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Amit Kukreja vs Shweta Sachdeva
2024 Latest Caselaw 5756 P&H

Citation : 2024 Latest Caselaw 5756 P&H
Judgement Date : 14 March, 2024

Punjab-Haryana High Court

Amit Kukreja vs Shweta Sachdeva on 14 March, 2024

Author: Alka Sarin

Bench: Alka Sarin

                                                                                                -1-
                   RSA-2552-2022                                         2024:PHHC:036379


                                IN THE HIGH COURT OF PUNJAB AND HARYANA AT
                                               CHANDIGARH

                                                                  RSA-2552-2022 (O&M)
                                                                  Reserved on : 21.02.2024
                                                                  Pronounced on : 14.03.2024

                   AMIT KUKREJA                                                        ....Appellant
                                                        VERSUS
                   SHWETA SACHDEVA                                                 ....Respondent

                   CORAM : HON'BLE MRS. JUSTICE ALKA SARIN

                   Present :        Mr. Amit Jhanji, Senior Advocate with
                                    Mr. Gurmohan Singh Bedi, Advocate
                                    Mr. Divanshu Jain, Advocate
                                    Ms. Priyanka Kansal, Advocate and
                                    Mr. Pawandeep Singh, Advocate for the appellant.
                                    Mr. Gautam Khazanchi, Advocate
                                    Mr. Viraj Gandhi, Advocate and
                                    Mr. Vinayak Chawla, Advocate for the respondent.

                   ALKA SARIN, J.

1. The present regular second appeal has been preferred by the

defendant-appellant challenging the judgment and decree dated 31.03.2016

passed by the Trial Court and judgment and decree dated 24.08.2022 passed

by the First Appellate Court.

2. The plaintiff-respondent in the present case had put in

appearance on 29.11.2022, thus, waiving service.

3. With the consent of learned senior counsel appearing on behalf

of the defendant-appellant and learned counsel appearing on behalf of the

plaintiff-respondent, the matter is being taken up for final hearing.

Photocopies of the records of the Courts below were called for vide order

dated 02.05.2023.

integrity of this judgment/order.

RSA-2552-2022 2024:PHHC:036379

4. The brief facts relevant to the present lis are that the plaintiff-

respondent filed a suit for specific performance, mandatory injunction and

permanent injunction. Relief of specific performance was sought qua the

agreement to sell dated 26.10.2010. Mandatory injunction was sought

directing the defendant-appellant to furnish the original documents of title

pertaining to the suit property. Consequential relief of permanent injunction

was sought restraining the defendant-appellant from alienating the suit

property in any manner to any other person except the plaintiff-respondent.

Alternative relief of recovery of Rs.1,34,40,000/- along with interest @ 12%

per annum from the date of payment till realization was also sought. It was

averred in the plaint that the plaintiff-respondent is a proprietor-business

woman of M/s Ozone Steam Sauna and Pools, Gurugram which she handles

along with her husband, namely, Sh. Rakesh Sachdeva. In all their dealings

with the defendant-appellant, the plaintiff-respondent has been helped by her

husband, who had been present with her throughout. It was averred that in

the year 2010 the plaintiff-respondent was introduced to the defendant-

appellant through the proforma defendants (given up on 05.09.2014). The

defendant-appellant projected that he was the owner in possession and

having absolute rights of the land and residential construction being No.260,

Deer Wood, Block-S, Nirvana Country, South City-II Phase-II, Gurugram

(hereinafter referred to as the 'suit property'). The defendant-appellant

expressed his desire to sell the suit property to the plaintiff-respondent.

Accordingly, an agreement to sell was entered into by the defendant-

integrity of this judgment/order.

