P. Ramasubbamma vs V. Vijayalakshmi & Ors.
2022 INSC 413; AIR 2022 SCC 1793
Coram: Hon’ble Justice M. R. Shah & Hon’ble Justice B.V. Nagarathna
Forum: Hon’ble Supreme Court of India
Case No.: Civil Appeal No. 2095 of 2022
Date of Decision: April 11, 2022
Conclusion
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Facts/Background:
- The Appellant-Original Plaintiff instituted a suit for specific performance of an agreement to sell dated 12.04.2005, alleging the agreement with Respondent No. 1 - Original Defendant No. 1 for the purchase of the suit property for Rs. 29 lakhs, of which Rs. 20 lakhs was paid as advance consideration.
- Respondent No. 2 - Original Defendant No. 2, acting under a general power of attorney executed by Respondent No. 1 - Original Defendant No. 1, was present when executing the agreement to sell.
- On 25.03.2008, Respondents Nos. 1 and 2 sought Rs. 6 lakhs, which the Appellant-Original Plaintiff paid and duly acknowledged by Respondent No. 1 - Original Defendant No. 1 through an endorsement.
- Notwithstanding several demands, Respondent No. 1 - Original Defendant No. 1, failed to execute the sale deed, and Respondent No. 2 - Original Defendant No. 2, misusing a power of attorney, fraudulently executed two sale deeds.
- On 17.06.2010, the Appellant-Original Plaintiff issued a legal notice demanding the execution of the sale deed upon payment of Rs. 3 lakhs. Respondent No. 1 - Original Defendant No. 1 's non-compliance necessitated the suit.
- Respondent No. 1 - Original Defendant No. 1 admitted to the execution of the agreement and expressed readiness to perform her obligations. However, Respondent Nos. 2 to 4 denied the agreement's authenticity, alleging it was fabricated and asserting no consideration was made.
- The Trial court framed issues on agreement execution, payment of consideration, and forgery claims, ultimately decreeing specific performance and holding sale deeds favouring Respondent's Nos. 3 and 4 non-binding on the Appellant-Original Plaintiff.
- Respondents Nos. 3 and 4 appealed to the High Court, which set aside the trial court's decree under Section 20 of the Specific Relief Act, noting no specific relief was sought regarding the sale deeds.
- The Appellant-Original Plaintiff, dissatisfied with the High Court's judgment, preferred the appeal before this Court.
Main issue:
- Whether the Trial Court was justified in declaring the sale deeds executed by Respondent No. 2 in favour of Defendant Nos. 3 and 4 on 03.05.2010 as non-binding?
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