IN THE SUPREME COURT OF INDIA

                        CIVIL APPELLATE JURISDICTION

 

                        CIVIL APPEAL NO. 2820 OF 2015

 

 

 

KIRPAL KAUR                           ………APPELLANT

                                     Vs.

 

JITENDER PAL SINGH & ORS.             ……RESPONDENTS

 

 

 

                               J U D G M E N T

 

 

 

V. GOPALA GOWDA, J.

 

      This appeal is directed against the impugned judgment and order  dated

31.10.2012 passed by the High Court of judicature  of  Delhi  at  New  Delhi

(the First Appellate Court) in Regular First  Appeal  (OS)  No.41  of  2011,

whereby the First Appellate Court has  confirmed  the  judgment  and  decree

dated 21.1.2011 passed by  the  learned  single  Judge  of  the  High  Court

(hereinafter called as “the trial court”) in  CS(OS)No.  2172  of  2003  and

dismissed the suit filed by the appellant. In  this  appeal,  the  appellant

has questioned the correctness of the impugned  judgment  and  order  urging

various facts and legal contentions and prayed for granting  of  the  decree

of partition of her share in the ‘B’ suit schedule property.

 

In this judgment, for the sake of convenience, we will advert  to  the  rank

of the parties as assigned to them before the trial court in C.S.  No.  2172

of 2003.  The  brief  facts  of  the  case  are  stated  hereunder  for  the

consideration of the case with reference  to  the  rival  legal  contentions

urged on behalf of the parties.

 

The plaintiff (the appellant  herein)  filed  civil  suit  No.2172  of  2003

before the trial court against the defendants (the respondents  herein)  for

the partition of the following properties in favour of  her  late  husband’s

share, contending thereby that all the properties are jointly owned  by  the

family:-

 

|A     |Agricultural land at village Jahgirpur and at village |

|      |Patial                                                |

|B     |Property bearing No.45, Sant Nagar, East of Kailash,  |

|      |New Delhi                                             |

|C     |Property situated at Kothi No.56, Giani Zail Singh    |

|      |Nagar, Ropar                                          |

 

     The said civil suit was contested by the defendants wherein  they  have

pleaded in  their  written  statement  that  the  suit  schedule  properties

mentioned in the schedules ‘A’ & ‘C’ have already been  partitioned  amongst

themselves, therefore, the plaintiff is not entitled for any  further  share

in the suit properties. In so far as the ‘B’ schedule property, bearing  No.

45, Sant Nagar, East of Kailash, New Delhi, is concerned, it  is  stated  by

them that the same cannot be a subject matter of  partition  as  it  is  the

self acquired property of the deceased-first defendant (who is  the  father-

in-law of the plaintiff) as he had acquired the same out of his self  earned

savings from his employment and he has constructed the building on the  said

property out of his own funds. Therefore, it is pleaded that  the  plaintiff

is not entitled for the reliefs as prayed by her  in  respect  of  the  suit

schedule ‘B’ property. It is further contended by them  that  the  deceased-

first defendant was working in the  defence  department.  While  he  was  in

employment, he had purchased the said property in the year  1954  vide  sale

deed dated 22.3.1954 for a sum  of  Rs.400/-.  In  the  year  1954,  he  was

getting the salary of Rs.201/- per month i.e. Rs.120/- + (9 increments  X  9

= 81). At that  time,  admittedly,  the  husband  of  the  plaintiff  (since

deceased) was only seven years old.

 

When the first phase of  construction  of  the  ground  floor  on  the  said

property was made in the year 1957, the husband of the  plaintiff  was  only

ten years old. The second phase of construction of  the  said  building  was

done between October 1980 and December 1981. The case of the  deceased-first

defendant before the trial court was that he retired from his employment  in

September, 1980. He has  reconstructed  the  aforesaid  property  using  his

retirement benefits such as gratuity and provident  fund  and  he  had  also

borrowed some amount as loan from various friends and relatives and he  also

used the old building materials for the construction  of  the  building.  He

also produced receipts at Ex.DW1/5 to DW 1/18 as  evidence  to  substantiate

his case that he had borrowed some loan amount from M/s Sahara Deposits  and

Investments  (India)  Ltd.  which  amount  was  repaid  by  him  to  it,  in

instalments. It was specifically mentioned by the  deceased-first  defendant

that the husband of the plaintiff  did  not  contribute  any  amount  either

towards the  purchase  of  the  said  suit  schedule  property  or  for  the

construction of the building upon the said property.

 

When the construction of the said building was in progress  between  October

1980 and December 1981, the  plaintiff’s  husband  was  in  the  process  of

settling himself at Kuwait and he did not have sufficient money to  send  to

the  deceased-first  defendant  for  the  purpose  of  construction  of  the

building. The total amount spent on the construction  of  the  building  was

Rs.1,42,451.60. It has been contended by the defendants  that  no  proof  of

contribution of money made by the deceased husband of the plaintiff  towards

the construction of the said building is produced by  the  plaintiff  before

the trial court  to  justify  her  claim.  The  second  defendant  was  also

examined in the case as DW-2 in support of the case  of  the  deceased-first

defendant with regard to the suit schedule ‘B’ property. The trial court  on

the basis of the pleadings made before it, has  framed  certain  issues  for

its determination and the same are answered against the plaintiff by  it  on

the basis of the evidence produced by the parties on record.

