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S.Pachaimuthu vs Lalithamani
2021 Latest Caselaw 12597 Mad

Citation : 2021 Latest Caselaw 12597 Mad
Judgement Date : 29 June, 2021

Madras High Court
S.Pachaimuthu vs Lalithamani on 29 June, 2021
                                                                        S.A.No.516 & 517 of 2008




                             IN THE HIGH COURT OF JUDICATURE AT MADRAS

                                             Dated :    29.06.2021

                                                   CORAM

                               THE HONOURABLE Ms. JUSTICE P.T. ASHA

                                           S.A.Nos.516 & 517 of 2008
                                                      &
                                             M.P.Nos.1 & 2 of 2008


                      S.Pachaimuthu                                     ...Appellant

                                                       Vs.
                      B.Duraisamy (Died)

                      1.Lalithamani

                      2.D.Kalaiselvi

                      3.D.Subhasini                                     ...Respondents


                      Prayer in S.A.No.516 of 2008: Second Appeal filed under Section
                      100 of the Code of Civil Procedure against the Judgment and Decree
                      in A.S.No.81 of 2005 on the file of the Principal District Judge at
                      Coimbatore dated 14.12.2007 thereby setting aside the Judgement and
                      Decree made in O.S.No.85 of 1996 on the file of the Sub Court at


                      1/24

http://www.judis.nic.in
                                                                           S.A.No.516 & 517 of 2008


                      Coimbatore dated 30.06.2004.


                      Prayer in S.A.No.517 of 2008: Second Appeal filed under Section
                      100 of the Code of Civil Procedure against the Judgment and Decree
                      in A.S.No.19 of 2006 on the file of the Principal District Judge at
                      Coimbatore dated 14.12.2007 thereby setting aside the Judgement and
                      Decree made in O.S.No.742 of 1998 on the file of the Sub Court at
                      Coimbatore dated 30.06.2004.


                             For Appellant     :   Mr.V.Ayyadurai
                                                   Senior Counsel
                                                   for Mr.V.B.Perumal Raj

                             For Respondents       :     Mr.T.R.Rajaraman




                                                   JUDGMENT

The appellant in S.A.No.516 of 2008 is the plaintiff in the

suit O.S.No.85 of 1996 on the file of the Subordinate Court,

Coimbatore, for specific performance of an agreement of sale dated

22.10.1990. The said suit was decreed. Challenging the same the

defendant had filed A.S.No.81 of 2005 on the file of the Principal

http://www.judis.nic.in S.A.No.516 & 517 of 2008

District Judge, Coimbatore. The Appellate Court had allowed the

appeal and reversed the Judgement and Decree of the Trial Court and

challenging the same the Second Appeal has been filed.

2. The appellant in S.A.No.517 of 2008 is the defendant in

O.S.No.742 of 1998 (the plaintiff in O.S.No.85 of 1996 supra). The

suit is one for bare injunction restraining the defendant from

interfering with the plaintiff's peaceful possession and enjoyment of

the suit property and for mandatory injunction directing the defendant

to return the documents mentioned in the B- Schedule. The suit was

dismissed and the plaintiff therein had filed A.S.No.19 of 2006 on the

file of the Principal District Judge, Coimbatore challenging the said

Judgement. A.S.No.19 of 2006 was allowed thereby reversing the

Judgement and Decree in O.S.No.742 of 1998 and challenging the

said Judgement and Decree the defendant is before this Court.

3. O.S.No.742 of 1998 was originally filed before the

http://www.judis.nic.in S.A.No.516 & 517 of 2008

District Munsif, Coimbatore and was numbered as O.S.No.933 of

1995. Since O.S.No.85 of 1996 was the comprehensive suit and

considering the fact that the plaint in O.S.No.85 of 1996 formed the

sum and substance of the written statement in O.S.No.742 of 1998

and the written statement in O.S.No.85 of 1996 broadly formed the

basis for the plaint in O.S.No.742 of 1998 the pleadings in O.S.No.85

of 1996 is referred to hereunder.

4.Plaintiff's case:

4.1. It is the case of the appellant that the suit property

belongs to the respondent. On 22.10.1990 they had entered into an

agreement of sale in and by which the appellant had agreed to

purchase the suit property for total sale consideration of Rs.3,15,000/-.

An advance of Rs.20,000/- was paid on the date of the agreement.

