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Wednesday, November 27, 2019

When the agreement is not that of assingment of rights by Vendees of earlier agreement of sale , he can not file a suit for specific performance of the agreement of sale = Upon considering the facts and circumstances of the present case, it is evident that there is no privity of contract between the Appellants and Respondent Nos. 1. Respondent Nos. 1 were not party to the 1986 agreement. Vice versa, the Appellants were not party to the 1987 agreements, though whether or not they had knowledge of the same is disputed. Hence Respondent Nos. 1cannot seek specific performance of the 1986 agreement, or for that matter, the 1987 agreements, against the Appellants, except by suing as ‘representatives-in-interest’ of the original vendees under Section 15(b) of the Specific Relief Act.

When the agreement is not that of assingment of rights by Vendees of earlier agreement of sale , he can not file a suit for specific performance of the agreement of sale 
=
Upon considering the facts and circumstances of the present case, it is evident that there is no privity of contract between the Appellants and Respondent Nos. 1. Respondent Nos. 1 were not party to the 1986 agreement. Vice versa, the Appellants were not party to the 1987 agreements, though whether or not they had knowledge of the same is disputed. 
Hence Respondent Nos. 1cannot seek specific performance of the 1986 agreement, or for that matter, the 1987 agreements, against the Appellants, except by suing as ‘representatives-in-interest’ of the original vendees under Section 15(b) of the Specific Relief Act. 


REPORTABLE
IN THE SUPREME COURT OF INDIA
CIVIL APPELLATE JURISDICTION
CIVIL APPEAL NOS. 10683-86 OF 2014
Kapilaben & Ors. ...Appellants
Versus
Ashok Kumar Jayantilal Sheth Through POA
Gopalbhai Madhusudan Patel & Ors. …Respondents
J U D G M E N T

MOHAN M. SHANTANAGOUDAR, J.
1. These appeals arises out of judgement of the High Court of
Gujarat at Ahmedabad dated 31.7.2014, allowing the appeals of
the respective Respondent Nos. 1 in the four Civil Appeal Nos.
10683-86 of 2014 before us (hereinafter ‘Respondent Nos. 1’),
against judgement and order of the Additional District Judge,
1
Vadodara dated 2.4.2013 and order dated 30.12.2011 of the
Additional Senior Civil Judge, Vadodara; and decreeing the suits
SCS Nos. 657-660/1988 filed by Respondent Nos. 1 for specific
performance against the Appellants herein.
I. Background Facts
2. This case concerns four suits for specific performance filed
by the Respondent Nos. 1/Plaintiffs against the
Appellants/Defendants Nos. 1-5. One Naranbhai Ramdas Patel
(Defendant No. 1, now deceased) was the original owner of
property bearing Survey No. 354/1, admeasuring 1 acre and 31
gunthas in Village Manjalpur of Vadodara district (hereinafter ‘suit
property’). He, along with Defendants Nos. 2-5 (relatives of
Defendant No. 1) executed agreement to sell dated 11.3.1986
(‘1986 agreement’) in respect of the suit property in favour of
Respondent Nos. 3-11/Defendants Nos. 6-9 (hereinafter
‘original vendees’), for which the original vendees paid earnest
money of Rs. 1,54,251. The suit property was included in Town
Planning Scheme No. 19 of the Vadodara Municipal Corporation
and possession of the suit property was to be given to the original
2
vendees once the aforesaid Scheme was finalized. A registered
sale deed in respect of the suit property was to be executed upon
receipt of the remaining consideration from the original vendees,
the deadline for which was within three months of finalization of
the Town Planning Scheme.
The case of Respondent Nos. 1 is that the original vendees
thereafter executed four agreements to sell dated 14.9.1987
(‘1987 agreements’) in respect of four different portions of the
suit property, assigning the former’s rights under the 1986
agreement in the latter’s favour, and that earnest money of Rs.
5000/- was paid under each agreement. Notably, the Appellants
were not parties to the 1987 agreements.
Under the 1987 agreements, it was purportedly open to
Respondent Nos. 1 to make preparations for construction of a
housing scheme over the suit property and issue advertisement
for the same. Hence they claim that consequently, possession of
the suit property was given to them, that a Bhoomi Pujan was
conducted for laying foundation stone on the land and the
members of the housing scheme were also registered. Further,
3
that they also obtained the layout plan and construction
permission for the housing scheme from Vadodara Municipal
Corporation at their own cost, and the deceased original owner
Mr. Naranbhai Patel had put his signature on the layout plan.
Subsequently, dispute arose between the parties, and the
original vendees filed suit SCS No. 194/1988 on 4.4.1988 before
the Learned Civil Judge (Senior Division) at Vadodara (hereinafter
‘trial court’), seeking specific performance of the 1986 agreement
against the Appellants. They claimed that they had served notice
to the Appellants on 11.3.1988 seeking execution of sale deed in
their favour, but the latter had given evasive reply to the same;
that they were deliberately avoiding execution of sale deed so as
to take advantage of increase in real estate prices. Per contra, the
Appellants claimed that they had on 25.3.1988, by way of reply to
the original vendees’ legal notice, cancelled the 1986 agreement
as the original vendees had not paid the remaining consideration
as required.
Respondent Nos. 1 were not party to SCS No. 194/1988; and
no averment was made in the said suit regarding the 1987
4
agreements. Instead, on 21.11.88, Respondent Nos. 1 filed four
separate suits SCS Nos. 657-660/1988 against the Appellants and
the original vendees seeking specific performance of the 1987
agreements. Respondent Nos. 1 alleged that the Appellants and
the original vendees were conniving with each other to deny their
rights under the 1987 agreements, so as to sell the land to a third
party in view of the increasing price of real estate in Vadodara.
The Appellants in their written statements to SCS Nos. 657-
660/1988 denied having any dealings with Respondent Nos. 1 and
also stated that the original vendees had never informed them
about the 1987 agreements. They averred that since the original
vendees had never become the legal owners of the suit property,
they did not have any right or authority to enter into any kind of
transaction qua the land with Respondent Nos. 1; and that the
plaints were concocted to usurp the land.
Both sets of suits, SCS No. 194/1988 and SCS Nos. 657-
660/1988, remained pending for a number of years. During that
period, notably, the Appellants and the original vendees acting
together executed a Power-of-Attorney dated 11.11.2001 in
5
favour of one Dhananjay Vallabhbhai Patel. It was stated in the
Power-of-Attorney that the Appellants and the original vendees
are relinquishing their rights in the suit property to Mr. Dhananjay
Patel for the purpose of executing sale deed in favour of one
Kantilal Ambalal Patel, who is the uncle of the said Dhananjay
Patel.
A. Proceedings in SCS No. 194/1988 (Original vendees’ suit)
3. The original vendees filed withdrawal pursis on 26.7.2002
seeking to unconditionally withdraw SCS No. 194/1988 on the
ground that the 1986 agreement was fraudulently registered; that
they were not aware of the identity of the true owners of the suit
property at the time of the 1986 agreement as it was executed
through a broker, that the original owners of the suit property had
not signed the agreement, nor had they received any
consideration; and the 1986 agreement was fraudulently
registered, hence no dispute could be raised regarding the suit
property. On the same day, Respondent Nos. 1 sought
impleadment as co-plaintiffs in SCS No. 194/1988.
6
The trial court by way of common order dated 22.9.2002
rejected the original vendees’ withdrawal application and allowed
the impleadment applications of Respondent Nos. 1. The High
Court in revision reversed the trial court’s order, though without
going into the merits of the claim made by Respondent Nos. 1.
The Court held that the original vendees had an absolute right to
withdraw their suit unconditionally irrespective of their
motivations for the same. Further, that it was open to Respondent
Nos. 1 to raise all available contentions in their separate suits,
including admissions, if any, made by the original vendees in their
suit SCS No. 194/1988. It was noted that Respondent Nos. 1
cannot be permitted to substitute the original vendees as
plaintiffs, as otherwise substantial amendment would be required
to the original vendees’ plaint. The special leave petitions filed by
Respondent Nos. 1 against the High Court judgement were
dismissed by this Court by order dated 16.11.2004 in SLP (Civil)
Nos. 22664-65/2004.
Respondent Nos. 1 subsequently made application in SCS
No. 658 of 2008, for revival of SCS No. 194/1988, contending that
7
the original vendees had been misled into withdrawing the latter
suit; however the application was dismissed by the trial court and
the High Court by orders dated 24.1.2008 and 25.3.2008
respectively. Hence the withdrawal of the original vendees’ suit
has attained finality.
B. Proceedings in SCS Nos. 657-660/1988 (Present suit)
4. It is relevant to note that though the original plaints in SCS
Nos. 657-660/1988 were seeking specific performance only of the
1987 agreements, Respondent Nos. 1 amended their plaints in
2005 to seek a declaration that the 1986 agreement is still in
force and that the Appellants were bound to execute the 1986
agreement on the basis of the assignment made in their favour.
The trial court by common order dated 30.12.2011 dismissed
all four suits. It rejected Respondent Nos.1/Plaintiffs’ contention
that the original vendees had withdrawn their suit SCS No.
194/1988 in collusion with the Appellants herein. This was based
on the reasoning that the High Court and this Court had, in the
8
earlier proceedings, sanctioned the unconditional withdrawal of
SCS No. 194/1988 and not made any finding of judicial
impropriety or fraud.
The trial court further found that in light of revocation of the
1986 agreement by the Appellants and withdrawal of SCS No.
194/1988 by the original vendees, it was not open to the Plaintiffs
to re-agitate for specific performance of the said agreement. That
in any case, even if the 1986 agreement was assumed to be in
force, the original vendees could not have assigned their
outstanding obligation to pay the remaining consideration without
the written consent of the original owner i.e., Defendant No. 1
Naranbhai. Since the 1987 agreements and the 1986 agreement
were not ad idem, and new conditions were laid down in the 1987
agreements, such consent was indispensable.
That neither of the Appellants had given any such consent,
either verbally or by conduct; nor was there any evidence that the
original vendees had paid the remaining consideration to the
Appellants, such that the former’s rights under the 1986
agreement had fortified and consequently passed on to the
9
Plaintiffs under the 1987 agreements. Therefore the 1987
agreements were void, illegal and unenforceable. Further, that
the 1987 agreements were also vague and unenforceable
inasmuch as the suit property was not specifically defined therein.
The trial court additionally held that the Plaintiffs had not
taken any steps, such as depositing the remaining consideration
owed by the original vendees, or paying betterment tax as per
the terms of the 1987 agreements, to show that they themselves
were ready and willing to perform the contracts. Hence this was
not a fit case to grant either specific performance or damages,
though Respondent Nos. 1 were held entitled to return of the
earnest money paid by them with interest.
The Learned Additional District Judge, Vadodara by
judgement dated 2.04.2013 affirmed the trial court’s findings. It
was re-emphasized that a party to a contract cannot assign their
obligations thereunder without the other party’s consent. There
was nothing on record to show that the Appellants had given such
consent. In any case, since the original vendees had never shown
their readiness and willingness to pay the balance consideration
10
due by them, no right of specific performance had accrued in
their favour. Further, that the original vendees had anyway
waived their rights by withdrawing their suit in SCS No. 194/1988.
Hence the question of assignment of such a right to Respondent
Nos. 1, such that they could claim specific performance of the
1986 agreement as representatives-in-interest of the original
vendees under Section 15(b) of the Specific Relief Act, 1963
(‘Specific Relief Act’) did not arise.
However, the High Court in the impugned judgement found
that there was a definite linkage between the 1986 agreement
and the 1987 agreements such that there was a valid assignment
of rights in favour of Respondent Nos.1, which made them
‘representatives-in-interest’ of the original vendees for the
purpose of Section 15(b) of the Specific Relief Act. The High Court
reasoned that since all the material rights under the 1986
agreement were assigned under the 1987 agreements,
supplementary conditions specified in the latter did not change
the nature of the basic contract.
11
Further, that reading Sections 40 and 54 of the Transfer of
Property Act, 1882 (‘Transfer of Property Act’) and Section 15(b)
of the Specific Relief Act together, the ‘interest’ assignable under
Section 15(b) need not be an interest in the property or a charge
created in the property. A contractual interest in the form of an
obligation annexed to ownership of the property may also be
assignable. It was discernible from the facts and evidence on
record that the Appellants had given implied consent for such
assignment. Mr. Naranbhai Patel’s signature on planning
permissions and his presence at the Bhoomi Pujan ceremony
were taken as proof that the original owners had consented to the
involvement of Respondent Nos. 1 in developing a housing
scheme on the suit property. Therefore, it was found that the
1986 agreement remained alive, and the rights derived therefrom
in favour of the original vendees were validly assigned under the
1987 agreements.
Additionally, since the High Court and this Court had clarified
while sanctioning withdrawal of SCS No. 194/1988 that such
withdrawal would not preclude Respondent Nos. 1 from pursuing
12
their independent remedies, the withdrawal of the original
vendees’ suit could not prejudice the rights of Respondent Nos. 1
to specific performance. That actual tendering of money was not
necessary to evince readiness and willingness to perform the
contract as required under Section 16(c) of the Specific Relief Act,
and the specific averments made in the pleadings by Respondent
Nos. 1 would suffice.
It may be relevant to note at this juncture that the High
Court by interim order dated 27.6.2013 had directed Respondent
Nos. 1 to deposit an amount equal to five times the amount of
original consideration under the 1987 agreements, and
Respondent Nos. 1 have submitted that they are ready and willing
to forfeit the entire amount deposited in respect of the relief of
specific performance, so as to balance equities between the
parties.
We further note from the order sheets maintained by this
Court that the parties have been directed to maintain status quo
during the pendency of the appeal and no steps have been taken
for the execution of the impugned judgement.
13
II. Issues and Submissions made by the Parties
5. Therefore, upon a perusal of the entire record, the following
issues arise for our consideration:
Firstly, whether there was a valid assignment of rights by the
original vendees in favour of Respondent Nos. 1 under the 1987
agreements?
Secondly, whether the right of Respondent Nos. 1 to seek
specific performance survives subsequent to the cancellation of
the 1986 agreement by the Appellants and withdrawal of suit in
SCS No. 194/1988 by the original vendees?
Thirdly, whether relief may be granted to Respondent Nos. 1,
and if so, of what nature?
6. Learned senior counsel for the Appellants, Mr. Ranjit Kumar
argued that there was no privity of contract between the
Appellants and Respondents Nos. 1 in the respective appeals.
That the 1987 agreements were contingent contracts under
Section 31 of the Indian Contract Act, 1872 (‘Contract Act’), as the
rights therein could only be enforced upon the completion of the
1986 agreement, and the interest created under the 1987
14
agreements was also a ‘contingent interest’ under Section 21 of
the Transfer of Property Act. Since the 1986 agreement was
cancelled, Respondent Nos. 1 could not seek specific performance
of the 1987 agreements.
Further, that the purported ‘assignment’ under the 1987
agreements practically amounted to a novation of the 1986
agreement, and the Appellants had not accorded any consent for
such an assignment. Even if such an assignment had taken place,
there was no evidence to show that Respondent Nos. 1 were
ready and willing to perform their contractual obligations.
Respondent Nos. 1 had never communicated their willingness to
complete their contractual obligations under the 1986 agreement
to the Appellants.
Per contra, learned senior counsel for Respondent No. 1, Mr.
C.U. Singh argued that the Appellants i.e. the landowners were
colluding with the original vendees to avoid sale of the suit
property, as evidenced by the fact that the original vendees had
not contested the suit at any point of time. He brought to this
Court’s notice that there could not have been a termination of the
15
1986 agreement in 1988 given that in the Power-of-Attorney
dated 11.11.2001 (supra) executed by Defendant Nos. 1-9 (the
Appellants and the original vendees) in favour of Mr. Dhananjay
Patel, it is stated that the original vendees have acquired rights in
the suit property under the 1986 agreement. It is not open to the
Appellants to accept the existence of the 1986 agreement in the
Power-of-Attorney and reject it for the purpose of these suits.
He further relied upon this Court’s decisions in Shyam
Singh v. Daryao Singh (Dead) By LRs. and Others, (2003) 12
SCC 160, Ram Baran Prasad v. Ram Mohit Hazra and
Others, AIR 1967 SC 744 and Habiba Khatoon v. Ubaidul Huq
and others, (1997) 7 SCC 452 to argue that no implied
prohibition can be read into the 1986 agreement against
assignability of the interest therein. The requirement of consent
of the other party for assignment under Section 15(b) of the
Specific Relief Act is only applicable in cases where the obligation
is of a personal nature or where there is an express bar in the
contract prohibiting such assignment of interest. Further, that in
any case, the original owner Naranbhai Patel’s conduct in
16
arranging for development permissions and consenting to
publication of advertisement regarding development of housing
scheme in the suit property shows that there was implied consent
for assignment of rights under the 1986 agreement in favour of
Respondent Nos. 1.
III. Validity of Assignment of Rights under 1987
Agreements.
A. General principles governing assignability of contracts
7. Upon considering the facts and circumstances of the present
case, it is evident that there is no privity of contract between the
Appellants and Respondent Nos. 1. Respondent Nos. 1 were not
party to the 1986 agreement. Vice versa, the Appellants were not
party to the 1987 agreements, though whether or not they had
knowledge of the same is disputed. Hence Respondent Nos. 1
cannot seek specific performance of the 1986 agreement, or for
that matter, the 1987 agreements, against the Appellants, except
by suing as ‘representatives-in-interest’ of the original vendees
under Section 15(b) of the Specific Relief Act. Section 15(b)
provides that:
17
“15. Who may obtain specific performance.—
Except as otherwise provided by this Chapter, the
specific performance of a contract may be obtained by

