In the
other two decisions, cited by Sri H.S. Dwarakanath on this point, it has
been held that admission furnishes the best evidence. Examined whether a
sentence found in Ex. P11 amounts to an admission or not, it has to be
stated that, though defendants had been called upon in the said notice
to handover possession of schedule property to plaintiff by executing a
sale deed, the same does not amount to admission. The reason being that
whilst P.W. 1 was being cross examined, his attention was not drawn to
Ex. P11, particularly with reference to the sentence purporting to be an
admission.
When P.W. 1 in his examination in chief affidavit asserted to have taken possession, his attention should have been drawn to this sentence and questioned. Since Ex. P11 is a legal notice issued on behalf plaintiff, whatever that has been stated there amounts to previous statements and he should have been cross examined. Section 145 provides for contradicting a witness on his previous statement. Section 155 of the Indian Evidence Act also provides for proving former statements inconsistent with any other part of evidence of a witness. Therefore to apply the rule of admission, attention of the witness must be drawn to previous contradictory statement or the so called admission and afforded an opportunity of explaining it; without this procedure being followed, no inference based on such an admission can be drawn. Moreover the admission, must not only be clear and unambiguous, but also of such a nature as to compel or persuade the court in the given set of circumstance to believe and act upon it. A stray circumstance, can never be considered as admission; what is found in Ex. P11 is that kind of a sentence which can hardly be treated as an admission. Therefore the finding of the trial court about possession of schedule property being with plaintiff is not erroneous.
When P.W. 1 in his examination in chief affidavit asserted to have taken possession, his attention should have been drawn to this sentence and questioned. Since Ex. P11 is a legal notice issued on behalf plaintiff, whatever that has been stated there amounts to previous statements and he should have been cross examined. Section 145 provides for contradicting a witness on his previous statement. Section 155 of the Indian Evidence Act also provides for proving former statements inconsistent with any other part of evidence of a witness. Therefore to apply the rule of admission, attention of the witness must be drawn to previous contradictory statement or the so called admission and afforded an opportunity of explaining it; without this procedure being followed, no inference based on such an admission can be drawn. Moreover the admission, must not only be clear and unambiguous, but also of such a nature as to compel or persuade the court in the given set of circumstance to believe and act upon it. A stray circumstance, can never be considered as admission; what is found in Ex. P11 is that kind of a sentence which can hardly be treated as an admission. Therefore the finding of the trial court about possession of schedule property being with plaintiff is not erroneous.
IN THE HIGH COURT OF KARNATAKA AT BENGALURU
Regular First Appeal Nos. 1056 and 1028 of 2012
Decided On: 08.02.2019
Venkatamma Vs. B.S. Suryaprakash
Hon'ble Judges/Coram:
Sreenivas Harish Kumar, J.
Citation: AIR 2019 (NOC) 824 KAR
1. The judgment and decree dated
08.6.2012 in O.S. No. 10936/1997 on the file of XI Addl. City Civil
Judge, Bengaluru has given rise to these two appeals. Plaintiff is the
appellant in RFA. No. 1028/2012 and the defendants 1 to 4, 6 and 7 and
the legal representatives of defendant No. 5 are the appellants in RFA.
No. 1056/2012. The parties are referred to with respect to rank of each
of them in the suit for the purpose of narration of pleadings briefly
and discussion on points arising for consideration.
2. The suit is for specific performance,
declaration and permanent injunction. The plaintiff founded the reliefs
on an agreement of sale date 15.02.1996 executed by one P. Muniyappa,
the husband of the first defendant and father of defendants 2 to 7. The
subject matter of the suit is a vacant site with a small shed bearing
BDA. No. 28, 2nd Stage, 1st Phase, B.T.M. Layout, Bengaluru, measuring
East to West 15.24 meters and North to South 23.48 meters (referred to
as suit property hereafter). The plaintiff pleaded that the Bangalore
Development Authority ('BDA' for short) i.e., the 9th defendant allotted
the suit property to P. Muniyappa, who was a former member of
Legislative Assembly. The allotment letter was issued on 26.6.1984; P.
Muniyappa was to pay Rs. 41,614/- to the BDA in connection with that
allotment. As he was not in a position to mobilize funds for making
payment to the BDA, he executed an irrevocable power of attorney in
favour of 8th defendant on 19.07.1984 and authorized him to do all the
acts that were necessary to deal with the suit property. On the strength
of this power of attorney, the 8th defendant made initial payment of
Rs. 5,000/- to the BDA, and also paid the balance of site value to the
BDA on a subsequent date. The BDA thereafter executed a lease cum sale
agreement on 1.1.1985 in respect of suit property and issued the
possession certificate to the 8th defendant who represented P.
Muniyappa. It is stated that on 08.04.1985, P. Muniyappa swore to an
affidavit and that on the same day, the second and the third defendants
along with P. Muniyappa also executed a declaration deed in favour of
8th defendant reaffirming the absolute authority given to him to deal
with suit property. As the things stood thus, P. Muniyappa and the 8th
defendant had to face some financial constraints; they decided to sell
the suit property and therefore, on 15.2.1996, the 8th defendant, with
the consent of P. Muniyappa, entered into an agreement of sale with the
plaintiff for total sale consideration of Rs. 10,50,000/-. Having
received Rs. 10,00,000/- from the plaintiff and in part performance of
the agreement, the 8th defendant put him in possession of the suit
property besides handing over to him all the documents of the suit
property and giving an undertaking that he would execute the sale deed
as and when the plaintiff would make a demand. The plaintiff, having
taken over possession of the suit property constructed a small shed
there.
3. P. Muniyappa died on 30.4.1996. The
plaintiff subsequently came to know that the BDA executed an absolute
sale deed in respect of suit property in favour of the 8th defendant and
that it was also cancelled at the instance of defendants 1 to 7. He
also came to know that the BDA thereafter executed another sale deed in
respect of suit property on 6.5.1997 in favour of 1st defendant. From
these developments the plaintiff learnt that the defendants would not
execute a sale deed in his favour and therefore, he got issued a legal
notice to the defendants 1 to 8 on 28.2.1997 demanding of them execution
of sale deed. It is stated that in the month of July 1997, the
plaintiff met 8th defendant to request him to execute the sale deed and
at that time, the 8th defendant demanded of the plaintiff payment of
additional sum of Rs. 1,00,000/- in relation to the penalty amount of
Rs. 50,000/- paid by him to the BDA and other expenses incurred by him
in obtaining the sale deed; and also Rs. 2,50,000/- to defendants 1 to 7
as they had paid penalty of Rs. 1,64,607/- to the BDA and spent some
money for obtaining sale deed from BDA to the name of 1st defendant.
4. The plaintiff stated that the BDA
could not collect penalty two times and its demand was illegal. The
plaintiff was ever ready to perform his part of the contract and as he
came to know that the defendants 1 to 8 were attempting to alienate the
suit property, and that they attempted to demolish the shed constructed
by him, he filed a suit O.S. No. 5726/1997, for permanent injunction.
