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1975 Supreme(All) 301

Allahbad High Court
YASHODANANDAN,R.B.MISRA,M.P.MEHROTRA
Mahendra Nath - Appellant
Versus
Baikunthi Devi - Respondent
Decided On : 08/28/1975

Advocates:
S.D. Pandey and Shanti Bhushan, for Appellants; G.N. Singh, for Respondents.

A person with a contract for sale or a decree for specific performance of a contract does not have an interest in the land, but only a personal right. Therefore, the rights and liabilities under the contract do not attach to the land.

Headnote:

Specific Relief Act, 1963 - Section 12(2): The court may direct the specific performance of a part of a contract if the part left unperformed bears only a small proportion to the whole in value and admits of compensation in money. U. P. Consolidation of Holdings Act, 1953 - Section 30: Upon entering into possession of the chak allotted to a tenure-holder, the rights, title, interests, and liabilities in their original holding cease. The tenure-holder acquires the same rights, title, interests, and liabilities in the chak allotted to them. The Act does not attach the rights and liabilities under a contract for sale or a decree for specific performance of a contract to the land.

Fact of the Case:

The present judgment involves two cases that revolve around the interpretation of Section 30 of the U. P. Consolidation of Holdings Act. In the first case, Mahendra Nath sought to enforce an agreement to sell his co-tenant's share in certain plots. In the second case, Ghasita filed a suit to enforce an agreement to sell certain plots. Both cases involved the issue of whether the agreements could be enforced in light of the consolidation scheme under the Act. The lower courts had conflicting opinions, leading to the referral of the cases to a larger bench.

Finding of the Court:

The court analyzed Section 30 of the U. P. Consolidation of Holdings Act, which states that the rights, title, interests, and liabilities of a tenure-holder in their original holding cease upon entering into possession of the chak allotted to them. The court held that a person with a contract for sale or a decree for specific performance of a contract does not have an interest in the land, but only a personal right. Therefore, the rights and liabilities under the contract do not attach to the land. The court relied on previous case law to support this interpretation.

Ratio Decidendi: The court held that a person with a contract for sale or a decree for specific performance of a contract does not have an interest in the land, but only a personal right. Therefore, the rights and liabilities under the contract do not attach to the land. The court relied on previous case law and the interpretation of Section 30 of the U. P. Consolidation of Holdings Act to reach this conclusion.

Result: The court partially allowed the second appeal and set aside the judgment and decree of the lower court, except for one plot. The court dismissed the revision application. The parties were directed to bear their own costs.

Judgement

MISRA, J.:- The present second Appeal and the revision application arising out of two different suits came up for hearing before a learned Single Judge of this Court. The two cases involved the interpretation of Section 30 of the U. P. Consolidation of Holdings Act as the main point. The single Judge finding a conflict of judicial opinion in the two Division Bench decisions, namely, Shri Ram v. Dhani Ram Gupta, 1974 All WR (HC) 213 -(AIR 1974 All 358) and Shanti Prasad v. Akhtar, 1972 RD 275 (All) referred the two cases to a larger Bench. This is how these cases have come up before us.

2. Though the pattern of facts in the two cases is similar yet the details differ. It will, therefore, be convenient to give the material facts of the two cases to bring out the point involved therein.

3. In the Second Appeal No. 1467 of 1966, Mahendra Nath and his uncle Jeewa Ram were the co-tenants of certain plots, measuring 6.04 acres. By a deed of agreement dated 16th June, 1960, Jeewa Ram agreed to sell his half share in the plots as also his house to Mahendra Nath for a consideration of Rs. 3,000/-. Mahendra Nath paid Rs. 2,200/- by way of advance and the balance was to be paid on the date of sale within three years after the consolidation of holdings was over in the village. As a result of consolidation, a joint chak No. 10 with an area of 6.01 acres was formed. All the original plots of the co-tenure holders, mentioned in the agreement, were included in their joint chak except plot No. 172. In lieu of plot No. 172 (.06 acres), a new plot No. 164 (area .03 acres) was included in the chak.

4. It appears that Jeewa Ram died in the meantime leaving behind him his heirs and legal representatives. Mahendra Nath sought to enforce the agreement dated 16th June, 1960, by means of a suit against the heirs and legal representatives of Jeewa Ram. The claim was resisted by defendants Nos. 1 to 5 on the grounds, inter alia, that Jeewa Ram never executed any deed of agreement nor did he receive any advance, that Jeewa Ram had also executed a will in their favour and thus they were the rightful owners of the properties, that defendant No. 6 was not the heir of Jeewa Ram and she had no concern with the disputed property. She had about lost her claim before the consolidation authorities.

5. The trial court decreed the suit on the finding that Jeewa Ram did enter into an agreement with the plaintiff to sell his house and his half share in the plots and had received Rs. 2,200/- by way of advance. On appeal by the defendants, the Civil and Sessions Judge reversed the decree of the trial court. He took the view that Section 5 (c) (ii) of the U. P. Consolidation of Holdings Act, 1953 prohibits the transfer by way of sale or gift or exchange any part of the holding in the consolidation area without the permission of the Settlement Officer (Consolidation) and as an agreement to sell is included in the definition of sale, it stands on the same footing as a sale and so it is hit by section 5 (c) (ii) of the U. P. Consolidation of Holdings Act. He further held that as the plaintiff wanted the enforcement of the entire agreement, it could not be enforced event in respect of the house. On other issues, the findings of the trial court were, however, upheld. The plaintiff has now come up in second appeal to this Court.

6. Out of the several pleas raised by the defendants, only one survives now-

"Whether the agreement to sell dated 16th June, 1960, can be specially enforced in respect of chak No. 10 which includes some new plots not included in the deed of agreement."?

7. In Civil Revision No. 653 of 1972, one Khawani Singh was the sirdar of certain plots, measuring 8 Bighas 18 Biswas, situate in village Chanda Turk. He entered into an agreement to sell his plots to Ghasita for a consideration of Rs. 2,136/- on 21st June, 1958. Khawani Singh deposited ten times rental on 5th February, 1960, to become a bhumidhar and on 6th February, 1960 he transferred 3 Bighas 4 Bis









































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