…(b) the representative in interest or the principal, of
any party thereto: Provided that where the learning,
skill, solvency or any personal quality of such party is a
material ingredient in the contract, or where the
contract provides that his interest shall not be
assigned, his representative in interest or his principal
shall not be entitled to specific performance of the
contract, unless such party has already performed his
part of the contract, or the performance thereof by his
representative in interest, or his principal, has been
accepted by the other party…”
It is well-settled that the term ‘representative-in-interest’
includes the assignee of a contractual interest. Though the
provisions of the Contract Act do not particularly deal with the
assignability of contracts, this Court has opined time and again
that a party to a contract cannot assign their obligations/liabilities
without the consent of the other party. A Constitution Bench of
this Court in Khardah Company Ltd v. Raymon & Co (India)
Private Ltd., AIR 1962 SC 1810 has laid out this principle as
follows:
“…An assignment of a contract might result by transfer
either of the rights or of the obligations thereunder. But
18
there is a well-recognised distinction between these
two classes of assignments. As a rule obligations under
a contract cannot be assigned except with the consent
of the promisee, and when such consent is given, it is
really a novation resulting in substitution of liabilities.
On the other hand, rights under a contract are
assignable unless the contract is personal in its nature
or the rights are incapable of assignment either under
the law or under an agreement between the parties.”
(emphasis supplied)
In Khardah Company, the Appellant jute manufacturers
were entitled to receive price for the jute from the buyer/dealer of
jute only upon delivery of certain shipping documents. Question
arose as to whether such an obligation coupled with a benefit was
assignable. This Court held, based on the above-mentioned
principle, that the terms of the contract strongly implied that the
rights thereunder are non-transferable.
Similarly, in Indu Kakkar v. Haryana State Industrial
Development Corporation Ltd. and Another, (1999) 2 SCC
37, the Respondent Corporation allotted certain land subject to
the condition that the allottee shall complete construction of a
building unit on the plot within a period of two years. Upon the
allottee’s failure to comply with the said condition, the
Respondent resumed the land. The allottee filed a civil suit
19
challenging the resumption order, during the pendency of which
he assigned his rights in the plot to the Appellant. The issue was
whether such an assignee could challenge the resumption order.
A two-judge Bench of this Court held, in reliance upon Khardah
Company (supra), that:
“19.…Answer of the said question depends upon the
terms of allotment. Assignment by act of parties may
cause assignment of rights or of liabilities under a
contract. As a rule a party to a contract cannot transfer
his liabilities under the contract without consent of the
other party. This rule applies both at the Common Law
and in Equity (vide para 337 of Halsbury’s Laws of
England, Fourth Edition, Part 9). Where a contract
involves mutual rights and obligations an assignee of a
right cannot enforce that right without fulfilling the corelative obligations.”
(emphasis supplied)
8. Even in a case of assignment of rights simplicitor, such
assignment would necessarily require the consent of the other
party to the contract if it is of a ‘personal nature’. This is
elucidated by learned authors Pollock and Mulla in their
commentary on The Indian Contract and Specific Relief Acts (R.
Yashod Vardhan, and Chitra Narayan eds., 15th edn., Vol. I) at
page 730:
20
“A contract which is such that the promisor must
perform it in person, viz. involving personal
considerations or personal skill or qualifications (such
as his credit), are by their nature not assignable. The
benefit of contract is assignable in ‘cases where it can
make no difference to the person on whom the
obligation lies to which of two persons he is to
discharge it.’ The contractual rights for the payment of
money or to building work, for e.g., do not involve
personal considerations.” (emphasis supplied)
9. It is true that Section 15(b) of the Specific Relief Act does not
specifically state that ‘obligations’ may not be assigned except
with the consent of the other party. However a reading of Section
15(b) shows that it is nothing but a statutory formulation of the
ratio laid down in the above-mentioned precedents. The rule
stated in Section 15(b) is that any interest in a contract can be
specifically enforced by the assignee thereof, except where the
‘personal quality’ of the party is a material ingredient in the
contract; or where the contract, expressly or by necessary
implication, prohibits the beneficiary from transferring their
contractual interest to third parties. Hence Section 15(b) does not
contradict the general law on assignability of contracts as laid
down by this Court, but rather clarifies that the same conditions
21
will have to be satisfied if an assignee seeks to secure specific
performance of the assigned contract.
Therefore, for example, a contract for a singing performance
or a painting may not be assignable as it involves a personal skill
and even if it is assigned, the assignee cannot seek specific
performance in respect of such a contract. Whereas it may be
said that general contracts for payment of money or building work
do not involve any personal considerations, as it makes no
difference as to who discharges the obligation to pay or perform a
certain act under the contract. Hence the assignees of parties to
such contracts may seek specific performance.
10. It is important to note that in the modern context where
parties frequently enter into complex commercial transactions, it
is perhaps not so convenient to pigeonhole contracts as being
either ‘general’ or of ‘personal nature’ or as involving the
assignment of purely ‘rights’ or ‘obligations’. It is possible that a
contract may involve a bundle of mutual rights and obligations
which are intertwined with each other. However, as this Court has
held in Indu Kakkar (supra), the same rule as laid down in
22
Khardah Company (supra) and as stated in Section 15(b) of the
Specific Relief Act, may be applied to such contracts as well.
Where the conferment of a right or benefit is contingent upon, or
coupled with, the discharge of a burden or liability, such right or
benefit cannot be transferred without the consent of the person to
whom the co-extensive burden or liability is owed.
It further has to be seen whether conferment of benefits
under a contract is based upon the specific assurance that the coextensive obligations will be performed only by the parties to the
contract and no other persons. It would be inequitable for a
promisor to contract out his responsibility to a stranger if it is
apparent that the promisee would not have accepted
performance of the contract had it been offered by a third party.
This is especially important in business relationships where the
pre-existing goodwill between parties is often a significant factor
influencing their decision to contract with each other. This
principle is already enshrined in Section 40 of the Contract Act:
“40. Person by whom promise is to be performed.
—If it appears from the nature of the case that it was
the intention of the parties to any contract that any
promise contained in it should be performed by the
23
promisor himself, such promise must be performed by
the promisor. In other cases, the promisor or his
representative may employ a competent person to
perform it.”
It is clear from the above that the promisor ‘may employ a
competent person’, or assign the contract to a third party as the
case may be, to perform the promise only if the parties did not
intend that the promisor himself must perform it. Hence in a case
where the contract is of personal nature, the promisor must
necessarily show that the promisee was agreeable to
performance of the contract by a third person/assignee, so as to
claim exemption from the condition specified in Section 40 of the
Contract Act. If the promisee’s consent is not obtained, the
assignee cannot seek specific performance of the contract.
B. Application of the above principles to the present case
11. Hence, in light of the above discussion, whether or not an
assignee can seek specific performance would depend upon the
construction of the contract in each case. The Court would have
to determine the nature of interest sought to be transferred,
whether such interest was meant to be enforceable only between
24
the parties to the contract and whether the contract expressly or
by necessary implication bars assignment of such interest.
In the present case, the 1986 agreement provided that the
Appellants shall execute sale deed in favour of the original
vendees or ‘name proposed by the vendee’ subject to the
assurance that the latter would pay the remaining consideration
and betterment tax within the stipulated time, and that the
former would obtain the necessary permissions for construction
on the suit property.
We are of the opinion that the term ‘name proposed by the
vendee’ in the 1986 agreement refers to a nominee to be
proposed at the time of execution of the sale deed and not a
subsequent assignee. At the same time, it is true the 1986
agreement does not contain any express bar against
assignability. The question which arises then is whether the
purported assignment in favour of Respondent Nos. 1 under the
1987 agreements is legally valid.
The decisions in Shyam Singh (supra) and Ram Baran
Prasad (supra) relied upon by Respondent Nos. 1 will not help
25
their case as this Court found on the particular facts of those
cases that the terms of the contracts in those cases did not
implicitly bar assignment. These decisions cannot be taken to lay
down a blanket rule that in every case where there is no express
bar against assignability stipulated in the contract, assignment of
the interest therein should be upheld without looking at the
context in which the parties contracted with each other. It has to
be seen whether the terms of the contract, and the circumstances
in which the contract was entered into, lead to an inference that
the parties did not intend to make their interest therein
assignable. This is the principle of law as authoritatively stated
by the Constitution Bench in Khardah Company (supra):
“…We agree that when a contract has been reduced to
writing we must look only to that writing for
ascertaining the terms of the agreement between the
parties but it does not follow from this that it is only
what is set out expressly and in so many words in the
document that can constitute a term of the contract
between the parties. If on a reading of the document as
a whole, it can fairly be deduced from the words
actually used therein that the parties had agreed on a
particular term, there is nothing in law which prevents
them from setting up that term. The terms of a contract
can be expressed or implied from what has been
expressed. It is in the ultimate analysis a question of
construction of the contract. And again it is well
26
established that in construing a contract it would be
legitimate to take into account surrounding
circumstances. Therefore on the question whether
there was an agreement between the parties that the
contract was to be non-transferable, the absence of a
specific clause forbidding transfer is not conclusive.
What has to be seen is whether it could be held on a
reasonable interpretation of the contract, aided by such
considerations as can legitimately be taken into
account that the agreement of the parties was that it
was not to be transferred. When once a conclusion is
reached that such was the understanding of the parties,
there is nothing in law which prevents effect from being
given to it.”
 (emphasis supplied)
12. Section 40 of the Transfer of Property Act states that a
contract for sale of immovable property is a contract that “a sale
shall take place on terms settled between the parties”. It is a
settled position that such a contract does not by itself create any
interest in or charge on the property. The buyer only obtains a
right to get the sale deed executed, upon fulfilment of the
applicable terms and conditions as consented to by all the parties.
Hence the 1986 agreement, being an agreement to sell the suit
property, is a clear case of a contract combining mutual rights
and obligations. The original vendees were to obtain the right to
27
get the sale deed executed in respect of the suit property upon
fulfilment of the conditions specified in the 1986 agreement.
The 1987 agreements purport to assign the aforesaid rights
and obligations of the original vendees in favour of Respondent
