill their obligations. Because the plaintiff failed to provide evidence of having the financial means to complete the transaction at relevant times, the claim for specific performance was rightly denied despite the broader validity of the underlying agreement.

Result: Appeal dismissed.

Table of Content
1. factual background and procedural history of the suit. (Para 1 , 2 , 3 , 4 , 5 , 6 , 7 , 8 , 9)
2. parties' contentions regarding power of attorney and contractual obligations. (Para 10 , 11 , 12 , 13 , 14)
3. assessment of evidence and validity of the power of attorney agency. (Para 15 , 16 , 17 , 18 , 19 , 20)
4. plaintiff must prove readiness and willingness to perform for specific performance. (Para 21 , 22 , 23 , 24 , 25)
5. final appeal dismissal due to lack of evidence on readiness and willingness. (Para 26 , 27)

JUDGMENT :

P.B. BALAJI, J.

The plaintiff, in a suit for specific performance is the appellant, aggrieved by the concurrent findings rendered by the trial Court as well as the first appellate Court.

2. The second appeal was admitted on 05.12.2024 on the following substantial questions of law:

“(i) Whether the Courts below are correct in law in not accepting Exhibit A1, the Power of Attorney, when the first respondent himself has admitted his signature and its execution failed to prove that the Power of Attorney has been obtained by undue influence and created by fraud?

(ii) Whether the Court below is justified in dismissing the suit especially when the first respondent failed to rebut the presumption under Section 114(e) of the Indian Evidence Act as to the genuineness of the registered documents Exhibits A1 and A2?

(iii) Whether the Judgements of the Courts below are justified in declining the decree of specific performance of a legal and valid registered agreement to sale executed in favour of the plaintiff contrary to the provisions of the Specific Relief Act, 1963 and the law laid down by the Apex Court?"

3. For the sake of convenience, the parties are referred to as per their rank before the trial Court.

4. I have heard Mrs. P.Jessi Jeeva Priya, learned counsel for the appellant and Mr.S.M.Arun Kumar, learned counsel for the first respondent.

5. Brief facts that are necessary for deciding the second appeal are as hereunder:

The plaintiff entered into a registered agreement of sale with the second defendant on 13.01.2011 for purchasing the suit property for a total sale consideration of Rs.2,60,000/-. The plaintiff had advanced a sum of Rs.75,000/- towards part payment to the second defendant. The agreement was to be concluded within 2 ½ years, on receipt of balance sale consideration of Rs.1,85,000/-. The plaintiff contending that the plaintiff is always ready and willing to perform his part of the contract and despite demands, including lawyer's notice dated 19.06.2012, the defendants have neither come forward to execute the sale deed nor issued any reply and hence, the plaintiff was constrained to institute the present suit, particularly in view of the fact that third parties are attempting to alienate the suit property.

6. The suit was resisted by the first defendant stating that the first defendant is the owner of the property and the second defendant is the sister of the first defendant. The plaintiff’s claim is that the first defendant has denied the plaintiff’s contention that he executed a power of attorney on 26.08.2004, appointing the second defendant as his General Power of Attorney. He would further state that the second defendant is none other than the wife of the plaintiff. It is alleged that, on imaginary and untenable grounds, the plaintiff and the second defendant claim to have obtained a General Power of Attorney, and that the same was registered, though the first defendant had no occasion to appoint his sister as his power of attorney agent and the first defendant has not received any advance as alleged by the plaintiff. Any sale agreement executed by the second defendant in favour of the plaintiff, will not bind the first defendant. The first defendant had originally married the plaintiff’s daughter, however, the marriage was not a happy one. Subsequently, the first defendant married another woman and begot four children. It is alleged that, only in order to wreak vengeance, the prese

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