Bombay High Court Allows Second Appeal in Specific Performance Case — Readiness and Willingness Established. First Appellate Court erred in reversing trial court's decree for specific performance of agreement to sell agricultural land despite plaintiff's readiness and willingness to perform contract.

High Court: Bombay High Court Bench: NAGPUR In Favour of Accused
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Case Note & Summary

The dispute pertains to an agreement to sell agricultural land bearing Survey No.33, admeasuring 3H 23R, situated at village Udapur, Taluka Ner, District Yavatmal. The appellant/plaintiff, Purushottam Devidas Bhoyar, entered into an agreement to sell dated 7.4.1991 with the respondent No.1/defendant, Sau. Sheelabai W/o Kishor Shrungare, and her deceased husband, for the southern portion of the land admeasuring 1H 21R for a total consideration of Rs.15,000/-. The plaintiff paid earnest money of Rs.9,000/- and the balance of Rs.6,000/- was payable on 18.1.1992, the date fixed for execution of the registered sale deed. The plaintiff filed Regular Civil Suit No.57 of 1993 seeking specific performance of the agreement. The trial court (Civil Judge, Sr.Dn., Ner) decreed the suit in favour of the plaintiff on 30.6.1995. The defendant appealed, and the First Appellate Court (District Judge, Yavatmal) in Regular Civil Appeal No.112 of 1995 modified the decree on 4.9.1999, refusing specific performance and granting only refund of earnest money with interest. The plaintiff filed a second appeal, which was admitted on 23.2.2004 on the substantial question of law whether the First Appellate Court was wrong in setting aside the trial court's findings on readiness and willingness when the plaintiff had specifically pleaded and was ready and willing to perform his part. The High Court held that the First Appellate Court erred in reversing the trial court's decree. The plaintiff had specifically pleaded readiness and willingness in the plaint and had proved the same by evidence, including his presence at the Sub-Registrar's office on the stipulated date. The appellate court's finding that the plaintiff was not ready and willing was perverse and based on misreading of evidence. The High Court allowed the appeal, set aside the First Appellate Court's judgment, and restored the trial court's decree for specific performance of the agreement to sell.

Headnote

A) Specific Relief Act - Specific Performance - Readiness and Willingness - Section 16(c) Specific Relief Act, 1963 - The First Appellate Court erred in reversing the trial court's decree for specific performance of an agreement to sell agricultural land, as the plaintiff had specifically pleaded and proved his readiness and willingness to perform his part of the contract, including payment of balance consideration. The appellate court's finding that the plaintiff was not ready and willing was perverse and based on misreading of evidence. (Paras 3-5)

B) Civil Procedure - Second Appeal - Substantial Question of Law - Section 100 CPC - The High Court, in second appeal, can interfere with findings of fact if they are perverse or based on no evidence. Here, the First Appellate Court's reversal of the trial court's decree was against the weight of evidence and thus a substantial question of law arose. (Para 3)

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Issue of Consideration

Whether the First Appellate Court was wrong in setting aside the findings of the trial Court on the readiness and willingness of the appellant/plaintiff when there was specific pleading in the plaint and the appellant was ready and willing to perform his part of the contract.

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Final Decision

The High Court allowed the second appeal, set aside the judgment and order of the First Appellate Court dated 4.9.1999, and restored the decree for specific performance passed by the trial court on 30.6.1995.

Law Points

  • Specific performance
  • Readiness and willingness
  • Section 16(c) Specific Relief Act
  • 1963
  • Agreement to sell
  • Earnest money
  • First appellate court's reversal
  • Substantial question of law
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Case Details

2015 LawText (BOM) (09) 103

Second Appeal No.218 of 2000

2015-09-10

A. P. Bhangale, J.

Shri Amol Mardikar for Appellant, Shri A.V. Bhide for Respondent No.1

Purushottam S/o Devidas Bhoyar

Sau. Sheelabai W/o Kishor Shrungare

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Nature of Litigation

Civil suit for specific performance of an agreement to sell agricultural land.

Remedy Sought

The appellant/plaintiff sought a decree for specific performance of the agreement to sell dated 7.4.1991, directing the respondent/defendant to execute the sale deed upon payment of balance consideration.

Filing Reason

The respondent/defendant failed to execute the sale deed despite the plaintiff being ready and willing to perform his part of the contract.

Previous Decisions

The trial court decreed the suit in favour of the plaintiff on 30.6.1995. The First Appellate Court modified the decree on 4.9.1999, refusing specific performance and granting only refund of earnest money with interest.

Issues

Whether the First Appellate Court was wrong in setting aside the trial court's findings on readiness and willingness of the plaintiff when there was specific pleading in the plaint and the plaintiff was ready and willing to perform his part of the contract.

Submissions/Arguments

The appellant/plaintiff argued that he had specifically pleaded readiness and willingness in the plaint and had proved the same by evidence, including his presence at the Sub-Registrar's office on the stipulated date. The respondent/defendant contended that the plaintiff was not ready and willing to perform his part of the contract.

Ratio Decidendi

The First Appellate Court's finding that the plaintiff was not ready and willing to perform his part of the contract was perverse and based on misreading of evidence. The plaintiff had specifically pleaded readiness and willingness in the plaint and had proved the same by evidence. Therefore, the decree for specific performance ought to have been granted.

Judgment Excerpts

Whether the First Appellate Court is wrong in setting aside the findings of the trial Court on the readiness and willingness when the appellant plaintiff was ready and willing to perform his part of the contract and there was specific pleading in the plaint? The substantial question of law as stated above must be answered in the affirmative for the following reasons :

Procedural History

The appellant/plaintiff filed Regular Civil Suit No.57 of 1993 in the Court of Civil Judge (Sr.Dn.), Ner, District Yavatmal, which was decreed on 30.6.1995. The respondent/defendant appealed to the District Court, Yavatmal, in Regular Civil Appeal No.112 of 1995, which was allowed in part on 4.9.1999, modifying the decree to refund of earnest money with interest. The appellant/plaintiff then filed the present Second Appeal No.218 of 2000 in the Bombay High Court, Nagpur Bench, which was admitted on 23.2.2004 on the substantial question of law. The High Court pronounced judgment on 10.9.2015, allowing the appeal and restoring the trial court's decree.

Acts & Sections

  • Specific Relief Act, 1963: Section 16(c)
  • Code of Civil Procedure, 1908: Section 100
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