RSA-2552-2022 2024:PHHC:036379

appellant in favour of the plaintiff-respondent on 26.10.2010. The total sale

consideration was settled at Rs.2,60,00,000/-. The plaintiff-respondent paid

an amount of Rs.15,00,000/- as earnest money by way of two cheques and

the balance sale consideration of Rs.2,45,00,000/- was to be paid in the

following manner :

                                    a)    Rs.45,00,000/- on or before 28.10.2010

                                    b)    Rs.15,00,000/- on or before 28.03.2011

                                    c)    Rs.1,85,00,000/- at the time of signing of the final

                                          documents for sale.

It was further averred that the schedule of payment could not be

adhered to strictly and the defendant-appellant accepted payments not

strictly as per the schedule without any protest and, therefore, the schedule

was waived by the defendant-appellant. It was further averred that since the

plaintiff-respondent was taking some time to arrange for the funds,

therefore, though the contract date was 11.04.2011 for registration of the

sale deed, however, it was agreed by the defendant-appellant that he would

give some more time to the plaintiff-respondent in case she was unable to

arrange the funds by 11.04.2011. However, vide clause 4 of the agreement to

sell, the defendant-appellant agreed to keep the agreement to sell in effect till

such time the plaintiff-respondent was able to arrange the funds provided

that she would pay interest @ 18% per annum on the delayed payment. It

was further averred that the plaintiff-respondent paid an amount of

Rs.1,34,40,000/- on different dates as mentioned in para No.7 of the plaint.

integrity of this judgment/order.

RSA-2552-2022 2024:PHHC:036379

It was further averred that by 11.04.2011 the plaintiff-respondent was able to

pay the principal amount of R.1,29,00,000/- to the defendant-appellant.

Since there was no specific extension, the plaintiff-respondent could take

more time to conclude the agreement but she would have to pay interest @

18% per annum on the delayed payment, as agreed. It was further averred

that a sum of Rs.5,40,000/- was paid between 11.04.2011 to 30.06.2011 as

interest on the delayed payment. The last installment of the interest was paid

on 30.06.2011. It was further averred that it was the requirement as per

clause 7 of the agreement to sell that the defendant-appellant would execute

all such documents as may be required and necessary in connection with the

suit property. It was further the case that the plaintiff-respondent told the

defendant-appellant that she had applied for a bank loan so as to pay for the

purchase of the suit property and the plaintiff-respondent's further stand was

that the defendant-appellant had not given any receipt qua the cash payments

stating that he would give the same shortly. However, only one receipt dated

16.05.2011 was given to the plaintiff-respondent to the effect that he had

received a sum of Rs.3,50,000/- 'as discussed'. It was further the case set up

that the defendant-appellant accepted the sum of Rs.5,50,000/- as interest

between 16.05.2011 to 30.06.2011 on the sum of Rs.1,31,00,000/- i.e. the

balance payable, @ 18% per annum. It was further averred that after taking

the money the defendant-appellant was delaying the paper work. On

09.07.2011, in their efforts of performing due diligence for advancing loan

to the plaintiff-respondent, defendant No.2- Ravi Kant Parnani in the suit,

integrity of this judgment/order.

RSA-2552-2022 2024:PHHC:036379

asked the plaintiff-respondent to show the original documents, however, the

defendant-appellant refused to show the documents thereby jeopardizing the

loan of the plaintiff-respondent. It was further averred that the plaintiff-

respondent was still ready and willing to perform her part of the contract.

5. On notice the defendant-appellant filed his written statement. In

the written statement the factum of the agreement to sell was admitted,

however, it was stated that the same stood terminated on account of

commission of intentional and willful breaches. It was further the stand

taken that the sale consideration was Rs.3,00,00,000/- and that there was an

agreement of cancellation dated 24.12.2010 and that the plaintiff-respondent

had omitted any reference to the same. It was further the stand taken in the

written statement that after the agreement of cancellation was prepared on

24.12.2010, the plaintiff-respondent conveyed to the defendant-appellant

that by 11.04.2011 she would discharge her entire financial obligation and

make payment of the entire sale consideration. It was under these

circumstances that the defendant-appellant conveyed to the plaintiff-

respondent that he would be compelled to terminate the contract on

11.04.2011 in case she failed to make the payment of the entire sale

consideration. It was further averred that at that time the attention of the

plaintiff-respondent was drawn to clause 4 of the agreement to sell in which

the purchaser was liable to pay interest @ 18% per annum for the delay

period in making the payment of the sale consideration. It was further the

stand taken that after waiting for considerable time, it was categorically

integrity of this judgment/order.