 

The case of the plaintiff is that the dispute arose between the  plaintiff’s

husband and the defendants when her husband returned from Kuwait  to  Delhi.

With the intervention of relatives and well-wishers of the parties,  it  was

decided between them that the basement, ground floor  and  second  floor  of

the Sant Nagar property will devolve upon him and the rent earned  from  the

same will also be paid to him. The deceased-first defendant had purchased  a

plot of land in Saini  Farms  in  the  name  of  the  late  husband  of  the

plaintiff. The said plot was sold by the deceased-first defendant  who  gave

an amount of only Rs.1,82,000/- to the husband of the  plaintiff  while  the

balance amount from Rs.6,00,000/- was distributed  amongst  defendant  Nos.1

to 4 and the wife of defendant No.2.

 

In so far as the ancestral  property  of  the  agricultural  land  at  Ropar

District is concerned,  it  is  stated  in  the  written  statement  of  the

deceased-first defendant that the aforesaid ancestral property  was  divided

between him, his two brothers and one sister  and  during  the  division  of

that property, a piece of land  measuring  about  8  kanals  and  18  marlas

situated in village  Patial,  District  Ropar  came  to  the  share  of  the

deceased-first defendant in the year 1972. The said land was given on  Batai

for cultivation and the deceased-first defendant used to  get  50  sears  of

Wheat in May and 30 sears of Maize in October every year  out  of  the  said

agricultural produce from the said  agriculture  land  which  was  used  for

consumption by the family. No cash amount  was  received  by  the  deceased-

first defendant in respect of the said agricultural property.

 

On the basis of the pleadings of the parties and  the  evidence  on  record,

the trial court had framed five issues for its determination. Issue No.4  is

most relevant for the purpose of examining the rival legal submissions  made

on behalf of the parties with a view to find  out  the  correctness  of  the

concurrent findings of fact recorded by the First  Appellate  Court  on  the

above contentious issue. The issue no. 4 reads thus:

“(iv)Whether the property bearing No.45, Sant Nagar, East  of  Kailash,  New

Delhi, has been constructed out of  joint  family  funds  or  out  of  funds

received by the first defendant from late Shri R.D. Singh,  the  husband  of

the plaintiff?”

 

 

    The trial court has answered the said  contentious  issue  no.4  against

the plaintiff and in favour of the deceased-first defendant  in  so  far  as

the claim of share by the plaintiff in the  schedule  ‘B’  property  bearing

No. 45, Sant Nagar, East of Kailash, New Delhi is  concerned.  The  suit  of

the plaintiff was dismissed by it by holding that the said property  is  the

self acquired property of the deceased-first defendant.

 

   In so far as the suit schedule  ‘A’  property  is  concerned,  the  trial

court has further partially decreed the same in favour of the  plaintiff  by

granting 1/5th share in the agricultural  land  in  the  village  Patial.  A

preliminary decree for partition was passed by the trial court on  21.1.2011

holding that the plaintiff has got  the  1/5th  share  in  the  agricultural

land, measuring about 8 kanals and 18 marlas. However, she was  not  granted

any share in the suit schedule ‘B’ property, holding that  it  is  the  self

acquired property of the deceased first defendant.

 

Aggrieved by the same, the plaintiff filed Regular  First  Appeal(OS)  No.41

of 2011 before the Division Bench of the High Court under Section 96 of  the

Civil Procedure Code, 1908 (“C.P.C.”) read with  Section  10  of  the  Delhi

High Court Act, 1966,  against  the  judgment  and  decree  dated  21.1.2011

passed by the trial court in so far as the dismissal of the suit in  respect

of the suit  schedule  ‘B’  property  is  concerned,  urging  various  legal

grounds in justification of her claim.  The  First  Appellate  Court,  after

adverting to the various rival legal submissions  urged  on  behalf  of  the

parties and on re-appreciation of  the  evidence  on  record,  examined  the

correctness of the findings recorded on issue No.4 by  the  trial  court  in

its judgment dismissing the suit of  the  plaintiff  and  not  granting  any

share in the suit schedule ‘B’ property to  her,  has  held  that  the  said

property is the self acquired property of the deceased-first  defendant  and

declined to interfere with the judgment of the trial  court  in  respect  of

the said property.

