Karnataka High Court
Shankrappa S/O Srimantha Laddi vs Mallappa S/O Bhimappa Laddi on 22 September, 2025
Author: S.R. Krishna Kumar
Bench: S.R. Krishna Kumar
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RFA No. 100518 of 2019
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IN THE HIGH COURT OF KARNATAKA, AT DHARWAD
DATED THIS THE 22ND DAY OF SEPTEMBER 2025
PRESENT
THE HON'BLE MR. JUSTICE S.R. KRISHNA KUMAR
AND
THE HON'BLE MR. JUSTICE C.M. POONACHA
REGULAR FIRST APPEAL NO. 100518 OF 2019 (SP)
BETWEEN:
SHANKRAPPA S/O. SRIMANTHA LADDI
AGE: 34 YEARS, OCC: AGRICULTURE,
R/O: NAGARAL, TQ: MUDHOL,
DIST: BAGALKOT-587113.
...APPELLANT
(BY SRI. MRUTYUNJAY TATA BANGI, ADVOCATE)
AND:
MALLAPPA S/O. BHIMAPPA LADDI
AGE: 49 YEARS, OCC: AGRICULTURE,
SAMREEN R/O: NAGARAL, TQ: MUDHOL,
AYUB DIST: BAGALKOT-587113.
DESHNUR ...RESPONDENT
SAMREEN AYUB
DESHNUR
(BY SRI. SANGRAM S.KULKARNI AND
HIGH COURT OF SRI. KRISHNA KUMAR JOSHI, ADVOCATES FOR
KARNATAKA
DHARWAD BENCH CAVEATOR RESPONDENT)
THIS RFA IS FILED UNDER SECTION 96 OF CPC AGAINST
THE JUDGMENT AND DECREE DATED 26.08.2019 PASSED IN
O.S.NO.157/2017 ON THE FILE OF THE PRINCIPAL SENIOR CIVIL
JUDGE AND JUDICIAL MAGISTRATE FIRST CLASS, MUDHOL,
PARTLY DECREEING THE SUIT FILED FOR SPECIFIC
PERFORMANCE OF CONTRACT.
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RFA No. 100518 of 2019
HC-KAR
THIS APPEAL COMING ON FOR FINAL HEARING THIS DAY,
JUDGMENT WAS DELIVERED THEREIN AS UNDER:
CORAM: THE HON'BLE MR. JUSTICE S.R. KRISHNA KUMAR
AND
THE HON'BLE MR. JUSTICE C.M. POONACHA
ORAL JUDGMENT
(PER: THE HON'BLE MR. JUSTICE C.M. POONACHA)
The present appeal is filed by the defendant calling in
question the judgment and decree dated 26.08.2019 passed
in OS No.157/2017 by the Principal Senior Civil Judge and
JMFC, Mudhol1, whereunder, the suit for specific
performance filed by the respondent/plaintiff has been
partly decreed and the Trial Court has directed the
defendant to refund the earnest money of Rs.15,00,000/-
together with interest at 8% from the date of the
agreement i.e., 29.10.2014 till its realization.
2. Learned counsel for the parties have filed a
memorandum of compromise petition under Order XXIII
Rule 3 of the Code of Civil Procedure, 1908, placing on
For short, 'the Trial Court'
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record the settlement arrived at between the parties, which
reads as under:
"MEMORANDUM OF COMPROMISE PETITION UNDER
ORDER 23 RULE 3 OF CIVIL PROCEDURE CODE.
The Appellant and Respondent jointly submit as follows:
1. The Respondent herein-plaintiff had instituted suit
for specific performance of sale in O.S
No.157/2017on 11.12.2017, inter-alia, contending
that appellant/defendant had entered into an
agreement of sale on 29.10.2014(Ex.P3) to sell
agricultural land bearing R.SNo.178 measuring 1
acre 28 guntas situated at Nagaral village, Mudhol
taluk, Bagalkote Dist. by receiving earnest money
of Rs. 15,00,000/- and total consideration that was
agreed was Rs. 16,00,000/-.
2. The trial court had decreed the suit in part and
ordered for refund of earnest money of Rs.
15,00,000/- with interest @ of 18/- p.a from the
date of agreement till realisation. This decree is
called in question in the present appeal.
3. It is submitted that, the present appeal is admitted
this Hon'ble Court by order dated 10.02.2020
directed the appellant to deposit 50% of the
amount due. Incompliance of the order a sum of
Rs.5,00,000/- was deposited on 13.01.2021 and
further sum of Rs.6,00,000/- was deposited on
05.03.2021. Thus, total amount of Rs. 11,00,000/-
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has been deposited before this Hon'ble Court. It is
submitted that on 17.03.2021, this Hon'ble Court
had permitted the respondent to withdraw 50% of
the amount deposited. The respondent has already
withdrawn the 50% of the amount so ordered.