RSA-2552-2022 2024:PHHC:036379

communicated to the plaintiff-respondent that in case she failed to make the

payment by 30.06.2011 then the defendant-appellant would proceed to

terminate the contract. Accordingly, on 01.07.2011, due to intentional and

willful failure, the agreement to sell dated 26.10.2010 was terminated.

6. Replication was filed by the plaintiff-respondent reiterating her

pleas taken in the plaint and controverting those stated in the written

statement.

7. On the basis of the pleadings of the parties, the following issues

were framed :

(i) Whether the plaintiff remains ready and willing to

perform her part of the contract dated 26.10.2010 ?

OPP

(ii) Whether the plaintiff is entitled to relief of

mandatory injunction for issuance of directions to

defendant No.1 to furnish original documents so

required by defendant No.3 for completion of loan

formalities? OPP

(iii) Whether the plaintiff is entitled to a decree of

permanent injunction restraining the defendants

from alienating the suit property to any other

person except the plaintiff ? OPP

integrity of this judgment/order.

RSA-2552-2022 2024:PHHC:036379

(iv) Whether the plaintiff has no neither locus standi

and nor cause of action to file the present suit ?

OPD

(v) Whether the plaintiff is bound by his own act and

conduct, omission, commission acquiescence and

latches ? OPD

(vi) Whether the suit of the plaintiff has not been

properly valued for the purposes of Court fee and

jurisdiction ? OPD

(vii) Relief.

8. The Trial Court vide judgment and decree dated 31.03.2016

decreed the suit of the plaintiff-respondent for alternative relief of recovery

of Rs.1,34,40,000/- along with interest @ 8% per annum from the date of the

last payment i.e. 30.06.2011 till final payment. Aggrieved by the said

judgment and decree an appeal was preferred by the defendant-appellant

which appeal was dismissed vide judgment and decree dated 24.08.2022.

Hence, the present regular second appeal.

9. Learned senior counsel appearing on behalf of the defendant-

appellant would contend that in the present case there is no challenge to the

cancellation of the agreement to sell vide cancellation agreement dated

24.12.2010 (Ex.X-2). It is further the contention that there is no receipt

regarding the cash payment and that only an amount of Rs.61,20,000/- was

paid by cheque/RTGS and that the defendant-appellant was even till today

integrity of this judgment/order.

RSA-2552-2022 2024:PHHC:036379

willing to pay the said amount. It is further the contention of the learned

senior counsel that the agreement to sell dated 26.10.2010 (Ex.P-3) was

cancelled vide cancellation agreement (Ex.X-2), which is an admitted fact.

That being so, the present suit itself was not maintainable as held by the

Hon'ble Supreme Court in the case of I.S. Sikandar (D) By LRs Vs. K.

Subramani & Ors. [2014 (1) RCR (Civil) 236]. Learned senior counsel has

further relied upon the judgment of this Court in the case of 'Padmawati &

Ors. Vs. Kulwant Rai & Ors. [2008 (1) RCR (Civil) 605] to contend that

pleadings have to be read as a whole and the intention of the party has to be

gathered, primarily, from the tenor and term of his pleadings taken as a

whole. Learned senior counsel has further relied upon the judgment of the

Hon'ble Supreme Court in the case of Mangala Waman Karandikar

(Dead) through LRs Vs. Prakash Damodar Ranade [(2021) 6 SCC 139]

on interpretation of deeds and documents and to contend that the intention of

the party is to be gathered from the recital contained in the agreement deed.