Thereafter he filed another suit, the decree of which is impugned here
in these appeals, for specific performance, a declaration that the
action of 9th defendant in collecting the penalty amount twice as
illegal and permanent injunction to restrain the defendants from
interfering with his possession of suit property.
5. In the written statement filed by
defendants 1, 2, 4 and 5, they contended that subsequent suit for
specific performance was not maintainable in view of a suit for
permanent injunction filed formerly in respect of same subject matter.
They denied that P. Muniyappa ever appointed 8th defendant as his power
of attorney and that the defendants 1, 2 and 3 jointly executed a
declaration in favour of 8th defendant on 8.4.1995. They also denied the
execution of an agreement of sale dated 15.2.1996 by the 8th defendant
in favour of the plaintiff. They stated that the agreement was a created
document. They claimed to have become absolute owners of the suit
property after the demise of P. Muniyappa and possessed it. They also
stated very specifically that when they came to know that the 8th
defendant had obtained the sale deed illegally from the BDA, they
approached the BDA for cancellation of that sale deed and execution of
another sale deed in favour of 1st defendant. Accordingly, the BDA,
after verifying the records cancelled the sale deed executed in favour
of 8th defendant and then executed a sale deed in favour of 1st
defendant by collecting an amount of Rs. 1,64,607/- from them towards
penalty. They asserted that they actually constructed a small watchman's
shed in the suit property and denied the allegations of interference
with the plaintiff's possession. Denying other plaint averments, they
sought for dismissal of the suit.
6. Defendants 3, 6 and 7, though filed
separate written statement, stuck to the defence setup by defendants 1,
2, 4 and 5. The 8th defendant in his written statement supported the
plaintiff. The BDA, being the 9th defendant contended that the plaintiff
being not an allottee of a site had no locus standi to question the
imposition of penalty and therefore the declaratory relief that the
plaintiff claimed could not be granted.
7. The trial court raised ten issues and
two additional issues, recorded the evidence of five witnesses from
plaintiff's side and four witnesses from defendant's side and received
documentary evidence Ex. P.1 to P.43 and Ex. D.1 to D.50. Upon
appreciation of evidence, the trial court decreed the suit partly,
granted decree of permanent injunction restraining the defendants 1 to 7
from dispossessing the plaintiff from the suit property without due
process of law and dismissed the suit relating to specific performance.
Hence these two appeals; the plaintiff has questioned the dismissal of
suit for specific performance and the defendants 1 to 4, 6 and 7 and
legal representatives of 5th defendant have questioned the grant of
decree of permanent injunction against them.
8. I have heard the arguments of the
learned counsel Sri N.J. Ramesh, Sri H.S. Dwarakanath, Sri G. Papi
Reddy. I find it proper to refer to the points urged during arguments
contextually, however their arguments give rise to following points for
discussion.
i. Whether the agreement of sale, Ex. P.8, is worth rejection and cannot be acted upon as it is insufficiently stamped?
ii. Has the trial court erred in
upholding execution of Ex. P.8 by defendant No. 8 in favour of plaintiff
being the power of attorney holder of P. Muniyappa?
iii. Has the trial court correctly held
that the suit for specific performance is hit by Order II Rule 2 CPC in
view of earlier suit for injunction filed by the plaintiff?
iv. Whether the finding of the trial
court that plaintiff was in possession of the schedule property on the
date of suit is correct?
v. Whether interference with impugned judgment and decree is required?
POINT No. (i):
9. The vehement argument of Sri
Dwarakanath and Sri G. Papi Reddy is that Ex. P.8 is insufficiently
stamped document. It shows delivery of possession to the plaintiff. The
duty payable was on the market value of the suit property according to
Article 5(e)(i) after it stood amended with effect from 01.04.1995. It
is true that agreement was marked, as no objection was raised at the
time of marking; but subsequently an application under Section 151 CPC
was filed for reconsidering the marking of the agreement. The trial
court rejected the application. A writ petition was filed, and it was
also dismissed. The defendants 1 to 7 preferred SLP to the Supreme Court
which clearly observed that it was open to the petitioners to raise the
question of admissibility of the document at the time of hearing of the
suit. Therefore Sri Dwarakanath, argued that though Section 35 of
Karnataka Stamp Act states that a document once marked in evidence
without objection cannot be questioned again, in view of the observation
by the Supreme Court, the trial court should have reconsidered and held
that agreement was insufficiently stamped. He also argued that marking
of a document is different from acting upon it and therefore although
the document was marked, it should not have been acted upon. Relating to
this point, Sri Dwarakanath placed reliance on three decisions (1)
R.V.E. VENKATACHALA GOUNDER vs. ARULMIGU VISWESARASWAMI AND V.P. TEMPLE
AND OTHERS [( MANU/SC/0798/2003], (2) SYED YOUSUF ALI vs. YOUSUF AND
OTHERS [MANU/AP/0024/2016] and (3) ATHAPURAM RAGHURAMAIAH AND ANOTHER
vs. DYAVA RAMAIAH [MANU/AP/0772/2012].
10. Sri N.J. Ramesh countered this point
by arguing that the trial court in fact again considered the question
of admissibility of agreement of sale. In the judgment, the trial court
has very specifically referred to this aspect and held that Section 35
of the Karnataka Stamp Act is a clear bar for reconsidering the document
once it was marked without objection. On this point, he referred to
some of the decided cases namely (1) SAKAMMA vs. PAVADI GOWDA AND OTHERS
(MANU/KA/0710/1998 : ILR 1998 KAR 3842), (2) SHYAMAL KUMAR ROY vs.
SUSHIL KUMAR AGARWAL [2006 SAR (Civil) Page 939] and BARIUM CHEMICALS
LIMITED vs. VISHWA BHARATI MINING CORPORATION AND ANOTHER
[MANU/SC/1517/2002 : (2009) 16 SCC 262].
11. The findings of the trial court on
this point show that it has referred to the direction given by the
Hon'ble Supreme Court, but its opinion is that the agreement was marked
without any objection by the defendants and in view of Section 35 of
Karnataka Stamp Act, the defendants cannot contend that Ex. P.8 is
inadmissible in evidence.
12. This finding of the trial court on
Ex. P.8 cannot be said to be incorrect, as according to Section 35 of
the Stamp Act, once an instrument is admitted in evidence, such
admission shall not be called in question at any stage of the suit or
proceeding on the ground that instrument is insufficiently stamped. But
Section 58 of the Stamp Act is an exception which enables an appellate
court to reconsider this aspect. Before considering Section 58, it is
necessary to mention here that as rightly argued by Sri H.S.