 

We  have  taken  into  consideration  the  relevant  facts  pleaded  by  the

plaintiff that her husband had sent money from Kuwait to the  deceased-first

defendant for construction of the building situated at  No.45,  Sant  Nagar,

East of Kailash, New Delhi during the period of October, 1980 and  December,

1981. Further, as per the document produced at Ext.P-5, an  amount  of  Rs.1

lakh was sent by the husband of the plaintiff to his father by way  of  bank

draft and cash. Out of that an  amount  of  Rs.17,350/-  was  given  to  the

plaintiff and  the  remaining  amount  of  Rs.82,650/-  was  left  with  the

deceased-first defendant which amount was utilised by him  for  construction

of the building. The First Appellate Court with reference to the above  said

plea and on the basis of the evidence placed on record by the plaintiff  has

held that no cogent evidence was produced by  the  plaintiff  to  prove  the

fact that the said amount sent by her  deceased  husband  to  the  deceased-

first defendant was utilised by him for carrying out  the  second  phase  of

construction of the building at No.45, Sant Nagar,  New  Delhi  between  the

period October, 1980 to December, 1981 and therefore,  the  same  would  not

entitle the deceased husband of  the  plaintiff  to  a  share  in  the  said

property, as the plot mentioned in schedule ‘B’ property  was  purchased  by

the deceased-first defendant out of his  own  earnings  in  the  year  1954.

Undisputedly, the sale deed was in the name of the deceased-first  defendant

who had purchased the same for Rs.400/-, out of his own funds. Further,  the

First Appellate Court has held that there is no  title  document  either  in

favour of the husband of the plaintiff or in her name as the  deceased-first

defendant had purchased the property in his name exclusively, from  his  own

funds and mere use of the money sent by either the deceased husband  of  the

plaintiff or the funds provided by other family members for the  purpose  of

raising the second phase of construction of  the  said  building  would  not

give them the right  for  the  share  in  that  property.  Thus,  the  First

Appellate Court has held that the deceased husband of  the  plaintiff  could

not have become the co-owner of the  said  property.  Therefore,  the  First

Appellate Court has concurred with the  finding  of  fact  recorded  on  the

contentious issue No.4 by the trial court and accordingly, it  has  answered

the other issues by recording  its  reasons  in  the  impugned  judgment  in

favour of the defendants. Further, it has been held by the  First  Appellate

Court that at best, the plaintiff  would  be  entitled  for  refund  of  the

amount which  was  sent  by  her  deceased  husband  to  the  deceased-first

defendant for the  construction  of  the  building  upon  the  schedule  ‘B’

property with interest or compensation. The First  Appellate  Court  in  its

penultimate paragraph of the impugned judgment has observed  that  to  bring

the curtains down  and  to  obviate  any  further  litigation    before  the

Supreme Court, the second defendant has made an offer to pay Rs.15 lakhs  to

the plaintiff, provided that she undertakes not to  litigate  the  case  any

further and vacate and hand over the possession of the second floor  of  the

schedule ‘B’ property to the deceased-first defendant or his  nominee  which

offer was rejected by the plaintiff.

 

We have examined the correctness of  the  findings  recorded  by  the  First

Appellate Court  on  the  contentious  issue  no.4  with  reference  to  the

evidence on record.  During  the  cross-examination  of  the  deceased-first

defendant by  the  plaintiff’s  counsel  before  the  trial  court,  he  has

categorically admitted certain facts and  elicited  the  following  relevant

positive evidence  on  record  which  supports  the  plaintiff’s  case.  The

English translation of certain admitted portions  of  the  evidence  of  the

deceased-first defendant furnished by the plaintiff’s  counsel  is  recorded

and extracted  hereunder  for  our  consideration  and  examination  of  the

findings of fact recorded on the contentious issue No.4:-

“Evidence of PW-1 Shri Ram Singh, the father-in-law of the plaintiff:

 

2 ………The house at Sant Nagar was built from his retirement benefits of  Rs.1

lakh and loans from friends.

 

3. Admits that he had received Rs. 82,000/-  from  the  Plaintiff’s  husband

but say it was not used for building his house.

 

4. Admits the existence of the agricultural  land  and  agricultural  income

received out of it. The land was the ancestral  property.   He  also  admits

that this income was used for construction of the  said  house.  Immediately

thereafter, he claims that it was used for his illness.

 

        XXX      XXX      XXX

 

6. He retired in September, 1980 and started reconstruction of the house  in

October 1980.

 

7.  Relations   with   appellant’s   husband   became   strained   when   he

misappropriated Rs. 6 lakhs for the sale of the plot at Saini Enclave.

 

8. That the plot at Saini Enclave was sold for Rs.6 lakhs.

 

9. Admits that according to document at  Exh.  P-7  (which  is  in  his  own

handwriting)  Rs.  6  lakhs  were  distributed  amongst  various   personnel

including R.D. Singh.

 

10.  Denies  that  Rs.6  lakhs  were  distributed  to  the  various  persons

mentioned in Exh.P/7.

 

11. Admits receiving money from R.D. Singh from Kuwait  as  per  Exh.P.2  to

P.3 but denies the quantum suggested.

 

        XXX      XXX      XXX

 

15. Admits that the  Plaintiff  was  staying  with  him  from  the  date  of

marriage. Further, that on his return  from  Kuwait,  R.D.  Singh  had  been

separated from the deceased father and started staying on the 2nd floor.