Nos. 1/ Plaintiffs. Upon comparison of the 1986 agreement and
the 1987 agreements, we find that the 1987 agreements amount
to nothing but a substitution of liabilities wherein Respondent
Nos. 1 have assumed the same obligations which the original
vendees were supposed to have performed under the 1986
agreements. This includes not only the obligation to pay
betterment tax but also the obligation to reimburse the cost of
acquiring planning permissions and to get the suit property
levelled for the purpose of construction.
Additionally, the 1987 agreements also provide that the
plaintiffs can prepare the scheme for construction of housing
society on the suit property, get the members of the society
registered and execute agreements with them, and publish
advertisement boards regarding the scheme. Hence this is not a
case of assignment of agreement for sale simplicitor, but
28
assignment of what is akin to a development agreement for a
housing scheme on the suit property. A contract of this nature is
ordinarily based upon certain personal understanding between
the parties regarding the course of business to be undertaken on
the suit property.
It is not disputed that the original vendees had not fulfilled
their obligations under the 1986 agreement prior to the purported
‘assignment’ under the 1987 agreements. Hence they had not
‘performed their part of the contract’ as required under Section
15(b) of the Specific Relief Act. Applying the law as stated above,
the assignment of such a contract cannot be enforced without
proving that it was with the knowledge and consent of the original
owners/Appellants.
13. It is further relevant to note that under the 1987
agreements, payment of the remaining consideration amount is
to be made to the original vendees, not the Appellants, and
possession of the suit property is to be handed over by the
original vendees. Even the consideration to be paid was twice the
rate as specified in the 1986 agreement. The 1987 agreements
29
nowhere provide for discharge of the original vendees’ pending
obligations towards the Appellants by Respondent Nos. 1. Hence
we are inclined to accept the Appellants’ argument that the 1987
agreements were not a case of assignment but appear to be
independent agreements for sale which were contingent on the
execution of the 1986 agreement. Therefore, the only way
Respondent Nos. 1 can seek specific performance of the 1986
agreement against the Appellants is by proving the Appellants’
knowledge of and consent to transfer of the original vendees’
rights and liabilities to Respondent Nos. 1.
14. It is true that Section 15(b) does not stipulate in what form
the promisee’s ‘acceptance’ of performance by a representativein-interest of the promisor should be communicated. It may be
either through express written consent, or implied from the
actions of the promisee; though as a matter of caution, the former
mode of acceptance would inevitably have higher evidentiary
value. However in the present case, as the trial court and the
Learned District Judge have rightly appreciated on facts, we do
not find that the Appellants have either by words or by conduct,
30
consented to the assignment of the 1986 agreement in favour of
Respondent Nos. 1.
The mere fact that the original owner Mr. Naranbhai Patel
signed the development permissions for the suit property and
may have been present at the Bhoomi Pujan does not indicate
that he consented to assignment of the 1986 agreement. The
1986 agreement stipulated that the original owners would give
their signatures for obtaining necessary permissions for the
proposed development on the suit property. Hence, as the trial
court has rightly noted, Mr. Naranbhai Patel was only carrying out
his contractual obligation as he had promised to the original
vendees. This does not indicate that he was under the impression
that the said permissions were now to be obtained for the benefit
of Respondent Nos. 1.
It is pertinent to note that Respondent Nos. 1 conceded
before the trial court that the Appellants had given their
signatures on the layout plan for the housing scheme on the suit
property to the original vendees, not to Respondent Nos. 1. Even
the advertisement regarding the ‘Unnati Park’ housing scheme
31
nowhere indicates that the Appellants/original owners were
developing the project on the suit property in partnership with
Respondent Nos. 1.
Thus we conclude that there was no valid assignment of
rights flowing from the 1986 agreement to Respondent Nos. 1,
and they cannot seek specific performance against the
Appellants.
IV. Whether the Plaintiffs are entitled to Specific
Performance?
15. Having found that Respondent Nos. 1 cannot seek specific
performance of the 1986 agreement, it may be considered
whether they can seek any remedy qua the 1987 agreements as
against the Appellants and the original vendees. Since there is no
privity of contract between the Appellants and Respondent Nos. 1
there no longer remains any question of granting specific
performance as against the former.
16. Further, as noted above, the terms of the 1987 agreements
indicate that they are contingent contracts, as defined under
Section 31 of the Contract Act:
32
“31. “Contingent contract” defined.—A “contingent
contract” is a contract to do or not to do something, if
some event, collateral to such contract, does or does
not happen.”
Sections 32 and 35 further state that:
“32. Enforcement of contracts contingent on an
event happening.—Contingent contracts to do or not
to do anything if an uncertain future event happens,
cannot be enforced by law unless and until that event
has happened.”
“35. When contracts become void, which are
contingent on happening of specified event
within fixed time.—Contingent contracts to do or not
to do anything, if a specified uncertain event happens
within a fixed time, become void if, at the expiration of
the time fixed, such event has not happened, or if,
before the time fixed, such event becomes impossible.”
The 1987 agreements are clearly contingent contracts
inasmuch as they could only be enforced had the original vendees
obtained the right to get the sale deed executed, and taken
possession of the suit property as per the terms of the 1986
agreement. Once the 1986 agreement was cancelled by the
Appellants, the original vendees’ rights thereunder ceased to
exist.
33
17. Respondent Nos. 1 contend that the Power-of-Attorney dated
11.11.2001 (supra) in favour of Mr. Dhananjay Patel shows that
the 1986 agreement was not cancelled and that the original
vendees continued to retain their right to get the sale deed
executed in their favour. It was brought to our notice by the
Appellants that the aforesaid Power-of-Attorney was subsequently
cancelled by the original vendees on 6.6.2003, on the ground that
Mr. Dhananjay Patel had obtained the Power-of-Attorney through
misrepresentation. However, it is important to note that the
original vendees have stated in the aforesaid cancellation notice
that they have ‘joint ownership’ of the suit property. Therefore we
find some merit in the argument that the Appellants and the
original vendees are acting in collusion.
Nevertheless, regardless of what may be stated in the
Power-of-Attorney, it has to be seen whether the original vendees
have legally acquired any rights in the suit property. Respondent
Nos. 1 have admitted in their plaints that the Town Planning
Scheme was finalized prior to the 1986 agreement. Hence the
deadline stipulated under the 1986 agreement for payment of
34
remaining consideration by the original vendees, i.e., within three
months of finalization of the Scheme, has long since lapsed. Since
the original vendees never paid the remaining consideration
within the time specified in the 1986 agreement, their rights
thereunder never fructified.
Even assuming that the original vendees acquired some
interest in the suit property, the subsequent withdrawal of the
suit SCS No. 194/1988 shows that the original vendees do not
intend to enforce the 1986 agreement. The trial court has found
that though the suit property de jure vested with the concerned
government authority under the Town Planning Scheme, the de
facto possession of the property remains with the Appellants and
the original vendees have not taken possession thereof.
Furthermore, both the trial court and the learned District Judge
have on facts found that the original vendees have not shown any
readiness or willingness to pay the remaining consideration to the
Appellants. Hence since the original vendees have abandoned
their rights under the 1986 agreement, enforcement of the 1987
agreements has become virtually impossible and Respondent
35
Nos. 1 cannot seek specific performance of the latter.
Consequently the 1987 agreements are void and unenforceable
as provided under Sections 32 and 35 of the Contract Act.
18. It is relevant to note at this juncture that Respondent Nos. 1
have also pleaded that the Power-of-Attorney dated 11.11.2001
(supra) was executed in breach of the interim injunction order
issued by the trial court directing maintenance of status quo in
respect of the suit property. Hence they seek that action should
be taken against the Appellants and the original vendees under
Order XXXIX, Rule 2A of the Code of Civil Procedure, 1908 for
breach of the injunction order. However, we are in agreement
with the trial court’s findings that the Plaintiffs’ application under
Order XXXIX was moved after a delay of three years and six
months, and the said delay has not been satisfactorily explained.
Hence the application is barred by laches. In any case, since the
original vendees have revoked the Power-of-Attorney, status-quo
has been restored, and the Plaintiffs’ cause of action no longer
exists. The Learned District Judge and the High Court in the
impugned judgement have affirmed the trial court’s reasoning on
36
this aspect, and we see no reason to overturn their concurrent
findings on this matter.
It was also re-iterated before us by Respondent Nos. 1 that
the original vendees were misled into withdrawing their suit SCS
No. 194/1988 and that the same should not be binding upon the
plaintiffs. However given that the withdrawal of the suit has
attained finality before this Court, and the Trial Court and the
High Court have concurrently found in the separate application
made by the plaintiffs in SCS No. 658/1988, by orders dated
24.1.2008 and 25.3.2008 supra (respectively), that the original
vendees cannot be compelled to continue their suit against their
desire, we are not inclined to interfere with the same.
V. Alternative Remedy to be given to the plaintiffs
19. Though we have found that on facts and law, Respondent
Nos. 1 are not entitled to specific performance of the 1986 and
1987 agreements, prima facie it does appear that the Appellants
and the original vendees have colluded to frustrate performance
of the 1987 agreements. The trial court had directed the original
vendees to reimburse earnest money of Rs. 5000 paid by
37
Respondent Nos. 1 towards each of the 1987 agreements with an
interest of 9% p.a. from 14.9.1987 till the date of realization. We
are in agreement with the aforesaid direction.
With regard to the appropriate remedy to be provided to
Respondent Nos. 1, it may also be pertinent to refer to Section 53
of the Contract Act, which provides that:
“53. Liability of party preventing event on which
the contract is to take effect.—When a contract
contains reciprocal promises, and one party to the
contract prevents the other from performing his
promise, the contract becomes voidable at the option of
the party so prevented: and he is entitled to
compensation from the other party for any loss which
he may sustain in consequence of the non-performance
of the contract.”
Therefore, since the original vendees seem to have
relinquished their rights in the 1986 agreement so as to frustrate
performance of the 1987 agreements, it would be just in these
circumstances to award compensation to the Plaintiffs for the loss
of opportunity and inconvenience suffered by them. Though no
remedy is available as against the Appellants on account of
absence of privity of contract, we consider it apposite to direct
the original vendees, that is, Respondent Nos. 3-11 in the four
38
appeals, to pay Rs. 1,80,000/-, with interest at the rate of 9% per
annum from the date of the suits, as damages to the
Plaintiffs/Respondent Nos. 1 in these appeals, as prayed for in
their pleadings. We also direct the High Court to expeditiously
release and remit back the consideration amount deposited by
Respondent Nos. 1 in lieu of specific performance.
20. Hence these appeals are partly allowed, and the impugned
judgement is set aside, in the aforesaid terms.
…..…………................................J.
 (MOHAN M. SHANTANAGOUDAR)
….…………………………...............J.
 (ANIRUDDHA BOSE)
New Delhi;
November 25, 2019
39