The terms of the agreement further stipulated that the entire contract

should be concluded within a period of 6 months and that within one

month from the date of the agreement a sum of Rs.55,000/- was to be

http://www.judis.nic.in S.A.No.516 & 517 of 2008

paid by the appellant to the respondent. The balance sale

consideration of Rs.2,40,000/- was to be paid within the agreement

period. Time was never the essence of the contract.

4.2. Meanwhile the respondent had requested the plaintiff

to construct a building for him in his property at Railway Feeder Road

for which a sum of Rs.2,40,000/- was expended and the said sum was

set off towards the balance sale consideration. The construction was

also completed and on 17.11.1991 a bill for the entire amount was

submitted. In fact, the contention of the appellant is that the total cost

of construction came to be a sum of Rs.2,41,000/- and after adjusting

the advance already paid, which according to the appellant was a sum

of Rs.75,000/-, no further amounts were payable towards the cost of

the land.

4.3.The appellant had issued a legal notice dated

26.04.1993 calling upon the respondent to complete the contract. The

http://www.judis.nic.in S.A.No.516 & 517 of 2008

appellant had also stated in the said notice that no further amounts

were payable by him since the sum of Rs.2,41,000/- was spent by the

appellant for constructing the house of the respondent. The

respondent sent a reply stating that only a sum of Rs.70,000/- has been

received as advance and the respondent had totally denied the

construction of the house by the appellant. The respondent had

submitted that he has been always ready and willing and it is the

appellant who was not ready with his part of the obligation.

4.4. The appellant has further stated that on receipt of this

notice the respondent had rushed to file O.S.No.933 of 1995

(thereafter re-numbered as O.S.No.742 of 1998, the subject matter of

S.A.No.517 of 2008). Therefore, left with no other alternative the

appellant was constrained to file the suit in question.

5.Written Statement:

5.1.The respondent had admitted the execution of the

http://www.judis.nic.in S.A.No.516 & 517 of 2008

agreement of sale in his written statement and receipt of the initial

advance of Rs.20,000/-. The respondent would contend that two

cheques for Rs.20,000/- issued by the appellant got dishonored and

thereafter the appellant had made good the same by cash. Thereafter,

a sum of Rs.10,000/- was paid. Therefore, in all only a sum of

Rs.70,000/- was paid as an advance and not Rs.75,000/- as contended

by the appellant.

5.2.That apart, the respondent would contend that time

was essentially the essence of contract. The respondent had further

categorically contended that the balance sum of Rs.2,40,000/- was not

received by him and there was no agreement of construction entered

into between the appellant and respondent for putting up the

construction on behalf of the respondent and adjusting the cost of

construction to the balance sale consideration. The respondent had

contended that there was no cause of action and hence the suit should

be dismissed.

http://www.judis.nic.in S.A.No.516 & 517 of 2008

5.3.The Trial Court had tried the two suits jointly, namely,

O.S.No.85 of 1996 and O.S.No.742 of 1998. Evidence was recorded

in the suit O.S.No.85 of 1996. The Trial Court had framed the

following issues in O.S.No.85 of 1996.

(i)Whether the plaintiff is entitled for a decree for specific

performance against the defendant?

(ii)Whether the plaintiff has the cause of action for filing

the said suit.

5.4. As regards O.S.No.742 of 1998, the following issues

were framed:

(i)Whether the plaintiff is entitled to a decree for

permanent injunction?

(ii)What other relief the plaintiff is entitled to?

5.5. On 30.06.2004 an additional issue was framed in

http://www.judis.nic.in S.A.No.516 & 517 of 2008

O.S.No.85 of 1996 which read as follows:

(i)Whether the suit is barred by limitation.

5.6. The evidence was recorded in the suit O.S.No.85 of

1996 and on the side of the plaintiff five witnesses including the

plaintiff were examined and Ex.A.1 to Ex.A.13 were marked. On the

side of the defendant only one witness was examined. The learned

Trial Judge by his Judgement and Decree dated 30.06.2004 decreed

the suit O.S.No.85 of 1996 and dismissed the suit O.S.No.742 of

1998. The said order was taken up on appeal by the respondents

herein in A.S.Nos.81 of 2005 and 19 of 2006 respectively. The Lower

Appellate Court reversed the Judgement and Decree and hence the

appellant is before this Court.

