Tag: Civil Litigation

Landmark Property Judgement: Supreme Court Clarifies Evidence Needed for Possession & Declaration Suits
16Oct By The Legal ChamberNo Comments
Supreme Court

Landmark Property Judgement: Supreme Court Clarifies Evidence Needed for Possession & Declaration Suits

The Supreme Court upheld the High Court's reversal of concurrent findings, ruling that a title deed is primary evidence of ownership. Mere presence of waste or manure on a property does not establish possession for the defendant. A declaratory suit under Section 34 of the Specific Relief Act, 1963, is maintainable when the defendant fails to prove their own possession. Facts Of The Case: The plaintiff, Suresh Tukaram Nerkar, filed a suit for declaration of his ownership and possession, and for a consequential permanent injunction against the defendants. His claim was based on a sale deed (Ext. 81) purportedly covering 150 square metres of land, which included a residential building on one portion ('ABCD') and an adjacent open plot ('PCDF'). The suit was triggered by the defendants, parti...
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Supreme Court Landmark Ruling: Proprietor and His Business Are Not Separate Legal Entities
30Sep By The Legal ChamberNo Comments
Supreme Court

Supreme Court Landmark Ruling: Proprietor and His Business Are Not Separate Legal Entities

The Supreme Court held that a proprietorship concern is not a juristic person and a suit filed against the proprietor personally is maintainable. Order XXX Rule 10 of the CPC is merely enabling and does not bar a suit against the proprietor, who remains the real party in interest for all transactions conducted in the trade name. Facts Of The Case: The appellants, owners of a property, leased it to Aditya Motors, a sole proprietorship concern of respondent Pilla Durga Prasad, via a registered lease deed. After the lease expired, the lessee failed to vacate, prompting the appellants to file an eviction suit. The original suit named the lessee as defendant no.1 (Aditya Motors), along with the sub-lessee and its directors. During the proceedings, the appellants amended the plaint, substituti...
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Supreme Court Clarifies Slum Laws: Landlords Get First Right to Redevelop Their Property
26Sep By The Legal ChamberNo Comments
Supreme Court

Supreme Court Clarifies Slum Laws: Landlords Get First Right to Redevelop Their Property

This Supreme Court judgement affirms that landowners possess a preferential right to redevelop their property declared as a Slum Rehabilitation Area under the Maharashtra Slum Areas Act, 1971. The Court held that the Slum Rehabilitation Authority must formally invite the landowner to submit a rehabilitation scheme. The power of the State to acquire the land under Section 14 of the Act is subject to this preferential right and cannot be exercised before this right is legally extinguished. Facts Of The Case: The case concerned a land dispute in Mumbai, where Indian Cork Mills Private Limited (ICM) was the owner of a plot that had been encroached upon by slum dwellers. A portion of the land was declared a slum area in 1979, and later, in 2011, the entire plot was declared a Slum Reh...
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Supreme Court Landmark Ruling: Additional Evidence in Appeals Must Align with Pleadings
25Sep By The Legal ChamberNo Comments
Supreme Court

Supreme Court Landmark Ruling: Additional Evidence in Appeals Must Align with Pleadings

The Supreme Court held that an appellate court must examine the pleadings of the party seeking to lead additional evidence under Order XLI Rule 27(1) CPC. Permission to adduce such evidence cannot be granted unless the case sought to be established is already pleaded. The matter was remanded for reconsideration on this legal principle. Facts Of The Case: The plaintiffs, Iqbal Ahmed and another, filed a suit for specific performance of an agreement to sell dated 20.02.1995 against the defendant, Abdul Shukoor. The plaintiffs claimed they had agreed to purchase the defendant's house property for ₹10,67,000, having paid ₹5,00,000 as advance. They pleaded that they had sold their own immovable properties to arrange the funds for this purchase and were always ready and willing to perform thei...
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Supreme Court Denies Specific Performance Over Tainted Agreement: Readiness to Pay Not Enough
23Sep By The Legal ChamberNo Comments
Supreme Court

Supreme Court Denies Specific Performance Over Tainted Agreement: Readiness to Pay Not Enough

The Supreme Court upheld the denial of specific performance, ruling that a material alteration in the sale agreement—visibly apparent from the use of different ink for a property's description—vitiated the contract. Courts are not always obligated to seek expert opinion under Section 73 of the Evidence Act when such an alteration is plainly discernible upon a mere perusal of the document itself. Facts Of The Case: The plaintiff-appellant, Syed Basheer Ahmed, entered into a sale agreement dated July 15, 1984, with the first defendant for the purchase of two properties: Item No. 1 (owned by the first defendant) and Item No. 2 (owned by a third party). The total agreed consideration was Rs. 56,000/-, with an advance of Rs. 1,000/- paid. The agreement stipulated that the sale deed was to be ...
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Wake-Up Call for Courts: Supreme Court Says Long Delays Can Create New Rights in Property Disputes
18Sep By The Legal ChamberNo Comments
Supreme Court