Saturday, November 23, 2019

Whether Section 149 IPC applies ? “. … It is well settled that once a membership of an unlawful assembly is established it is not incumbent on the prosecution to establish whether any specific overt act has been assigned to any accused. In other words, mere membership of the unlawful assembly is sufficient and every member of an unlawful assembly is vicariously liable for the acts done by others either in the prosecution of the common object of the unlawful assembly or such which the members of the unlawful assembly knew were likely to be committed.” For the application of the principle of vicarious liability under Section 149 IPC what is material to establish is that the persons concerned were members of an unlawful assembly, the common object of which was to commit a particular crime. The fact that five persons were separately armed and had entered the house of the deceased during night time is clearly indicative that each one of them was a member of that unlawful assembly, the object of which was to commit the crime with which they came to be charged in question. The High Court was not justified in granting benefit to those three accused. The presence of the respondents in the house of the deceased; the fact that they were armed; the fact that all of them had entered the house around midnight and further fact that two out of those five accused used their deadly weapons to cause the death of the deceased was sufficient to attract the principles of vicarious liability under Section 149 IPC. The High Court was not justified in entertaining a doubt that it could not be ruled out that the respondents were merely named along with the other accused persons. There was absolutely no room for such doubt. The testimony of the eye witnesses namely the wife and the son, who were occupants of the same house, was quite clear and cogent.

Whether Section 149 IPC applies ?

“47. … It is well settled that once a membership
of an unlawful assembly is established it is not
incumbent on the prosecution to establish
whether any specific overt act has been assigned
to any accused. In other words, mere membership
of the unlawful assembly is sufficient and every
member of an unlawful assembly is vicariously
liable for the acts done by others either in the
prosecution of the common object of the unlawful
assembly or such which the members of the
unlawful assembly knew were likely to be
committed.”

 For the application of the principle of vicarious liability under
Section 149 IPC what is material to establish is that the persons concerned
were members of an unlawful assembly, the common object of which was
to commit a particular crime. The fact that five persons were separately
armed and had entered the house of the deceased during night time is
clearly indicative that each one of them was a member of that unlawful
assembly, the object of which was to commit the crime with which they
came to be charged in question. The High Court was not justified in
granting benefit to those three accused.
The presence of the respondents in the house of the deceased; the
fact that they were armed; the fact that all of them had entered the house
around midnight and further fact that two out of those five accused used
their deadly weapons to cause the death of the deceased was sufficient to
attract the principles of vicarious liability under Section 149 IPC.
 The High Court was not justified in entertaining a doubt that it
could not be ruled out that the respondents were merely named along with
the other accused persons. There was absolutely no room for such doubt.
The testimony of the eye witnesses namely the wife and the son, who were
occupants of the same house, was quite clear and cogent.



