Citation : 2013 Latest Caselaw 4452 Del
Judgement Date : 27 September, 2013
* IN THE HIGH COURT OF DELHI AT NEW DELHI
Date of decision: 27th September, 2013
+ RFA 36/2005
YOGENDER SINGH ..... Appellant
Through: Mr. S.S. Tomar, Adv.
Versus
PREM LATA & ANR .......Respondents
Through: Mr. G.P. Thareja and Mr. C.P. Puri,
Advocates.
CORAM:
HON'BLE MR. JUSTICE RAJIV SAHAI ENDLAW
RAJIV SAHAI ENDLAW, J.
1. The appeal impugns the judgment and decree dated 9 th December,
2004 of the Court of the Additional District Judge (ADJ), Delhi of dismissal
of suit No.351/04/02 filed by the appellant.
2. The said suit was filed by the appellant for the reliefs of, (i)
declaration, declaring/cancelling the documents if any in power and
possession of the respondents/defendants alleged to have been executed by
the appellant/plaintiff with regard to the sale of property No.A-39 (near
Veer Arya Model School) Badli Extension, Village-Badli, Delhi as illegal,
null and void and not binding upon the appellant/plaintiff; (ii) a decree for
possession of the said property; (iii) a decree for mesne profits/damages for
use and occupation; and, (iv) a decree for permanent injunction restraining
the respondents/defendants from parting with possession or creating third
party interest in the property, pleading:
(a) that the appellant/plaintiff was the owner of plot No.A-39
aforesaid admeasuring 100 sq. yds.;
(b) that the appellant/plaintiff sold 50 sq. yds. out of the aforesaid
100 sq. yds. to one Sh. Keshu Ram and with the sale
consideration thereof raised the construction of a double
storeyed house on the remaining 50 sq. yds. of the property;
(c) that the respondent/defendant No.1 was working in the house
of the appellant/plaintiff as a domestic help and was in
financial distress and sought help of the appellant/plaintiff by
seeking temporary use of the said house No.A-39 constructed
over 50 sq. yds. of the appellant/plaintiff;
(d) that the appellant/plaintiff as a matter of mercy and on human
consideration allowed the respondent/defendant No.1 to occupy
the said property and it was orally agreed that the
respondent/defendant No.1 shall vacate the same within a
period of two years, by which time her son Sh. Rakesh
(respondent/defendant No.2) would get employed and start
earning;
(e) that the aforesaid agreement was an agreement of license;
(f) that accordingly, in December, 1997 the appellant/plaintiff
allowed the respondents/defendants to occupy the property;
(g) that in October, 1999, the appellant/plaintiff asked the
respondents/defendants to vacate the property and the
respondent/defendant No.1 asked the appellant/plaintiff for
some more time on the ground that the respondent/defendant
No.2 had just been married and which was agreed to by the
appellant/plaintiff;
(h) that the appellant/plaintiff takes liquor almost every evening
and it seems that the respondents/defendants exploited the
situation and secured the signatures/thumb impressions of the
appellant/plaintiff on some papers relating to the suit property
which the appellant/plaintiff did not remember but believes that
this might have happened, for the reason that in response dated
8th October, 2002 to the legal notice dated 25th September, 2002
got issued by the appellant/plaintiff the respondents/defendants
claimed to have purchased the property from the
appellant/plaintiff on 23rd May, 1997;
(i) that no transaction of sale purchase had ever taken place
between the appellant/plaintiff and the respondents/defendants
and the respondents/defendants in the year 1997 were not even
in possession of any money to pay the sale consideration and
thus the documents in possession of the respondents/defendants
are illegal, null and void and not binding on the
appellant/plaintiff.