6.Submissions:

6.1.Mr.Ayyadurai, learned Senior Counsel appearing on

behalf of the learned counsel for the appellant would submit that

http://www.judis.nic.in S.A.No.516 & 517 of 2008

under Ex.A.1, Agreement of Sale, time was not the essence of the

contract. The appellant had paid a sum of Rs.75,000/- as advance and

put up construction for the respondent in his property at Railway

Feeder Road, for a sum of Rs.2,40,000/-. Ex.A.5 bill dated

17.11.1991 detailing the above was acknowledged by the respondent.

In fact after Ex.A.5 bill was submitted to the respondent there was a

panchayat in which the parties had agreed that the respondent would

execute the sale deed.

6.2. The learned senior counsel would further submit that

a perusal of Ex.A.7 reply notice would confirm the fact that even the

respondent had not considered time to be the essence of the contract.

In fact, in Ex.A.7 reply notice the respondent has clearly stated that he

was always willing to perform his part of the construction but the

respondent had denied the fact that the entire sale consideration had

been paid.

http://www.judis.nic.in S.A.No.516 & 517 of 2008

6.3.The learned senior counsel would further contend that

the Trial Court has rightly held that the appellant was entitled to the

decree for specific performance. He would submit that the appellant

had proved the construction of the premises for the respondent by

examining P.W.3 who would submit that he had been engaged by the

appellant to supervise the work undertaken by the appellant for the

respondent and P.W.3 had deposed that he had been paid by the

respondent to act as Supervisor and for six months the construction

had continued.

6.4. The Trial Court on considering the evidence and oral

evidence of P.W.2 to P.W.4 had rightly come to the conclusion that

construction on behalf of the respondent had taken place. The Trial

Court had seen through the evidence of the respondent as D.W.1. The

respondent had produced Ex.B.1 letter from HDFC which would

indicate that only a sum of Rs.50,000/- had been taken as loan which

was impossible in the light of the evidence of P.W.5 Jagadheesan,

http://www.judis.nic.in S.A.No.516 & 517 of 2008

Licensed Valuer, who had valued construction at Rs.1,90,000/-.

Therefore, the learned Trial Judge had disbelieved the document

produced on the side of the respondent.

6.5.He would further contend that the Appellate Court had

erred in coming to the conclusion that the suit was barred by

limitation. Under Ex.A.7 reply notice the respondent had expressed

his willingness to execute the sale deed and from that date the suit has

been filed within a period of three years. That apart, time was never

essence of the contract between the parties. The respondent had

received further sums much beyond the period of one month provided

under Ex.A.1 agreement. Therefore, the finding of the Appellate

Court that the suit is barred by limitation is totally false.

6.6.He would further contend that the Court below has

erred in coming to the conclusion that the appellant was not ready and

willing particularly when the appellant has proved the construction of

http://www.judis.nic.in S.A.No.516 & 517 of 2008

the house on behalf of the respondent by examining P.W.2 to P.W.5

and marking Ex.A.5 bill which has not been countenanced by the

respondent herein.

6.7.Per contra, Mr.T.R.Rajaraman, learned counsel

appearing for the respondent would contend that the Appellate Court

had rightly dismissed the suit on the ground that the appellant had

failed to prove readiness and willingness. That apart, the suit was

barred by limitation. He would submit that as regards the issue of

limitation even under the reply notice Ex.A.7, the respondent had in

very categoric terms informed the appellant that period of 2 years 7

months had elapsed and that the appellant was still to execute the sale

deed provided the balance amount was paid by the appellant within a

period of 3 months after which the claim would become time barred.

6.8.The learned counsel would further contend that after

receiving the said notice two years later another notice has been

http://www.judis.nic.in S.A.No.516 & 517 of 2008

issued under Ex.A.8, which was only a sequel to the earlier notice

issued under Ex.A.6 and in that notice for the 1st time the appellant

had inserted a new demand that the measurement was not as per area

stated in the agreement. This notice has been issued nearly two years

after the receipt of the reply notice issued under Ex.A.7 by the

respondent herein. He would therefore submit that considering the

contents of Ex.A.7 reply notice the suit filed is much beyond the

period of limitation and the Appellate Court has rightly held so.

