Bombay High Court Dismisses Appeal for Specific Performance of Agreement to Sell Land Due to Lack of Proof of Readiness and Willingness and Failure to Prove Agreement. The Court held that the plaintiff failed to establish the execution of the agreement and his readiness and willingness to perform his part of the contract, and the suit was barred by limitation.

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

The appellant, Kanhaiyalal Motilal Talera, filed a suit for specific performance of an agreement to sell dated 28-03-1979, allegedly executed by Sarubai Narayan Mulik (original defendant no.1) for sale of agricultural land at Survey No. 16, Vadgaon Sheri, Pune. The plaintiff claimed to have paid part consideration of Rs. 600, Rs. 2000, and Rs. 3000 in 1985. The trial court dismissed the suit on grounds of limitation and failure to prove readiness and willingness. In appeal, the High Court examined the evidence and found that the plaintiff failed to prove the execution of the agreement as no attesting witness was examined. The court also held that the plaintiff did not demonstrate readiness and willingness to perform his part, as he did not show financial capacity or any steps taken to pay the balance consideration. The suit was held to be within limitation as the cause of action arose from the notice of refusal in 1987. However, the plaintiff's claim for specific performance was rejected, and the appeal was dismissed with costs.

Headnote

A) Specific Relief Act, 1963 - Section 16(c) - Readiness and Willingness - Plaintiff must prove continuous readiness and willingness to perform his part of the contract from the date of agreement till the decree - In the present case, plaintiff failed to adduce evidence of financial capacity or steps taken to perform his obligations - Held that plaintiff not entitled to specific performance (Paras 10-15).

B) Limitation Act, 1963 - Article 54 - Suit for Specific Performance - Limitation period of three years from the date fixed for performance or from notice of refusal - Agreement dated 28-03-1979, no date fixed for performance; plaintiff filed suit in 1988 after notice in 1987 - Held that suit is within limitation as notice of refusal was in 1987 (Paras 16-18).

C) Evidence Act, 1872 - Section 68 - Proof of Execution of Document - Agreement to sell required to be proved by examining attesting witnesses - Plaintiff failed to examine any attesting witness - Held that execution of agreement not proved (Paras 19-22).

D) Transfer of Property Act, 1882 - Section 53A - Part Performance - Doctrine of part performance requires possession in furtherance of contract - Plaintiff failed to prove possession or any act done in furtherance of contract - Held that part performance not available (Paras 23-25).

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Issue of Consideration

Whether the plaintiff is entitled to specific performance of the agreement to sell dated 28-03-1979? Whether the suit is barred by limitation? Whether the plaintiff has proved his readiness and willingness to perform his part of the contract?

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Final Decision

The appeal is dismissed with costs. The judgment and order of the trial court dated 16-11-2007 is confirmed.

Law Points

  • Specific performance
  • Readiness and willingness
  • Limitation
  • Burden of proof
  • Agreement to sell
  • Part performance
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Case Details

2013:BHC-AS:27177

First Appeal No.2860 of 2007

2013-10-29

A.P. Bhangale, J

2013:BHC-AS:27177

Mr. Madhav Jamdar for appellant; Mr.Sumeet Kothari for respondent no.1(b); Mr.S.M.Gorwadkar for respondent no.1(c); Respondent no.1(a) and 2 absent

Shri Kanhaiyalal Motilal Talera

Sarubai Narayan Mulik since deceased by Legal Heirs 1(a) Smt.Mathura Arjun Magar, 1(b) Balasaheb Arjun Magar, 1(c) Satish Gajanan Mulik, and 2 Shri Bachulal Pukhraj Oswal

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Nature of Litigation

Civil appeal against dismissal of suit for specific performance of agreement to sell land.

Remedy Sought

Appellant sought specific performance of the agreement to sell dated 28-03-1979 and possession of the suit property.

Filing Reason

Appellant claimed that respondent no.1 (Sarubai) agreed to sell agricultural land and received part payment, but failed to execute the sale deed.

Previous Decisions

The trial court (Jt. Civil Judge S.D., Pune) dismissed the suit with costs on 16-11-2007.

Issues

Whether the plaintiff proved the execution of the agreement to sell dated 28-03-1979? Whether the plaintiff proved his readiness and willingness to perform his part of the contract? Whether the suit is barred by limitation?

Submissions/Arguments

Appellant argued that the agreement was executed, part payment was made, and he was ready and willing to perform. Respondents argued that the agreement was not proved, the suit was time-barred, and the plaintiff failed to show readiness and willingness.

Ratio Decidendi

For specific performance, the plaintiff must prove the execution of the agreement and continuous readiness and willingness to perform his part. Failure to examine attesting witnesses and lack of evidence of financial capacity or steps to perform the contract disentitles the plaintiff to relief. The suit is within limitation if filed within three years of notice of refusal.

Judgment Excerpts

The plaintiff had paid sum of Rs 600/ on 15-11-1985, Rs.2000/ on 07-01-1985 Rs 3000/ on 04-02-1985 towards part payment of the consideration. The plaintiff failed to prove the execution of the agreement as no attesting witness was examined. The plaintiff did not demonstrate readiness and willingness to perform his part of the contract.

Procedural History

The plaintiff filed a suit for specific performance in 1988. The trial court dismissed the suit on 16-11-2007. The plaintiff appealed to the Bombay High Court, which heard the appeal and dismissed it on 29-10-2013.

Acts & Sections

  • Specific Relief Act, 1963: Section 16(c)
  • Limitation Act, 1963: Article 54
  • Evidence Act, 1872: Section 68
  • Transfer of Property Act, 1882: Section 53A
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