Further reliance has been placed on the judgment of the Hon'ble Supreme

Court in the case of Placido Francisco Pinto (D) by LRs & Anr. Vs. Jose

Franciso Pinto & Anr. [2021 SCC Online SC 842] to contend that oral

evidence of a written agreement is excluded except when it is sought to be

alleged the document as a sham transaction. Reliance has also been placed

on the judgment of this Court in the case of Rakesh Vs. Suresh Chand

[2021 (1) RCR (Civil) 557] to contend that the Appellate Court has to

critically examine the reasons given in the impugned judgment before

integrity of this judgment/order.

RSA-2552-2022 2024:PHHC:036379

reversing it. Reliance has also been placed on the judgment of this Court in

the case of Kullu Ram Vs. Punjab Wakf Board & Ors. [2016 (3) RCR

(Civil) 977] to contend that the plaintiff has to stand on his own legs and he

cannot take the benefit of the weakness of the defendant.

10. Per contra, learned counsel appearing on behalf of the plaintiff-

respondent has contended that in the written statement there is no specific

denial to para No.7 of the plaint wherein the payments made have been

stated. It is further the contention that in the said paragraphs it has been

stated that as far as the last payment of Rs.70,000/- in cash is concerned, the

same was made on 13.06.2011 along with a cheque of Rs.1,20,000/- and no

cash payment was made on 30.06.2011. Learned counsel has further

contended that there was no question of challenging the cancellation

agreement (Ex.X-2) since the said agreement was never acted upon. Infact,

even as per the written statement the stand taken by the defendant-appellant

was that he would convey to the plaintiff-respondent that he would be

compelled to terminate the contract on 11.04.2011 in case the plaintiff-

respondent failed to make the payment of the entire sale consideration. It is

further the contention of the learned counsel for the plaintiff-respondent that

the defendant-appellant in his cross-examination has clearly admitted the

payment of the amount as stated by the plaintiff-respondent in the plaint. In

support of his arguments, learned counsel for the plaintiff-respondent has

relied upon the judgment passed by the Hon'ble Supreme Court in the case

of Sushil Kumar Vs. Rakesh Kumar [(2003) 8 SCC 673] to contend that

integrity of this judgment/order.

RSA-2552-2022 2024:PHHC:036379

non-specific or an evasive denial to the contents of the plaint are deemed to

be an admission as per Order VIII Rules 3, 4 and 5 CPC. Reliance has also

been placed on the judgment passed by the Hon'ble Supreme Court in the

case of Satish Batra Vs. Sudhi Rawal [(2013) 1 SCC 345] to contend that

advance money paid towards purchase of a property cannot be forfeited in

the absence of an express term of the contract to that effect. Reliance has

also been placed upon the judgments in the cases of Harpreet Kanwar Vs.

State of Punjab [2016 SCC Online P&H 11094]; Chamkaur Singh Vs.

State of Punjab [2016 SCC Online P&H 8758]; Ravi Chaudhary Vs.

Kanta Ahuja [2017 SCC Online Del. 8525]; Naveen Garg Vs. Rajrani

Garg [2015 SCC Online Del. 11259] and Karan Dem Vs. Jyoti Gandhi

[2021 SCC Online Del. 4654] to contend that mere response as "matter of

record" by a defendant amounts to an admission.

11. I have heard the learned counsel for the parties.

12. In the present case the execution of the agreement to sell dated

26.10.2010 is admitted. According to the plaintiff-respondent she is entitled

to specific performance or refund of the amount paid by her while as per the

defendant-appellant he has forfeited the amount received since the plaintiff-

respondent did not complete the transaction. The plaintiff-respondent in para

No.7 of the plaint referred to the payments made on various dates towards

principal as well as interest which according to her totalled Rs.1,34,40,000/-.

In the amended written statement, in reply to para No.7 of the plaint, there is

no denial by the defendant-appellant to the amount paid by the plaintiff-

integrity of this judgment/order.

RSA-2552-2022 2024:PHHC:036379

respondent and the amount received by the defendant-appellant. Only the

date of receipt of Rs.70,000/- in cash was disputed as being 13.06.2011 and

not 30.06.2011. The defendant-appellant has taken a plea of forfeiture on

account of termination of the agreement to sell.