Crl. Appeal Nos. 1709-1710 of 2019 (@ SLP [Crl.]Nos.2497-2498 of 2019)
The State of Madhya Pradesh vs. Killu @ Kailash & Ors.
1
Reportable
IN THE SUPREME COURT OF INDIA
CRIMINAL APPELLATE JURISDICTION
 CRIMINAL APPEAL NOS. 1709-1710 OF 2019
(Arising out of Special Leave Petition (Crl.)Nos.2497-2498 of 2019)
STATE OF MADHYA PRADESH …Appellant
VERSUS
KILLU @ KAILASH AND ORS. …Respondents
J U D G M E N T
Uday Umesh Lalit, J.
1. Leave granted.
2. These Appeals question the judgment and order dated 29.06.2018
passed by the High Court of Madhya Pradesh at Jabalpur in Criminal
Appeal Nos.2676 of 2008 and 158 of 2009.
3. The basic facts as stated in the judgment under appeal are as
under:-
Crl. Appeal Nos. 1709-1710 of 2019 (@ SLP [Crl.]Nos.2497-2498 of 2019)
The State of Madhya Pradesh vs. Killu @ Kailash & Ors.
2
“3. Prosecution story, in brief is that,
accused/appellant No.4 Khushiram in Cr. Appeal
No.2678 of 2008, who is uncle [mousia] of the son of
the deceased, had some enmity with Balaprasad
Pathak [since deceased]. He along with other accused
persons entered in the house of Balaprasad Pathak in
the mid night [2 O’ clock] of 23.05.2005. Deceased
was sleeping with his family members.
Accused/appellants [in Cr.Appeal No.2678/2008]
namely; Khushiram and Himmu @ Hemchand were
armed with axe, appellant Devendra was armed with
Ballam and other two accused namely Killu @
Kailash and Kailash Nayak were armed with lathi.
Two accused persons namely; Khushiram and Himmu
@ Hemchand [appellants No.2 and 4 in Cr. Appeal
No.2676/2008] inflicted injuries by axe on the person
of deceased. Allegation against other accused persons
is of exhortation. Deceased died on the spot. Report
of the incident was lodged by (PW-5) Rameshwar
Pathak. Police conducted investigation and filed
charge-sheet. During trial, appellants abjured their
guilt and pleaded innocence. …”
4. In support of its case, the prosecution relied upon the testimony of
PW3-Prabha Rani, wife of the deceased, PW4-Devendra Kumar, son of the
deceased and PW5-Rameshwar Pathak, a relative of the deceased, who had
lodged the First Information Report (‘the FIR’, for short). It was narrated
in the FIR that after having received information about the assault, the
informant had gone to the house of the deceased where PW3 narrated the
incident to him, based on which the reporting was made by the informant.
The medical evidence was unfolded through the testimony of PW2-Dr.
Crl. Appeal Nos. 1709-1710 of 2019 (@ SLP [Crl.]Nos.2497-2498 of 2019)
The State of Madhya Pradesh vs. Killu @ Kailash & Ors.
3
R.K. Bhardwaj, who had conducted the post-mortem. He had found
following injuries on the person of the deceased:-
“(i) Incised wound over left anterior part of scalp
4”x1/2” underlaying bone and brain matter cut
inhacranial cavily pilled with blood.
(ii) Incised wound 5” x 1” x 2 1/2” uppermost part
of chest and adjoining anterior part of neck
slightly left side obliquely placed undergone and
blood vessels cut.”
According to him, the injuries were ante-mortem and the deceased
had died as a result of those injuries.
5. In due course, five accused were tried in connection with the
murder of said Balaprasad Pathak for the offence punishable under Section
302 read with Section 149 IPC in Sessions Trial No.173 of 2005 before the
First Additional Sessions Judge, Damoh, Madhya Pradesh. After
considering the evidence on record, the Trial Court concluded that all the
five accused were members of an unlawful assembly and had entered the
house of the deceased on the fateful night with the common object of
causing death of the deceased and as such, they were guilty of the offence
punishable under Section 302 read with Section 149 IPC. Holding them
guilty of the aforesaid offence, by its judgment dated 19.12.2001, the Trial
Court sentenced them to suffer life imprisonment and to pay fine in the sum
Crl. Appeal Nos. 1709-1710 of 2019 (@ SLP [Crl.]Nos.2497-2498 of 2019)
The State of Madhya Pradesh vs. Killu @ Kailash & Ors.
4
of Rs.500/- each, in default whereof, each of the convicts was to undergo
further rigorous imprisonment of three months. The view so taken by the
Trial Court was challenged by way of Criminal Appeal No.2676 of 2008 by
four accused while Criminal Appeal No.158 of 2009 was filed by accused
Kailash Nayak.
6. Insofar as accused Himmu @ Hemchand and Khushiram, who were
armed with sharp cutting weapons, the High Court found as under:-
“16. Appellants No.2 and 4 namely Himmu @
Hemchand and Khushiram were armed with axe, i.e.
deadly weapons. They inflicted blows on the vital
part of deceased as a result of which, deceased died
on the spot. Evidence of causing injury by axe is
against the appellants Himmu @ Hemchand and
Khushiram. Hence, in our opinion, the Trial Court
has rightly held the appellants guilty for commission
of offence of murder. Other three accused persons
namely; Killy @ Kailash and Devendra (appellants
No. 1 and 3 in Cr. A No. 2676/2008) and appellant
Kailash Nayak (appellant in Cr.A.No. 158/2009) have
been convicted with the aid of Section 149 of IPC.
Allegation against them is that they entered in the
house and they were armed with lathis and Ballam.
From the evidence, this fact has also been proved that
deceased was facing trial of Section 302 of IPC
because he had killed one Rammilan Pathak.”
7. The High Court further found that the other three accused were
stated to be armed with lathis and Ballam but there were no injuries which
could be associated with lathis and Ballam. The High Court, therefore,
gave benefit to said three accused as under:-
Crl. Appeal Nos. 1709-1710 of 2019 (@ SLP [Crl.]Nos.2497-2498 of 2019)
The State of Madhya Pradesh vs. Killu @ Kailash & Ors.
5
“21.From the aforesaid quoted judgment, the
principle of law is that “the member of unlawful
assembly may have committed for the offence caused
by another accused, if he has knowledge about the act
committed by the main accused”. In the present case,
evidence is that the accused entered the house of
deceased and thereafter, two accused had inflicted
blow by axe. The other accused persons did not give
any blow on the deceased. It is alleged that they were
present on the spot. There was previous enmity
between the accused persons and the deceased, he was
also facing criminal trial. Hence, it cannot be ruled
out that other three persons, who had not inflicted any
injury may have been named along with the other
accused persons.
22. Looking to the evidence on record, in our
opinion, the conviction of three appellants namely;
Killu @ Kailash, Devendra and Kailash Nayak, who
were armed with lathis and Ballam and did not inflict
any blow with the aid of Section 149 of IPC, is not
proper. There is lack of sufficient evidence to prove
them guilty for commission of offence under Section
149 of IPC beyond reasonable doubt. Hence, the
appeal filed by appellant Kailash Nayak (Cr. Appeal
No. 158/2009) is hereby allowed.
23. Cr. Appeal No.2676/2008, filed by four accused/
appellants is partly allowed. Appeal filed by
appellants No. 2 and 4 namely; Himmu @ Hemchand
and Khushiram is hereby dismissed. They are
convicted for commission of offence punishable under
Section 302 of IPC and awarded a sentence of life.
Appellant No.2 Himmu @ Hemchand is on bail. His
bail bonds are hereby cancelled. He is directed to
surrender before the Trial Court for facing remaining
jail sentence.
24. Appeal filed by the appellants No.1 and 3
namely; Killu @ Kailash and Devendra [Cr.Appeal
No.2676/2008] is hereby allowed. They are acquitted
from the charge of Section 302/149 of IPC. The
Crl. Appeal Nos. 1709-1710 of 2019 (@ SLP [Crl.]Nos.2497-2498 of 2019)
The State of Madhya Pradesh vs. Killu @ Kailash & Ors.
6
judgment passed by the trial Court in regard to
appellants No.1 and 3 namely; Killu @ Kailash and
Devendra, is hereby set aside. Appellants Killu @
Kailash, Devendra and Kailash Nayak, are on bail,
their bail bonds are hereby discharged.”
8. The State, being aggrieved by the order of acquittal of accused
Killu @ Kailash, Devendra and Kailash Nayak, has preferred the instant
appeals. We heard Mr. Varun K. Chopra, Deputy Advocate General
(Madhya Pradesh), in support of the Appeal and Mr. S.K. Shrivastava and
Mr. R.R. Rajesh, learned Advocates who appeared for three acquitted
accused.
9. Since the instant case depends upon the extent and application of
the principle of vicarious liability under Section 149 of the IPC, at the
outset, we may consider the leading case of Masalti vs. State of U.P.1
 The
submission of the appellants therein was that mere presence in an assembly
would not make a person member of an unlawful assembly unless it was
shown that he had done something or omitted to do something which
would make him a member of unlawful assembly. Reliance was placed by
said appellants on the earlier judgment of this Court in Baladin vs. State
of Uttar Pradesh2
 . The issue was dealt with as under:-
“… … The observation of which Mr. Sawhney relies,
prima facie, does seem to support his contention; but,
1 (1964)8 SCR 133
2 AIR 1956 SC 181
Crl. Appeal Nos. 1709-1710 of 2019 (@ SLP [Crl.]Nos.2497-2498 of 2019)
The State of Madhya Pradesh vs. Killu @ Kailash & Ors.
7
with respect, we ought to add that the said observation
cannot be read as laying down a general proposition
of law that unless an overt act is proved against a
person who is alleged to be a member of an unlawful
assembly, it cannot be said that he is a member of
such an unlawful assembly. In appreciating the effect
of the relevant observation on which Mr. Sawhney has
built his argument, we must bear in mind the facts
which were found in that case. It appears that in the
case of Baladin2
, the members of the family of the
appellants and other residents of the village had
assembled together; some of them shared the common
object of the unlawful assembly, while others were
merely passive witnesses. Dealing with such an
assembly, this Court observed that the presence of a
person in an assembly of that kind would not
necessarily show that he was a member of an unlawful assembly. What has to be proved against a
person who is alleged to be a member of an unlawful
assembly is that he was one of the persons
constituting the assembly ,and he entertained along
with the other members of the assembly the common
object as defined by s.141, I.P.C. Section 142 provides
that whoever, being aware of facts which render any
assembly an unlawful assembly, intentionally joins
that assembly, or continues in it, is said to be a
member of an unlawful assembly. In other words, an
assembly of five or more persons actuated by, and
entertaining one or more of the common objects
specified by the five clauses of s. 141, is an unlawful
assembly. The crucial question to determine in such a
case is whether the assembly consisted of five or more
persons and whether the said persons entertained one
or more of the common objects as specified by s.141.
While determining this question, it becomes relevant
to consider whether the assembly consisted of some
persons who were merely passive witnesses and had
joined the assembly as a matter of idle curiosity
without intending to entertain the common object of
the assembly. It is in that context that the observations
made by this Court in the case of Baladin2
 assume
significance; otherwise, in law, it would not be correct
to say that before a person is held to be a member of
Crl. Appeal Nos. 1709-1710 of 2019 (@ SLP [Crl.]Nos.2497-2498 of 2019)
The State of Madhya Pradesh vs. Killu @ Kailash & Ors.
8
an unlawful assembly, it must be shown that he had
committed some illegal overt act or had been guilty of
some illegal omission in pursuance of the common
object of the assembly. In fact, s.149 makes it clear
that if an offence is committed by any member of an
unlawful assembly in prosecution of the common
object of that assembly, or such as the members of
that assembly knew to be likely to be committed in
prosecution of that object, every person who, at the
time of the committing of that offence. is a member of
the same assembly, is guilty of that offence; and that
emphatically brings out the principle that the
punishment prescribed by s.149 is in a sense vicarious
and does not always proceed on the basis that the
offence has been actually committed by every
member of the unlawful assembly. Therefore, we are
satisfied that the observations made in the case of
Baladin2
 must be read in the context of the special
facts of that case and cannot be treated as laying down
an unqualified proposition of law such as Mr.
Sawhney suggests.”
(underlined by us)
10. After considering the cases on the point including Masalti1
, the
order of acquittal passed by the High Court was set aside by this Court in
State of Maharashtra vs. Ramlal Devappa Rathod and others3
. Relevant
paragraphs of the decision are:-
“22. We may at this stage consider the law of
vicarious liability as stipulated in Section 149 IPC.
The key expressions in Section 149 IPC are:
(a) if an offence is committed by any member of
an unlawful assembly;
3 (2015) 15 SCC 77
Crl. Appeal Nos. 1709-1710 of 2019 (@ SLP [Crl.]Nos.2497-2498 of 2019)
The State of Madhya Pradesh vs. Killu @ Kailash & Ors.
9
(b) in prosecution of common object of that
assembly;
(c) which the members of that assembly knew to
be likely to be committed in prosecution of that
object;
(d) every person who is a member of the same
assembly is guilty of the offence.
This section makes both the categories of persons,
those who committed the offence as also those who
were members of the same assembly liable for the
offences under Section 149 IPC, if other requirements
of the section are satisfied. That is to say, if an offence
is committed by any person of an unlawful assembly,
which the members of that assembly knew to be likely
to be committed, every member of that assembly is
guilty of the offence. The law is clear that
membership of unlawful assembly is sufficient to hold
such members vicariously liable.
23. It would be useful to refer to certain decisions of
this Court. In State of U.P. v. Kishanpal4
 it was
observed: (SCC p. 93, para 47)
“47. … It is well settled that once a membership
of an unlawful assembly is established it is not
incumbent on the prosecution to establish
whether any specific overt act has been assigned
to any accused. In other words, mere membership
of the unlawful assembly is sufficient and every
member of an unlawful assembly is vicariously
liable for the acts done by others either in the
prosecution of the common object of the unlawful
assembly or such which the members of the
unlawful assembly knew were likely to be
committed.”
Further, in Amerika Rai v. State of Bihar5
 it was
observed as under: (SCC p. 682, para 13)
4 (2008) 16 SCC 73
5 (2011) 4 SCC 677
Crl. Appeal Nos. 1709-1710 of 2019 (@ SLP [Crl.]Nos.2497-2498 of 2019)
The State of Madhya Pradesh vs. Killu @ Kailash & Ors.
10
“13. The law of vicarious liability under Section
149 IPC is crystal clear that even the presence in
the unlawful assembly, but with an active mind,
to achieve the common object makes such a
person vicariously liable for the acts of the
unlawful assembly.”
24. The liability of those members of the unlawful
assembly who actually committed the offence would
depend upon the nature and acceptability of the
evidence on record. The difficulty may however arise,
while considering the liability and extent of
culpability of those who may not have actually
committed the offence but were members of that
assembly. What binds them and makes them
vicariously liable is the common object in prosecution
of which the offence was committed by other
members of the unlawful assembly. Existence of
common object can be ascertained from the attending
facts and circumstances. For example, if more than
five persons storm into the house of the victim where
only few of them are armed while the others are not
and the armed persons open an assault, even unarmed
persons are vicariously liable for the acts committed
by those armed persons. In such a situation it may not
be difficult to ascertain the existence of common
object as all the persons had stormed into the house of
the victim and it could be assessed with certainty that
all were guided by the common object, making every
one of them liable. Thus when the persons forming
the assembly are shown to be having same interest in
pursuance of which some of them come armed, while
others may not be so armed, such unarmed persons if
they share the same common object, are liable for the
acts committed by the armed persons.”
11. If we now consider the facts in the present matter, the case lies in a
short compass. The case of the prosecution that five accused had entered
Crl. Appeal Nos. 1709-1710 of 2019 (@ SLP [Crl.]Nos.2497-2498 of 2019)
The State of Madhya Pradesh vs. Killu @ Kailash & Ors.
11
the house of the deceased on the fateful night is accepted. It is also found
that each one of them was separately armed and two of them were armed
with sharp cutting weapons. As far as other three accused i.e. the present
respondents were concerned, the first one had a Ballam while the other two
were having lathis. It is true that the deceased had only two injuries on the
person which were the cause of death. To the extent that the persons who
were armed with sharp cutting weapons were found responsible for causing
the death is also not disputed or challenged. The evidence on record fully
establishes that the present respondents had also accompanied those two
accused persons who were found responsible for the crime and all of them
had entered the house of the deceased around midnight. It is crucial to note
that the incident did not happen in any public place where the presence of a
non-participating accused could, at times, be labelled as that of an innocent
bystander. The role played by each one of them was clear and specific.
They had stormed into the house in the dead of the night.