3. The respondents/defendants contested the suit by filing a written
statement, pleading:
(i) that the respondent/defendant No.1 is an absolute owner in
possession of the property, having purchased the same from the
appellant/plaintiff on the basis of documents duly executed by
the appellant/plaintiff in her favour;
(ii) that the suit is undervalued for the purposes of court fees and
jurisdiction and the market value of the property then was of
Rs.7-8 laks;
(iii) that the appellant/plaintiff had on 23rd May, 1997 executed an
Agreement to Sell, Receipt of Payment, General Power of
Attorney, Affidavit, Will etc. with respect to the property in
favour of the respondent/defendant No.1 and since the date of
purchase, the respondent/defendant No.1 is residing in the
property as owner without any interruption and hindrance;
(iv) that after purchase, the respondent/defendant No.1 had also
spent a huge amount on its construction and constructed ground
and first floors from time to time;
(v) denying that the appellant/plaintiff had raised the construction
of a double storeyed building on the property;
(vi) denying that the respondent/defendant No.1 was working as a
domestic help in the house of the appellant/plaintiff or that the
appellant/plaintiff had allowed the respondent/defendant No.1
to reside in the house as a licensee;
(vii) that the respondent/defendant No.1 was in occupation of the
property much prior to the purchase of the same; earlier she
was a tenant in occupation of only one temporary room and
kitchen;
(viii) denying that the appellant/plaintiff had in October, 1999 asked
the respondents/defendants to vacate the property or that the
respondents/defendants had sought more time;
(ix) denying that the appellant/plaintiff had executed the documents
in favour of the respondent/defendant No.1 under the influence
of liquor and pleading that some of the documents were
registered in the office of the Sub-Registrar;
(x) denying that the respondents/defendants were not possessed of
the means to purchase the property.
4. The appellant/plaintiff filed a replication reiterating that the
documents of sale were got signed under the influence of liquor taking
advantage of the weakness of the appellant/plaintiff and that no
consideration was paid and the transaction was illegal for the said reason.
5. On the pleadings aforesaid of the parties, the following issues were
framed in the suit on 5th March, 2003:
"1. Whether the plaintiff allowed defendant No.1 to occupy the suit property as licensee? OPP
2. Whether the defendant secured signature/thumb impression of the plaintiff on various documents when the plaintiff was under the influence of liquor? OPP
3. Whether the plaint is likely to be rejected for want of cause of action under Order 7 Rule 11 CPC? OPD
4. Whether the plaintiff has no locus-standi as the property has been purchased by the defendant? OPD
5. Whether the plaintiff has not affixed the court fees as per market value of the property? OPD
6. Whether the defendant raised construction from time to time on the suit property after its purchase? OPD
7. Whether the plaintiff is entitled for the relief claimed?
OPD
8. Relief."
6. The appellant/ plaintiff besides himself, examined two other
witnesses. The respondent/defendant no.1 examined the defendant no.2 and
three other witnesses.
7. The learned Addl. District Judge has vide the impugned judgment
dismissed the suit of the appellant/plaintiff, finding/observing/holding:-
(A). that the appellant/plaintiff had not placed on record any
documentary evidence regarding creation of license in favour
of the respondent/defendant no.1; the appellant/plaintiff had
also not produced any document to show that the
respondent/defendant no.1 was working as a domestic help in
the house of the appellant/plaintiff; there was not an iota of
evidence on record to show that the appellant/plaintiff had
allowed the respondent/defendant no.1 to occupy the property
as a licensee; accordingly issue No.1 was decided against the
appellant/plaintiff;
(B). that the documents viz. Agreement to Sell, Power of Attorney,
Receipt etc. with respect to the property were executed on 23rd
May, 1999 (supposedly incorrect for 23rd May, 1997); till
filing of the suit in or about October, 2002 there was no
whisper on behalf of the appellant/plaintiff about the aforesaid
documents having been executed under the influence of liquor;
(C). Shri S.N. Dixit, Advocate who had got the said documents
registered and who was examined by the
respondents/defendants had categorically stated that the
appellant/plaintiff had put his signatures on the aforesaid
documents and also received payment of Rs.30,000/- from the
respondent/defendant no.1 in his presence;
(D). the witness from the Sub-Registrar‟s office had proved
registration of the said documents;
(E). that the appellant/plaintiff had not agitated to any authorities
that his signatures on documents were obtained under undue
influence;
(F). that it was thus abundantly clear that the Agreement to Sell,
Receipt, Power of Attorney, Will etc. were not obtained by the
respondent/defendant no.1 under the influence of liquor; rather
the same were executed by the appellant/plaintiff out of his
own sweet will; accordingly issue No.2 was decided against the
appellant/plaintiff;
(G). issues No.3 & 4 were decided against the respondent/defendant
no.1 and in favour of the appellant/plaintiff;
(H). issue No.5 was not agitated by the parties;
(I). that the respondent / defendant no.2 in his evidence had stated
that after purchase of the property in 1997 the
respondents/defendants had raised construction thereon from
time to time out of their own funds; the respondents/defendants
had examined one Shri Rajesh Jain who had deposed that the
respondent/defendant no.1 had taken the loan from him in this
regard; and,
(J). that the mere fact that the said Shri Rajesh Jain had advanced
money for the purpose of construction did not substantiate that
the respondents/defendants carried out actual construction on
the suit property; for this purpose the respondents/defendants
were required to lead evidence of the person concerned from
whom they purchased the building material and the person
who actually carried out construction on the suit property and
in the absence of these it could not be ascertained that the
respondents/defendants raised construction after purchase;
accordingly the issue No.6 was decided against the
respondents/defendants for want of evidence.