13. There is no forfeiture clause in the agreement to sell dated

26.10.2010 (Ex.P3). Learned senior counsel appearing on behalf of the

defendant-appellant has laid much stress on the document termed as an

agreement for cancellation dated 24.12.2010 (Ex.X-2) to contend that the

transaction stood cancelled and the amount was validly forfeited by the

defendant-appellant. However, the facts disclose that this agreement for

cancellation was never acted upon by the parties. The said agreement for

cancellation is dated 24.12.2010 but thereafter, admittedly, payments were

received by the defendant-appellant even on 13.06.2011 as stated in para

No.7 of the written statement. The defendant-appellant in his cross-

examination also admitted the receipt of Rs.70,000/- in cash along with

cheque of Rs.1,20,000/-, though on 13.06.2011 and not on 30.06.2011. In his

cross-examination the defendant-appellant also admitted that he had

received approximately Rs.1,00,00,000/- (rupees one crore) from the

plaintiff-respondent. Thus, it cannot be accepted that the agreement to sell

stood cancelled and there was therefore a necessity for the plaintiff-

respondent to challenge the cancellation of agreement dated 24.12.2010. The

decision in the case of I.S. Sikandar (supra) relied upon by the learned

senior counsel for the defendant-appellant is distinguishable as in that case

integrity of this judgment/order.

RSA-2552-2022 2024:PHHC:036379

the agreement of sale was terminated as per a notice dated 28.03.1985 and it

was thus held that there was a termination of the agreement of sale between

the parties. However, in the present case even after the agreement of

cancellation dated 24.12.2010 payments were made by the plaintiff-

respondent and accepted by the defendant-appellant without demur.

14. The agreement to sell dated 26.10.2010 (Ex.P3) itself does not

have any clause for forfeiture. The agreement for cancellation dated

24.12.2010 (Ex.X-2), though was never acted upon, also has no forfeiture

clause and rather the defendant-appellant agreed to return to the plaintiff-

respondent the amount received by him, after selling the suit property. Thus,

there was never any covenant between the parties that the defendant-

appellant could forfeit or retain the amount received by him from the

plaintiff-respondent. The decisions in Mangala Waman (supra) and Placido

Francisco (supra) relied upon by the defendant-appellant are therefore not

applicable to the present case.

15. The second argument of the learned senior counsel for the

defendant-appellant is that the entire pleadings have to be read as a whole

and the intention of the party has to be gathered primarily from the tenor and

term of the pleadings taken as a whole. With this argument it is submitted

that a conjoint reading of the written statement, the agreement to sell and the

cancellation of agreement make it clear that the defendant-appellant rightly

forfeited the amount. There can be no quarrel with the proposition of law as

laid down in the case of Padmawati (supra). However, a perusal of the

integrity of this judgment/order.

RSA-2552-2022 2024:PHHC:036379

written statement read as a whole conjointly with the pleadings in the plaint

and the evidence on the record, makes it amply clear that the receipt of

money totaling Rs.1,34,40,000/- has not been denied by the defendant-

appellant. The defendant-appellant has failed to point out a single clause in

the two deeds (agreement to sell and cancellation of agreement) whereunder

he could forfeit the amount received. It is trite that evasive denials are

deemed to be an admission. In view of the admissions in the written

statement as well as the admissions made in the cross-examination by the

defendant-appellant, it is amply clear that the amounts, as stated in the

plaint, were received by him.

16. The Hon'ble Supreme Court in the case of Thangam & Anr.

vs. Navamani Ammal [2024 SCC OnLine SC 227] has held as under :

"35. Order VIII Rules 3 and 5 CPC clearly provides for

specific admission and denial of the pleadings in the

plaint. A general or evasive denial is not treated as

sufficient. Proviso to Order VIII Rule 5 CPC provides

that even the admitted facts may not be treated to be

admitted, still in its discretion the Court may require

those facts to be proved. This is an exception to the

general rule. General rule is that the facts admitted, are

not required to be proved.