Dwarakanath, mere receiving a document or instrument in evidence by
giving an exhibit number, (the procedure that is followed while
recording evidence) does not in any way permit the court to act upon an
instrument which is insufficiently stamped. Section 35 of the Stamp Act
only prohibits questioning the admission of a document at a subsequent
stage in the same proceedings. The prohibition as envisaged in Section
34 of the Stamp Act for acting upon the instrument is not taken away by
Section 35. 'Acting upon' means to rely upon or consider an instrument
for granting a relief in a suit which is founded on that very
instrument. To this extent the argument of Sri H.S. Dwarakanath is
acceptable; therefore there is no need to refer to some of the decisions
that he has cited. The trial court has merely proceeded on the ground
that no objection was taken at the time of marking the agreement; it has
not discussed whether it could have acted upon insufficiently stamped
agreement. This finding cannot be upheld. However there is another
aspect to be mentioned here.
13. Section 35 of the Stamp Act also
refers to section 58 which empowers the appellate courts to deal with
insufficiently stamped instruments. The appellate court may act upon on
its own to impound the insufficiently stamped instrument. Sub-section
(1) of Section 58 empowers the court to take action under three
circumstances. They are - the court of first instance should have
admitted an instrument in evidence i) as duly stamped or 2) holding that
instrument does not require to be stamped or 3) upon payment of duty
and penalty according to Section 34. A situation like admitting a
document without objection despite such instrument being insufficiently
stamped, is not found in sub-section (1), but section 58(1) cannot be
given such a narrow interpretation. The appellate court is not powerless
to take action under section 58(1) even on its motion, whenever it
finds and comes across an instrument which is insufficiently stamped,
but admitted in evidence without any objection. The attention of Sri
N.J. Ramesh, learned counsel for appellant was drawn to this provision
of law and he was required to submit his point of view on impounding of
Ex. P8. He took time to make submission in this regard and then
submitted that Ex. P8 could be impounded according to Section 58(1), but
submitted that appellant was ready to make good the deficit duty and
pay the penalty. At a later date, he reported payment of deficit stamp
duty and the penalty on Ex. P8, and for this reason the bar to act upon
no longer exists and Ex. P.8 cannot be rejected now.
Point No. (ii):-
14. With regard to due execution of
agreement of sale, Sri Dwarakanath argued that according to the
plaintiff P. Muniyappa appointed defendant No. 8 as his power of
attorney by executing Ex. P.1. The defendants 1 to 7 have seriously
disputed the signature of P. Muniyappa on Ex. P.1. There is no proof
that P. Muniyappa executed a power of attorney. Although execution of
Ex. P.1 appears to have been made before a Presiding Officer of a Small
Causes Court, there is no proof that P. Muniyappa appeared before the
Presiding Officer of that Court. The advocate who might have identified
the executant should have been examined. The signature of the executant
should have been referred to an expert's opinion. The court should not
venture to compare the disputed signature with admitted signature
according to Section 73 of the Indian Evidence Act. The trial court has
simply believed the execution of power of attorney by applying Section
85of the Indian Evidence Act. Where there is no proof with regard to
appointing 8th defendant as power of attorney of P. Muniyappa, it cannot
be said that execution of the agreement of sale by the 8th defendant
has stood established merely for the reason that the plaintiff examined
the attestors to the agreement of sale. On the point that the court
should not resort to Section 73 of the Indian Evidence Act, Sri
Dwarakanath has referred to some of the judgments of the Supreme Court
in O. Bharatan vs. K. Sudhakaran and Others [MANU/SC/0305/1996 : AIR
1996 SC 1140], Thiruvengada Pillai vs. Navaneethammal and Others
[MANU/SC/0942/2008 : AIR 2008 SC 1541] and this court in Baba Corporate
vs. V. Narayana Murthy [MANU/KA/0157/2015]. Sri Dwarakanath further
argued that the defendants 1 to 7 have not preferred separate appeal or
cross-objections challenging the finding on some of the issues, yet
according to Order 41 Rule 22 CPC, they can assail the findings against
them on these issues.
15. Sri N.J. Ramesh appearing for
plaintiff/appellant argued that on the issues relating to execution of
agreement and payment of sale consideration amount, the trial court has
correctly appreciated the evidence. The plaintiff, apart from examining
himself as P.W.-1 also examined the attestors to the agreement and an
advocate, i.e., the scribe of Ex. P.3. Their evidence shows that P.
Muniyappa executed a power of attorney in favour of 8th defendant. The
execution of power of attorney cannot be disbelieved, it was executed
before the Presiding Officer of Small Causes Court. It is not the case
of defendants that no power of attorney was executed before the
Presiding Officer of a Court; what they contend is that the advocate who
identified P. Muniyappa should have been examined. This was not
necessary. Whenever execution of a document takes place before Presiding
Officer of a Court, presumption under Section 85 of the Evidence Act is
available and rightly the trial court has drawn presumption. P.W.-2 is
the advocate who drafted a declaration given by some of the defendants
confirming the execution of power of attorney in favour of 8th
defendant. His evidence is not assailed at all. The evidence given by
8th defendant fully supports the plaintiff's case. In the trial court,
it was not argued that signature on the power of attorney should have
been referred to expert's opinion. For the first time, this issue is
raised in the appeal. There are circumstances indicating the valid
execution of power of attorney. Moreover the defendants have simply
denied the execution, it is not their case that signature of P.
Muniyappa was forged in order that reference to expert's opinion might
be necessary. He referred to Ex. P.5, P.6, P.30, P.31, P.44, Ex. D.45
etc.
16. As rightly argued by Sri
Dwarakanath, proof regarding Ex. P.8, the agreement of sale is dependent
on proof of power of attorney, Ex. P.1. Therefore whether at all 8th
defendant was appointed as power of attorney of P. Muniyappa requires
examination. The learned trial court judge has held that Ex. P.1 was
attested by the 1st defendant, Venkatamma, that she should have entered
the witness box to refute her being an attestor and that since the
execution was before a judge, presumption under Section 85 of the Indian
Evidence Act can be raised. It is also held that defendants 1 to 7 have
not taken steps to disprove the signatures found on Ex. P.1.
17. The above findings of the trial
court cannot be said to be incorrect. The cross examination of P.W. 1
shows a simple suggestion denying execution of Ex. P.1. There is no
suggestion that signature appearing on Ex. P.1 as that of P. Muniyappa
is forged. It's execution was before a judge of a court. The said judge
might not be having personal acquaintance with P. Muniyappa, but he
would not have admitted the execution unless P. Muniyappa was identified
by an Advocate. The said advocate was not examined as a witness. P.W. 2
is the scribe of Ex. P.2 and not Ex. P.1. Notwithstanding the
non-examination of the advocate who identified the executant of Ex. P.1,
its execution before a judge of a court cannot be lightly weighed. The
trial court has rightly held that presumption under Section 85 of
Evidence Act can be attached.
