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2023 Supreme(MP) 1045

IN THE HIGH COURT OF MADHYA PRADESH AT JABALPUR
DWARKA DHISH BANSAL, J.
Anurag Agrawal S/o Rajnikant Agrawal - Appellant
Versus
Kailash Yadav S/o Mishrilal Yadav - Respondent
Miscellaneous Petition No. 5250 of 2022
Decided On : 01-03-2023

Advocates Appeared:
For the Appellant : Sanjay K. Agrawal
For the Respondent: K.K. Gautam

The plaintiff in a specific performance suit has the right to implead necessary parties with a direct nexus to the suit, even if they are subsequent transferees of the property in question.

Headnote:(A) Code of Civil Procedure, 1908 - Order 1 Rule 10 and Section 151 - Specific performance of agreement of sale - Applications for impleadment of transferee purchasers and amendment of plaint dismissed by trial court - Court held that plaintiff, being dominus litis, can add parties with direct nexus to suit - Third-party participation is unnecessary, aiming to avoid multiplicity of litigation. (Paras 6, 8, 10)

(B) Jurisdiction of the Court - The court may remand matters to lower court for consideration if there is legal illegality in the lower court's decision regarding party impleadment and amendment of plaint. (Paras 4, 10)

Facts of the case:
Petitioner challenges the dismissal of applications to implead transferee purchasers in a specific performance suit after defendant sold disputed land during the pendency of the suit. Arguments revolve around the necessity of the transferees for proper adjudication.

Findings of Court:
The trial court erred in dismissing the applications without considering the legal position; therefore, the matter is remanded for fresh consideration.

Issues: Whether the transferee purchasers are necessary parties to the specific performance suit? Was the lower court correct in dismissing the plaintiff's applications?

Ratio Decidendi: The court emphasized the inherent right of the plaintiff to add necessary parties to the suit to ensure comprehensive adjudication. The distinction between third-party and necessary party rights is pivotal in deciding such motions.

Result: Miscellaneous petition allowed and remanded for reconsideration.

Table of Content
1. common question in multiple petitions. (Para 1 , 2)
2. arguments for impleadment of parties. (Para 3 , 4)
3. court's observations on party necessity. (Para 5 , 6 , 7 , 8)
4. legal basis for remand of applications. (Para 9 , 10)
5. order allowing petition without merit ruling. (Para 11 , 12)

ORDER :

1. There being common question involved in all the three petitions viz. (M.P 5245/22 arising out of civil suit no. 122/17), (M.P. 5250/2022 arising out of civil suit no. 121/17) and (M.P. 5251/2022 arising out of civil suit no. 123/17), they are being decided by this common order.

2. This petition has been preferred by the petitioner/plaintiff challenging the order dated 28.10.2022 passed by 1st District Judge, Narmadapuram, in civil suit no.122-A/17, whereby applications under Order 1 Rule 10 read with Section 151 CPC and Order 6 Rule 17 CPC filed by the plaintiff for impleadment of transferee purchasers and for amendment of plaint, have been dismissed. However, the other application under Order 7 Rule 14(3) CPC for taking the certified copies of the sale deeds executed by defendant-Harishankar, on record, has been allowed.

3. Learned counsel for the petitioner submits that after filing of the suit for specific performance of an agreement of sale, the defendant- Harishankar, in whose favour the land was transferred by the defendants (vendors of agreement of sale), has alienated the suit land in plots by developing the colony. He submits that the transferee purchasers are necessary parties to the pending suit for specific performance, but the learned Court below has on the ground of delay and misinterpreting the decision of Supreme Court in the case of Vidur Impex and Traders Pvt. Ltd. and others vs. Tosh Apartments Pvt. Ltd. and others , (2012) 8 SCC 384, dismissed the applications. He further submits that the transferee purchasers being necessary parties deserve to be impleaded in the suit. In support of his submissions, learned counsel placed reliance on the decisions of Supreme Court in the case of Life Insurance Corporation of India Vs. Sanjeev Builders Pvt. Ltd. and Another , AIR 2022 SC 4256 ; A. Nawab John & others Vs. V.N. Subramaniyam, (2012) 7 SCC 738 ; Sumtibai & Others Vs. Paras Finance Co. Mankanwar W/o Parasmal Chordia (D) & Ors. (2007) 10 SCC 82 ; Mumbai International Airport Pvt. Ltd. Vs. Regency Convention Centre & Hotels Pvt. Ltd. & Ors. (2010) 7 SCC 417; Amit Kumar Shaw & Anr. Vs. Farida Khatoon & Anr., (2005) 11 SCC 403; Savita Devi Vs. District Judge, Gorakhpur and others , (1999) 2 SCC 577 .

4. Learned counsel appearing for the contesting defendant-Harishankar supports the impugned order and prays for dismissal of the petition.

5. Heard learned counsel for the parties and perused the impugned order and record available.

6. Apparently, the learned Court below has dismissed the applications on the ground that the transferee purchasers have not filed any application for their impleadment but has not considered the fact that plaintiff is dominus litis in respect of his suit and he is free to add any other person as party to the suit, who has directly nexus with the subject matter of the suit.

7. In the present case, the land in question was transferred firstly by the defendants (vendors of the agreement of sale) to defendant- Harishankar and during pendency of the suit, the defendant-Harishankar has also transferred the disputed land to other persons, who have been proposed as parties to the suit by way of application under Order 1 Rule 10 CPC.

8. Although, it is well settled that third party/stranger to the agreement of sale is not necessary party to the suit for specific performance but the proposed parties who are claiming under the vendors of plaintiff, cannot be said to be stranger/third party, whose presence is necessary with a view to avoid multiplicity of the litigation.

9. Even in the case of Gurmit Singh Bhatia Vs. Kiran Kant Robinson and others , (2020) 13 SCC 773 , which has been taken into co

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