 

        XXX      XXX      XXX

 

17. He admits in his statement before the learned ADJ to the effect that  he

had received Rs. 82,000/- in the shape of  bank  draft  and  cash  from  the

Plaintiff’s husband.  He further admits that the statement made  before  the

learned ADJ was correct. Immediately thereafter he denies it.

 

18. That the ancestral land consisted of 8 kanal and 18 marla.

19. He further admits that the plaintiff’s husband (R.D. Singh) had a  share

in his 1/4th share in the ancestral land.

 

           XXX      XXX      XXX

 

21. He further admits that he has no documentary proof that the  appellant’s

husband had received Rs. 6 lakhs from the sale of plot at Saini Enclave.

 

22. He states that he spent approximately Rs.1,42,000/- on the  construction

of the house in Sant Nagar i.e. basement, ground,  first  and  second  floor

together one  common store on the 3rd floor.

 

23. ……That the loan from Sahara investment was to the tune of Rs.  30,000/-.

A further loan of Rs. 30,000/- was obtained from one Mr. Harydaya….”

 

 

In the light of the above admissions made by  the  deceased-first  defendant

in his statement of evidence  deposed  before  the  trial  court,  the  most

important fact that has come to light  in  his  admission  is  that  he  had

received money from the plaintiff’s husband while he was in Kuwait.  He  has

also admitted that the plaintiff’s husband had  a  share  in  the  ancestral

property that consists of 8 kanals and 18  marlas.  Further,  the  deceased-

first defendant has  admitted  in  his  statement  of  evidence  before  the

Additional District Judge on 11.12.2003 in another  proceeding  between  the

parties that he had received an amount of Rs.1 lakh by  way  of  bank  draft

and cash from the deceased husband of the plaintiff, while  he  was  working

in Kuwait which amount was utilised by the deceased-first defendant for  the

reconstruction of the building in the ‘B’ suit schedule  property.  In  view

of the above evidence elicited from the deceased-first defendant, the  First

Appellate Court was not right in  making  an  observation  in  the  impugned

judgment that the plaintiff is only entitled for  the  refund  of  the  said

amount from the deceased first defendant even though  there  is  substantive

and positive evidence on record to the effect that the amount  sent  by  the

deceased husband of  the  plaintiff  was  utilised  by  the  deceased  first

defendant for the purpose of construction of  the  building  upon  the  suit

schedule ‘B’ property.

 

Both the trial court as well as the First Appellate Court have  misread  and

mis-directed  themselves  with  regard  to  the  positive  and   substantive

evidence placed on record in justification of the  claim  of  the  plaintiff

and they have not appreciated and re-appreciated the same in favour  of  the

plaintiff in the proper perspective to record the finding  of  fact  on  her

claim for the division of  the  share  in  her  favour  in  respect  of  the

schedule ‘B’ property. Therefore, the concurrent finding  of  fact  recorded

by both the trial court  as  well  as  the  First  Appellate  Court  on  the

contentious issue No.4 are not only erroneous in law but  also  suffer  from

error in law for the  reason  that  there  is  a  positive  and  substantive

evidence elicited by the deceased-first defendant during the course  of  his

cross examination before the trial court, the relevant portion of  which  is

extracted above, wherein  he  had  in  unequivocal  terms  admitted  in  his

evidence that he, his sons and daughters have an ancestral property  in  his

village and the same has not been divided between them and that he  used  to

get the income from the said agricultural land and the same was utilized  by

him for the construction of the building at Sant Nagar,  i.e.  schedule  ‘B’

property. Therefore,  it  amounts  to  putting  the  said  property  in  the

hotchpot of joint  family  property.  The  non-consideration  of  the  above

positive and substantive evidence by the trial court as well  as  the  First

Appellate Court in justification of the claim of the  plaintiff  in  respect

of the schedule ‘B’ property has rendered the  concurrent  finding  recorded

by it as erroneous in law and therefore, the  same  are  liable  to  be  set

aside.

 

We have heard both the learned senior counsel Mr. J.P.  Cama  on  behalf  of

the plaintiff and the learned  counsel  Ms.  Rakhi  Ray  on  behalf  of  the

defendants. On 11.3.2015, when the arguments were concluded  on  merits,  we

directed the parties to file a  compilation  of  the  pleadings.   The  fact

regarding the will/gift deed was  brought  to  our  notice  by  the  learned

senior counsel on behalf of the plaintiff only at  the  time  of  concluding

his submissions in this appeal, at the stage of final disposal of  the  SLP.

The said fact has not been disclosed by the  second  defendant  before  this

Court and he has also not requested for a leave before this Court by  filing

an application as required under Order 22 Rule 10 CPC to  defend  his  claim

that the schedule ‘B’ property was devolved upon him on  the  basis  of  the

said gift deed. Therefore, the defendants’ counsel was  directed  by  us  to

produce the copy of the will/gift deed, alleged to have been executed  after

the passing of the impugned  judgment  by  the  First  Appellate  Court,  in

favour of the second defendant by the deceased first  defendant  in  respect

of the schedule  ‘B’  property  and  before  the  filing  of  special  leave

petition by the plaintiff. The same was produced by the defendants’  counsel

by way of compilation of the documents including the  copy  of  the  alleged

‘Will’ dated 1.10.2004 along with the gift deed dated  8.02.2011,  purported

to have been executed by the  deceased-first  defendant  in  favour  of  the

second defendant-J.P. Singh in respect of the suit  schedule  ‘B’  property.