36. The requirement of Order VIII Rules 3 and 5 CPC

are specific admission and denial of the pleadings in the

integrity of this judgment/order.

RSA-2552-2022 2024:PHHC:036379

plaint. The same would necessarily mean dealing with

the allegations in the plaint para-wise. In the absence

thereof, the respondent can always try to read one line

from one paragraph and another from different

paragraph in the written statement to make out his case

of denial of the allegations in the plaint resulting in

utter confusion.

37. In case, the defendant/respondent wishes to take

any preliminary objections, the same can be taken in a

separate set of paragraphs specifically so as to enable

the plaintiff/petitioner to respond to the same in the

replication/rejoinder, if need be. The additional

pleadings can also be raised in the written statement, if

required. These facts specifically stated in a set of

paragraphs will always give an opportunity to the

plaintiff/petitioner to respond to the same. This in turn

will enable the Court to properly comprehend the

pleadings of the parties instead of digging the facts from

the various paragraphs of the plaint and the written

statement.

38. The issue regarding specific admission and denial

of the pleadings was considered by this Court in Badat

and Co. Bombay v. East India Trading Co. While

integrity of this judgment/order.

RSA-2552-2022 2024:PHHC:036379

referring to Order VIII Rules 3 to 5 of the CPC it was

opined that the aforesaid Rules formed an integrated

Code dealing with the manner in which the pleadings

are to be dealt with. Relevant parts of para '11' thereof

are extracted below:

"11. Order 7 of the Code of Civil Procedure

prescribes, among others, that the plaintiff shall

give in the plaint the facts constituting the cause of

action and when it arose, and the facts showing the

court has jurisdiction. The object is to enable the

defendant to ascertain from the plaint the

necessary facts so that he may admit or deny them.

Order VIII provides for the filing of a written-

statement, the particulars to be contained therein

and the manner of doing so;

XXXXXXXXX

These three rules form an integrated code dealing

with the manner in which allegations of fact in the

plaint should be traversed and the legal

consequences flowing from its non-compliance.

The written statement must deal specifically with

each allegation of fact in the plaint and when a

defendant denies any such fact, he must not do so

integrity of this judgment/order.

RSA-2552-2022 2024:PHHC:036379

evasively, but answer the point of substance. If his

denial of a fact is not specific but evasive, the said

fact shall be taken to be admitted. In such an event,

the admission itself being proof, no other proof is

necessary."

39. The matter was further considered by this Court in

Lohia Properties (P) Ltd., Tinsukia, Dibrugarh, Assam

v. Atmaram Kumar after the 1976 Amendment Act in

CPC whereby the existing Rule 5 of Order VIII of the

CPC was numbered as sub-rule (1) and three more sub-

rules were added dealing with different situations where

no written statement is filed. In paras 14 and 15 of the

aforesaid judgment, the position of law as stated earlier

was reiterated. The same are extracted below:

"14. What is stated in the above is, what amount to

admit a fact on pleading while Rule 3 of Order 8

requires that the defendant must deal specifically

with each allegation of fact of which he does not

admit the truth.

15. Rule 5 provides that every allegation of fact in

the plaint, if not denied in the written statement

shall be taken to be admitted by the defendant.

What this rule says is, that any allegation of fact

integrity of this judgment/order.

RSA-2552-2022 2024:PHHC:036379

must either be denied specifically or by a necessary

implication or there should be at least a statement

that the fact is not admitted. If the plea is not taken

in that manner, then the allegation shall be taken to

be admitted."

17. In Sushil Kumar's case (supra) it was held that "The pleadings

in an election petition must likewise be construed strictly. The provisions of

the Code of Civil Procedure apply to an election petition. The election

petition is not an action at law or a suit in equity. It is a special proceeding

and even withdrawal of an election petition may not be permitted". In terms

of Order 8 Rule 5 CPC, as has been noticed above, every allegation of fact in

the plaint, if not denied specifically or by necessary implication, or stated to

be not admitted in the pleading of the defendant is to be taken to be admitted

except as against a person under disability. Therefore, there has to be a

specific denial of allegation of fact made in the plaint.

