SupremeToday Landscape Ad
Back
Next
Judicial Analysis Court Copy Headnote Facts Arguments Court observation
Listen Audio Icon Pause Audio Icon
judgment-img

1989 Supreme(Ori) 1

High Court Of Orissa
H. L. AGRAWAL, LINGARAJA RATH
LACHAMAN NEPAK - Appellant
Versus
BADANKAYALU SYAMA - Respondent
ORIGINAL JURDN. CASE 2612  Of  1987
Decided On : 01/02/1989

Advocates Appeared:
R.MOHANTY, S.S.RAO

An agreement for sale does not create any interest in or charge on the property until the sale deed is executed and registered.

Headnote:

STAY OF EVICTION APPEAL - PENDENCY OF TITLE APPEAL - NO IRREPARABLE LOSS OR SUBSTANTIAL INJURY - NO TITLE OR INTEREST IN PROPERTY - T. P. ACT, S. 54 - REGISTRATION ACT, S. 47 - C. P. C., S. 11, EXPL. VII.

Fact of the Case:

Govinda Nepak, the tenant, filed a Title Suit for specific performance of an oral agreement for sale against the landlord, Badankayalu Syama Babu Subudhi, who had purchased the property from the original owner, Kasinath Subudhi. The landlord filed an eviction proceeding against Govinda Nepak, which was allowed by the House Rent Controller. Govinda Nepak filed an appeal against the eviction order and also filed a stay petition, arguing that the hearing of the appeal should be stayed until the disposal of the Title Appeal.

Finding of the Court:

The court held that the petitioners (Govinda Nepak's successors-in-interest) did not have any semblance of title to the suit premises and that the existence of an agreement for sale did not create any interest in or charge on the property. The court also held that the findings recorded in the eviction proceeding would work as res judicata in the Title Suit, but that this would not prejudice the petitioners' claim for specific performance of their contract for sale.

Issues: Whether the hearing of the eviction appeal should be stayed until the disposal of the Title Appeal.

Ratio Decidendi: The court held that the petitioners did not have any title or interest in the property and that the existence of an agreement for sale did not create any interest in or charge on the property. The court also held that the findings recorded in the eviction proceeding would work as res judicata in the Title Suit, but that this would not prejudice the petitioners' claim for specific performance of their contract for sale.

Final Decision: The court dismissed the writ application and refused to stay the hearing of the eviction appeal.

AGRAWAL, CJ.

( 1 ) THIS application is by the successors-in-interest of the original tenant Govinda Nepak against the order dt. 4-8-1987 (Annexure-1) passed by the Chiefjudicial Magistrate, Berhampur, refusing to stay the hearing of an appeal filed by Govinda Nepak against the order of the House Rent Controller for his eviction from the premises in question. Although the impugned order does not discuss the merits of the grounds on which the prayer for stay was made, it was submitted that the appellant had prayed for staying the hearing of the appeal on two grounds, namely, (1) the Title Suit between the same parties was disposed of by the Chief Judicial Magistrate herself while she was the Subordinate Judge; and (2) pendency of the Title Appeal before the District Judge, Berhampur.

( 2 ) THE first ground for stay has now become infructuous since the Chief Judicial Magistrate has in the meantime been promoted as an Additional District Judge. Therefore, the merit of the second ground, namely, the pendency of the Title Appeal, only has to be gone into for deciding the question of stay for which the facts of the case have to be briefly noticed.

( 3 ) UNDISPUTEDLY, Kasinath Subudhi was the original owner of the house and Govinda Nepak was inducted as a tenant in the said house during his life time. On 12-7-1977, Kasinath sold the house by a registered sale deed to Badankayalu Syama Babu Subudhi, opposite party No. 1, who also sent a letter of attornment to the tenant. But since no rent was paid by him to the purchaser-landlord, he instituted an eviction proceeding in the court of the House Rent Controller, Berhampur, on 1-3-1978. A few days thereafter, the tenant Govinda Nepak instituted a Title Suit before the Subordinate Judge for declaring the sale deed in favour of opposite party No. 1 as invalid and for specific performance of an alleged oral agreement for sale dt. 8-3-1975 between Kasinath Subudhi and himself. The eviction case was allowed on 13-4-1983 against which an appeal was filed before the Chief Judicial Magistrate, Berhampur, by Govinda Nepak followed by a stay petition giving rise to this writ application as stated earlier.

( 4 ) BY the way, it may be mentioned that the Title Suit for specific performance of contract was dismissed for default in Oct. 1982, but was ultimately restored by this Court in Misc. Appeal No. 20 of 1984 in May, 1986. The Title Suit No. 23 of 1978 was, however, dismissed by the trial court on 12-12-1986, against which Title Appeal No. 3 of 1987 is pending in the court of the District Judge.

( 5 ) IT has been submitted with vehemence by Sri Ranjit Mohanty, learned Advocate appearing for the petitioners, that unless the hearing of the eviction appeal is stayed till disposal of the Title Appeal, the petitioners will suffer irreparable loss and substantial injury since the Title Appeal will be rendered infructuous.

( 6 ) I do not find any substance in the submission of Mr. Mohanty. Undisputedly, the petitioners do not have any semblance of title to the suit premises. It is an admitted fact that Govinda Nepak was occupying the premises as a tenant of Kasinath Subudhi who transferred his right, title and interest in the premises in favour of O. P. I. It is no doubt true that Govinda Nepak instituted a Title Suit for specific performance of the oral agreement between him and Kasinath Subudhi claiming to have been entered prior to the execution of the sale deed in favour of O. P. 1. It is elementary that until the plaintiff succeeds in the Title Suit leading to the execution of the sale deed in his favour, he cannot claim any title or even any semblance of interest therein. It is well settled that existence of an agreement for sale does not of itself create any interest in or charge on such property. S. 54 of the T. P. Act itself has specifically made the position beyond the pale of any doubt, the relevant portion of which reads as follows : -"54. . . . . . . . . . . . . . . . . . . . . . . . .




Click Here to Read the rest of this document
1
2
3
4
5
6
7
8
9
10
11
SupremeToday Portrait Ad
supreme today icon
logo-black

An indispensable Tool for Legal Professionals, Endorsed by Various High Court and Judicial Officers

Please visit our Training & Support
Center or Contact Us for assistance

qr

Scan Me!

India’s Legal research and Law Firm App, Download now!

For Daily Legal Updates, Join us on :

whatsapp-icon Back to top