18. Indeed, as has been held in the
judgments cited by Sri Dwarakanath, the court cannot resort to comparing
the disputed signature with admitted signature according to Section 73
of the Indian Evidence Act. But argument of Sri Dwarakanath that the
court cannot take the aid of Section 73 of the Indian Evidence Act is
not acceptable at all. These judgments do not lay down a proposition
that there is a total prohibition to make a comparison. If there are
similarities between the disputed signature and the admitted signature
and if they are apparently visible, the courts do have power to resort
to Section 73 of Indian Evidence Act. If a contention is raised that
signature is forged and it is not possible to find out differences in
the signatures on just comparison, it is better to leave it to opinion
of an expert. It is not the bare denial of a signature or hand writing
that necessitates an expert's opinion, but it should be substantial; the
party who seeks support from a disputed document should first be cross
examined thoroughly that a signature or handwriting is forged or
document is fabricated. Only thereafter, expert's opinion can be sought.
In this case, position is totally different. Not only Ex. P.1, but
there are two more documents as per Ex. P.2 and Ex. P.3 that very
clearly show 8th defendant being appointed as power of attorney of P.
Muniyappa. Ex. P.2 is an affidavit executed by P. Muniyappa and Ex. P.3
is a declaration made by P. Muniyappa, his wife Venkatamma and two sons
Rajendra Prasad and Sadashivaiah. These two documents do contain a
reference to power of attorney. P.W. 2 is the scribe of Ex. P.2 and Ex.
P.3. His evidence is so clear that he prepared these documents, took
them to court of Small Causes and identified them before the judge who
thereafter admitted the execution of those two documents. P.W. 2 has not
been discredited in the cross examination. His evidence cannot be
discarded at all. Moreover, in Ex. P.3, there is a reference to 8th
defendant having made certain payments to the BDA on behalf of P.
Muniyappa. Corresponding references to the said payments are found in
Ex. P.14, P.15 and P.18. In Ex. P.21, a notice issued by the BDA on
20.1.1997, it is shown that Kalappa is the power of attorney of P.
Muniyappa. Above all, when 8th defendant tendered evidence, he spoke
about Ex. P.1, P.2 and P.3 and also produced some other documents, as
per Ex. D.17, D.18, D.19 and D.20. If cross examination of D.W. 2 is
seen, an inference can be drawn that he was not impeached, there is no
cross examination on these documents at all. If Ex. P.1 is a created
power of attorney, D.W. 2 should have been questioned in that context.
Except a suggestion nothing is forth coming. Therefore his evidence
cannot be discarded. The cumulative effect of evidence of P.W. 1, P.W. 2
and D.W. 2 is that execution of Ex. P.1, P.2 and P.3 would get proved.
19. Another point argued is that
defendant No. 8 did not obtain consent of P. Muniyappa before executing
the power of attorney Ex. P.8. In this regard Sri Dwarakanath has
referred to two judgments of the Supreme Court in Syed Abdul Khader vs.
Rami Reddy and Others (MANU/SC/0329/1978 : AIR 1979 SC 553) and Timblo
Irmaos Limited, Margo vs. Jorge Anibai Matos Sequeira and Others
(MANU/SC/0513/1976 : AIR 1977 SC 734) and a judgment of this court in R.
Sandhyarani vs. M. Mylarappa [MANU/KA/7313/2007 : 2008 (1) Kar. LJ.
524]. Sri G. Papi Reddy also argued emphatically that 8th defendant had
no authority to enter into agreement with the plaintiff. It is needless
to say that an agent cannot exceed the powers granted to him by his
principal; this is the first principle governing principal-agent
relationship. But the argument of Sri Dwarakanath that P. Muniyappa had
not consented for entering into an agreement with the plaintiff as per
Ex. P.8, is not appealing. It is true that in Ex. P.1, it is recited
that the 8th defendant should obtain the consent of P. Muniyappa before
conveying the suit property. To prove that there was consent, the
plaintiff has produced two documents Ex. P.9 and Ex. P.44. As regards
Ex. P.9, Sri Dwarakanath argued that it is just a receipt; it does not
indicate express consent given by P. Muniyappa. And with regard to Ex.
P.44, he argued that it cannot be considered at all, for it was produced
at a very belated stage, i.e., when the trial court posted the case for
final arguments. It is a created document. There is no explanation as
to why it was not produced at the earliest point of time. If P.
Muniyappa had given consent, his signature could have been obtained on
Ex. P.8, but his signature was not obtained. This shows that there was
no consent. For countering this argument, Sri N.J. Ramesh, referred to
Ex. P.9 which shows that P. Muniyappa received sale consideration amount
from 8th defendant who had collected the same from the plaintiff. It is
as good as consenting to the transaction. D.W. 2, has not been cross
examined on Ex. P.9. Therefore the transaction as per Ex. P.8 is not
bad. With regard to Ex. P.44, he argued that though it was produced
after recording of defendants' witnesses was over, the court accepted
the reasons for its belated production and allowed the plaintiff to
produce that document. P. Muniyappa indicated his consent in his letter
head.
20. The trial court has not discussed
the evidentiary value of Ex. P.44. This letter clearly states that P.
Muniyappa, on 13.2.1996, expressed his consent in writing for conveying
the suit property to the plaintiff by the 8th defendant. If this
document is ignored because of its late production into court, Ex. P.9
alone remains for consideration. The trial court has held that Ex. P.9
shows consent given by P. Muniyappa as he received Rs. 10,00,000/- from
the 8th defendant in connection with sale of suit property. P.W. 1
produced Ex. P.9; what is found in cross examination of P.W. 1 on Ex.
P.9 is just a suggestion that Ex. P.9(a) is not the signature of P.
Muniyappa and the said document was created after his death. Nothing
more is found. Very importantly D.W. 2, who also speaks about paying Rs.
10,00,000/- and obtaining a receipt as per Ex. P.9 from P. Muniyappa,
has not been cross examined at all on this document. Ex. P.9 was a
transaction that took place between D.W. 2 and P. Muniyappa and
therefore D.W. 2 should have been cross examined. A mere suggestion
given to P.W. 1 assumes no significance. Even if Ex. P.44 is ignored,
Ex. P.9 indicates consent by P. Muniyappa. With regard to argument that
signature of P. Muniyappa should have been obtained on Ex. P.8, it has
to be stated that since 8th defendant was P. Muniyappa's power of
attorney, there was no need to obtain P. Muniyappa's signature.
Therefore conclusion to be drawn is that 8th defendant did not exceed
his powers being an agent.
21. Sri H.S. Dwarakanath assailed the
admissibility of the agreement of sale Ex. P8 on another ground. He
referred to Order XIII Rule 4 of CPC and argued that every document
admitted in evidence must be endorsed in the manner stated in Sub-rule
(1) of Rule 4 of Order XIII CPC. Since Ex. P8 does not contain such an
endorsement, there is no admission of this document in the eye of law. I
do not think that this argument holds good. Certainly, Order XIII Rule 4
CPC provides for a procedure to be followed while admitting a document.