In view of the finding that the appellant/defendant had failed to
establish having inducted the respondent/defendant no.1 as a licensee, the
suit was dismissed.
8. The appeal was admitted for hearing. The respondents/defendants on
18th July, 2006 gave a statement that they did not propose to transfer the title
or possession of the suit property or encumber the same during the
pendency of the appeal and will not do so without obtaining the prior
permission of the Court. Vide order dated 2nd July, 2009 the
appellant/plaintiff was permitted to amend the plaint by incorporating
therein the valuation of the suit for the relief of cancellation of documents.
Arguments were heard in the appeal and judgment reserved. Vide judgment
dated 16th March,2011 it was held that there was also a dispute between the
parties as to the nature of possession of the respondent/defendant no.1 of the
property before the alleged transaction of sale; that the nature and character
of such possession is relevant since in the event of it being held that there
was no sale, the question would arise whether the appellant/plaintiff was
still entitled to get a decree for possession and the answer to that question
would depend upon whether the respondent/defendant no.1 was a tenant or a
licensee. Accordingly exercising powers under Order XLI Rule 25 of the
CPC, the following additional issue was framed:-
"1A. Whether defendant no.1 was inducted in the suit property by the plaintiff as a tenant before 23rd May, 1997? OPD"
and the matter remanded back to the Trial Court for giving its finding
on the said additional issue after giving opportunity to the parties to adduce
evidence on the said issue.
9. The respondents/defendants again examined the respondent/defendant
no.2 and one Shri Rajesh Jain and the appellant/plaintiff besides examining
himself examined one Shri Joginder Singh.
10. The learned Addl. District Judge (Central) 12, vide judgment dated
27th February, 2012 (in CS 214/2011 Unique ID No.02401C0449522011)
has decided the aforesaid additional issue against the
respondents/defendants, finding/observing/holding:-
(I). that the respondents/defendants in the reply dated 8th October,
2002 to the Legal Notice dated 25th September, 2002 got issued
by the appellant/plaintiff had claimed possession of the
property as owners since 23rd May,1997 and had not uttered
even a single word about the possession prior to that and if so
on what terms and in what capacity;
(II). that the plea in the written statement that prior thereto the
respondents/defendants were tenants in the suit property is bald
and without any particulars as to the rate of rent etc.
(III). that from the stage of reply to legal notice, to the written
statement and then to the evidence, there was a constant step by
step improvement in their case on the part of the
respondents/defendants;
(IV). that the respondents/defendants had been successful in proving
their possession of the suit property since prior to 23rd May,
1997 in as much as the driving license of the
respondent/defendant no.2 w.e.f. 24th February, 1995 was from
the address of the suit property;
(V). that the appellant/plaintiff also had not seriously disputed the
possession of the respondents/defendants in the property prior
to 23rd May, 1997;
(VI). that the respondent/defendant no.1 who was claimed to be the
tenant and paying the rent had not appeared in the witness box;
(VII). no explanation also was given for non-appearance of the
respondent/defendant no.1 as a witness and adverse inference
was drawn therefrom;
(VIII). that though the respondent/defendant no.2 had pleaded that the
appellant/plaintiff used to enter receipt of rent in his diary but
the respondents/defendants did not give any notice to the
appellant/plaintiff to bring the same to the Court; and,
(IX). that on the preponderance of probabilities, the
respondents/defendants had failed to discharge the onus of the
additional issue.
11. After receipt of the finding aforesaid on the additional issue, the
appeal was again posted for hearing. The counsels have been heard.
