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S.Pachaimuthu vs Lalithamani
2021 Latest Caselaw 12630 Mad

Citation : 2021 Latest Caselaw 12630 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
                     Coimbatore dated 30.06.2004.

                     1/22

https://www.mhc.tn.gov.in/judis/
                                                                             S.A.No.516 & 517 of 2008




                     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

District Judge, Coimbatore. The Appellate Court had allowed the

https://www.mhc.tn.gov.in/judis/ S.A.No.516 & 517 of 2008

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

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

https://www.mhc.tn.gov.in/judis/ S.A.No.516 & 517 of 2008

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 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.

https://www.mhc.tn.gov.in/judis/ S.A.No.516 & 517 of 2008

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

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

https://www.mhc.tn.gov.in/judis/ S.A.No.516 & 517 of 2008

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

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

https://www.mhc.tn.gov.in/judis/ S.A.No.516 & 517 of 2008

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.

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

https://www.mhc.tn.gov.in/judis/ S.A.No.516 & 517 of 2008

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

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

https://www.mhc.tn.gov.in/judis/ S.A.No.516 & 517 of 2008

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 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.

https://www.mhc.tn.gov.in/judis/ S.A.No.516 & 517 of 2008

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.

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.

https://www.mhc.tn.gov.in/judis/ S.A.No.516 & 517 of 2008

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,

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

https://www.mhc.tn.gov.in/judis/ S.A.No.516 & 517 of 2008

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

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

https://www.mhc.tn.gov.in/judis/ S.A.No.516 & 517 of 2008

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 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

https://www.mhc.tn.gov.in/judis/ S.A.No.516 & 517 of 2008

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 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

https://www.mhc.tn.gov.in/judis/ S.A.No.516 & 517 of 2008

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 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

https://www.mhc.tn.gov.in/judis/ S.A.No.516 & 517 of 2008

is emphatically denied by the respondent who would 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 initially

https://www.mhc.tn.gov.in/judis/ S.A.No.516 & 517 of 2008

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.

7.5.Another piece of evidence which would give rise to

https://www.mhc.tn.gov.in/judis/ S.A.No.516 & 517 of 2008

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

readiness and willingness.

https://www.mhc.tn.gov.in/judis/ S.A.No.516 & 517 of 2008

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:

                                      "17/11/1991ypUe;J          xU        thuj;jpy;           nghap

                     gpujpthjpiar;               re;jpj;J        fpiuak;         vGjpj;jUkhW

                     nfl;lnghJ           mtu;     kWj;jhu;/        5   tUl   fhyjhkjj;jpw;F

fhuzk; epiwa egu;fis itj;J g";rhaj;J ngrpndhk;/

fpiua xg;ge;jk; nghl;L 15 ehl;fspy; gpujpthjp

vd; tPl;ow;F te;J kPjpf;fpiuaj; bjhiff;F tPL

fl;oj;jUkhW nfl;lhu; ,e;j tptu';fis ehd; jhf;fy;

                     bra;j                tHf;Fiu.              gpujpthjpapd;             tHf;fpd;

                     vjpu;tHf;Fiuapy;               Fwpg;gplhky;       jw;nghJ        bgha;ahff;

                     TWfpnwd; vd;gJ [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

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

https://www.mhc.tn.gov.in/judis/ S.A.No.516 & 517 of 2008

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;    gpujpthjpf;fpilna           vd;d    gpiua       xg;ge;jk;

vd;gjk;. vd;d ngrg;gl;lJ vd;gJk; bjupahJ/@

https://www.mhc.tn.gov.in/judis/ S.A.No.516 & 517 of 2008

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.

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.

                                                                                   29.06.2021

                     Index         : Yes/No
                     Internet      : Yes/No
                     kan





https://www.mhc.tn.gov.in/judis/
                                                                         S.A.No.516 & 517 of 2008




                                                                             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

29.06.2021

https://www.mhc.tn.gov.in/judis/

 
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