The learned counsel for the defendants has  also  furnished  copies  of  the

judgments upon which she has placed reliance in support of the case  of  the

defendants.

 

This Court on 16.8.2013 issued notice on the prayer  of  the  plaintiff  for

condonation of delay on the special leave petition as the  same  was  barred

by limitation. The  learned  counsel  for  the  defendants,  Ms.  Rakhi  Ray

accepted the notice who entered a caveat on behalf of defendant Nos.2  to  4

and sought six weeks time to file the reply  affidavit.  On  16.9.2013,  the

application for condonation of delay was allowed and deletion  of  the  name

of deceased-first defendant from the array of parties from the  cause  title

of the SLP was also allowed at her request.

 

After the perusal of pleadings of the parties and the material  evidence  on

record, we find that both the trial court  and  the  First  Appellate  Court

have gravely erred in their  decisions  in  not  granting  a  share  to  the

plaintiff in the schedule ‘B’ property by  recording  an  erroneous  finding

even though she is legally entitled for the same. Having regard to the  fact

that immediately within two weeks from the date of  disposal  of  the  first

appeal by the High Court and before the expiry of the period  of  limitation

for  filing  special  leave  petition  before  this  Court  challenging  the

impugned judgment, the gift deed was allegedly  executed  by  the  deceased-

first defendant in favour of the second defendant  (the  second  son)  which

was made available for our  perusal  only  after  this  Court  directed  the

second defendant’s counsel to do so. The said gift deed was executed by  the

deceased-first defendant in favour of the second defendant reciting  certain

factually incorrect facts regarding the physical delivery of  possession  of

the suit schedule ‘B’ property to him, as it is an undisputed fact that  the

plaintiff has been in peaceful possession of the second floor  of  the  said

building ever since she and her husband had started living  separately  from

the defendants.

 

The execution of the alleged gift deed by the  deceased-first  defendant  in

favour of the second defendant is also hit by Section 52 of the Transfer  of

Property Act, 1882, as the said deed was executed  during  the  pendency  of

the proceedings and before the  expiry  of  the  period  of  limitation  for

filing SLP. Further, during the pendency of these  proceedings,  the  second

defendant, who has claimed  to  be  the  alleged  beneficiary  of  the  suit

schedule ‘B’ property on the basis of alleged gift deed should  have  sought

leave of this  Court  as  the  donee  and  brought  the  aforesaid  fact  of

execution of the alleged gift deed in respect of ‘B’  schedule  property  by

the deceased first defendant,  which  property  has  been  devolved  in  his

favour, to the notice of this Court as provided under Order 22  Rule  10  of

the C.P.C. and defended his right as required under the law as laid down  by

this Court in a catena of cases. In the case of Dhurandhar Prasad  Singh  v.

Jai Prakash University & Ors.[1], this Court has interpreted Order  22  Rule

10 of the C.P.C. after adverting to its earlier  decision  in  the  case  of

Rikhu Dev Chela Bawa Harjug Dass v. Som Das (deceased) Through Chela  Shiama

Dass[2] in support of the proposition of  law  that  the  trial  of  a  suit

cannot be brought to an end merely because the interest of a  party  in  the

subject-matter of the suit has devolved upon another during the pendency  of

the suit but that suit may be continued against  the  person  acquiring  the

interest with the leave of the court. The relevant paragraph from  the  said

decision of Dhurandhar Prasad Singh case (supra) reads thus:

“9. In the case of Rikhu Dev, Chela Bawa  Harjug  Dass  v.  Som  Dass  while

considering the effect of devolution  of  interest  within  the  meaning  of

Order 22 Rule 10 of the Code, on the trial of a suit  during  its  pendency,

this Court has laid down the law which runs thus:

 

“8. This rule is based on the principle that  trial  of  a  suit  cannot  be

brought to an end merely because the interest of a  party  in  the  subject-

matter of the suit has devolved upon another  during  the  pendency  of  the

suit but that suit  may  be  continued  against  the  person  acquiring  the

interest with the leave of the court. When a suit is brought by  or  against

a person in a representative capacity and  there  is  a  devolution  of  the

interest of the representative, the rule that has to be applied is Order  22

Rule 10 and not Rule 3 or  4,  whether  the  devolution  takes  place  as  a

consequence of death or for any other  reason.  Order  22  Rule  10  is  not

confined to devolution of interest of a party by death; it also  applies  if

the head of the mutt or manager of the  temple  resigns  his  office  or  is

removed from office. In such a case the successor to the head  of  the  mutt

or to the manager of the temple may be substituted as  a  party  under  this

rule.”