12. The counsel for the appellant/plaintiff has argued; (i) that the
respondents/defendants had failed to establish that they had raised the
construction as existing on the property; (ii) that the respondents/defendants
have failed to establish payment of the purchase consideration of
Rs.30,000/- to the appellant/plaintiff; (iii) that the respondent/defendant no.1
obtained the signatures of the appellant/plaintiff on the documents of sale of
the property when the appellant/plaintiff was under the influence of liquor
and exercising undue influence on the appellant/plaintiff; and, (iv) that the
appellant/plaintiff was not even aware of the respondents/defendants having
so taken his signatures on the documents and became aware of the same only
on receipt of reply to the Legal Notice from the respondents/defendants; (v)
adverse inference has to drawn from non-appearance of
respondent/defendant No.1 who alone was in the know of facts, as a witness;
(vi) reliance is placed on Krishna Mohan Kul Vs. Pratima Maity AIR 2003
SC 4351 without citing any particular passage of the judgment which may
be applicable to the present controversy.
13. Per contra, the counsel for the respondents/defendants has argued that
(i) though the appellant/plaintiff had in the plaint set-up a case of having
raised construction in the year 1996-97 but gave up the same in his evidence
and claimed the construction to have been raised in the year 1994-95; (ii)
that no suggestion was given in the cross examination of Shri S.N.Dixit,
Advocate who had attested the documents of sale, to the effect that the
appellant/plaintiff at the time of execution was under the influence of liquor;
(iii) on the contrary a suggestion was given to the said Shri S.N. Dixit,
Advocate that he had not drafted the documents; the documents were drafted
by a Deed Writer and he had signed only as a attesting witness; (iv) that the
said suggestion itself to Shri S.N. Dixit showed that the appellant/plaintiff at
the time of execution of the documents was in his senses; (v) that the non-
examination of the respondent/defendant no.1 as a witness is irrelevant in as
much as it was for the appellant/plaintiff to prove execution of the
documents under the influence of liquor; (vi) that even the electricity
connection in the property is in the name of the respondent/defendant no.1-
that if the appellant/plaintiff was the owner and the respondent/defendant
no.1 only a licensee, it is inconceivable that the electricity connection would
have been in the name of the respondent/defendant no.1; (vii) that the
appellant/plaintiff has failed to prove/establish that he had raised
construction of the property; (viii) that the appellant/plaintiff is a driver with
the DTC; and, (ix) that the appellant/plaintiff in the cross examination had
admitted the possession of the respondents/defendants of the property since
the year 1994.
14. The counsel for the appellant/plaintiff in rejoinder has argued (i) that
for the sake of decency the appellant/plaintiff did not in the plaint plead that
he was having extra matrimonial affair/relationship with the
respondent/defendant no.1 but had volunteered the same during his cross
examination; (ii) that the respondent/defendant no.1 was the one who was
offering liquor to the appellant/plaintiff everyday; (iii) that the
respondent/defendant no.2 in his evidence has also admitted the said fact;
(iv) that the respondent/defendant no.1 got the documents executed from the
appellant/plaintiff taking undue advantage of her intimacy with the
appellant/plaintiff; and, (v) that it was only the respondent/defendant no.1
who could have been cross examined in this respect and her non-appearance
as a witness ought to be taken as adversely against the
respondents/defendants.
15. The counsel for the respondents/defendants interjects stating that no
case of any such intimacy was pleaded and thus no adverse inference from
non-appearance of the respondent/defendant no.1 to rebut the same can be
drawn.
16. I have considered the rival contentions.
17. The question to be answered from the evidence on record is, whether
the appellant/plaintiff has succeeded in proving that the documents agreeing
to sell the property to the respondent/defendant no.1 and putting the
respondent/defendant no.1 into possession thereof were executed by him
under the influence of liquor so as to be not bound therewith. I may further
add that even mere proving the execution of documents under the influence
of liquor will not entitle the appellant/plaintiff to a decree relieving him from
the otherwise binding nature of the said documents unless the
appellant/plaintiff is able to establish that the said documents constituting an
agreement in law between the appellant/plaintiff and the
respondent/defendant no.1 are void or voidable under the provisions of the
Indian Contract Act, 1872.
18. Section 19 of the Indian Contract Act, 1872 provides that where
consent to an agreement is caused by coercion, fraud or misrepresentation,
the same is voidable at the option of the party whose consent was so caused.