4. It is submitted that during the pendency of this
appeal the parties have, at the intervention of
elders and well-wishers of the family have entered
into settlement and the terms of settlement are as
follows:
i. It is submitted that the respondent has agreed
to receive additional amount of Rs,8,00,000/- in
addition to Rs,11,00,000/- which is deposited
by the appellant in full and final settlement of
his claim. The appellant agrees to pay the
aforesaid balance amount as below.
ii. The appellant has agreed to pay Rs.8,00,000/-
to the respondent full and final settlement of his
claim, out of the aforesaid Rs 8,00,000/- a sum
of Rs. 5,94,600/- is paid by way of demand
draft bearingno.003362dated 20.09.2025 drawn
on Bank of India, Mudhol Branch in favour of
Sri. Mallappa S/o Bhimappa Laddi,
respondent/plaintiff, acknowledge receipt of
demand draft for Rs.5,94,600/-. A copy of the
Demand draft is enclosed herewith.
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iii. The appellant submit and agrees that the court
fee paid by the appellant to tune of Rs.
1,13,809/- on the present appeal before this
Hon'ble Court is to be paid to the respondent for
which appellant as no objection this amount
would be part of Rs.8,00,000/-.
iv. The Respondent/ plaintiff had paid court fee of
Rs. 91,650/-before the trial court which the
respondent/ plaintiff would withdraw for which
the appellant/defendant as no objection this
amount would also be part of Rs.8,00,000/-.
v. Thus, in all respondent /plaintiff could be
receiving Rs. 8,00,000/-, in this manner.
vi. The respondent would be at liberty to withdraw
the balance 50% amount in deposit before this
Hon'ble Court in compliance with interim order
passed by this Hon'ble Court along with
occurred interest for which the appellant has no
objection.
vii. It is submitted that there are no claims existing
between the parties and all claims are settled by
virtue of this Compromise.
viii. The Charge created pursuant to the judgement
and decree of the trial court is to lifted and the
respondent, if need be, Co-operate and accord
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no-objection for the deletion entry in the record
of right pertaining to the charge created.
5. The parties have entered into compromise with free
of mind without any coercion or compulsion and
with anend into the litigation and through maintain
harmony between the plaintiff and defendant as
they are related. The compromise is lawful and is
not opposed to public policy.
Wherefore it is prayed that this Hon'ble court
may be pleased to record compromise between the
parties and disposedthe appeal in terms of
compromise entered between the parties by
modifying the decree passed in O.S No.157/2017 in
the interest of justice and equity.
Place: Dharwad
Date: 22/09/2025
Sd/- Sd/-
Sri Shankar Shrimantha Laddi Sri Mallappa Kallappa Laddi
Sd/- Sd/-
Advocate for appellant Advocate for respondent
MRUTYUNJAY TATA BANGI SANGRAM KULKARNI"
3. The appellant/defendant and respondent/plaintiff
are present before the Court and have admitted to having
amicably settled the matter in terms of the compromise
petition filed by them. In terms of the compromise petition,
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the appellant/defendant has no objection for a sum of
Rs.11,00,000/- which was deposited by him in the present
appeal to be released in favour of the respondent/plaintiff.
The respondent/plaintiff has agreed to receive a further sum
of Rs.8,00,000/- in full and final settlement of his claim and
accordingly, a Demand Draft bearing No.003362 dated
20.09.2025 for Rs.5,94,600/- has been paid this day by the
appellant/defendant to the respondent/plaintiff, the receipt
of which the respondent acknowledges. The appellant has
no objection for the Court Fee of Rs.1,13,809/-, that has
been paid in the above appeal to be released in favour of
the respondent as well as the Trial Court to refund the
Court Fee paid by the plaintiff in OS No.157/2017 to the
respondent/plaintiff.
4. It is forthcoming that the respondent/plaintiff has
already withdrawn 50% of the amount deposited by the
appellant in the present appeal. Hence, the balance 50%
together with accrued interest is to be released in favour of
the respondent.
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5. In view of the above, we pass the following:
ORDER
(i) The appeal is disposed of in terms of
the compromise;
(ii) The judgment and decree dated
26.08.2019 passed in OS No.157/2017 by the
Principal Senior Civil Judge and JMFC, Mudhol,
is modified in terms of the compromise;
(iii) The Registry of this Court shall
release the sum of Rs.5,50,000/- together with
accrued interest deposited by the appellant in
the above appeal to the respondent forthwith;
(iv) The Registry of this Court shall pay
the Court Fee deposited by the appellant in a
sum of Rs.1,13,809/- to the respondent in the
above appeal forthwith;
(v) The Registry of the Trial Court shall
pay the Court Fee deposited by the
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respondent/plaintiff of Rs.91,650/- back to the
respondent/plaintiff forthwith;
(vi) The concerned authorities shall
lift/remove the charge created in respect of
the suit property and the respondent shall
have no objection for the same;
(vii) Modified decree to be drawn
accordingly.
Sd/-
(S.R. KRISHNA KUMAR)
JUDGE
Sd/-
(C.M. POONACHA)
JUDGE
SMM / Ct:vh