                                               (emphasis laid by this Court)

 

Likewise, where the interest of the second defendant has devolved  upon  the

suit schedule ‘B’ property on the basis of the alleged  gift  deed  referred

to supra, the suit may be continued against such second  defendant  and  for

the sake of continuance of the suit  against  the  persons  upon  whom  such

interest has devolved during the pendency of the suit, leave  of  the  court

has to be obtained. Leave can be obtained only  by  that  person  upon  whom

interest has devolved during the pendency of the suit, otherwise, there  may

be preposterous results, as such a party might be  unaware  of  the  pending

litigation and the same would not be consequently feasible.  If  a  duty  is

cast upon him then in such an eventuality he is bound by the decree even  in

case of failure to apply for leave. Therefore, as a rule  of  prudence,  the

initial duty lies upon the person on whom  such  an  interest  has  devolved

upon any such property to apply for leave of the court in  case  the  factum

of devolution was within his knowledge or  with  due  diligence  could  have

been known by him.

 

The factum of the said alleged gift deed was not made known  to  this  Court

by the second defendant who is the beneficiary of the said  gift  deed  till

the last stage of conclusion of submission by the learned counsel.  Reliance

has been placed upon the decision of this Court in the  case  of  Dhurandhar

Prasad Singh (supra) at paras 6, 7 and 8  with  regard  to  the  above  said

proposition  of  law,  the  relevant  paras  from  the  above  judgment  are

extracted hereunder:

 

“6. In order to appreciate the points involved, it  would  be  necessary  to

refer to the provisions of Order 22 of the  Code,  Rules  3  and  4  whereof

prescribe procedure in case of devolution of interest  on  the  death  of  a

party to a suit. Under these Rules,  if  a  party  dies  and  right  to  sue

survives, the court on an application made in that  behalf  is  required  to

substitute legal representatives of the deceased party for  proceeding  with

a suit but if such an application is not filed within  the  time  prescribed

by law, the suit shall abate so far as  the  deceased  party  is  concerned.

Rule 7 deals with the case of creation  of  an  interest  in  a  husband  on

marriage and Rule 8 deals with the case of assignment on the  insolvency  of

a plaintiff.  Rule  10  provides  for  cases  of  assignment,  creation  and

devolution of interest during the  pendency  of  a  suit  other  than  those

referred to in the foregoing Rules and is based on the  principle  that  the

trial of a suit cannot be brought to an end merely because the  interest  of

a party in the subject-matter of the suit has devolved upon  another  during

its pendency but such a suit may be continued with the leave  of  the  court

by or against the person upon whom such interest has devolved.  But,  if  no

such step is taken, the suit may be continued with the  original  party  and

the person upon whom the interest has devolved will  be  bound  by  and  can

have the benefit of the decree……..

 

7. Under Rule 10 Order 22 of the Code, when there has been a  devolution  of

interest during the pendency of a suit,  the  suit  may,  by  leave  of  the

court, be continued by or  against  persons  upon  whom  such  interest  has

devolved and this entitles the person who has acquired an  interest  in  the

subject-matter of the litigation by an assignment or creation or  devolution

of interest pendente lite or suitor  or  any  other  person  interested,  to

apply to the court for leave to continue the suit. But it  does  not  follow

that it is obligatory upon them to do so.  If  a  party  does  not  ask  for

leave, he takes  the  obvious  risk  that  the  suit  may  not  be  properly

conducted by the plaintiff on record, [pic]and yet, as pointed out by  Their

Lordships of the Judicial Committee in Moti Lal v. Karrabuldin  he  will  be

bound by the result of the litigation even though he is not  represented  at

the hearing unless  it  is  shown  that  the  litigation  was  not  properly

conducted by the original party or he colluded with  the  adversary.  It  is

also plain that if the person who has acquired an  interest  by  devolution,

obtains leave to carry on the suit, the suit in  his  hands  is  not  a  new

suit, for, as Lord Kingsdown of the Judicial Committee said in Prannath  Roy

Chowdry v. Rookea Begum,  a  cause  of  action  is  not  prolonged  by  mere

transfer of the title. It is the old suit carried on at his instance and  he

is bound by all proceedings up to the stage when he obtains leave  to  carry

on the proceedings.

 

8. The effect of failure to seek leave or bring on record  the  person  upon

whom the interest has devolved during the  pendency  of  the  suit  was  the

subject-matter of consideration before this Court in various  decisions.  In

the case of Saila Bala Dassi  v.  Nirmala  Sundari  Dassi  T.L.  Venkatarama

Aiyar, J., speaking for himself and on behalf of S.R.  Das,  C.J.  and  A.K.

Sarkar and Vivian Bose, JJ. laid down the law that  if  a  suit  is  pending

when the transfer in favour of a party was made, that would not  affect  the

result when no application had been made to be brought on the record in  the

original court during the pendency of the suit.”

                                               (emphasis laid by this Court)

 

 

     The legal principles laid down in the  aforesaid  paragraphs  from  the

judgment referred to supra would clearly go to  show  that  this  Court  has

laid down the legal principle to the effect that the absence  of  any  leave

sought by the second defendant on the ground that his interest has  devolved

upon the schedule ‘B’ property of the deceased-first  defendant,  would  not

affect the relief sought  by  the  plaintiff  during  the  pendency  of  the

proceedings before this Court when no application has been submitted  either

by the plaintiff or by the second defendant in this regard.

