Bombay High Court Allows Writ Petition Challenging Impleadment of Purchasers in Specific Performance Appeal — Purchasers Claiming Through Plaintiff Are Not Necessary Parties Under Order 1 Rule 10 CPC. Doctrine of Lis Pendens Protects Their Interests Without Impleadment.

High Court: Bombay High Court Bench: BOMBAY In Favour of Accused
  • 106
Judgement Image
Font size:
Print

Case Note & Summary

The petitioner, Smt. Sonabai Sahebrao Pathrud, filed a suit for perpetual injunction against respondent no.1, Bhausaheb Ganpati Gaikwad, on 14 February 2000. The defendant filed a counterclaim seeking specific performance of an agreement to sell dated 28 February 1992 for five acres of land for Rs.22,000, claiming possession was handed over. The trial court dismissed both the suit and counterclaim, directing the plaintiff to repay Rs.22,000 as earnest money. During the pendency of the appeal filed by the defendant (Regular Civil Appeal No.88 of 2000), the plaintiff sold the suit land to respondents 2 to 4 by registered sale deed dated 15 February 2010. There was no restraint order against the plaintiff. The appellate court, taking cognizance of the alienation, impleaded respondents 2 to 4 as parties to the appeal under Order 1 Rule 10 CPC. The petitioner challenged this impleadment order in the present writ petition. The High Court held that the purchasers (respondents 2 to 4) are not necessary parties to the appeal for specific performance because no relief is sought against them and they claim through the plaintiff. Under the doctrine of lis pendens (Section 52 of the Transfer of Property Act), any purchaser during pendency of litigation is bound by the decree. The court also noted that the purchasers are not proper parties as their presence is not required for complete adjudication of the dispute between the plaintiff and defendant. The High Court allowed the writ petition, set aside the impugned order, and directed the appellate court to decide the appeal without impleading respondents 2 to 4.

Headnote

A) Civil Procedure Code, 1908 - Order 1 Rule 10 - Necessary and Proper Party - Impleadment - In a suit for specific performance of agreement to sell, the purchaser of suit land during pendency of appeal is not a necessary party as no relief is sought against him and he claims through the plaintiff-vendor. The appellate court erred in impleading such purchasers under Order 1 Rule 10 CPC. (Paras 6-8)

B) Specific Relief Act, 1963 - Section 19(b) - Lis Pendens - Purchaser pendente lite - A purchaser of property during pendency of litigation is bound by the decree under the doctrine of lis pendens (Section 52 Transfer of Property Act) and need not be impleaded as a party to protect his interests. (Para 7)

C) Civil Procedure Code, 1908 - Order 1 Rule 10 - Proper Party - Impleadment - A person may be added as a proper party if his presence is necessary for complete and effective adjudication. However, purchasers claiming through the plaintiff are not necessary for deciding the issue of specific performance between plaintiff and defendant. (Para 8)

Subscribe to unlock Headnote Subscribe Now

Issue of Consideration

Whether the purchasers of suit land during pendency of appeal are necessary or proper parties to the appeal for specific performance of agreement to sell, and whether the appellate court erred in impleading them under Order 1 Rule 10 CPC.

Subscribe to unlock Issue of Consideration Subscribe Now

Final Decision

The High Court allowed the writ petition, set aside the impugned order dated 5th August 2019 passed by the District Judge-2, Barshi in Regular Civil Appeal No.88 of 2000, and directed the appellate court to decide the appeal without impleading respondents 2 to 4.

Law Points

  • Necessary party
  • proper party
  • Order 1 Rule 10 CPC
  • specific performance
  • lis pendens
  • alienation pendente lite
  • impleadment
  • transfer of property
Subscribe to unlock Law Points Subscribe Now

Case Details

2019 LawText (BOM) (08) 129

Writ Petition No.730 of 2016

2019-08-05

Sandeep K. Shinde

Mr. G.N. Salunkhe i/by Mr. Umesh Kurund for the Petitioner, Mr. Ashok B. Tajane for the Respondent No.1

Smt. Sonabai Sahebrao Pathrud

Bhausaheb Ganpati Gaikwad, Vishnu Dnandev Ranmal, Anil Dnandev Ranmal, Dattatray Dnandev Ranmal

Subscribe to unlock Case Details (Citation, Judge, Date & more) Subscribe Now

Nature of Litigation

Writ petition challenging the order of the appellate court impleading purchasers of suit land as parties in an appeal arising from a suit for perpetual injunction and counterclaim for specific performance.

Remedy Sought

Petitioner sought setting aside of the order dated 5th August 2019 passed by the District Judge-2, Barshi in Regular Civil Appeal No.88 of 2000, which impleaded respondents 2 to 4 as parties.

Filing Reason

The appellate court impleaded the purchasers (respondents 2 to 4) as parties under Order 1 Rule 10 CPC, which the petitioner contended was erroneous as they were not necessary or proper parties.

Previous Decisions

The trial court dismissed the suit for injunction and counterclaim for specific performance, directing repayment of earnest money. The defendant appealed. During appeal, plaintiff sold the land to respondents 2 to 4. The appellate court impleaded them.

Issues

Whether the purchasers of suit land during pendency of appeal are necessary or proper parties to the appeal for specific performance. Whether the appellate court erred in impleading the purchasers under Order 1 Rule 10 CPC.

Submissions/Arguments

Petitioner argued that respondents 2 to 4 are not necessary parties as no relief is sought against them and they claim through the plaintiff. Respondent no.1 argued that the purchasers are necessary for complete adjudication and to avoid multiplicity of suits.

Ratio Decidendi

A purchaser of suit land during pendency of litigation is not a necessary party to a suit for specific performance because he claims through the plaintiff and no relief is sought against him. The doctrine of lis pendens (Section 52 Transfer of Property Act) binds such purchaser to the decree, making impleadment unnecessary. Order 1 Rule 10 CPC does not require addition of such persons as they are not necessary for complete and effective adjudication.

Judgment Excerpts

The purchasers are not necessary parties to the appeal for specific performance because no relief is sought against them and they claim through the plaintiff. Under the doctrine of lis pendens, any purchaser during pendency of litigation is bound by the decree and need not be impleaded.

Procedural History

Suit for perpetual injunction filed on 14 February 2000. Counterclaim for specific performance filed by defendant. Trial court dismissed both suit and counterclaim on 30 September 2000, directing repayment of earnest money. Defendant filed Regular Civil Appeal No.88 of 2000. During appeal, plaintiff sold suit land to respondents 2 to 4 on 15 February 2010. Appellate court impleaded respondents 2 to 4 on 5 August 2019. Petitioner challenged this order by way of Writ Petition No.730 of 2016.

Acts & Sections

  • Code of Civil Procedure, 1908: Order 1 Rule 10
  • Transfer of Property Act, 1882: Section 52
  • Specific Relief Act, 1963: Section 19(b)
Subscribe to unlock full Legal Analysis Subscribe Now
Related Judgement
High Court Bombay High Court Allows Writ Petition Challenging Impleadment of Purchasers in Specific Performance Appeal — Purchasers Claiming Through Plaintiff Are Not Necessary Parties Under Order 1 Rule 10 CPC. Doctrine of Lis Pendens Protects Their Interest...
Related Judgement
High Court Gujarat High Court Dismisses State's Condonation of Delay Application in Land Acquisition Appeal Due to Lack of Sufficient Cause. Delay of 774 days not condoned as state failed to explain each day's delay with cogent evidence.