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2026 Supreme(Online)(Tel) 16305

IN THE HIGH COURT FOR THE STATE OF TELANGANA AT HYDERABAD
Renuka Yara, J
Vittal Kusuma – Appellant
Versus
K. Mahender Reddy – Respondent
Civil Revision Petition No.1869 of 2024



Advocates:
For the Appellants/Petitioners: Papaiah Peddakula
For the Respondents: Govardhan Reddy Joundla

A judgment under Order XII Rule 6 of the CPC can only be passed when there is a clear, unequivocal, and unconditional admission of facts by a party; if the alleged admission is part of contested settlement negotiations, such powers cannot be invoked.

Headnote:(A) Code of Civil Procedure, 1908 - Order XII Rule 6 - Judgment on admissions - Scope and ambit - Power to pass judgment on admissions is discretionary and can be exercised only when the admission is clear, unequivocal, and unconditional - Court is not required to wait for full trial if such unambiguous admission exists in pleadings or otherwise. (Paras 11, 12)

(B) Civil Revision Petition - Scope - Interference with discretion exercised by trial court - Where there are contradictory versions presented by the parties and the alleged admission was clearly made in the context of settlement negotiations, the trial court is justified in refusing to pass a decree - Appellate/Revisional courts should not substitute their view unless the lower court's decision is perverse or illegal. (Paras 14, 15)

Facts of the case:
The petitioner (plaintiff) filed a suit for specific performance and declaration of documents as null and void. The petitioner moved an application under Order XII Rule 6 CPC seeking a judgment on admissions based on the respondent's alleged acknowledgement of debt via demand drafts during settlement talks. The Trial Court dismissed the application, noting that the contentions of the parties were contradictory and the demand drafts were part of failed negotiations rather than an unconditional admission of the suit claim.

Findings of Court:
The Court held that for the invocation of Order XII Rule 6 CPC, admissions must be unambiguous. Since the respondent argued that the mentioned demand drafts were part of ongoing settlement negotiations in a distinct context, and the claims between the parties were heavily contested, the court found no merit in the revision petition.

Issues: Whether the Trial Court erred in refusing to pass a judgment and decree under Order XII Rule 6 of the CPC on the basis of alleged admissions of liability.

Ratio Decidendi: The power to pass a judgment on admissions is reserved for cases where there is an unequivocal and unconditional admission of liability. Where the alleged admission is contested as being part of settlement negotiations, such power cannot be exercised as the admission is neither clear nor unconditional.

Result: Civil Revision Petition stands dismissed.

Table of Content
1. summary of suit background and the application filed seeking judgment on admission. (Para 2 , 3 , 4 , 5)
2. respondent's counter-arguments and trial court's reasoning for dismissing the ia. (Para 6 , 7 , 8)
3. contentions of parties regarding the interpretation of order xii rule 6 cpc. (Para 9 , 10)
4. court's analysis of what constitutes an unequivocal admission under order xii rule 6. (Para 11 , 12 , 13 , 14 , 15 , 16)

ORDER:

Heard Sri Papaiah Peddakula, learned counsel for the petitioner and Sri Govardhan Reddy Joundla, learned counsel for the respondent. Perused the entire record.

2. The Civil Revision Petition is preferred by the petitioner/plaintiff aggrieved by the order dated 18.12.2023 passed by the learned X Additional Chief Judge, City Civil Court at Hyderabad (‘trial Court’), in I.A.No.350 of 2021 in O.S.No.284 of 2019, wherein a petition filed by the petitioner under Order XII Rule 6 read with Section 151 of CPC, to pass judgment and decree in his favour on the basis of admission of liability by the respondent/defendant, has been dismissed.

Case of the petitioner:

3. The petitioner is a Non-Resident Indian (NRI) doctor and filed the suit for specific performance, cancellation of irrevocable General Power of Attorney (GPA) and to declare registered documents, which are 23 in numbers as null and void. Alternatively, to refund the sale consideration amount of Rs.2,66,00,000/- with interest at 24% per annum from the date of agreement till the date of realization.

4. The case of the petitioner is that the respondent agreed to purchase land in Survey No.55 admeasuring Ac.4-32 gunths situated at Majipur Village, Shamirpet Mandal, Rangareddy District, from the official liquidator High Court of Judicature at Hyderabad for Rs.2,93,00,000/-. The proposal was accepted for an offer price of Rs.2,96,00,000/-. The High Court directed K. Mahendar Reddy and K. Sudarshan Reddy to pay the balance sale consideration within 6 weeks. However, said two persons were unable to procure the money and therefore, approached the plaintiff with a proposal to purchase Ac.4-32 guntas in addition to Ac.2-18 guntas belonging to Smt. Pushpadevi Chowdary. There was an agreement to give Ac.4-32 guntas to the petitioner with access to road and the respondent to hold Ac.2-18 guntas with equal access to the road. With such agreement total sale consideration of Rs.2,66,00,000/- for land admeasuring Ac.4-32 guntas was fixed. On the basis of said oral understanding during August-September 2014, the petitioner paid an amount of Rs.45,00,000/- on 09.09.2014 and Rs.2,21,00,000/- through Banker's Cheque No.17699 dated 08.10.2014. There was an oral sale contract between the parties and the same was reduced into writing and was attested by two witnesses. The agreement of sale is a recording of earlier oral agreement between the parties. The petitioner is a resident of USA and therefore, dependent on respondent for every update. The petitioner learnt that the respondent got sale deed in his name for land admeasuring Ac.4-32 guntas from the official liquidator while registering sale deed bearing document No.3709 of 2014 dated 18.11.2014. The respondent executed mortgage deed document No.307 of 2015 dated 29.01.2015 for an extent of Ac.1-02 guntas out of his share of Ac.2-18 guntas situated at Majipur Village. The respondent was supposed to purchase land admeasuring Ac.2-18 guntas from Pushpadevi Chowdary from his own funds, as Sudarshan Reddy had withdrawn from the project. However, the respondent, without any intimation or information, purchased said land along with S. Narasimha vide document No.1689 of 2016 dated 03.06.2016. Thereafter, there was no proper communication between the parties and the petitioner suspected foul play. The respondent cancelled the irrevocable GPA given to the plaintiff and alienated land admeasuring Ac.4-19 guntas through various sales to third parties. The petitioner's case is that the respondent was holding the property

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