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Sri Dharma Naik vs Sri Y N Manjunath
2025 Latest Caselaw 10050 Kant

Citation : 2025 Latest Caselaw 10050 Kant
Judgement Date : 11 November, 2025

Karnataka High Court

Sri Dharma Naik vs Sri Y N Manjunath on 11 November, 2025

                                              -1-
                                                           NC: 2025:KHC:46523
                                                        RSA No. 1019 of 2019


                   HC-KAR




                        IN THE HIGH COURT OF KARNATAKA AT BENGALURU

                         DATED THIS THE 11TH DAY OF NOVEMBER, 2025

                                            BEFORE

                             THE HON'BLE MR. JUSTICE RAJESH RAI K

                            REGULAR SECOND APPEAL NO. 1019 OF 2019

                   BETWEEN:

                         SRI DHARMA NAIK
                         S/O PEERYA NAIK
                         AGED ABOUT 58 YEARS,
                         AGRICULTURIST AND AGRICULTURAL
                         LABOUR, R/O DODDA MAGADI
                         MAYAKONDA HOBLI, DAVANAGERE
                         TALUK AND DISTRICT-577 001
                                                                 ...APPELLANT
                   (BY SRI. SANTOSH R NELKUDURI, ADVOCATE)

                   AND:

                   1.    SRI Y N MANJUNATH
                         S/O YALAVATTI NINGAPPA
Digitally signed         AGED ABOUT 60 YERS,
by PANKAJA S
                         BUSINESSMAN AND INDUSTRIALIST
Location: HIGH
COURT OF                 R/O KADAJJI VILLAGE, DAVANAGERE
KARNATAKA                TALUK AND DISTRICT-577 001

                   2.    SRI K R LAXMANA
                         S/O KENGA RANGAPPA
                         AGED ABOUT 60 YEARS,
                         CONTRACTOR AND AGRICULTURIST
                         R/O MAYAKONDA, DAVANAGERE
                         TALUK AND DISTRICT-577 001
                                                              ...RESPONDENTS

                   (BY SRI. BOPANNA B, ADVOCATE FOR R1 & R2)
                               -2-
                                             NC: 2025:KHC:46523
                                           RSA No. 1019 of 2019


HC-KAR




      THIS RSA FILED UNDER SEC.100 OF CPC, AGAINST THE
JUDGMENT     AND    DECREE    DTD    18.02.2019     PASSED   IN
RA.NO.80/2018, ON THE FILE OF THE I ADDL.SEIOR CIVIL
JUDGE AND V.MACT., DAVANAGERE, DISMISSING THE APPEAL
AND   CONFIRMING     THE   JUDGMENT        AND   DECREE   DATED
18.06.2018 PASSED IN OS.NO.162/2014 ON THE FILE OF THE
PRINCIPAL CIVIL JUDGE, DAVANGERE.


      THIS APPEAL, COMING ON FOR ADMISSION, THIS DAY,
JUDGMENT WAS DELIVERED THEREIN AS UNDER:


CORAM: HON'BLE MR. JUSTICE RAJESH RAI K

                      ORAL JUDGMENT

1. This is plaintiff's second appeal.

2. The case of the plaintiff is that he was the absolute

owner of land measuring 2 acres 32 guntas in Sy.No.28/1

situated at Doddamagadi Village (for brevity, "the suit

scheduled property"). That he borrowed Rs.40,000/-

from defendant No.1, for which, as a security, defendant

No.1 insisted the plaintiff to execute a registered Sale

Deed. As such, he executed registered Sale Deed on

17.02.1993 in favour of defendant No.1 in respect of suit

NC: 2025:KHC:46523

HC-KAR

schedule property, which was considered as usufructory

mortgage. Thereafter, defendant No.1 sold the said

property to defendant No.2. After 20 years, the plaintiff

approached defendant No.1 to reconvey the suit schedule

property stating that he had executed only a nominal sale

deed and the possession was handed over only as

permissive possession. As defendant No.1 denied to

execute reconveyance deed, plaintiff filed the suit seeking

to declare the Sale Deed dated 17.02.1993 as nominal

Sale Deed and to direct the defendant to execute re-

conveyance deed in respect of suit schedule property.

3. Defendants appeared and contested the matter by

filing the written statement denying the averments of the

plaint and contending that the plaintiff sold the suit

schedule property for his family necessities to defendant

No.1 vide registered Sale Deed dated 17.02.1993 and as

such, defendant No.1 became the owner in possession of

suit schedule property till 10.08.2006, on which date, he

sold the suit schedule vide registered Sale Deed to

NC: 2025:KHC:46523

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defendant No.2 and ever since, defendant No.2 is the

owner in possession of suit scheduled property. As such,

the suit filed by the plaintiff nearly after 20 years of

execution of registered Sale Deed was barred by limitation

and sought for dismissal of the suit.

4. The Trial Court, after framing relevant issues and

after considering the evidence and documents placed on

record by both the parties, has recorded a finding that

when the plaintiff, being the absolute owner in possession

of suit schedule property, had executed a registered Sale

Deed on 17.02.1993 in favour of defendant No.1, cannot

seek for declaration nearly after 20 years to declare the

said Sale Deed as nominal one and as such, the said Sale

Deed cannot be considered as usufructory mortgage deed.

Accordingly, the Trial Court has dismissed the suit as

barred by limitation.

5. On appeal, the First Appellate Court, on re-

appreciation of evidence on record, concurred with the

findings of the Trial Court and held that the registered Sale

NC: 2025:KHC:46523

HC-KAR

Deed cannot be considered as a usufructory mortgage

deed as the same is out and out sale and was registered

and as such, the suit has rightly been dismissed by the

Trial Court.

6. As could be seen from records, the plaintiff, being

the absolute owner in possession of suit schedule property

had sold the same to defendant No.1 vide registered Sale

Deed dated 17.02.1993 and nearly after 20 years of

execution of Sale Deed filed the suit for declaring the said

Sale Deed as nominal Sale Deed since the same was

agreed between them as usufructory mortgage deed for a

period of 20 years. Though it was the case of the plaintiff

that he had availed loan of Rs.40,000/- from defendant

No.1 and for security of the same, defendant No.1 insisted

to execute a Sale Deed in respect of suit schedule

property, the plaintiff has failed to produce any document

to substantiate the said fact. On the other hand, defendant

No.1 proved that the plaintiff has sold the suit schedule

property in his favour for sale consideration of Rs.28,000/-

NC: 2025:KHC:46523

HC-KAR

vide registered Sale Deed dated 17.02.1993. As such,

since the said sale is out and out sale, cannot be

considered as usufructory mortgage deed. Nevertheless,

by virtue of said Sale Deed dated 17.02.1993, defendant

No.1 sold the suit schedule property in favour of defendant

No.2 vide registered Sale Deed dated 10.08.2006. Even

after execution of the said Sale Deed, the plaintiff has

remained silent for a period of eight years and thereafter

filed the suit. As such, the claim of the plaintiff cannot be

granted. In this view of the matter, I am of the considered

view that both the Courts have correctly come to the

conclusion that the registered Sale Deed dated 17.02.1993

executed by the plaintiff in favour of defendant No.1

cannot be considered as usufructory mortgage deed and

declared as nominal sale deed that too nearly after 20

years of execution of the same.

7. In my view, there is absolutely no question of law,

muchless substantial question of law arises for

NC: 2025:KHC:46523

HC-KAR

consideration in this appeal. The appeal is accordingly

dismissed.

SD/-

(RAJESH RAI K) JUDGE

PKS

 
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