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2024 Supreme(All) 1580

IN THE HIGH COURT OF JUDICATURE AT ALLAHABAD
KSHITIJ SHAILENDRA, J.
Mahavir Prasad – Appellant
Versus
Balveer Singh And Another – Respondents
Second Appeal No. 540 Of 2024
Decided On : 31-08-2024

Advocates Appeared:
For the Appellant : Prem Prakash Chaudhary.
For the Respondents: Abhishek Gupta, Chandra Bhan Gupta.

IMPORTANT POINT
The presumption of validity of a registered agreement for sale cannot be rebutted without substantial evidence, and the burden of proof lies on the party challenging it.

Headnote:

(A) Specific Relief Act, 1963 - Section 22 - Agreement for sale - Suit for specific performance decreed by trial court and upheld by appellate court - Execution of agreement admitted by defendant - Registered document carries presumption of validity - No substantial question of law arises for consideration. (Paras 1, 21, 22)

(B) Evidence Act, 1872 - Sections 91 and 92 - Presumption of correctness of registered document - Burden of proof lies on the party challenging the document - Testimony of witnesses cannot be discarded without proper cross-examination. (Paras 12, 10)

Facts of the case:

The plaintiffs filed a suit for specific performance based on a registered agreement for sale of land, which the defendant-appellant failed to execute despite requests. The defendant claimed the agreement was executed fraudulently.

Findings of Court:

The courts found the agreement valid and enforceable, with no evidence to support the defendant's claims of fraud.

Issues: The main issues included the validity of the agreement and the burden of proof regarding its execution.

Ratio Decidendi: The court held that the registered agreement carries a presumption of validity, and the defendant failed to provide sufficient evidence to rebut this presumption.

Result: The second appeal was dismissed.

JUDGMENT :

(Kshitij Shailendra, J.)

The Appeal

1. The instant appeal has been filed by the defendant of Original Suit No. 974 of 2014 challenging the concurrent judgments and decrees whereby, respectively, the suit for specific performance of a registered agreement for sale dated 25.04.2014 filed by the plaintiffs-respondents, has been decreed and Civil Appeal filed against the said decision has been dismissed.

Plaint case

2. The plaintiffs-respondents filed the aforesaid suit on the basis of registered agreement for sale dated 25.04.2014 said to have been executed by the defendant-appellant agreeing to sell 500 Sq. yards of his Bhumidhari land bearing Arazi No. 129-A covered by Khata No. 179. It was stated that despite the agreement, sale deed was not executed by the defendant-appellant and when the plaintiff-respondents issued notice dated 29.09.2014 asking him to execute sale deed and, thereafter, presented themselves on 22.10.2014 before the Sub Registrar’s office with remaining sum and miscellaneous expenses, the defendant-appellant did not appear for executing the sale deed and, hence, the suit was filed.

Defence

3. The defendant-appellant filed written statement stating that execution of agreement for sale was a fraudulent exercise, inasmuch as, the plaintiffs carried him to the Registrar’s office for witnessing some sale deed but, under the garb of said act, an agreement was got executed. It was further pleaded that the land in dispute being co-owned by various persons and having not been partitioned so far, no necessity to execute the sale deed ever arose. Payment of part of sale consideration was also denied.

Defence case dislodged by both the courts

4. The trial court, after framing seven issues and after discussing oral and documentary evidence, decreed the suit by judgment dated 15.12.2022 granting a decree for specific performance of the agreement. Civil Appeal No. 3 of 2023 filed against the said decision has also been dismissed by the judgment and decree dated 14.03.2024.

Counsel heard

5. I have heard Shri Prem Prakash Chaudhary, learned counsel for the defendant-appellant and Shri Chandra Bhan Gupta, learned counsel for the plaintiff-respondents on the point of admission.

Submissions on behalf of appellant

6. Learned counsel for the appellant submits that suit could not be decreed for various reasons; first, that the statement contained at page No. 3 of the agreement for sale as regards cash payment of Rs.5,00,000/- (rupees five lac) by the plaintiffs to the defendant was not proved; secondly, the land forming subject matter of the agreement having not been a specific portion of the land co-owned by various co-sharers, no sale could be executed and, therefore, agreement becomes invalid; thirdly, the witnesses produced by the plaintiffs’ side made inconsistent statements regarding payment of advance money; fourthly, bare affidavit filed by PW-1 would not be admissible in evidence unless it is acknowledged by him on appearing in witness box; fifthly, there was no evidence to prove payment of Rs.5,00,000/- before the Sub Registrar and, lastly, burden to prove that the agreement was validly executed would lay upon the plaintiffs, but the same has wrongly been shifted upon the defendant-appellant, who had termed execution of the agreement as a fraudulent act. In support of his submissions, reliance has been placed upon the judgement of Supreme Court in the case of Ameer Trading Corporation Ltd. Vs Shapoorji Data Processing Ltd, (2004) 1 SCC 702, particularly, paragraph No. 31 thereof and also judgment of this Court in Kishan Chand and others vs Dr. Kailash Chandra Gupta and others, 2010 (2) ADJ 666, particularly, paragraphs No. 37 and 38 thereof.

Submissions on behalf of respondents

7. Per contra, learned counsel for the plaintiff-respondents argues that the agreement for sale being a registered document, strong presumption exists as regards its validity, both on the point of execution as well as its contents and, hence, the ple

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