6.9.As regards the issue of readiness and willingness he

would argue that the appellant has not proved the construction of the

building for the respondent. He would submit that in Ex.A.7 reply

notice the respondent had categorically denied the fact that the

construction of the house at Railway Feeder Road had been

undertaken by the appellant. He would argue that there is absolutely

no proof on the side of the appellant to show when he has commenced

construction and when the construction had come to an end. He would

http://www.judis.nic.in S.A.No.516 & 517 of 2008

further argue that Ex.A.5 bill has not been accepted or acknowledged

by the respondent and any statement to the contrary is stoutly denied

by the respondent. He would submit that a mere perusal of Ex.A.5

would show that it is a fabricated document. The document does not

even describe the construction that had been undertaken and it is

rather strange that the construction has been completed within a

month when there was a balance payable by the appellant to the

respondent. The appellant has come forward with a false case and is

therefore not entitled to the decree for specific performance. He

would therefore submit that no exception can be taken to the

Judgement under appeal.

7.Discussion:

7.1.The appellant has come forward with a case that they

had entered into an agreement of sale Ex.A.1 in which a sum of

Rs.20,000/- was paid at the time of signing of the agreement. A sum

of Rs.55,000/- was payable within a period of one month and

http://www.judis.nic.in S.A.No.516 & 517 of 2008

thereafter a sum of Rs.2,40,000/- was payable. All of which had to be

completed within a period of six months. However, it appears that the

second tranche of Rs.55,000/- was not paid as agreed. On the contrary

a sum of Rs.20,000/- was paid on 30.11.1990 and another sum of

Rs.10,000/- on 12.01.1991 and further sum of Rs.20,000/- on

27.09.1991. These payments have been marked as Ex.A.2 to Ex.A.4.

Therefore, on a perusal of Ex.A1 to Ex.A.4 it is clear that a payment

of a sum of Rs.70,000/- was completed only on 27.09.1991, which is

nearly a year after the agreement was entered into between the parties.

7.2.The appellant would contend that a sum of Rs.75,000/-

had been paid as an advance (no details of how and when the

additional sum of Rs.5,000/- has been paid has been provided by the

appellant) and the balance Rs.2,40,000/- was to be adjusted from out

of the cost of construction of the building that the appellant had put up

for the respondent at Railway Feeder Road. This construction by the

appellant is emphatically denied by the respondent who would

http://www.judis.nic.in S.A.No.516 & 517 of 2008

contend that he had only used the appellant's professional services as

he was a Civil Engineer for which professional charges were also paid

to the appellant. Therefore, the onus is on the appellant to prove that

he has constructed the building for the respondent.

7.3.In the plaint the appellant would contend that after the

agreement of sale, the respondent had requested him to construct the

building that too for a value of Rs.2,40,000/-. In his cross

examination the appellant had stated that the agreement to construct

was made within 15 days of the sale agreement and the construction

was commenced as soon as the advance was paid. P.W.3 would

depose in cross that the agreement for construction was entered into

even prior to the agreement of sale. The appellant has not proved by

any documentary evidence the date on which the construction had

commenced and when the construction had come to an end. There is

no plan filed to show the nature of construction nor any document to

show the estimate that had been handed over to the respondent

http://www.judis.nic.in S.A.No.516 & 517 of 2008

initially and accepted by him. That apart the details of how the

construction had to be undertaken and number of floors that was to be

constructed etc., are all the basic details / documents that would be

entered into between the parties if one had undertaken to construct a

building for another.

7.4. That apart, if really the construction had taken place

within 15 days from the date of sale agreement as deposed by P.W.1

then there was no necessity for the appellant to make the payment

under Ex.A.2 to Ex.A.4. There is no explanation for the same. In his

pleadings and chief examination the appellant had deposed that

Ex.A.5 bill has been acknowledged by the respondent. However,

there is no acknowledgment in the said bill. Further P.W.4 would, in

his cross examination, state that construction which commenced in the

end of 1991 was completed by the end of the year. It is not known as

to how residential construction can be completed within a month.

http://www.judis.nic.in S.A.No.516 & 517 of 2008

7.5.Another piece of evidence which would give rise to

suspicion is Ex.A.6 notice issued by the appellant to the respondent.

In the said notice, the appellant had stated that he had constructed the

house building at Union Tank Road, Periyanaickenpalayam,

Coimbatore. This is the first notice that has been issued by the

appellant. This anomaly is sought to be rectified only two years later

in Ex.A.8 notice dated 30.05.1995 where the appellant would state

that the mention of the Union Tank Road was a mistake and that it

should be read as Railway Feeder Road. This despite the fact that in

Ex.A.7 reply the respondent has clearly stated that he has no property

in Union Tank Road.