Wake-Up Call for Courts: Supreme Court Says Long Delays Can Create New Rights in Property Disputes

The Supreme Court set aside the High Court's order condoning a delay of 5,250 days in filing a restoration application. It held that courts must be cognizant of third-party rights created during prolonged delays and that such condonation requires reasoned orders after hearing affected parties, who may be impleaded. The matter was remanded for fresh consideration. Facts Of The Case: The case originated from a suit for eviction filed by Mafatlal Mangilal Kothari and another (Respondent Nos. 1 and 2) against the defendants concerning a disputed property. The Trial Court dismissed the suit in 1988, prompting the plaintiffs to file a First Appeal. This appeal was admitted by the Bombay High Court in 1989 but was eventually listed in 2008, where the Court passed an order stating that if the co...
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Mandatory Rules for Ex-Parte Injunctions: A Key Reminder from the Supreme Court
13Sep By The Legal ChamberNo Comments
Supreme Court

Mandatory Rules for Ex-Parte Injunctions: A Key Reminder from the Supreme Court

The Supreme Court emphasized that Order 39 Rule 3 CPC mandates recording reasons for granting ex parte injunction and strict compliance with procedural obligations by the applicant. Non-compliance warrants vacation of the ex parte order without adjudicating merits, ensuring the opposite party is not deprived of an early hearing. Facts Of The Case: The petitioner, Time City Infrastructure and Housing Limited, filed a civil suit claiming ownership and possession of certain land parcels in District Barabanki, based on an Agreement to Sell from 2015 and a subsequent Sale Deed from April 2025. The plaintiff alleged that peaceful physical possession was handed over in 2015 upon full payment, after which they developed the land with significant investment. The Civil Judge (Senior Division...
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Supreme Court Rules on Loan Disguised as Property Deal, Protects Homeowner from Forced Sale
6Sep By The Legal ChamberNo Comments
Supreme Court

Supreme Court Rules on Loan Disguised as Property Deal, Protects Homeowner from Forced Sale

The Supreme Court held that the plaintiff failed to prove the existence of a valid sale agreement, a prerequisite for specific performance under Man Kaur v. Hartar Singh Sangha. The burden of proof was not discharged as the sole evidence was self-serving and key witnesses were not examined. The High Court's reversal of concurrent factual findings was erroneous. Facts Of The Case: The respondents (original plaintiffs) filed a suit for specific performance of an alleged sale agreement dated 12.02.1999, claiming the appellant (defendant) had agreed to sell his house for Rs. 70,000. They asserted having paid Rs. 55,000 as advance and taken possession, subsequently renting the property back to the appellant. The appellant contested the suit, denying any agreement to sell. His defense was that...
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Supreme Court Restores Ejectment Decree: ‘ND’ Postal Endorsement Doesn’t Invalidate Notice Under Transfer of Property Act
12Aug By The Legal ChamberNo Comments
Supreme Court

Supreme Court Restores Ejectment Decree: ‘ND’ Postal Endorsement Doesn’t Invalidate Notice Under Transfer of Property Act

The Supreme Court held that a notice sent via registered post under Section 106 of the Transfer of Property Act, 1882, is deemed served under Section 27 of the General Clauses Act, 1887, even if returned with an "ND" (Not Delivered) endorsement. The High Court erred in setting aside the ejectment decree by ignoring this legal presumption of service. The Trial Court's decree was restored, affirming the landlord's right to evict the tenant for non-payment of rent and other charges. The judgment reinforces the principle that proper dispatch of a registered notice fulfills statutory service requirements unless rebutted. Facts Of The Case: The appellant, Krishna Swaroop Agarwal (since deceased and represented by his legal heir), was the landlord of a property in Hathras, Uttar Pradesh, which ...
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Supreme Court Overrules Precedent on Power of Attorney Validity in Property Sales
11Aug By The Legal ChamberNo Comments
Supreme Court

Supreme Court Overrules Precedent on Power of Attorney Validity in Property Sales

The Supreme Court examined the validity of documents executed by a Power of Attorney (PoA) holder under the Registration Act, 1908. It held that a PoA holder remains an agent, not an "executant" under Section 32(a), and must comply with Sections 32(c), 33, 34, and 35 for authentication. The court disagreed with the earlier Rajni Tandon ruling, emphasizing that a PoA holder cannot bypass statutory scrutiny while executing or presenting documents for registration. The issue was referred to a larger bench for clarity. Facts Of The Case: The case revolves around the validity of an Irrevocable General Power of Attorney (GPA) dated 15.10.1990, allegedly executed by Ranveer Singh and his wife, Gyanu Bai, in favor of their tenant, G. Rajender Kumar. Using this GPA, Rajender Kumar executed three ...
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