Madras High Court Dismisses Appeal in Money Recovery Suit Based on Unproven Sale Agreements. Plaintiff Failed to Establish Execution of Agreements or Payment of Advance Amount, Trial Court's Findings Upheld.

High Court: Madras High Court In Favour of Accused
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Case Note & Summary

The appellant, A. Mohammed Thariq, filed a First Appeal under Section 96 read with Order 41 Rule 1 of the Code of Civil Procedure, 1908, against the judgment and decree dated 15.12.2022 in O.S.No.26 of 2013 passed by the Principal District Judge, Perambalur. The suit was for recovery of money based on two agreements dated 22.10.2010 and 15.12.2010. According to the plaintiff, the defendant agreed to sell his property and received a total advance of Rs.56,45,000/- (Rs.25,00,000/- on 22.10.2010, Rs.6,45,000/- on 16.05.2011, and Rs.25,00,000/- on 15.12.2010). The plaintiff claimed that he later discovered the defendant was not the owner of the property and that the defendant evaded executing the sale, hence the suit for recovery. The defendant denied executing any such agreements and contended that he was in the real estate business with the plaintiff, who obtained his signature on blank papers and misused them. He also denied receiving any amount. The Trial Court framed two issues: whether the plaintiff was entitled to the suit amount with interest, and to what relief. After examining P.W.1 to P.W.3 and marking Exs.A1 to A4 on the plaintiff's side, and D.W.1 on the defendant's side with no documents, the Trial Court found that the plaintiff had not established the agreements marked as Exs.A1 and A2, and disbelieved Ex.A4 (a letter). The court held that the plaintiff failed to prove the execution of the agreements or the payment of the advance amount. The High Court, on appeal, reappreciated the evidence and found no perversity in the Trial Court's findings. The appeal was dismissed, confirming the Trial Court's judgment and decree.

Headnote

A) Civil Procedure - Appeal - First Appeal under Section 96 CPC - Dismissal of Suit - The plaintiff filed a suit for recovery of money based on two sale agreements. The defendant denied execution and receipt of any amount. The Trial Court dismissed the suit holding that the plaintiff failed to prove the agreements. The High Court, on reappreciation of evidence, found no perversity in the findings and dismissed the appeal. (Paras 1-9)

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Issue of Consideration

Whether the plaintiff is entitled to recovery of money based on alleged sale agreements when the execution of those agreements is disputed and not proved.

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Final Decision

The appeal is dismissed, confirming the judgment and decree of the Trial Court dated 15.12.2022 in O.S.No.26 of 2013.

Law Points

  • Burden of proof
  • Execution of document
  • Appreciation of evidence
  • Section 96 CPC
  • Order 41 Rule 1 CPC
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Case Details

2026 LawText (MAD) (01) 37

A.S.No.190 of 2023

2026-01-28

N. Sathish Kumar, R. Sakthivel

Mr. S. Doraiswamy (for appellant), Mr. R. Venkatesulu (for respondent)

A. Mohammed Thariq

R. Balamurugan

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Nature of Litigation

First Appeal against dismissal of suit for recovery of money based on sale agreements.

Remedy Sought

Appellant (plaintiff) sought recovery of Rs.56,45,000/- with interest from the respondent (defendant).

Filing Reason

Plaintiff alleged that defendant agreed to sell property and received advance amounts but failed to execute sale, and later plaintiff discovered defendant was not the owner.

Previous Decisions

Trial Court dismissed the suit on 15.12.2022 in O.S.No.26 of 2013.

Issues

Whether the plaintiff is entitled to the suit amount with subsequent interest? To what relief is the plaintiff entitled?

Submissions/Arguments

Plaintiff: Defendant agreed to sell property and received Rs.56,45,000/- as advance; defendant is not the owner and evaded execution; plaintiff is ready and willing to perform. Defendant: No such agreements executed; plaintiff obtained signatures on blank papers; no amount received.

Ratio Decidendi

The plaintiff failed to prove the execution of the sale agreements and the payment of the advance amount. The Trial Court's findings were based on proper appreciation of evidence and not perverse.

Judgment Excerpts

The unsuccessful plaintiff has preferred the present Appeal Suit. The Trial Court on the basis of both oral and documentary evidence has framed the following issues... The Trial Court... found that the plaintiff has not established, whatsoever, the agreements marked as Exs.A1 and A2 and also disbelieved Ex.A4...

Procedural History

The plaintiff filed O.S.No.26 of 2013 before the Principal District Judge, Perambalur, for recovery of money. The suit was dismissed on 15.12.2022. The plaintiff filed A.S.No.190 of 2023 before the Madras High Court under Section 96 read with Order 41 Rule 1 CPC. The High Court dismissed the appeal on 28.01.2026.

Acts & Sections

  • Code of Civil Procedure, 1908 (CPC): Section 96, Order 41 Rule 1
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High Court Madras High Court Dismisses Appeal in Money Recovery Suit Based on Unproven Sale Agreements. Plaintiff Failed to Establish Execution of Agreements or Payment of Advance Amount, Trial Court's Findings Upheld.
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