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2024 Supreme(Telangana) 205

IN THE HIGH COURT FOR THE STATE OF TELANGANA AT HYDERABAD
M.G. PRIYADARSINI, J.
Gajjala Ramesh - Petitioner
Versus
G. Venkatesh - Respondent
A.S. No. 111 of 2020
Decided On : 07-06-2024

Advocates Appeared:
For the Petitioner: V.V. Raghavan.
For the Respondent: C. Kumar.

IMPORTANT POINT
The court established that joint contributions to property construction entitle all contributors to claim shares, regardless of prior agreements.

Headnote:

Partition - Property Dispute - CPC Section 11, Transfer of Property Act Section 53-A - The court interpreted the provisions regarding partition and the validity of agreements, concluding that the plaintiff was entitled to a share in the property despite the defendant's claims.

Fact of the Case:

The plaintiffs filed a suit for partition and rent accounts against the defendants, claiming a share in properties constructed jointly. The defendants contested the suit, citing prior agreements and claims of exclusive ownership.

Finding of the Court:

The court found that the plaintiffs were entitled to a 40% share in the property and directed the defendant to render accounts for the rents collected, rejecting the defendant's claims of exclusive ownership.

Issues: Whether the suit property is joint family property and whether the plaintiffs are entitled to seek partition and accounts.

Ratio Decidendi: The court held that the prior agreements did not negate the plaintiffs' rights to claim a share in the jointly constructed property, and the defendant's failure to pay the balance sale consideration invalidated his claims.

Result: The appeal is dismissed.

JUDGMENT :

M.G. Priyadarsini, J.

Aggrieved by the judgment and decree dated 17.12.2019 in O.S.No.1358 of 2013 (hereinafter will be referred as ‘impugned judgment’) passed by the learned III Additional District Judge, Ranga Reddy District at L.B.Nagar (hereinafter will be referred as ‘trial Court’), the defendant No.3 preferred the present appeal to set aside the impugned judgment.

2. For the sake of convenience, the parties hereinafter are referred to as they are arrayed before the trial Court.

3. The brief facts of the case, which necessitated the appellant to file the present appeal are that, the plaintiff Nos.1 and 2 filed suit for partition and rendition of rent accounts in respect of suit schedule properties against the defendant Nos.1 to 3. The averments of the plaint in brief are as under :

    (a) The plaintiff No.1 purchased the plot bearing No.109 admeasuring 267 square yards in Sy.No.87 to 89 situated at Gaddi Annaram (now Hanuman Nagar), Chaitanyapuri Colony through registered document dated 07.05.1992 from K. Krishna Reddy and thereafter with the financial assistance of himself and defendant No.1, he has constructed five shops and thereafter obtained municipal door No.3-77/D. The defendant Nos.2 and 3 are the parents of plaintiff No.1 and defendant No.1. Thereafter, defendant No.1 filed O.S.No.429 of 2005 on the file of learned I Additional Senior Civil Judge, R.R. District against them and defendant Nos.2 and 3 seeking partition of the said property knowing fully well that the same was exclusive property of plaintiff and defendant Nos.2 and 3. The matter ended in compromise and award passed on 05.04.2006 and in terms of compromise the plaintiffs were allotted two rooms towards southern side of the house, one mulgi towards western side and one small mulgi existing under the steps, while defendant No.1 retained big hall, one mulgi towards western side, which is attached to hall and another room towards northern side, which is also attached to the hall besides pooja room, which is on northern side.

(b) Defendant Nos.2 and 3 were jointly allotted two mulgies towards northern side for life time interest and thereafter the same shall be partitioned equally among the plaintiff No.1 and defendant No.1. Their sisters relinquished their rights in the said property, though he has purchased the plot with his own funds and even then does not want to challenge the award passed.

(c) After compromise decree in the year 2007, the defendant No.1 made a proposal with plaintiff No.1 to jointly construct first, second and third floors and a pent house on the fourth floor on the said property with the funds contributed equally. The plaintiff No.1 agreed for such proposal and accordingly three residential portions each were constructed on the first, second, third and on the pent house on fourth floor. Though entire building was constructed by contributing the funds jointly, the defendant No.1 was enjoying the rents unilaterally by letting out the portions to the tenants. Defendant No.1 having collected rents from the shops allotted to the plaintiff in the ground floor in the said compromise decree, has been depositing only meagre amounts in the accounts of the plaintiff. The defendant No.1 staying along with defendant Nos.2 and 3 in a residential portion in the ground floor, including the portion allotted to the plaintiff No.1 without paying any rents. Thus, the plaintiff is entitled for 50% share in the first, second, third floors and fourth floor pent house along with undivided share of land to an extent of 40%, which comes to 106.8 square yards. The defendant No.1 did not come forward to partition the said properties though several requests were made.

(d) In the month of March, 2012 the defendant No.1 made a proposal to sell the entire properties to him for a sum of Rs.60,00,000/- and also entered into an agreement of sale on 21.03.2012 and in terms of agreement, a sum of Rs.5 lakhs has been paid towards part sale consideration and thereafter,

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