IN THE HIGH COURT FOR THE STATE OF TELANGANA AT HYDERABAD
Laxmi Narayana Alishetty, J.
A Vijay Raj Soni – Petitioner
Versus
Bedley Sujay Kumar – Respondent
City Civil Court Appeal Nos. 41 & 131 of 2014
Decided On : 23-08-2024
(A) Hindu Succession Act, 1956 – Section 6 – Ancestral property – The trial Court held that the suit schedule property is ancestral, granting 2/3rd share to the plaintiffs and dismissing the suit for specific performance, as the agreement was unenforceable due to the defendant's lack of absolute ownership. (Paras 37, 74, 90)
(B) Specific Relief Act, 1963 – Section 20 – Discretionary relief – The court emphasized that specific performance is discretionary and not granted if the agreement is inequitable or if the plaintiff has not approached the court with clean hands. (Paras 78, 89)
Facts of the case :
The disputes arose from two suits regarding the same property, with claims of ownership and specific performance of an agreement of sale. The plaintiff alleged that he paid the full sale consideration for the property, while the defendants claimed it was ancestral property.
Findings of Court :
The trial Court found the property to be ancestral and ruled that the agreement of sale was unenforceable, ordering a refund of the sale consideration.
Issues : The main issues included the nature of the property (ancestral vs. self-acquired) and the validity of the sale agreement.
Ratio Decidendi : The court ruled that the property was ancestral, and the agreement of sale was invalid as the defendant lacked the authority to sell it without court permission.
Result : Appeals dismissed.
JUDGMENT :
Laxmi Narayana Alishetty, J.
Heard Sri Vedula Srinivas, learned senior counsel appearing for Sri Wasim Ahmed Khan, learned counsel on record for the appellant in both the Appeals; Sri D.Prakash Reddy, learned senior counsel appearing for Sri D.Madhava Rao, learned counsel on record for respondent Nos.2 and 3 in CCCA.No.41 of 2014 and respondent Nos.1 and 2 in CCCA No.131 of 2014; and Sri V.Hariharan, learned counsel for respondent No.4 in CCCA No.41 of 2014 and respondent No.4 in CCCA No.131 of 2014.
2. The suits-O.S.Nos.50 and 67 of 2002 were heard together and by common judgment, dated 11.02.2014, the trial Court partly decreed the suit in O.S.No.50 of 2002 and dismissed the suit in O.S.No.67 of 2002. Against the judgment in O.S.No.50 of 2002, CCCA.No.131 of 2014 is filed by the 2nd defendant therein. Against the judgment in O.S.No.67 of 2002, CCCA.No.41 of 2014 is filed by the plaintiff therein.
3. As the dispute relates to the same property, these two Appeals are clubbed, heard together and are disposed of by common judgment.
CCCA No.41 of 2014:
4. The appellant herein is the plaintiff and the respondents herein are the defendants in O.S.No.67 of 2002 filed for specific performance of agreement of sale, dated 17.04.2000, by directing defendant No.1 to execute registered sale deed in his favour in respect of the property bearing No.10-2-292 in Plot No.179 (Part-B), admeasuring 300 square yards, situated at West Marredpally, Secunderabad (hereinafter referred to as ‘the suit schedule property’) or in alternative, to direct the defendants to return the entire sale consideration of Rs.21,03,500/- along with damages and interest from the date of agreement of sale till the date of realization and to grant perpetual injunction restraining the defendants and their men from interfering with plaintiff’s peaceful possession or dispossessing the plaintiff from the schedule property.
5. It was averred that the plaintiff entered into agreement of sale dated 17.04.2000 with defendant No.1 to purchase the suit schedule property for a total sale consideration of Rs.21,00,000/- and by the date of agreement, he paid an amount of Rs.4,25,000/- as advance and agreed to pay the balance amount of Rs.16,75,000/- at the time of registration. It was averred that by the date of agreement of sale, the plaintiff was already in possession of the schedule property by running business in the name and style of ‘Raj Engineers and Raj marketing’ in partnership with his friend and that the plaintiff paid a total sum of Rs.21,03,500/- to defendant No.1 on various occasions under receipts and the same were endorsed by defendant No.1 himself and even on the overleaf of the original agreement of sale on 28.07.2001. It was further averred that the said transactions were in the knowledge of defendant No.2. Defendant No.2 is the wife and defendant No.3 is the son of defendant No.1.
6. It was averred that though the plaintiff has paid more than the agreed sale consideration and performed his part of contract, defendant No.1 was deliberately avoiding and delaying the execution of registered sale deed in his favour in spite of repeated requests and demands on the pretext that he has borrowed amount from Andhra Bank and that original documents are lying with the Bank and he will execute the registered sale deed after getting the documents from the Bank.
7. It was further averred that all of a sudden, on behalf of defendant No.3, defendant No.2, in collusion with defendant No.1, gave a paper publication in Deccan Chronicle English Daily newspaper on 29.04.2002, by falsely contending that defendant No.3 has got a share in the suit schedule property as the said property is an ancestral property; that the plaintiff got issued reply notice to the claim of defendant No.3 contending that the schedule property is the absolute property of defendant No.1 and that defendant No.1 and his mother, by name Bededy Leela Bai, were the joint owners of 600 square yards of property and
Arshnoor Singh vs. Harpal Kaur and others AIR 2019 SC 3098
Bhubaneshwar Prasad Narain Singh v. Sidheswar Mukherjee (1971) 1 SCC 556
Kamal Kumar vs. Premlata Joshi (2019) 3 SCC 704
N.Padmamma & Ors. v. S.Ramakrishna Reddy & Ors. (2008) 15 SCC 517
P.Daivasigamani vs. S.Sambandan (2022) 14 SCC 793
Revanasiddappa vs. Mallikarjun (2023) 10 SCC 1
Rohit Chauhan vs. Surinder Singh and others (2013) 9 SCC 419
The court affirmed that ancestral property cannot be sold without consent from all coparceners, rendering the sale agreement unenforceable.
The court upheld specific performance of a contract where the plaintiff demonstrated continuous readiness to fulfill obligations; joint family property claims were insufficient without evidence of le....
The court upheld that a partition among co-owners allows individual members to execute sale agreements for their shares without needing consent from others, reinforcing the enforceability of prior co....
A contract for the sale of property can only be enforced to the extent of a party's ownership rights, particularly where ancestral claims exist and co-ownership affects transactional authority.
The court emphasized that ancestral property remains joint family property unless legally disposed of, and the birth of a son creates coparcenary rights.
Substantial compliance with a sale agreement, including significant payment, can justify specific performance even in the face of claims of joint ownership.
Point of law: A daughter of a coparcener by birth becomes a coparcener in her own right in the same manner as the son. She has the same rights in the coparcenary property as she would have had if she....
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