12. On the strength of the principles accepted and laid down in the
cases as aforementioned, their liability is fully established. Merely because
the other three accused persons i.e. the present respondents had not used
their weapons does not absolve them of the responsibility and vicarious
liability on which the very idea of charge under Section 149 IPC is
Crl. Appeal Nos. 1709-1710 of 2019 (@ SLP [Crl.]Nos.2497-2498 of 2019)
The State of Madhya Pradesh vs. Killu @ Kailash & Ors.
12
founded. For the application of the principle of vicarious liability under
Section 149 IPC what is material to establish is that the persons concerned
were members of an unlawful assembly, the common object of which was
to commit a particular crime. The fact that five persons were separately
armed and had entered the house of the deceased during night time is
clearly indicative that each one of them was a member of that unlawful
assembly, the object of which was to commit the crime with which they
came to be charged in question. The High Court was not justified in
granting benefit to those three accused.
13. The presence of the respondents in the house of the deceased; the
fact that they were armed; the fact that all of them had entered the house
around midnight and further fact that two out of those five accused used
their deadly weapons to cause the death of the deceased was sufficient to
attract the principles of vicarious liability under Section 149 IPC.
14. The High Court was not justified in entertaining a doubt that it
could not be ruled out that the respondents were merely named along with
the other accused persons. There was absolutely no room for such doubt.
The testimony of the eye witnesses namely the wife and the son, who were
occupants of the same house, was quite clear and cogent.
Crl. Appeal Nos. 1709-1710 of 2019 (@ SLP [Crl.]Nos.2497-2498 of 2019)
The State of Madhya Pradesh vs. Killu @ Kailash & Ors.
13
15. We have, therefore, no hesitation in allowing these Appeals. We,
thus, set aside the view taken by the High Court insofar as the present
respondents namely Killu @ Kailash, Devendra and Kailash Nayak are
concerned. We set aside their acquittal as recorded by the High Court and
restore the judgment and order of conviction passed by the Trial Court in
Sessions Trial No. 173 of 2005 against said respondents.
16. The respondents shall surrender within three weeks, failing which
the concerned police shall immediately arrest them and send them to
custody to undergo the sentence imposed upon them. A copy of this
Judgment shall be sent to the concerned Chief Judicial Magistrate and the
Police Station for immediate compliance.
………………………J.
[Uday Umesh Lalit]
………………………J.
[Indu Malhotra]
New Delhi;
November 19, 2019.

Friday, November 22, 2019

“1. Whether the plaintiff being the female had got the right to partition to the property solely belonged to Sukhdeo and devolved upon Janak Ram by survivorship after the demise of his father Sukhdeo?” 2. Whether the suit land inherited by late Janak Ram from his father Sukhdeo, the sole owner of the same became the ancestral property for the plaintiff on the date of death of Sukhdeo in 1965 and on the date of death of Janak Ram in 1982?” It has been pleaded in the plaint that three years after the death of Sukhdeo, a partition took place in which the suit properties had fallen to the share of Janak Ram. Once a partition of the coparcenary property takes place and the coparcener is put in exclusive possession of the property falling to his share to the exclusion of others he acquires an absolute right over the property. The plaintiff Radha Bai had a mere spes successionis and would have been entitled to a share by succession which would have opened only after the death of Janak Ram. In this view of the matter, since Janak Ram, prior to his death in 1982, had sold the suit lands to the defendants No.1to 3 by executing a registered sale deed, the plaintiff Radha Bai could question the same only on the limited ground of fraud or being without consideration. During life time of Janak Ram, Radha Bai, being the daughter of a predeceased son Saheblal, had merely a spes successionis to the suit property and nothing more. Apex :- During the life time of Janakram, Saheblal could not have succeeded to the property and for the same reason, the appellant being his daughter cannot be heard to claim any right higher than that of Saheblal. Applying the settled legal position to the present case, the grounds urged by the appellant need to be rejected.

“1.  Whether the plaintiff being the female had got the
right to partition to the property solely belonged to
Sukhdeo   and   devolved   upon   Janak   Ram   by
survivorship after the demise of his father Sukhdeo?”
2.   Whether the suit land inherited by late Janak
Ram from his father Sukhdeo, the sole owner of the
same became the ancestral property for the plaintiff on
the date of death of Sukhdeo in 1965 and on the date
of death of Janak Ram in 1982?”

It has been pleaded in the plaint that three years after the death of Sukhdeo, a partition took place in which the suit properties had fallen to the share of Janak Ram. 
Once a partition of  the   coparcenary   property   takes   place   and   the coparcener   is   put   in  exclusive   possession   of   the property falling to his share to the exclusion of others
he acquires an absolute right over the property. 
The plaintiff Radha Bai had a mere spes successionis and would have been  entitled to a share  by succession which   would   have   opened   only   after   the   death   of Janak Ram. 
In this view of the matter, since Janak Ram, prior to his death in 1982, had sold the suit lands   to   the   defendants   No.1to   3   by   executing   a registered   sale   deed,   the   plaintiff   Radha   Bai   could question the same only on the limited ground of fraud or   being   without   consideration.   During   life   time   of Janak   Ram,   Radha   Bai,   being   the   daughter   of   a predeceased   son   Saheblal,   had   merely   a  spes successionis  to the suit property and nothing more.
Apex :-
 During the life time of Janakram, Saheblal could not have succeeded to the property and for the same reason, the appellant being his  daughter cannot be heard to claim any right higher than that of Saheblal. Applying the settled legal position to the present case, the grounds urged by the appellant need to be rejected. 