Section 10 thereof provides that free consent of the parties competent to
contract, lawful consideration and a lawful object are the essential
ingredients of a legally enforceable contract. Section 11 provides that every
person who is of the age of majority and who is of sound mind is competent
to contract. Section 12 provides that a person is said to be of sound mind if
at the time when he makes a contract he is capable of understanding it and
forming a rational judgment as to its effect upon his interest. Free consent is
defined in Section 14 as not caused by coercion, undue influence, fraud and
misrepresentation or mistake. Section 16(2) provides that a person may be
deemed to be in a position to dominate the will of another when he makes a
contract with a person whose mental capacity is temporarily affected by
reason of age illness or mental or bodily distress.
19. The appellant/plaintiff thus, in order to prove that the documents
signed by him under the influence of liquor are not binding on him, has to
prove that owing to consumption of liquor he was incapable of
understanding what he was doing and/or was incapable of forming a rational
judgment as to the effect of the said documents upon his interest or that
owing to the consumption of liquor his mental capacity was under distress.
20. The appellant/plaintiff has neither in the plaint, nor in the evidence
given any such particulars.
21. On the contrary, the plaint and the evidence proceed on the premise
that merely by consumption of liquor, the appellant/plaintiff was incapable
of understanding what he was doing or forming a rational judgment or that
he was under distress.
22. No such presumption can follow. I am in this regard reminded of the
answer given in the year 1952 by ARMON M. SWEAT, JR., a member of
the Texas House of Representatives, when asked about his position on
whiskey. He said:-
"If you mean whiskey, the devil's brew, the poison scourge,
the bloody monster that defiles innocence, dethrones reason, destroys the home, creates misery and poverty, yea, literally takes the bread from the mouths of little children; if you mean that evil drink that topples Christian men and women from the pinnacles of righteous and gracious living into the bottomless pit of degradation, shame, despair, helplessness, and hopelessness, then, my friend, I am opposed to it with every fibre of my being.
However, if by whiskey you mean the oil of conversation, the philosophic wine, the elixir of life, the ale that is consumed when good fellows get together, that puts a song in their hearts and the warm glow of contentment in their eyes; if you mean Christmas cheer, the stimulating sip that puts a little spring in the step of an elderly gentleman on a frosty morning; if you mean that drink that enables man to magnify his joy, and to forget life's great tragedies and heartbreaks and sorrow; if you mean that drink the sale of which pours into Texas treasuries untold millions of dollars each year, that provides tender care for our little crippled children, our blind, our deaf, our dumb, our pitifully aged and infirm, to build the finest highways, hospitals, universities, and community colleges in this nation, then my friend, I am absolutely, unequivocally in favour of it."
23. It is thus not as if merely because a man has consumed liquor, that it
can be said that he is incapable of understanding his actions or forming a
rational judgment or that his body is under distress.
24. For the appellant/plaintiff to succeed in having the documents
admittedly signed by him declared void, the appellant/plaintiff has to prove
that the consumption of liquor at the time of signing of the documents was
to such an extent as to make him incapable of understanding his actions,
forming a rational judgment or being under distress.
25. For this Court to declare the documents admittedly executed by the
appellant/plaintiff of sale of his property to the respondent/defendant no.1 to
be void, a finding will have to be returned that the intoxication with liquor
of the appellant/plaintiff at the time of executing the agreement was such for
the appellant/plaintiff to be said to be of unsound mind or under mental
distress of the kind to affect his mental capacity. Not only so, the suit having
been filed after nearly five years of the date of execution of the agreement
and the limitation under Article 59 of the Schedule to the Limitation Act,
1963 to seek such a declaration being three years from the date when the
facts entitling the appellant/plaintiff to have the instrument cancelled or set-
aside became known to him, the appellant/plaintiff will also have to
establish that the said unsoundness of mind owing to intoxication and
depletion of mental capacity continued right from the year 1997 till 2002
when the appellant/plaintiff got issued the notice preceding the suit. No such
pleadings or evidence are found. The case in the plaint, as aforesaid, only is
of the appellant/plaintiff being under the influence of and having weakness
for and/or being habituated to "liquor almost every evening". Significantly,
it is not the case that the appellant/plaintiff from the year 1997 till the year
2002 was perpetually drunk to an extent to affect his mental capacity. When
the appellant/plaintiff pleads consumption of liquor "almost every evening"
the appellant/plaintiff is to be understood to be in his senses at least at some
point of time in the day and to be not under the influence of liquor 24 hours.