 

 

 

The legality of the alleged gift deed  executed  in  favour  of  the  second

defendant by the deceased-first defendant in respect  of  the  schedule  ‘B’

property has been further examined by us and the same is hit by  Section  52

of the of the Transfer of Property Act, 1882, in the light of  the  decision

of this Court in the case of  Jagan  Singh  v.  Dhanwanti[3],  wherein  this

Court has laid down the  legal  principle  that  under  Section  52  of  the

Transfer of Property Act, 1882, the ‘lis’  continues  so  long  as  a  final

decree or order has  not  been  obtained  from  the  Court  and  a  complete

satisfaction  thereof  has  not  been  rendered  to  the   aggrieved   party

contesting the civil suit. It has been further held by this  Court  that  it

would be plainly impossible that any action or suit could be  brought  to  a

successful termination  if  alienations  pendente  lite  were  permitted  to

prevail. The relevant paras of the aforesaid decision read thus:

 

“32. The broad principle underlying Section 52 of the TP Act is to  maintain

the status quo unaffected by the act of any party to the litigation  pending

its determination. Even after the  dismissal  of  a  suit,  a  purchaser  is

subject to lis pendens, if  an  appeal  is  afterwards  filed,  as  held  in

Krishanaji  Pandharinath  v.  Anusayabai.  In  that  matter  the  respondent

(original plaintiff) had filed a suit for maintenance  against  her  husband

and claimed a charge on his house.  The  suit  was  dismissed  on  15-7-1952

under Order 9 Rule 2, of the Code of Civil Procedure, 1908  for  non-payment

of process fee. The husband sold the house  immediately  on  17-7-1952.  The

respondent [pic]applied for restoration  on  29-7-1952,  and  the  suit  was

restored leading to a decree for maintenance and a charge  was  declared  on

the house.  The  plaintiff  impleaded  the  appellant  to  the  darkhast  as

purchaser. The appellant resisted the same by contending that the  sale  was

affected when the suit was dismissed.  Rejecting  the  contention  the  High

Court held in para 4 as follows:

 

 

 

“… In Section 52 of the Transfer of Property Act, as it stood before it  was

amended by Act 20 of 1929, the expression ‘active prosecution  of  any  suit

or proceeding’ was used. That expression  has  now  been  omitted,  and  the

Explanation makes it abundantly clear that the ‘lis’ continues so long as  a

final decree or order  has  not  been  obtained  and  complete  satisfaction

thereof has not been rendered. At p. 228 in Sir  Dinshah  Mulla’s  ‘Transfer

of Property Act’, 4th Edn., after referring to several authorities, the  law

is stated thus:

 

 

 

‘Even after the  dismissal  of  a  suit  a  purchaser  is  subject  to  “lis

pendens”, if an appeal is afterwards filed.’If  after  the  dismissal  of  a

suit and before an appeal  is  presented,  the  ‘lis’  continues  so  as  to

prevent the defendant from transferring the property  to  the  prejudice  of

the plaintiff, I fail to see any reason for holding that  between  the  date

of dismissal of the suit under Order 9 Rule 2 of the  Civil  Procedure  Code

and the date of its restoration, the ‘lis’ does not continue.’

 

 

 

33. It is relevant to note that even when Section 52 of the TP Act  was  not

so amended, a Division Bench of the Allahabad High Court  had  following  to

say in Moti Chand v. British India Corpn. Ltd.:

 

 

 

“… The provision of law which has been relied  upon  by  the  appellants  is

contained in Section 52, TP Act. The  active  prosecution  in  this  section

must be deemed to continue so long as the suit is pending in  appeal,  since

the proceedings in the appellate court are merely continuation of  those  in

the suit.”

 

 

 

34. If such a view is not taken, it would plainly  be  impossible  that  any

action or suit could be brought to a successful termination  if  alienations

pendente lite were permitted to prevail. The  Explanation  to  this  section

lays down that the pendency of a suit or a proceeding  shall  be  deemed  to

continue until the suit or a proceeding is disposed of by a final decree  or

order, and complete satisfaction or discharge of such decree  or  order  has

been obtained or has become unobtainable by reason of the expiration of  any

period of limitation prescribed for the execution thereof  by  any  law  for

the time being in force.

 

 

 

35. In the present case, it would be canvassed on behalf of  the  respondent

and the applicant that the sale has taken place in favour of  the  applicant

at a time when there was no stay operating against such sale,  and  in  fact

when the [pic]second appeal had not been filed. We would however, prefer  to

follow the dicta in Krishanaji Pandharinath to cover the  present  situation

under the principle of lis pendens since the sale was  executed  at  a  time

when the second appeal had not  been  filed  but  which  came  to  be  filed

afterwards within the period of limitation. The doctrine of lis  pendens  is

founded in public policy and equity, and if it has to be  read  meaningfully

such a sale as in the present  case  until  the  period  of  limitation  for

second appeal is over will have to be held as covered under  Section  52  of

the TP Act.”