1
REPORTABLE
IN THE SUPREME COURT OF INDIA
CIVIL APPELLATE JURISDICTION
CIVIL APPEAL NO. 5889 OF 2009
Radha Bai   ..…Appellant(s)
Versus
Ram Narayan & Ors.          ….Respondent(s)
J U D G M E N T
A.M. Khanwilkar, J.
1. This   appeal   takes   exception   to   the   judgment   and   order
dated 12th February, 2007 of the High Court of Chhattisgarh at
Bilaspur (for short, ‘the High Court’) in Second Appeal No.84 of
2002,   whereby   the   appeal   filed   by   the   respondents­original
defendant Nos. 1 to 4 was allowed and the judgment and decree
passed   by   the   Trial   Court   dismissing   the   suit   filed   by   the
appellant, came to be confirmed. 
2. The parties are related as under:
2
3. The appellant filed suit in the Court of Civil Judge, Class –
First, Shakti – District Bilaspur  being Civil Suit No.31/A of 1985
asserting that the land situated in Village Barra, Tehsil Shakti,
more particularly described in Schedule A of the  plaint, was
owned and possessed by Sukhdeo Chhannahu son of Sardha
Chhannahu.   Sukhdeo   was   a   Hindu   and   governed   by   the
Mitakshra Laws. The suit land came in the hands of Sukhdeo as
ancestral property, in which Sukhdeo and his sons Janakram
and Pilaram were having joint shares being coparceners. The
appellant’s father Saheblal was the son of Janakram, who had
3
another son by name Sonu (original defendant No. 4, who has
died during the pendency of the present appeal). The appellant’s
father Saheblal predeceased Janakram (his father) and Sukhdeo
(his grand­father). He died in 1957, whereas Janakram died in
1982 and  Sukhdeo, in 1965. Saheblal left behind Laxminbai, his
wife and their daughter Radhabai (appellant/plaintiff).   In this
backdrop, the appellant asserted that she was entitled to a share
in the suit property, claiming through her father Saheblal. The
appellant’s mother had already expired in 1984 before filing of
the suit in 1985.
4. It is the case of the appellant that after the death of her
mother, the appellant came to village Barra and requested the
Patwari   of   the   village   to   mutate   the   land   in   her   name.   In
response, she was told that the land had already been mutated
in the name of Ram Narayan (defendant No.1), Jaya Narayan
(defendant No. 2)  and Rohit Kumar (defendant No.3) ­ three sons
of Sonu (deceased defendant No. 4), by virtue of the registered
sale deed executed in their favour by Janakram on 21st  July,
1979. It was further revealed that after the demise of Sukhdeo in
1965, his two sons Janakram and Pilaram partitioned the suit
4
property in or around the year 1967, as a result of which, the
suit property came to the exclusive share of Janakram and he
had become absolute owner thereof, on the basis of which right,
he executed registered sale deed in favour of his three grandsons
(sons of his son Sonu (now deceased) ­ defendant Nos.1 to 3
respectively).
5. Immediately after becoming aware of the above, in 1985, the
appellant instituted the suit for declaration and possession and
sought the following reliefs:
“14.):  Prayer of the plaintiff is as under:­
i):  The   court   should   award   decree   about   the
possession of the relevant disputed land to the
plaintiff;
I (a):  By partitioning the disputed lands, half share be
awarded to the plaintiff, and its land revenue
should be determined separately.
ii):  The plaintiff may be awarded expenses of the
suit.
iii):  Looking   to   the   circumstances   of   the   suit,
whatsoever   appropriate   relief   the   court   may
consider   it   fit   and   just,   the   same   may   be
awarded to the plaintiff.”
5
6. The respondents­defendants resisted the said suit. On the
basis of the rival pleadings, the Trial Court framed as many as 9
issues, which read thus:
“ISSUES: CONCLUSION:
============================================
(1.):  Whether, after the death of Sukhdev, partition of
the joint & united property had been carried in
between Janakram & Pilaram. Yes.
(2.):  Whether,   the   disputed   land   was   received   by
Janakram in the said partition.  Not proved.
(3.):  Whether, up to the year 1982, the disputed land
remained   entered   in   joint   &   united
accounts of Janakram,   Laxminbai   and   the   plaintiff.}
Due   to   negative
conclusion   of   issue
No.2,   detailed
appreciation   has   not
been done.
(4.):  Whether,   Janakram   had   no   right   to   sale   the
disputed property/land.
(5.):  Whether, the sale deed dated 21st of July, 1997
is
illegal and void.
(6.):  Whether, the plaintiff is entitled to obtain the
possession of the disputed lands.
(7.):  Relief & Expenses. Suit   is   dismissed.   The
rival parties shall bear their own expenses.
ADDITIONAL ISSUES:
6
(8.):  Whether, the plaintiff is entitled to get half share
in the disputed lands. Not proved.
(9.):  Whether,   the   suit   of   the   plaintiff   is   not
maintainable.             No. Its maintainable.”
7. The   Trial   Court   after   analysing   the   evidence   on   record,
proceeded to dismiss the suit preferred by the appellant vide
judgement and decree dated 24th November, 2000.
8.   Being   aggrieved,   the   appellant   filed   appeal   being   Civil
Appeal No.5­A of 2001 in the Court of Additional District Judge,
Shakti,   District   Bilaspur­Chhattisgarh.   The   Appellate   Court,
however, reversed the conclusion reached by the Trial Court and
allowed the appeal vide judgment and decree dated 22nd January,
2002. The operative order passed by the First Appellate Court
reads thus:
“26.): On   the   basis   of   the   abovementioned   critical
appreciation, decree may be drawn to the following
effect:­
i):  That, resultant to acceptance of the appeal of
the appellant, the impugned judgment and the decree
dated 24th of November, 2000 is set aside.
ii): That, resultant to acceptance of the appeal of the
appellant,   the   suit   of   the   plaintiff/appellant   is
accepted, and it is ordered that the plaintiff/appellant
is entitled to obtain possession over the half share
separately, by carrying out partition of half share of
the disputed land, which has been enumerated in the
7
Schedule “A” annexed with the plaint; and accordingly
land revenue to that effect should also be determined.
iii): The Schedule “A” annexed with the plaint shall be
integral part of the decree
iv): The answering plaintiffs/respondents apart from
bearing their own expenses of the case, shall also bear
the expenses of the case of the plaintiff/appellant.
v): Advocate’s fee, upon verification be payable in the
decree at Rs.300/­ (Rupees Three hundred only).
vi): Accordingly, decree may be drawn.”
9. The respondents­original defendant Nos. 1 to 4 filed second
appeal before the  High Court, being Second Appeal No.84 of
2002. While admitting the second appeal, the Court formulated
two questions as substantial questions of law. The same read
thus:
“1.  Whether the plaintiff being the female had got the
right to partition to the property solely belonged to
Sukhdeo   and   devolved   upon   Janak   Ram   by
survivorship after the demise of his father Sukhdeo?”
2.   Whether the suit land inherited by late Janak
Ram from his father Sukhdeo, the sole owner of the
same became the ancestral property for the plaintiff on
the date of death of Sukhdeo in 1965 and on the date
of death of Janak Ram in 1982?”
10. After   analysing   the   factual   matrix   and   the   evidence   on
record,   the   High   Court   opined   that   the   Appellate   Court
8
committed   manifest   error   and   misapplied   the   settled   legal
position. The High Court considered the matter in the following
words:
“8. The sole point which thus arises for determination
in the Second Appeal is whether the suit property was
held by Janak Ram in his own right to the exclusion of
Pila Ram, and whether the rule of succession or the
rule of survivorship shall apply. It has been pleaded in
the plaint that three years after the death of Sukhdeo,
a partition took place in which the suit properties had
fallen to the share of Janak Ram. Once a partition of
the   coparcenary   property   takes   place   and   the
coparcener   is   put   in   exclusive   possession   of   the
property falling to his share to the exclusion of others
he acquires an absolute right over the property. The
plaintiff Radha Bai had a mere spes successionis and
would have been  entitled to a share  by succession
which   would   have   opened   only   after   the   death   of
Janak Ram. In this view of the matter, since Janak
Ram, prior to his death in 1982, had sold the suit
lands   to   the   defendants   No.1to   3   by   executing   a
registered   sale   deed,   the   plaintiff   Radha   Bai   could
question the same only on the limited ground of fraud
or   being   without   consideration.   During   life   time   of
Janak   Ram,   Radha   Bai,   being   the   daughter   of   a
predeceased   son   Saheblal,   had   merely   a  spes
successionis  to the suit property and nothing more.
There   is   no   material   on   record   to   show   that   the
defendant No.4 – Sonu had got the sale deed dated
21.7.1979   executed   from   Janak   Ram   perforce   or
without   consideration.   In   this   view   of   the   matter,
Janak Ram who, after partition, held the suit property
to   the   exclusion   of   the   other   coparcener   had   an
absolute right to sell it to the defendants no.1 to 3.
Radha Bai, the plaintiff, having failed to prove that the
sale deed was without consideration or was executed
perforce could not challenge the said transaction on
9
any   ground.   The   evidence   led   by   Radha   Bai   itself
shows that she had full knowledge of the sale deed
executed by Janak Ram in favour of defendants No.1
to 3. Radha bai, the plaintiff, did not enter the witness
box despite present in Court and having been asked to
do so. In this view of the matter, I am of the considered
opinion   that   the   suit   filed   by   Radha   Bai   must   fail
because the rule of succession applied to the facts of
the case and succession would have opened only after
the death of Janak Ram, who was the exclusive owner
of the share received by him in partition with Pilaram.
The   substantial   question   No.1   is   thus   answered   in
negative that Janak Ram being the exclusive owner of
the suit property, during his life time Radha Bai had
acquired no right to the suit properties and to file a
suit   for   partition   and   possession   of   the   suit   lands
which had already been sold by Janak Ram during his
life   time   by   executing   a   sale   deed   in   favour   of
defendants No.1 to 3. Question No.2 is answered that
after   death   of   Sukhdeo,   there   was   a   partition   of
coparcenary   property   in   which   Janak   Ram   had
received the suit lands as his share and was therefore,
the absolute owner of the suit property. In this view of
the matter, rule of survivorship does not apply to the
facts of the present case, since suit  property, after
partition, was held by Janak Ram in his own right and
to the exclusion of the other coparcener. Thus, the suit
property had, after partition effected between Janak
Ram and Pila Ram, ceased to be ancestral property
and   was   held   by   Janak   Ram   as   exclusive   owner
thereof. The rule of succession would thus apply to the
present case and succession would have opened only
after the death of Janak Ram. Therefore, Radha Bai,
who had a mere spes successionis could succeed only
by proving that the sale deed executed by Janak Ram
was   without   consideration   or   was   got   executed   by
defendant no.4 – Sonu perforce. Having failed to do so,
the suit must fail.
9.  Having answered both the substantial questions of
law, the appeal deserves to be allowed. Accordingly,
10
the appeal is allowed. The judgment and decree dated
22.1.2002 passed by Additional District Judge, Sakti,
District Bilaspur in Civil Appeal No.5­A/2001 is set
aside and the judgment and decree passed by Civil
Judge, Class­II, Sakti dated 24.11.2000 in Civil Suit
No.90­A/88 is affirmed. There shall be no order as to
costs.”
11. The appellant ­ plaintiff has assailed the aforesaid decision
of the High Court on the ground that in the backdrop of the
indisputable factual position and the decisions of this Court in
Gurupad   Khandappa   Magdum   Vs.   Hirabai   Khandappa
Magdum   and   Others1 and  Ramesh   Verma   (Dead)   Through
Legal   Representatives   Vs.   Lajesh   Saxena   (Dead)   By   Legal
Representatives   and   Another2
,  the   High   Court   committed
manifest error of law in holding that the rule of survivorship will
not apply and plaintiff had a mere spes successionis. According
to   the   appellant,   the   suit   property   was   admittedly   ancestral
property in the hands of Sukhdeo. After coming into force of the
Hindu Succession Act, 1956 (for short “the 1956 Act”) w.e.f. 17th
June, 1956, as Saheblal had died after commencement of the
1956   Act,   Section   6   of   the   1956   Act   and   in   particular
1 (1978) 3 SCC 383
2 (2017) 1 SCC 257
11
Explanation­I thereof, was clearly attracted. As a result of which,