26. For the appellant/plaintiff to prove being under the influence of liquor
24 hours, the appellant/plaintiff ought to have given evidence of his other
affairs which also were affected for the said reason. There is neither any
pleading nor evidence to the said effect. On the contrary, during the hearing,
it was informed that the appellant/plaintiff was/is a DTC driver. As a driver
of a public transport vehicle, he cannot be expected to be in a continuous
state of intoxication as is now being argued.
27. The appellant/plaintiff in his examination-in-chief also has not
deposed any such thing and has merely stated that the documents have been
procured by the respondents/defendants from him under the influence of
liquor. The documents as aforesaid are registered and which registration,
judicial notice can be taken of the fact, happens only in the morning hours
till the afternoon and not in the evenings. The plea as aforesaid is of the
appellant/plaintiff consuming liquor almost every evening. The
appellant/plaintiff thus cannot be expected to be drunk at the time when he
at least went for registration of the documents.
28. The counsel for the respondents/defendants is correct also in
contending that the suggestion by the appellant/plaintiff in the cross
examination of DW1 Shri S.N. Dixit, Advocate to the effect that the
documents were prepared by a Deed Writer at Kashmiri Gate and not by
him and he was merely witness thereto shows the awareness of the
appellant/plaintiff of where the documents were prepared and who
witnessed the same. Had the appellant/plaintiff been in a drunken state even
at that time, the question of his knowing who prepared the documents and
who witnessed the same would not have arisen. It is not the case of the
appellant/plaintiff that anyone else present at that time had informed him so.
In the same vein is the other suggestion in the cross examination that the
respondent/defendant no.1 had not gone to Kashmiri Gate on that date.
29. Once the appellant/plaintiff is found to have failed in establishing his
mental incapacity at the time of execution of the documents, the entire
edifice on which the appellant/plaintiff has built his case falls.
30. The counsel for the appellant/plaintiff has also sought to argue that
the respondent/defendant no.1 got the documents executed from the
appellant/plaintiff owing to then being in relationship with the
appellant/plaintiff and the appellant/plaintiff having executed the documents
owing to the undue influence of the said relationship and not for any
monetary consideration.
31. Not only is that not the case with which the appellant/plaintiff
approached the Court but even if such a case were to be believed, I am
unable to find the influence of an extra matrimonial relationship to be undue
influence within the meaning of Section 16 of the Contract Act. A lover or a
concubine cannot in the absence of anything more be said to be having a
real or apparent authority or to be standing in a fiduciary capacity qua the
person pleading undue influence. For a case of undue influence to be made
out, the relationship has to be shown to be such that one of the parties is in a
position to dominate the will of the other and uses that position to obtain an
unfair advantage over the other. Even if the appellant/plaintiff is to be
deemed to be in relationship with the respondent/defendant no.1 for over
five years, I fail to see as to how the said relationship can be said to be
placing the respondent/defendant no.1 in a position to dominate the will of
the appellant/plaintiff.
32. Significantly no family member of the appellant/plaintiff who only
could have deposed about the true state of affairs at the relevant time has
been examined. On the contrary a false case of the respondent/defendant
no.1 working as a domestic help and which fact also could have been best
proved only by the wife of the appellant/plaintiff, has been made out.
33. There is another very interesting aspect of the matter. Not only did the
appellant/plaintiff execute the Agreement to Sell and other documents in
favour of the respondent/defendant no.1 but also handed over the original
title documents relating to the property to the respondent/defendant no.1.
Rather it is the appellant/plaintiff who in his cross examination when asked
to produce the original documents deposed that he could not do so as the
same were handed over to the respondents/defendants and identified the said
documents. He in his cross examination has also deposed that the
documents were drafted by Shri S.N. Dixit, Advocate, again showing that
the appellant/plaintiff was fully in the know of what was happening and
how the documents were prepared. The original documents could not be on
the person of the appellant/plaintiff to have been taken away by the
respondents/defendants. The appellant/plaintiff must have taken the same
out from his residence or other place wheresoever they may have been kept,
to be handed over in pursuance to the transaction of sale. All this also shows
that the appellant/plaintiff was fully in his senses while transacting with the
respondent/defendant no.1.