The agreement of sale is given an exhibit number as P8. If this
document is perused, it becomes very clear that these requirements are
met with. Instead of stating specifically that it was produced by the
plaintiff, the word 'P' is used to denote that it was produced by the
plaintiff. Generally the documents are given exhibit numbers in 'P'
series and 'D' series. 'P' indicates the word 'plaintiff' and 'D'
indicates the word 'defendant'. The Presiding Officer has put his
initial below the exhibit number. It is not only this agreement of sale,
every document received in evidence in the suit are given numbers like
that. It is quite strange that objection is taken to the marking of the
agreement of sale only and no objection is taken with respect to marking
other documents in the same manner. Order XIII Rule 4 CPC only
prescribes a procedure of admitting documents in evidence, if there is
any deviation in procedure, unless it seriously prejudices a party, it
cannot be given any importance at all. The argument of Sri H.S.
Dwarakanath cannot be upheld.
22. Now Ex. P.8, the agreement of sale
is considered. The above discussion shows that P. Muniyappa appointed
8th defendant as his power of attorney and that the execution of the
agreement was with the consent of P. Muniyappa. In addition, the
plaintiff also examined the attestors, who adduced evidence as P.W. 3
and P.W. 5. Their testimonies very much establish the fact that 8th
defendant executed the agreement. P.W.-4 is the advocate who scribed Ex.
P.8. P.W. 3, P.W. 4 and P.W. 5 corroborate the testimony of each other.
They have not been discredited in the cross examination. More than all,
8th defendant i.e., D.W. 2 has also spoken about execution of agreement
and in this regard his evidence has remained unassailed. There is one
document, i.e., Ex. P.23 which shows that P. Muniyappa was financially
distressed and this could be the reason for P. Muniyappa appointing 8th
defendant as his power of attorney to transact with BDA. In fact 8th
defendant has produced some documents which show that he has paid Rs.
70,000/- to P. Muniyappa having entered into an agreement of sale with
him. These documents were not at all referred to by Sri Dwarakanath or
Sri N.J. Ramesh while arguing. These documents show that the transaction
of agreement of sale as per Ex. P.8 was not a created and a collusive
document. Therefore the finding of the trial court with regard to due
execution of the agreement of sale has to be upheld.
Point No. (iii)
23. Sri H.S. Dwarakanath and G. Papi
Reddy very much argued that the suit for specific performance is hit by
Order II Rule 2 of the Code. There is no dispute that the plaintiff
filed a suit O.S. 5726/1997 for permanent injunction to restrain the
defendants from alienating the suit property. The reason for instituting
the said suit was alleged attempt by the defendants to sell the suit
property. In the plaint, the plaintiff stated very specifically that he
had reserved his right to file suit for specific performance.
24. Sri Dwarakanath and G. Papi Reddy
argued that on the date of institution of injunction suit, cause of
action to seek the relief of specific performance was very much
available. By then he had issued a legal notice demanding of the
defendants execution of the sale deed. The plaintiff omitted to sue the
defendants for specific performance. No leave of the court was obtained.
Mere a statement in the plaint reserving the right to file another suit
for specific performance was not sufficient. Therefore, subsequent suit
for specific performance was not maintainable in view of bar contained
under Order II Rule 2 of the Code. Sri Dwarakanath referred to judgment
of Supreme Court in N.V. Srinivasa Murthy and Others vs. Mariyamma
(Dead) by proposed LRs and Others [MANU/SC/0403/2005 : AIR 2005 SC 2897]
and Sri G. Papi Reddy placed reliance on another judgment of the
Supreme Court in Virgo Industries (Eng.) Private Limited vs. Venturetech
Solutions Private Limited [MANU/SC/0731/2012 : (2013) 1 SCC 625].
25. Sri N.J. Ramesh met the above
argument by arguing that the very fact that the plaintiff pleaded in his
first suit about reserving his right to sue the defendants for specific
performance would indicate his bona fides; it was not intentional. The
plaintiff had to file an injunction suit to protect the suit property;
if he had not filed that suit, the defendants 1 to 7 would have sold the
suit property. He also argued that the plaintiff was under confusion at
that time as to against whom he should proceed. The BDA cancelled the
sale deed in favour of 8th defendant and executed another sale deed in
favour of first defendant and thereafter defendants 1 to 7 tried to sell
the suit property. These events made the plaintiff to file a suit for
injunction first. He also instituted the suit for specific performance
very soon. He further argued that in view of the judgment of the Supreme
Court in the case of Rathnavathi and Another vs. Kavita Ganashamdas
[MANU/SC/0966/2014 : 2015 SAR (Civil) 130], institution of suit for
injunction does not bar the subsequent suit for specific performance. He
also referred to some judgments in the cases of Haridas Das vs. Smt.
Usha Rani Banik and Others [MANU/SC/8039/2006 : 2006 SAR (Civil) 337],
Bhimangouda vs. Sangappa Irappa Patil and Others and [MANU/KA/0097/1960 :
AIR 1960 (Mys) 178, Sucha Singh Sodhi (D) Thr. Lrs. vs. Baldev Raj
Walia and Another [MANU/SC/0376/2018 : 2018 SAR (Civil) 711].
26. The finding of the trial court is
that Order II Rule 2 of the Code very much applies to suit for specific
performance. It has assigned the reasons that at the time when suit for
injunction was filed, cause of action for instituting a suit for
specific performance was very much available. The Supreme Court in the
case of Haridas has not ruled that mere averment in the plaint regarding
reservation of right to file another suit without obtaining leave of
the court suffices the requirement of Order 2 Rule 2 of CPC. The
plaintiff has not placed any material to show that he was permitted by
the court in O.S. No. 5726/1997 to file fresh suit for the relief of
specific performance. The cause of action for both the suit being same,
the second suit for specific performance is not maintainable.
27. It is difficult to concur with the
findings of the trial court that the suit is hit by Order II Rule 2 of
the Code. Before expressing my opinion, I find it necessary to refer to
the judgments that are cited by the counsel for the parties. In the case
of N.V. Srinivasa Murthy (supra) the plaintiff in the first instance
filed a suit for permanent injunction and later on filed another suit
for declaration and injunction. The Supreme Court held that when the
first suit was filed, the plaintiff could have sought the relief of
declaration on the basis of the sale deed of the year 1953 and therefore
the second suit was barred by Order II Rule 2 of the Code. The clear
observation of the Supreme Court is as below:-
"13. In paragraph 11 of the plaint, the
plaintiffs have stated that they had earlier instituted original suit
No. 557 of 1990 seeking permanent injunction against defendants and the
said suit was pending when the present suit was filed. Whatever relief
the petitioners desired to claim from the civil court on the basis of
averment with regard to the registered sale deed of 1953 could and ought
to have been claimed in original civil suit No. 557 of 1990 which was
pending at that time. The second suit claiming indirectly relief of
declaration and injunction is apparently barred by Order 2, Rule 2 of
the Code of Civil Procedure".
