Citation : 2021 Latest Caselaw 10977 Bom
Judgement Date : 12 August, 2021
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IN THE HIGH COURT OF JUDICATURE AT BOMBAY
NAGPUR BENCH, NAGPUR
SECOND APPEAL NO. 144/2021
Sitaram s/o Hemraj Khandelwal Versus Raman Radhakisan Rathi and another.
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Office notes, Office Memoranda of
Coram, appearances, Court's orders Court's or Judge's Orders
or directions and Registrar's orders.
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Shri J.J. Chandurkar, Advocate for appellant.
CORAM : S.M. MODAK, J.
DATE : 12/08/2021
Heard learned advocate for the appellant/plaintiff.
2. The plaintiff was appointed as a broker for sale of plots. He entered into an agreement with defendant and defendant has agreed to execute the sale-deed in respect of plots with members nominated by the plaintiff. As per that agreement plaintiff has also paid certain amount to the defendant. Defendant failed to execute a sale-deed with members. Hence, plaintiff filed a suit for recovery of the amount which includes the consideration paid as well as commission. The defendant contested the suit. The trial Court was pleased to decree the suit.
3. The defendant went in appeal. The First Appellate Court was pleased to set aside the judgment and was pleased to dismissed the suit.
4. It is contended that the First Appellate Court while appreciating the evidence has non-suited the plaintiff on the
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ground that the transaction in between plaintiff and defendant is hit by the provisions of the Maharashtra Chit Funds Act, 1974. According to the plaintiff, in fact the defendant has nowhere pleaded in the written statement that the plaintiff is required to be non-suited for the reason that the chit conducted by the plaintiff was not registered with the concerned properties.
5. It is also submitted that the agreement with defendant was executed in the year 1985 and at that time the Maharashtra Chit Funds Act was not in force. My attention is invited to the provision of Section 90 of the Chit Funds Act, 1982. It shows that the State Act was repealed by Section 90 of the Central Act. The First Appellate Court has not considered the position of law.
6. It is true that the trial Court has framed an issue No.2 "Whether the said contract is illegal, void and enforceable of law?" However, when the judgment of the trial Court is perused, there is no discussion about the compliance of the Maharashtra Chit Funds Act, 1974 probably it may be due to absence of pleadings in the written statement.
7. Issue notice before admission on following substantial question of law :
a] Whether the First Appellate Court was right in non-suiting the plaintiff for the reason that the transaction in between the plaintiff and it is
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members attracts the provisions of the Maharashtra Chit Fund?
b] Whether the First Appellate Court was right in applying the provisions of Maharashtra Chit Funds Act, 1974 even though the said Act was repealed by the Chit Funds Act, 1982 ?
8. Issue notice to the respondents, returnable on 28/09/2021.
JUDGE
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