34. Before delving into the issue of whether the agreement can be set
aside for being induced by undue influence, it is incumbent upon the Courts
to scrutinise the pleadings to find out whether such a case has been made
out in the pleadings and sufficient particulars thereof have been given, as
mandated by Order 6 Rule 4. The Supreme Court in Subhas Chandra Das
Mushib Vs. Ganga Prasad Das Mushib AIR 1967 SC 878, following its
earlier dicta in Ladli Prasad Jaiswal Vs. Karnal Distillery Co. Ltd. AIR
1963 SC 1279, laid down that with regard to undue influence "a vague or
general plea can never serve the purpose; the party pleading must therefore
be required to plead the precise nature of the influence exercised, the
manner of use of the influence, and the unfair advantage obtained by the
other". In the present case, a scrutiny of the plaint reveals no case of „undue
influence‟ having been put forward, much less one with full particulars as
required by law. The appellant/plaintiff in the plaint has chosen to describe
respondent/defendant no. 1 as domestic help employed in the house of the
appellant/plaintiff and being under financial distress. No other relationship
between the two giving rise to a presumption of undue influence or
domination of will of one by the other is suggested or even hinted at.
Although, the appellant/plaintiff has subsequently tried to improve his case
in evidence by disclosing that the documents were got signed under the
influence of respondent/defendant no. 1 with whom he had developed
intimacy and had illicit relations, the same is also hopelessly bereft of
details or particulars and is at best a vague and general plea which would
not pass muster in light of Order 6 Rule 4 and the clear and authoritative
dicta of the Supreme Court discussed above.
35. As far as the plea of drunkenness is concerned, the same is also
afflicted by the malady of lack of particulars and details. The plaint states
that the plaintiff has only one weakness - that of drinking in the evenings -
and that the same „seems‟ to have been exploited to procure his
signatures/thumb impressions on the documents sought to be cancelled. In
evidence, it is deposed that the appellant/plaintiff used to take liquor very
frequently and during the years 1996-2000 he used to take liquor even
during day-hours. It is stated that it was during the aforesaid period that
signatures had been fraudulently procured while he was under the influence
of alcohol. It can thus be seen that the pleas taken and evidence adduced are
highly vague, hazy and general and no particulars or details have been put
forward for the Court to infer contractual incapacity. The pleas and evidence
of the appellant/plaintiff seem to suggest that he was in a self-induced
stupor for nearly four years and has no recollection of his acts during that
time; the same is not only preposterous but also impossible and implausible.
As pointed out, there is no evidence adduced of other activities of the
appellant/plaintiff (such as work/profession) having suffered on account of
this alleged four year oblivion. The appellant/plaintiff cannot be permitted
to disturb the sanctity that law attaches to duly executed documents,
particularly registered ones, by taking such an unsubstantiated and absurd
plea.
36. Moreover, even in law, mere drunkenness is not sufficient to dislodge
a contract which is otherwise binding. Section 12 of the Contract Act which
defines as to when a person can be said to possess a sound mind for entering
into a contract, seems to suggest, especially under illustration (b) thereto,
that intoxication can render a person incapable of making a contract;
however, the drunkenness envisaged thereunder is of a severe variety - as
can be gauged from the expression „so drunk‟ used in the aforesaid
illustration - it must have the effect of crippling a person‟s ability to form a
rational judgment. Moreover, such inebriation should be shown to affect the
cognitive capacity of the person at the precise time when the contract is
executed as the Section recognises that a person who is usually of unsound
mind may make a contract when he is of a sound mind, as is also well
brought out by illustration (a) appended to the Section. As is felicitously
explained by the statement of Armon M. Sweat Jr. supra intoxication has
several gradations - which may be beneficial or detrimental - and law
permits only such drunkenness which is severe and capable of destroying
the mental faculty of a man to set aside a contract. Further, at the cost of
repetition, it must be emphasised that such inebriation has to be proved to
exist at the time the contract is entered into, in order to successfully bail the
maker out of a contractual obligation. The pleas and evidence of the
appellant/plaintiff neither indicate the severity of drunkenness nor suggest
that he was so affected by it at the precise time when he entered into the
agreement with the defendant no.1.
