Bombay High Court Dismisses Third Party Application for Leave to Appeal in Property Title Dispute — No Substantial Question of Law Arises. The court held that the applicants, claiming through a subsequent purchaser, failed to demonstrate any prejudice or legal right affected by the decree in favour of the original plaintiff, and the application was barred by limitation.

High Court: Bombay High Court Bench: AURANGABAD
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Case Note & Summary

The judgment pertains to a civil application filed by third parties (Annasaheb and Ramesh Gandhale) seeking leave to appeal against a decree passed by the District Judge-2, Shrirampur in Regular Civil Appeal No.12 of 2009. The background involves a suit filed by Sumatilal Gujarani (respondent no.1) for declaration of title and possession over suit property (gut no. 129) based on a registered sale deed dated 21-10-1991 executed by original owner Ajitkumar Mirikar. The suit also challenged a subsequent sale deed dated 15-02-1999 executed by Ajitkumar's heirs in favour of Ratilal Kothari (respondent no.5). The trial court dismissed the suit, but the first appellate court partly allowed the appeal, cancelling the subsequent sale deed to the extent of the suit property. The applicants claim title through Ratilal and contend that the decree affects their rights. The court examined whether the applicants, as third parties, have a right to appeal and whether the application is within limitation. The court found that the application was filed on 27-06-2019, nearly three years after the decree dated 18-07-2016, and thus barred by limitation under Article 116 of the Limitation Act. The court also held that no substantial question of law arises as the applicants' predecessor was a purchaser pendente lite, and the decree does not cause any prejudice to the applicants. The court dismissed the application with costs.

Headnote

A) Civil Procedure - Third Party Application for Leave to Appeal - Order 41 Rule 1 CPC - Limitation - The applicants, claiming through a subsequent purchaser, sought leave to appeal against a decree cancelling the sale deed in their favour. The court held that the application was barred by limitation as it was filed beyond 90 days from the decree, and no substantial question of law arose. The applicants failed to show any prejudice or legal right affected by the decree. (Paras 1-18)

B) Limitation Act - Article 116 - Limitation for Appeal - The period of limitation for filing an appeal is 90 days from the date of decree. The application was filed on 27-06-2019 against a decree dated 18-07-2016, which is beyond the prescribed period. The court found no sufficient cause for condonation of delay. (Paras 10-12)

C) Transfer of Property Act - Section 52 - Lis Pendens - The subsequent sale deed in favour of the applicants' predecessor was executed during the pendency of the suit, and thus, the applicants are bound by the decree. The court noted that the doctrine of lis pendens applies, and the applicants cannot claim independent rights. (Paras 13-15)

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Issue of Consideration

Whether the applicants, as third parties claiming title through a subsequent purchaser, are entitled to leave to appeal against a decree passed in a suit for declaration and cancellation of sale deed, and whether the application is within limitation.

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Final Decision

The civil application is dismissed with costs.

Law Points

  • Third party application for leave to appeal
  • Limitation for filing appeal
  • Substantial question of law
  • Right of third party to challenge decree
  • Order 41 Rule 1 CPC
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Case Details

2023 LawText (BOM) (01) 28

Civil Application No.3577 of 2019 in Second Appeal (Stamp) No. 5457 of 2019

2023-02-21

Gauri Godse

Mr.C.K. Shinde – Advocate for Appellants, Mr.S.K. Shinde – Advocate for respondent no.1.

Annasaheb S/o Kashinath Gandhale and Ramesh S/o Kashinath Gandhale

Sumatilal Zumbarlal Gujarani, Smt. Varsha Ajitkumar Mirikar, Pooja d/o Ajitkumar Mirikar, Payal d/o Ajitkumar Mirikar, Shri Ratilal Ghevarchand Kothari

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Nature of Litigation

Civil application by third parties seeking leave to appeal against a decree in a property title suit.

Remedy Sought

Leave to prefer an appeal against the judgment and decree dated 18-07-2016 passed by the District Judge-2, Shrirampur in Regular Civil Appeal No.12 of 2009.

Filing Reason

The applicants claim title through a subsequent purchaser (Ratilal) and contend that the decree cancelling the sale deed affects their rights.

Previous Decisions

The trial court dismissed the suit; the first appellate court partly allowed the appeal and decreed the suit in favour of Sumatilal, cancelling the subsequent sale deed to the extent of the suit property.

Issues

Whether the applicants, as third parties, are entitled to leave to appeal against the decree? Whether the application is within limitation? Whether any substantial question of law arises?

Submissions/Arguments

Applicants argued that they are bona fide purchasers for value without notice and the decree affects their rights. Respondent no.1 argued that the application is barred by limitation and the applicants have no locus standi as they are purchasers pendente lite.

Ratio Decidendi

A third party seeking leave to appeal must demonstrate a legal right affected by the decree and must file the application within the period of limitation. The applicants, being purchasers pendente lite, are bound by the decree and failed to show any prejudice. The application was also barred by limitation.

Judgment Excerpts

This civil application is filed by a third party seeking leave to prefer an appeal for challenging the judgment and decree dated 18th July, 2016 passed by the learned District Judge-2, Shrirampur in Regular Civil Appeal No.12 of 2009. The applicants are claiming title to property being land Gat No.129 admeasuring 3 hectares 48 R (including the suit property) through Ratilal. The application is barred by limitation as it was filed beyond 90 days from the date of decree. No substantial question of law arises in this application.

Procedural History

The suit was filed in 2004, dismissed by the trial court on 30-12-2008. The first appeal was partly allowed on 18-07-2016. The present civil application for leave to appeal was filed on 27-06-2019.

Acts & Sections

  • Code of Civil Procedure, 1908: Order 41 Rule 1
  • Limitation Act, 1963: Article 116
  • Transfer of Property Act, 1882: Section 52
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