 

                                               (emphasis laid by this Court)

 

 

 

 

 

Notwithstanding the above legal principle, we  have  examined  the  legality

and validity of the alleged  gift  deed.  The  recital  of  the  gift  deed,

particularly, the recital clause 2 is extracted hereunder:

“2. That since the physical possession of the said property is already  with

the Donee hence the proprietary possession of the same is being handed  over

by the Donor unto the Donee who shall enjoy the same peacefully without  any

interference or disturbance of the Owner/Donor or anybody  claiming  through

him. On this the Donee shall become the absolute Owner of the said  Property

and shall be at liberty to deal with same in the manner he likes.”

 

 

A careful reading of the above recital would clearly go  to  show  that  the

physical possession of the entire suit schedule ‘B’ property could not  have

been given to the second defendant in the light of the undisputed fact  that

the physical possession of the second floor of the schedule ‘B’ property  is

with the plaintiff. Further, the plaintiff  is  in  the  possession  of  the

second floor in her independent right of  her  husband’s  share  after  they

separated from the family. Therefore, the alleged gift deed executed by  the

deceased-first defendant in  favour  of  the  second  defendant  during  the

pendency of the proceedings with respect to the suit schedule  ‘B’  property

is not legally  correct  as  it  is  the  joint  family  property  and  even

otherwise the same cannot be acted upon by the parties.

 

 

 

On the basis of the legal submissions made by the senior counsel  on  behalf

of the plaintiff, we have examined the case on merit  in  these  proceedings

based on proper appreciation of evidence on record and we  have  to  reverse

the concurrent finding  on  the  contentious  issue  no.4  for  the  reasons

recorded by us in the preceding paragraphs of  this  judgment.  Accordingly,

we set aside the concurrent finding recorded by both  the  trial  court  and

the First Appellate Court on issue no.4. We conclude that the  courts  below

have failed to exercise  their  jurisdiction  and  power  properly,  thereby

causing a grave miscarriage of justice to the rights of the  plaintiff  upon

the ‘B’ schedule property.

 

 

 

The plaintiff must succeed for one  more  alternate  reason  viz.  that  the

deceased-first defendant died during the pendency  of  the  proceedings  and

therefore, Section 8 of the Hindu  Succession  Act,  1956,  will  come  into

operation in respect of the  suit  schedule  ‘B’  property  even  if  it  is

considered that the said  property  is  a  self  acquired  property  of  the

deceased-first defendant.

 

 

Therefore, we have to record the finding of fact with respect  to  the  gift

deed and hold that the same is invalid as it is  evident  from  the  factual

and legal aspect of the  case  that  the  gift  deed  of  the  schedule  ‘B’

property was executed by the deceased  first  defendant  in  favour  of  the

second defendant during the pendency of the proceedings and the  same  could

not have been acted upon by the defendants as  the  plaintiff  has  been  in

possession of the second  floor  of  the  said  property  in  her  husband’s

independent right. The same is also not acted upon by the  parties  for  the

reason that the plaintiff has been in  physical  possession  of  the  second

floor of the ‘B’ suit schedule property and therefore, in  fact,  she  could

not have delivered the possession to the second  defendant  and  acted  upon

the same, hence, Section 8 of the Hindu Succession  Act,  1956,  would  come

into operation in respect of the above said property. The said  property  of

the deceased-first defendant would devolve upon the deceased husband of  the

plaintiff along with the second defendant and the  other  daughters  of  the

deceased-first defendant as they are the joint owners of the  said  property

by virtue of being Class I legal heirs of the  deceased-first  defendant  as

per the schedule to the Hindu Succession Act, 1956, upon the  death  of  the

first defendant. For this reason also, the plaintiff is entitled  for  1/4th

share in the suit schedule “B” property.

 

 

 

For the reasons stated above, we allow this civil appeal and assign  equally

1/4th share to the plaintiff and each one of  the  defendants  in  the  suit

schedule “B” property. The impugned  judgments  and  decree  passed  by  the

trial court and the First Appellate Court are hereby set aside,  in  so  far

as ‘B’ schedule property is concerned.  We further allow  the  plaintiff  to

retain the second floor of the property bearing No. 45, Sant Nagar, East  of

Kailash, New Delhi, till the 1/4th share of the  schedule  ‘B’  property  is

divided by metes and bounds by following the  procedure  as  provided  under

law and put her in absolute possession of  the  same.  The  trial  court  is

directed to draw up a decree in terms of this judgment along with costs.

 

 

 

 

 

 

 

 

 

 

                                                     ………………………………………………………J.

                          [V.GOPALA GOWDA]

 

 

 

 

                                                     ………………………………………………………J.

                          [C. NAGAPPAN]

 

 

New Delhi,

  July 14, 2015

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[1]     (2001) 6 SCC 534

[2]    (1976) 1 SCC 103

[3]    (2012) 2 SCC 628

 

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|REPORTABLE        |