7.6.Therefore, a conjoint perusal of the oral and

documentary evidence clearly shows that the appellant has miserably

failed to prove the construction and thereby the payment of sale

consideration of Rs.2,40,000/-. The Lower Appellate Court have

rightly come to the conclusion that the appellant has not proved the

http://www.judis.nic.in S.A.No.516 & 517 of 2008

readiness and willingness.

7.7. The next ground of challenge was limitation. In this

regard the evidence of P.W.1 would clearly show that the suit is

barred by limitation. In his cross examination P.W.1 would state as

follows:

"17/11/1991yp U e ; J xU thuj;jpy; ngh a p gpujpthjpiar;

re;jpj;J fpiuak; v Gjpj;jUkh W nfl;lngh J mtu; k Wj;jhu;/ 5 tUl

fhyjhkjj;jpw; F fhuzk; e pi w a e g u;fis itj;J g";rhaj;J ngrp n d h k ;/

fpiua xg;g e ;jk; nghl;L 15 ehl;fs p y; gpujpthjp vd;

tPl;o w; F te;J kPjpf;fpiuaj; bjhiff;F tPL fl;oj;jUkh W nfl;lhu; ,e;j

tptu';fis eh d; jhf;fy; bra;j tHf;Fiu. gpujpthjpa p d ; tHf;fpd;

vjpu;tHf;Fiua p y; F w p g ; g plh k y; jw;ng h J bg h a; a h ff; TWf p n w d ;

vd;g J [email protected]

A perusal of the above would clearly show that the

appellant has himself admitted a delay of 5 years. It is his categoric

http://www.judis.nic.in S.A.No.516 & 517 of 2008

case that a week after 17.11.1991 when he had visited the respondent

to execute the sale deed the respondent had categorically refused to

execute the sale deed. Therefore, the limitation would start from the

date of refusal and the suit ought to have been filed in the month of

November 1994 itself. However, the suit is filed only in the year

1995.

7.8. Further P.W.3 would submit that the agreement for

construction took place before the agreement of sale. P.W.3 would

state as follows:

@thjpaplk; jhd; ehd; ntiy bra;J tUfpnwd;/ 1990?91k;

tUlj;jpy; gpujpthjpf;F fl;olk; fl;Lk; ntiy bra;njhk;/ khjk;. njjp

TwKoahJ/ ePjpkd;wj;jpypUe;J rhl;rp brhy;y miHg;ghiz tutpy;iy.

thjp jhd; rhl;rp brhy;y Tl;ote;jhu;///

Kjypy; fl;olk;. fl;l tUk;nghJ gpujpthjp jd;dplk; xU ,lk;

,Ug;gjhft[k;. me;j ,lj;jpw;F gjpyhf jdf;F tPL fl;oj;jUkhWk; gpujpthjp

nfl;lhu;/ thjp mYtyfj;jpy; itj;J jhd; gpujpthjp nfl;lhu;/ thjp kw;Wk;

http://www.judis.nic.in S.A.No.516 & 517 of 2008

gpujpthjpf;fpilna vd;d gpiua xg;ge;jk; vd;gjk;. vd;d ngrg;gl;lJ

vd;gJk; bjupahJ/@

Even the statement in Ex.A.7 reply notice clarifies the

respondent stand that the time started ticking from the sixth month

when the payment was due. The Appellate Court has rightly allowed

the appeal challenging the decree for specific performance.

8. Admittedly the respondent is in possession of the

property and therefore his possession has to be protected. The

Appellate Court has rightly reversed the Judgement of the Trial Court

and decreed the suit for injunction.

9. In the above circumstances, the appellant has not made

out any Substantial Question of law warranting the interference of this

Court and hence both the Second Appeals stand dismissed.

Consequently, connected Miscellaneous Petitions are also closed. No

costs.



http://www.judis.nic.in
                                                                         S.A.No.516 & 517 of 2008


                                                                                 29.06.2021

                      Index      : Yes/No
                      Internet   : Yes/No
                      kan




                                                                           P.T. ASHA, J,

                                                                                           kan


                      To

1. The Principal District Judge at Coimbatore.

2. The Sub Court at Coimbatore.

S.A.No.516 & 517 of 2008

http://www.judis.nic.in S.A.No.516 & 517 of 2008

29.06.2021

http://www.judis.nic.in

 
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