28. In the case of Virgo Industries
(Engineering) Private Limited (supra), the Supreme Court has laid down a
principle with regard to requirements for application of provisions
contained in Order II Rule 2 CPC:-
"11. The cardinal requirement for
application of the provisions contained in Order II Rule 2(2) and (3),
therefore, is that the cause of action in the later suit must be the
same as in the first suit. It will be wholly unnecessary to enter into
any discourse on the true meaning of the said expression, i.e. cause of
action, particularly, in view of the clear enunciation in a recent
judgment of this Court in the Church of Christ Charitable Trust and
Educational Charitable Society v. Ponniamman Educational Trust
[MANU/SC/0515/2012 : (2012) 8 SCC 706]. The huge number of opinions
rendered on the issue including the judicial pronouncements available
does not fundamentally detract from what is stated in Halsbury's Law of
England, (4th Edition). The following reference from the above work
would, therefore, be apt for being extracted herein below:
"Cause of Action" has been defined as
meaning simply a factual situation existence of which entitles one
person to obtain from the Court a remedy against another person. The
phrase has been held from earliest time to include every fact which is
material to be proved to entitle the plaintiff to succeed, and every
fact which a defendant would have a right to traverse. 'Cause of action'
has also been taken to mean that particular action on the part of the
defendant which gives the plaintiff his cause of complaint, or the
subject-matter of grievance founding the action, not merely the
technical cause of action."
29. In the case of Haridas Das (supra),
the facts were that the time for execution of the sale deed was nearing.
The appellant came to know that the original owner of the property
namely Kalipadadas, with a view to defeating the appellant's right was
trying to sell part of the property to one Chunnilal Dev and mortgaged
another part of the suit property to the Housing Board. The appellant
paid the balance amount of Rs. 1,000/- to Kalipadadas and asked him to
execute the sale deed. Since the appellant was threatened to be
dispossessed, he filed a title suit to protect his possession. He also
sought relief of permanent injunction against the original owner to
restrain him from dispossessing him and selling the suit property to any
third party. In the plaint filed in the said suit, he reserved his
right to file another suit for getting the sale deed executed. Later on
he filed another suit for specific performance and in this second suit,
Order II Rule 2 of the Code was invoked. In the background of these
facts and circumstances, the Supreme Court came to the conclusion that
Order II Rule 2 of the Code had no application. The clear observations
of the Supreme Court are as follows:-
"17. When the aforesaid principles are
applied to the background facts of the present case, the position is
clear that the High Court had clearly fallen in error in accepting the
prayer for review. First, the crucial question which according to the
High Court was necessary to be adjudicated was the question whether the
Title Suit No. 201 of 1985 was barred by the provisions of Order II Rule
2 CPC. This question arose in Title Suit No. 1 of 1986 and was
irrelevant so far as Title Suit No. 2 of 1987 is concerned.
Additionally, the High Court erred in holding that no prayer for leave
under Order II Rule 2 CPC was made in the plaint in Title Suit No. 201
of 1985. The claim of oral agreement dated 19.8.1982 is mentioned in
para 7 of the plaint, and at the end of the plaint it has been noted
that right to institute suit for specific performance was reserved. That
being so the High Court has erroneously held about infraction of Order
II Rule 2 CPC. This was not a case where Order II of Rule 2 CPC has any
application".
30. Again in the case of Ratnavathi
(supra), the Supreme Court had an occasion to deal with applicability of
Order II Rule 2 of the Code. Here also the plaintiff in the first
instance filed a suit for injunction to protect his possession and then
filed another suit for specific performance. When the plaintiff filed
the first suit he did not obtain leave of the Court for instituting
another suit for specific performance. While discussing whether Order II
Rule 2 of the Code is a bar for specific performance suit, the Hon'ble
Supreme Court has observed as below:-
"29. In the instant case when we apply
the aforementioned principle, we find that bar contained in Order II
Rule 2 is not attracted because of the distinction in the cause of
action for filing the two suits. So far as the suit for permanent
injunction is concerned, it was based on a threat given to the plaintiff
by the defendants to dispossess her from the suit house on 2.1.2000 and
9.1.2000. This would be clear from reading Para 17 of the plaint. So
far as cause of action to file suit for specific performance of
agreement is concerned, the same was based on non performance of
agreement dated 15.2.1989 by defendant No. 2 in plaintiff's favour
despite giving legal notice dated 6.3.2000 to defendant No. 2 to perform
her part.
31. In case of former, plaintiff is
required to make out the existence of prima facie case, balance of
convenience and irreparable loss likely to be suffered by the plaintiff
on facts with reference to the suit property as provided in Section 38
of the Specific Relief Act, 1963 (in short "the Act") read with Order 39
Rule 1 & 2 of CPC. Whereas, in case of the later, plaintiff is
required to plead and prove her continuous readiness and willingness to
perform her part of agreement and to further prove that defendant failed
to perform her part of the agreement as contained in Section 16 of The
Act.
32. One of the basic requirements for
successfully invoking the plea of Order II Rule 2 of CPC is that the
defendant of the second suit must be able to show that the second suit
was also in respect of the same cause of action as that on which the
previous suit was based.
36. The submission has a fallacy for two
basic reasons. Firstly, as held above, cause of action in two suits
being different, a suit for specific performance could not have been
instituted on the basis of cause of action of the first suit. Secondly,
merely because pleadings of both suits were similar to some extent did
not give any right to the defendants to raise the plea of bar contained
in Order II Rule 2 of CPC. It is the cause of action which is material
to determine the applicability of bar under Order II Rule 2 and not
merely the pleadings. For these reasons, it was not necessary for
plaintiff to obtain any leave from the court as provided in Order II
Rule 2 of CPC for filing the second suit.
31. In the case of Sucha Singh Sodhi
(supra), following the judgment in Ratnavathi and another, the Hon'ble
Supreme Court has held:-
"36. This Court in Rathnavathi &
Another vs. Kavita Ganashamdas (MANU/SC/0966/2014 : 2015 (5) SCC 223)
had the occasion to examine this very question on somewhat similar facts
in detail. This Court after taking into account the earlier decisions
of this Court which dealt with this question held in Paras 22 to 31 that
bar contained in Order 2 Rule 2 of the Code on such facts is not
attracted against the plaintiff so as to disentitle him from filing the
subsequent suit to claim specific performance of agreement against the
defendants in relation to the suit property.
37. We apply the law laid down in the
case of Rathnavathi (supra) and hold that the suit filed by the original
plaintiff for specific performance of agreement against the respondents
(defendants) is not barred by Order 2 Rule 2 of the Code and is held
maintainable for being tried on merits".
32. The principles deducible from the
above decisions are that for applicability of Order II Rule 2 of the
Code, the second suit must be founded on a cause of action which was
available to the plaintiff when he instituted the first suit; and in the
first suit, without stating any reason the plaintiff should have
omitted to claim a relief which he could have claimed at that time. A
separate application under Order II Rule 2 of the Code may be filed; if
the court grants the application, it amounts to expressly permitting the
plaintiff to file another suit to claim a relief that he has omitted at
that time. At times, it so happens, as can be seen in the case on hand,
that the plaintiff simply avers in the plaint about reserving his right
to file another suit for the relief that he has omitted; and in such an
event if the court proceeds to decide the suit, the inference that can
be drawn is that leave is impliedly granted. The circumstances as a
whole must be considered to arrive at a conclusion as to implicit leave.
