Bombay High Court Allows Second Appeal in Property Gift Dispute — Father's Power to Gift Ancestral Property Upheld. Compromise Decree Based on Gift Not Challenged, First Appellate Court Erred in Considering Irrelevant Factors.

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

The appellant, Mubarak S/o Badesab Mulla, filed Regular Civil Suit No.103 of 2007 seeking a declaration of ownership and perpetual injunction regarding 3 Acres and 1.5 Gunthas of land out of Survey No.8/B at Village Lamjana, Taluka Ausa, District Latur. The appellant and the respondents are real brothers. Their father, Badesab Nabisab, owned ancestral lands Survey No.8/B (6 Acres 3 Gunthas) and Survey No.5/B (7 Acres 3 Gunthas). The appellant claimed that on Gudhi Padwa in 1983, their father orally partitioned the family property and gifted the suit land to him. A compromise decree in Regular Civil Suit No.87 of 1984 was passed based on this gift. The trial court dismissed the suit, and the First Appellate Court confirmed the dismissal. The appellant filed a Second Appeal, which was initially dismissed for default but later restored. The High Court admitted the appeal on three substantial questions of law: whether the First Appellate Court erred in not considering the father's power to make a gift; whether it erred in considering that defendants were minors at the time of the compromise decree; and whether it erred in not considering that the compromise decree was never challenged and was based on the gift. The High Court found that the First Appellate Court had failed to consider the father's power to make a gift and had wrongly considered the minority of the defendants as a relevant circumstance. The court held that the compromise decree, being unchallenged, was valid and based on the gift. Consequently, the High Court allowed the appeal, set aside the judgments of the lower courts, and decreed the suit in favor of the appellant.

Headnote

A) Property Law - Gift by Father - Power to Make Gift - Hindu Law / Muslim Personal Law - The court considered whether the father had the power to make a gift of ancestral property to one son. The First Appellate Court failed to consider this aspect. (Paras 3-4)

B) Civil Procedure - Compromise Decree - Validity - Order 23 Rule 3 CPC - The compromise decree in Regular Civil Suit No.87 of 1984 was never challenged and was based on the gift made by the father. The First Appellate Court erred in considering that defendants were minors at the time of the decree. (Paras 3-5)

C) Evidence - Irrelevant Considerations - Minority of Parties - The First Appellate Court took into account the circumstance that defendant Nos.2 to 5 were minors when the compromise decree was passed, which had no bearing on the validity of the gift. (Paras 3-5)

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Issue of Consideration

Whether the First Appellate Court erred in not considering the father's power to make a gift and in considering the minority of defendants at the time of compromise decree as a relevant circumstance.

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Final Decision

Second Appeal allowed. Judgments and decrees of the trial court and First Appellate Court are set aside. Regular Civil Suit No.103 of 2007 is decreed in favor of the appellant.

Law Points

  • Power of father to make gift of ancestral property
  • validity of compromise decree
  • consideration of irrelevant circumstances by appellate court
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Case Details

2026 LawText (BOM) (07) 149

Second Appeal No.228 of 2016

2026-07-21

Siddheshwar S. Thombre

2026:BHC-AUG:30284

Mr. Ram S. Shinde for Appellant, Mr. A.G. Dalal for Respondents No.2, 3 and 5

Mubarak S/o Badesab Mulla

Hujur S/o Badesab Mulla, Yunus S/o Badesab Mulla, Nabisab S/o Badesab Mulla, Mainoddin S/o Badesab Mulla, Mujib S/o Badesab Mulla

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Nature of Litigation

Civil suit for declaration of ownership and perpetual injunction regarding agricultural land.

Remedy Sought

Declaration that appellant is owner of suit land and injunction restraining respondents from interfering with possession.

Filing Reason

Appellant claimed ownership based on oral gift by father in 1983 and compromise decree of 1984; respondents disputed.

Previous Decisions

Trial court dismissed suit; First Appellate Court confirmed dismissal.

Issues

Whether the First Appellate Court erred in not considering the father's power to make a gift. Whether the First Appellate Court erred in considering the minority of defendants at the time of compromise decree as a relevant circumstance. Whether the First Appellate Court erred in not considering that the compromise decree was never challenged and was based on the gift.

Submissions/Arguments

Appellant argued that the father had power to make gift and compromise decree was valid and unchallenged. Respondents argued that defendants were minors at the time of compromise decree, affecting its validity.

Ratio Decidendi

The father had the power to make a gift of ancestral property, and the compromise decree based on that gift, being unchallenged, is valid. The minority of defendants at the time of the decree is irrelevant to the validity of the gift.

Judgment Excerpts

Whether the First Appellate Court has committed an error in not considering the case of the plaintiff with regard to the power of the father to make a gift? Whether the First Appellate Court has committed an error in taking into consideration the circumstance that defendant Nos.2 to 5 were minors when the compromise decree in Regular Civil Suit No.87 of 1984 was passed, when such circumstance had no bearing on the validity of the gift made by the father in exercise of his power? Whether the First Appellate Court has committed an error in not considering that the compromise decree was never challenged and that the decree was based on the gift made by the father?

Procedural History

Appellant filed Regular Civil Suit No.103 of 2007 which was dismissed by the trial court. First appeal was dismissed by the First Appellate Court. Second Appeal No.228 of 2016 was filed, initially dismissed for default, then restored on 08.07.2026 upon joint request of counsel, and finally heard on 21.07.2026.

Acts & Sections

  • Code of Civil Procedure, 1908: Order 23 Rule 3
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