37. The view taken by me finds resonance in the judgment of the High
Court of Karnataka in S. Basavaraj Vs. V.N. Adilakashmamma
MANU/KA/0324/1998 wherein the Court seized of the same question - as
to whether a plea of a contract having been executed under the influence of
alcohol or the defence that the party was addicted to the consumption of
alcohol is a sufficient ground to have the contract set aside under Section 12
of the Contract Act - held that though under normal circumstances if it is
established that the executant was not only given to the consumption of
alcohol but what one may categorize as a long term addict, a Court would
take judicial notice of the fact that such a person would for the greater part
sink to a very weak mental condition, but stated however that one cannot
generalize with regard to such situations because there may be lucid breaks
when the party is perfectly and completely sober and it is for this reason that
even in the case of such a person that the law requires that there must be
strict factual proof of the fact that the infirmity was present at the point of
time when the contract was being executed. The Court relying upon the
minority judgment of the High Court of Australia in Bromley Vs. Ryan
(1956) 99 CLR 362 further pointed out that unlike other forms of mental
illnesses depriving a party of exercise of a sound mind, alcohol addiction is
virtually a self-induced condition and therefore such defense should be very
sparingly upheld and that too in extremely rare cases. It observed that there
is a well-settled principle of jurisprudence which postulates that a party
cannot take advantage of its own wrong and in this view of the law, if a
person puts himself into a position of alcoholic addiction, executes contracts
after accepting money from third parties and creates rights, the law would
be extremely slow in allowing such a party to escape the consequences of
the contract unless it is demonstrated to the hilt that the executant virtually
did not know what he was doing when the contract took place. Thus, for
this reason as well, the general and vague plea that the appellant/plaintiff
was a habitual drinker for four years cannot suffice (see also judgment of
UK Court of Appeal Irvani Vs. Irvani [2000] C.L.C 477). A general
discussion on the aspect of contractual capacity of a party can also be found
in Sona Bala Bora Vs. Jyotirindra Bhatacharjee (2005) 4 SCC 501 where
the Supreme Court has held that a person of unsound mind need not
necessarily be a lunatic and it is sufficient if the person is incapable of
judging the consequences of his acts. It pointed out that in civil matters the
issues have to be decided on balance of probabilities and need not be
established only by medical evidence and may be established by proving
such conduct as was not only not in keeping with the person concerned‟s
character but such that it could be not explained on any reasonable basis. It
lastly reiterated that the burden of proof lies on the person pleading
unsoundness of mind but in the facts of the case found the onus to have been
sufficiently discharged. Here, no other conduct of the appellant/plaintiff to
show that he was in such a state of drunkenness is pleaded or proved and the
conduct of transfer of property to respondent/defendant No.1, even if for
consideration below market price is not such as no reasonable person would
do, specially when intimacy with respondent/defendant No.1 is also argued.
In law i.e. Section 25 of the Contract Act, mere inadequacy of consideration
is not a ground for declaring a contract void.
38. As regards undue influence, the Courts have scarcely been inclined to
readily raise a presumption of undue influence even in cases of husband and
wife-where the partners share both physical as well as emotional intimacy
(see Tungabai Bhratar Purushottam Shamji Kumbhojkav Vs. Yeshvant
Dinkar Jog AIR 1945 PC 8 and Jean Mackenzie Vs. Royal Bank of
Canada AIR 1934 PC 210). The Supreme Court too in Subhas Chandra
Das Mushib (supra) held that merely because the parties are nearly related
to each other, no presumption of undue influence can arise. It quoted with
approval the following passage by the Judicial Committee of the Privy
Council in Poosathurai v. Kappanna Chettiar AIR 1920 PC 65 and which
deserves to be reproduced in verbatim:
"It is a mistake (of which there are a good many traces in these proceedings) to treat undue influence as having been established by a proof of the relations of the parties having been such that the one naturally relied upon the other for
advice, and the other was in a position to dominate the will of the first in giving it. Up to that point "influence" alone has been made out. Such influence may be used wisely, judiciously and helpfully. But whether by the law of India or the law of England, more than mere influence must be proved so as to render influence, in the language of the law, "undue". (emphasis supplied)
39. I also find the Division Benches of the High Courts of Andhra
Pradesh and Bombay in Shivdas Loknathsing Vs. Gayabai Shankar
Surwase MANU/MH/0966/1992 and Sathi Sattemma Vs. Sathi Subbi
Reddy AIR 1963 AP 72 to have not allowed a general plea of undue
influence in the case of illicit relationships with a paramour or mistress to
set aside a contract which was otherwise duly executed in law.
40. Whichever way one looks at, I am unable to find any merit in the
appeal which is dismissed; however in the facts no costs.
Decree sheet be drawn up.
RAJIV SAHAI ENDLAW, J SEPTEMBER 27, 2013 bs/pp..
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