In fact in the case of Haridas (supra), the Hon'ble Supreme Court held
that Order II Rule 2 of the Code was not applicable to suit for specific
performance instituted later finding that in the plaint filed in the
first suit, the plaintiff had stated that he had reserved his right to
institute a suit for specific performance.
33. It is not quite uncommon that a
transferee having obtained possession of an immovable property may
resort to instituting a suit for injunction against the transferor in
case of threat to his possession of the property. Such kind of a suit,
as it relates to protecting the possession only, does not create a bar
under Order II Rule 2 of the Code for the subsequent suit for specific
performance. The transferee under the agreement may some times bring a
suit for permanent injunction to stop alienation of property by the
transferor. This type of suit can definitely be considered as bar for
subsequent suit for specific performance if on the day when injunction
suit was filed, cause of action to institute suit for specific
performance was available and if the plaintiff had not obtained leave of
the court. Of course the court can examine about the implicit leave if
the circumstances do warrant. But, a suit for injunction prohibiting
alienation by the transferor cannot be always be considered as bar under
Order II Rule 2 of the Code for the subsequent suit for specific
performance if on the date of first suit, cause of action for seeking
the relief of specific performance was not available.
34. In the case on hand the facts and
circumstances are such that on the date of first suit for injunction, as
can be made out from Ex. D1, the plaint in O.S. No. 5726/1997, the
plaintiff had the notice of breach of contract by defendants 1 to 7
being the legal heirs of P. Muniyappa on whose behalf defendant No. 8
had executed an agreement of sale, and he had issued a notice demanding
execution of sale deed from them. Therefore cause of action to claim the
relief of specific performance was available to plaintiff when he sued
the defendants for the first time. He reserved his right to institute a
suit for specific performance by stating so in the plaint. No express
order was passed by the court granting leave to institute suit for
specific performance. The important aspect to be noted here is that suit
for injunction was filed on 29.07.1997 and suit for specific
performance was filed on 08.09.1997. These dates do indicate that suit
for specific performance was filed within a short span after institution
of suit for injunction. The subsequent proceedings are important. The
two suits were consolidated and on 22.12.2006, the trial court permitted
the plaintiff to withdraw his first suit for injunction, and therefore
only suit for specific performance was taken up for adjudication. In a
circumstance like this, whether Order II Rule 2 of the Code can be
employed is the question. To answer this, Order II Rule 1 needs to be
referred to as it contains the real intent of framing of a suit for
several reliefs based on a cause of action. The intention is to prevent
further litigation. In the decisions cited by Sri H. Dwarakanth and Sri
G. Papi Reddy, the Hon'ble Supreme Court has in clear words stated that
the object behind imposing a bar under Order II Rule 2 of the Code is to
prevent double vexation of the defendant. If this principle is kept in
mind and applied to the circumstances of this case, it is possible to
hold unhesitatingly that Order II Rule 2 of the Code does not emerge
into consideration at all. Firstly there was no long gap between the two
suits; secondly they were consolidated for common trial and lastly the
first suit was permitted to be withdrawn. This being the
distinguishment, Order II Rule 2 of the Code has hardly any application.
This is the reason why the Hon'ble Supreme Court has clearly spelt out
in its judgment in the case of Bhavnagar University Vs. Palitana Sugar
Mill Pvt. Ltd., MANU/SC/1092/2002 : AIR 2003 SC 511 that
"59. A decision, as is well-known, is an
authority for which it is decided and not what can logically be deduced
there from. It is also well-settled that a little difference in facts
or additional facts may make a lot of difference in the precedential
value of a decision. [See Smt. Ram Rakhi v. Union of India & Ors.
[MANU/DE/0734/2002 : AIR 2002 Delhi 458], Delhi Administration (NCT of
Delhi) v. Manoharlal [MANU/SC/0713/2002 : AIR 2002 SC 3088], Haryana
Financial Corporation and Anr. v. M/s. Jagdamba Oil Mills & Anr.
[MANU/SC/0056/2002 : JT 2002 (1) SC 482] and Dr. Nalini Mahajan etc. v.
Director of Income Tax (Investigation) & Ors. [MANU/DE/0573/2002 :
(2002) 257 ITR 123]."
35. Therefore the arguments of Sri
Dwarakanth and Sri G. Papi Reddy on this point is not acceptable and I
hold that Order II Rule 2 of the Code is not applicable.
Point No. (iv)
36. Sri H.S. Dwarakanath and Sri G. Papi
Reddy, argued that the trial court should not have granted the decree
of permanent injunction finding possession of suit property being with
plaintiff. Their argument is that when the very execution of agreement
is denied, the trial court should not have come to a conclusion based on
a recital in the agreement with regard to delivery of possession to
plaintiff. Sri H.S. Dwarakanth has argued that in Ex. P11, a legal
notice issued by the plaintiff, the defendants were asked to handover
possession of the schedule property to plaintiff by executing the sale
deed. Once delivery of possession was sought, it amounts to an admission
within the meaning of Section 58 of the Indian Evidence Act. It is
relevant to be considered to hold that there was no delivery of
possession under the agreement. He has also argued that the court is
bound to act on admission and in support of his argument he has placed
reliance on three rulings of the Supreme Court (1) THIRU JOHN AND OTHERS
vs. RETURNING OFFICER AND OTHERS [MANU/SC/0211/1977 : AIR 1977 SC
1724], (2) RAMJI DAYAWALA AND SONS (P) LIMITED vs. INVEST IMPORT
[MANU/SC/0502/1980 : AIR 1981 SC 2085] AND (3) AVADH KISHORE DAS vs. RAM
GOPAL AND OTHERS [MANU/SC/0003/1978 : AIR 1979 SC 861]. Sri G. Papi
Reddy also argued another point that the defendant No. 8 Kalappa
obtained a sale deed directly from the BDA to his name after the death
of Muniyappa, and the BDA having noticed the fraud committed by him,
cancelled that sale deed and then executed another sale deed in favour
of 1st defendant Venkatamma, the wife of Muniyappa. These transactions
are relevant to infer that possession was not delivered to plaintiff; a
clear collusion between the plaintiff and the 8th defendant for
defeating the rights of defendants 1 to 7 can be noticed and therefore
the plaintiff's claim to having possession should be rejected.
37. The trial court has held that the
agreement shows delivery of possession to plaintiff who later on
constructed a shed by spending a sum of Rs. 35,000/-. The original
documents of the property were also delivered to plaintiff. The evidence
of DW2 corroborates the testimony of PW1 as regards delivery of
possession. Referring to sale deed executed by the BDA in favour of
first defendant on 06.05.1997, it is held by the trial court that there
is absolutely no material on record to show that the defendants 1 to 7
were put in possession of the property and therefore even after
cancellation of sale deed in favour of defendant No. 8, plaintiff
continued to be in possession of the suit property and his possession is
lawful.