18. The Trial Court declined the relief of specific performance to

the plaintiff-respondent on the ground that she was not in a position to pay

the balance sale consideration. No loan from the bank was also proved to

have been sanctioned in her favour. The Trial Court found that :

"20. It is also worth considering that the plaintiff did

not adduce and prove the copy of her loan application

or any other document to show that she indeed applied

for any loan for purchasing the suit property.

integrity of this judgment/order.

RSA-2552-2022 2024:PHHC:036379

21. Though, the plaintiff tendered a copy of letter

Ex.-P6 purported to be issued by S.B.I, New Delhi to

plaintiff qua the suit property, but this letter Ex.-P6 has

not been proved as no bank official was examined.

22. Thus, the corollary is that the plaintiff would not

have been able to pay the complete balance sale

consideration to defendant in the absence of any Bank

loan. No such bank loan has yet been sanctioned to the

plaintiff, neither in this case the plaintiff has been able

to prove that she had applied for such a bank loan. Nor

it is the case of plaintiff that he had any other source

from which he would have arranged money for payment

of sale consideration. Thus, doubts appear on the

plaintiff's financial capacity to pay entire balance sale

consideration on the date of filing of the suit.

23. In view of the above discussion, I am of the opinion

that the discretionary relief of specific performance of

agreement to sell dated 26.10.2010 (Ex.P3) is not made

out in the present case. However, the Plaintiff would

still be entitled to seek refund of payment of any money

made by him to defendant pursuant to agreement to sell

dated 26.10.2010 (Ex.P3)."

integrity of this judgment/order.

RSA-2552-2022 2024:PHHC:036379

The plaintiff-respondent did not challenge these findings of the Trial Court

and did not prefer any appeal before the First Appellate Court. The suit was

decreed to the extent that the defendant-appellant was directed to pay to the

plaintiff-respondent an amount of Rs.1,34,40,000/- along with interest at the

rate of 8% per annum from the date of last payment i.e. 30.6.2011 till full

payment.

19. Reliefs in a suit for specific performance are founded on the

principle of good conscience and grant of effective relief. Both the Courts

have directed the defendant-appellant to pay to the plaintiff-respondent an

amount of Rs.1,34,40,000/- along with interest at the rate of 8% per annum.

This amount of Rs.1,34,40,000/- was computed in the plaint, without any

denial in the written statement, as Rs.1,29,00,000/- towards principal and

Rs.5,40,000/- towards interest. Further, out of this total amount of

Rs.1,34,40,000/- only Rs.61,20,000/- was paid by cheque/bank transfer.

More than 50% was paid in cash. By allowing interest on this cash

component the Court would be putting a premium on violation of the law by

the parties. The plaintiff-respondent cannot be allowed to unjustifiably get

enriched. Huge, unaccounted cash transactions in property dealings need to

be curbed.

20. Thus, this Court deems it appropriate to modify the judgements

and decrees of the Courts below to a limited extent that though the

defendant-appellant shall be liable to pay Rs.1,34,40,000/- to the plaintiff-

respondent, he shall be liable to pay interest at the rate of 8% per annum

integrity of this judgment/order.

RSA-2552-2022 2024:PHHC:036379

from the date of last payment i.e. 30.6.2011 till full payment only on the

amount of cheque payments received by him. No interest shall be payable by

the defendant-appellant on the cash component received by him though he

shall pay the same to the plaintiff-respondent. With this modification, the

present regular second appeal is disposed off.



                   14.03.2024                                        ( ALKA SARIN )
                   Aman Jain                                             JUDGE

NOTE : Whether speaking/non-speaking: Speaking Whether reportable: Yes/No

integrity of this judgment/order.

 
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