38. Scrutinizing the evidence, it is not
possible to differ from the findings of the trial court. The discussion
on point No. 2 shows that there was due execution of agreement by
defendant No. 8 in favour of plaintiff. Defendant No. 8 was put in
possession of property by virtue of Ex. P1 & Ex. P2. Very
particularly Ex. P3, a declaration executed by Muniyappa's wife and two
sons also indicates possession being delivered to defendant No. 8. The
factual position being thus, it is not impossible to draw further
inference that defendant No. 8 put plaintiff in possession of property,
in the capacity of GPA holder of Muniyappa. It is very important to
mention here the dates - the agreement, Ex. P8 was executed by defendant
on 15.02.1996 and P. Muniyappa died on 30.04.1996. The GPA as per Ex.
P1 was very much in force. The plaintiff has also produced the original
documents of the property viz the allotment letter, the possession
certificate, the demand notice, the approved plan, etc., all issued by
the BDA. These documents are all marked as exhibits, P4, P5, P6 and P7
and P16. Production of these documents by the plaintiff was not possible
unless they were handed over to him by defendant No. 8 consequent upon
delivery of possession of the said property to him. D.W. 2 i.e.,
defendant No. 8, in his cross examination refutes the suggestion that
possession of schedule property was held by P. Muniyappa till his death
and then taken over by defendants 1 to 7, but rather asserts that the
plaintiff held the possession on the date when BDA cancelled the sale
deed executed in his favour. Therefore the evidence on record, as held
by the trial court shows the plaintiff's possession only.
39. Now another point of argument of Sri
H.S. Dwarakanath is considered. There cannot be a second word that fact
admitted by a party or his agent requires no further proof and such an
admission can be considered as a substantive evidence. The Hon'ble
Supreme Court in the case of THIRU JOHN & OTHERS (SUPRA) has held
below:-
"15. It is well settled that, a party's
admission as defined in Sections 17 to 20 fulfilling the requirements of
Section 21, Evidence Act, is substantive evidence proprio vigore. An
admission, if clearly and unequivocally made, is the best evidence
against the party making it and though not conclusive, shifts the onus
on to the maker on the principle that "what a party himself admits to be
true may reasonably be presumed to be so and until the presumption was
rebutted the fact admitting must be taken to be established".
40. In
the other two decisions, cited by Sri H.S. Dwarakanath on this point, it
has been held that admission furnishes the best evidence. Examined
whether a sentence found in Ex. P11 amounts to an admission or not, it
has to be stated that, though defendants had been called upon in the
said notice to handover possession of schedule property to plaintiff by
executing a sale deed, the same does not amount to admission. The reason
being that whilst P.W. 1 was being cross examined, his attention was
not drawn to Ex. P11, particularly with reference to the sentence
purporting to be an admission. When P.W. 1 in his examination
in chief affidavit asserted to have taken possession, his attention
should have been drawn to this sentence and questioned. Since Ex. P11 is
a legal notice issued on behalf plaintiff, whatever
that has been stated there amounts to previous statements and he should
have been cross examined. Section 145 provides for contradicting a
witness on his previous statement. Section 155 of the Indian Evidence
Act also provides for proving former statements inconsistent with any
other part of evidence of a witness. Therefore to apply the rule of
admission, attention of the witness must be drawn to previous
contradictory statement or the so called admission and afforded an
opportunity of explaining it; without this procedure being followed, no
inference based on such an admission can be drawn. Moreover the
admission, must not only be clear and unambiguous, but also of such a
nature as to compel or persuade the court in the given set of
circumstance to believe and act upon it. A stray circumstance, can never
be considered as admission; what is found in Ex. P11 is that
kind of a sentence which can hardly be treated as an admission.
Therefore the finding of the trial court about possession of schedule
property being with plaintiff is not erroneous.
Point No. (v)
41. The trial court has not answered the
issue relating readiness and willingness of the plaintiff to complete
his part of performance for being entitled to decree of specific
performance. Ample evidence is available to show that he was always
ready and willing. He has pleaded about it. Out of total sale
consideration of Rs. 10,50,000/- he has already paid Rs. 10,00,000/- and
the balance amount is Rs. 50,000/-. Though he has stated in evidence
that he made payment of this amount also towards penalty to be paid to
BDA, he is ready to pay again Rs. 50,000/-. It is not the case of
defendants that the plaintiff was not ready to perform his part of
contract. Issuance of legal notice to the defendants indicates his
readiness and willingness.
42. The trial court denied the relief of
specific performance applying the bar contained under Order II Rule 2
CPC, not for any other reason. Now that a finding is given that Order II
Rule 2 CPC is not applicable, this case requires examination under
Section 20 of the Specific Relief Act. The facts and circumstances
discussed above show that plaintiff is entitled to a decree for specific
performance. The defendants 1 to 7 being the legal heirs of P.
Muniyappa and defendant 8 being the GPA holder of P. Muniyappa are bound
to execute the sale deed. In fact defendant No. 8 is ready. It is not
the case of defendants 1 to 7 that the plaintiff is taking undue
advantage of a situation. They have not pleaded about hardship also.
Rather what is forth coming is their dishonesty. Their conduct in
repudiating the contract despite having clear knowledge about it,
demonstrates their dishonesty and a clear eye on the present market
value of the property which has seen manifold increase over the years.
Judicial notice can be taken in this regard in the background of
location of schedule property. Hence a clear conclusion can be drawn
that the judgment of the trial court can be set aside to the extent of
dismissing the suit for specific performance.
43. The trial court has decreed the suit
for permanent injunction restraining defendants No. 1 to 7 from
dispossessing the plaintiff from the suit property without taking
recourse to due process of law. Probably the trial court has granted
this relief keeping in mind that according to it decree for specific
performance could not be granted. Since I have now held that the
plaintiff is entitled to decree for specific performance also, he is
entitled to decree of permanent injunction as has been claimed by him in
the suit. To this extent the judgment of the trial court also stands
modified.
44. In the result the following order:-
(i) RFA 1028/2012 is allowed. RFA 1056/2012 is dismissed.
(ii) The judgment and decree dated
08.6.2012 is O.S. No. 10936/1997 on the file of XI Additional City Civil
Judge, Bengaluru, is modified. Dismissal of the suit for specific
performance is set aside, decree of specific performance is granted.
(iii) The plaintiff is directed to
deposit the balance of sale consideration of Rs. 50,000/- before the
trial court within two months from today and there upon the defendants
are directed to execute the sale deed in respect of the suit property in
favour of plaintiff, failing which the plaintiff can get the sale deed
executed through court.
The judgment and decree of permanent injunction granted by the trial court is confirmed.
The plaintiff is entitled to costs of these two appeals.
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