the   notional  partition   of   the   coparcenary  property   had   taken
place before the death of Saheblal. The proviso to Section 6 was
also attracted since Saheblal left behind his wife Laxminbai and
daughter Radhabai (appellant­plaintiff). Resultantly, the interest
of deceased Saheblal in the Mitakashara coparcenary property
stood devolved by succession under the 1956 Act and not by
survivorship. The appellant­plaintiff being the sole surviving heir
of Saheblal was claiming right in the entire share of Saheblal.
12. It is next urged that the sale deed executed by Janakram in
favour of respondents­defendant Nos.1 to 3 respectively, dated
21st  July,   1979,   was  ex   facie  illegal   and   not   binding   on   the
appellant­plaintiff.   Janakram   had   no   authority   to   sell   the
ancestral property, which had settled in the coparceners after the
death   of   Sukhdeo.   Similarly,   the   partition   effected   in   1967
between   Janakram   and   Pilaram,   leaving   out   the   branch   of
predeceased Saheblal, would be of no avail and cannot be the
basis to dislodge the claim of the plaintiff in the suit property.The
appellant prays that the judgment and decree passed by the First
12
Appellate Court, decreeing the suit in favour of the appellantplaintiff be upheld and restored.
13. The   respondents­defendants,   on   the   other   hand,   would
contend that in the present case, Saheblal died in 1957. The
ancestral   property   was   succeeded   by   two   surviving   sons   of
Sukhdeo ­ Janakram and Pilaram equally–when the succession
had opened after the death of Sukhdeo in 1965.   The appellantplaintiff was not an heir in Class – I at the relevant time. Had the
appellant been daughter of predeceased son of Sukhdeo, she may
have   had   some   chance   of   pursuing   her   claim.   However,   the
appellant being the great­grand daughter of Sukhdeo, had no
claim in the suit property in 1965.     In law, the father of the
appellant ­ Saheblal, could not have succeeded to the property
during the life time of his father Janakram. Whereas, on account
of partition between Janakram and Pilaram after the demise of
Sukhdeo,   the   suit   property   came   to   the   exclusive   share   of
Janakram   and   he   had   become   absolute   owner   thereof.   As
Janakram held the suit property in his individual capacity and
not   on   behalf   of   coparceners   and   family   members,   he   could
alienate the same as per his volition to any one, which he did in
13
favour   of   his   grandsons   (respondents­defendant   Nos.1   to   3
respectively) vide registered sale deed dated 21st  July, 1979. In
such a situation, it is settled law that the grand daughter cannot
be treated as an heir so as to have a share in the suit property.
14. To buttress the above noted submission, reliance is placed
on the decision of the Madhya Pradesh High Court in the case of
Chandrakanta   and   Others   Vs.   Ashok   Kumar   and   Others3
and two decisions of this Court in Hardeo Rai Vs. Sakuntala
Devi and Others4
 and Commissioner of Wealth Tax, Kanpur
and Others Vs. Chander Sen and Others5
. Additional reference
is  made to the dictum in Yudhishter Vs. Ashok Kumar6 and
Smt. Raj Rani Vs. Chief Settlement Commissioner, Delhi and
Others7
. It is urged that the High Court has not committed any
error, much less a manifest error, warranting interference by this
Court. Hence, it is urged that this appeal being devoid of merits,
be dismissed.
3 2002 (3) MPLJ 576
4 (2008) 7 SCC 46
5 (1986) 3 SCC 567
6 (1987) 1 SCC 204
7 (1984) 3 SCC 619
14
15. We have heard Mr. Sarabjit Dutta, learned counsel for the
appellant and Mr. Manoj Prasad, learned Senior Counsel for the
respondents.
16. Before we proceed to analyse the rival submissions, it may
be apposite to reproduce Section 6 of the 1956 Act as applicable
at the relevant time. The same read thus:
“6. When a male Hindu dies after the commencement of
this Act, having at the time of his death an interest in a
Mitakshara coparcenary property, his interest in the
property   shall   devolve   by   survivorship   upon   the
surviving   members   of   the   coparcenary   and   not   in
accordance with this Act:
Provided that, if the deceased had left him surviving a
female relative specified in Class I of the Schedule or a
male relative specified in that class who claims through
such female relative, the interest of the deceased in the
Mitakshara   coparcenary   property   shall   devolve   by
testamentary or intestate succession, as the case may
be, under this Act and not by survivorship.
Explanation  1.—For the purposes of this section, the
interest   of   a   Hindu   Mitakshara   coparcener   shall   be
deemed to be the share in the property that would have
been allotted to him if a partition of the property had
taken place immediately before his death, irrespective
of whether he was entitled to claim partition or not.
Explanation 2.—   Nothing contained in the proviso to
the Section shall be construed as enabling a person
who has separated himself from the coparcenary before
the death of the deceased or any of his heirs to claim
on intestacy a share in the interest referred to therein.”
17. This   Court   has   noted   the   incidents   of   co­parcenership
under the Mitakshra Law, in the case of State Bank of India
15
Vs.   Ghamandi   Ram  (Dead)  Through   Gurbax   Rai8
.    In
paragraph 5 of the reported decision, the Court observed thus:
“5. According to the Mitakshara School of Hindu Law
all   the   property   of   a   Hindu   joint   family   is   held   in
collective ownership by all the coparceners in a quasicorporate   capacity.   The   textual   authority   of   the
Mitakshara lays down in express terms that the joint
family property is held in trust for the joint family
members then living and thereafter to be born (see
Mitakshara, Chapter I, 1­27).  The   incidents   of   coparcenership  under   the  Mitakshara   law   are:   first,
the lineal male descendants of a person up to the
third generation, acquire on birth ownership in the
ancestral properties of such person; secondly, that
such  descendants  can  at  any time  work  out  their
rights   by   asking   for   partition;   thirdly,   that   till
partition   each   member   has   got   ownership
extending over the entire property, conjointly with
the   rest;   fourthly,   that   as   a   result   of   such   coownership   the   possession   and   enjoyment   of   the
properties is common; fifthly, that no alienation of
the property is possible unless it be for necessity,
without   the   concurrence   of   the   coparceners,   and
sixthly,   that   the   interest   of   a   deceased  member
lapses on his death to the survivors. A coparcenary
under  the  Mitakshara  School   is  a  creature  of   law
and cannot arise by act of parties except in so far
that  on  adoption   the  adopted   son  becomes   a   coparcener   with  his   adoptive   father   as   regards   the
ancestral properties of the latter.”
    (emphasis supplied)
This exposition has been taken note of in  Hardeo Rai  (supra).
After noticing this exposition, the Court went on to observe in
paragraph Nos.20 to 23 as follows:
8 (1969) 2 SCC 33
16
“20.   The   first   appellate   court   did   not   arrive   at   a
conclusion   that   the   appellant   was   a   member   of   a
Mitakshara coparcenary. The source of the property
was not disclosed. The manner in which the properties
were being possessed by the appellant vis­à­vis the
other   co­owners   had   not   been   taken   into
consideration. It was not held that the parties were
joint in kitchen or mess. No other documentary or oral
evidence   was   brought   on   record   to   show   that   the
parties were in joint possession of the properties.
21. One of the witnesses examined on behalf of the
appellant   admitted   that   the   appellant   had   been   in
separate possession of the suit property. The appellant
also in his deposition accepted that he and his other
co­sharers were in separate possession of the property.
22. For the purpose of assigning one’s interest in the
property, it was not necessary that partition by metes
and bounds amongst the coparceners must take place.
When   an   intention   is   expressed   to   partition   the
coparcenary   property,   the   share   of   each   of   the
coparceners   becomes   clear   and   ascertainable.   Once
the share of a coparcener is determined, it ceases to be
a coparcenary property. The parties in such an event
would not possess the property as “joint tenants” but
as “tenants­in­common”. The decision of this Court in
SBI1, therefore, is not applicable to the present case.
23. Where a coparcener takes definite share in the
property, he is owner of that share and as such he can
alienate the same by sale or mortgage in the same
manner as he can dispose of his separate property.”
In the case of  Chander  Sen  (supra), this Court considered the
interplay between Sections 4, 6 and 8 of the 1956 Act including
Chapter II and heirs in Class­I of the Schedule. The Court noted
as follows:
17
“10. The question here, is, whether the income or asset
which a son inherits from his father when separated
by partition the same should be assessed as income of
the Hindu undivided family of son or his individual
income. There is no dispute among the commentators
on Hindu law nor in the decisions of the court that
under the Hindu law as it is, the son would inherit the
same as karta of his own family. But the question is,
what is the effect of Section 8 of the Hindu Succession
Act, 1956? The Hindu Succession Act, 1956 lays down
the general rules of succession in the case of males.
The first rule is that the property of a male Hindu
dying   intestate   shall   devolve   according   to   the
provisions of Chapter II and Class I of the Schedule
provides that if there is a male heir of Class I then
upon the heirs mentioned in Class I of the Schedule.
Class I of the Schedule reads as follows:
“Son; daughter; widow; mother; son of a
predeceased   son;   daughter   of   a
predeceased   son;   son   of   a   predeceased
daughter;   daughter   of   a   predeceased
daughter; widow of a predeceased son; son
of a predeceased son of a predeceased son;
daughter   of   a   predeceased   son   of   a
predeceased son; widow of a predeceased
son of a predeceased son.”
11. The heirs mentioned in Class I of the Schedule
are   son,   daughter   etc.   including   the   son   of   a
predeceased  son  but  does  not   include  specifically
the grandson, being, a son of a son living. Therefore,
the short question, is, when the son as heir of Class I
of the Schedule inherits the property, does he do so in
his individual capacity or does he do so as karta of his
own undivided family?
12. Now the Allahabad High Court has noted that the
case   of  CIT  v.  Ram   Rakshpal,   Ashok   Kumar  after
referring to the relevant authorities and commentators
had observed at p. 171 of the said report that there
was no scope for consideration of a wide and general
nature about the objects attempted to be achieved by a
piece of legislation when interpreting the clear words of
the enactment. The learned judges observed, referring
18
to the observations of  Mulla’s Commentary on Hindu
Law  and   the   provisions   of   Section   6   of   the   Hindu
Succession   Act,   that   in   the   case   of   assets   of   the
business left by father in the hands of his son will be
governed by Section 8 of the Act and he would take in
his individual capacity. In this connection reference
was also made before us to Section 4 of the Hindu
Succession Act. Section 4 of the said Act provides for
overriding effect of Act. Save as otherwise expressly
provided in the Act, any text, rule or interpretation of
Hindu law or any custom or usage as part of that law
in force immediately before the commencement of this
Act   shall   cease   to   have   effect   with   respect   to   any
matter for which provision is made in the Act and any
other   law   in   force   immediately   before   the
commencement   of   the   Act   shall   cease   to   apply   to
Hindus   insofar   it   is   inconsistent   with   any   of   the
provisions contained in the Act. Section 6 deals with
devolution of interest in coparcenary property and
it makes it clear that when a male Hindu dies after
the commencement of the Act  having at the time
of   his   death   an   interest   in   a   Mitakshara
coparcenary property, his interest in the property
shall   devolve   by   survivorship   upon   the   surviving
members of the coparcenary and not in accordance
with   the   Act.   The   proviso   indicates   that   if   the
deceased  had   left  him  surviving  a   female  relative
specified   in   Class   I   of   the   Schedule   or   a   male
relative specified in that class who claims through
such  female  relative, the  interest  of  the  deceased
in  Mitakshara   coparcenary  property   shall  devolve
by   testamentary   or   intestate   succession,   as   the
case   may   be,   under   this   Act   and   not   by
survivorship.”
(emphasis supplied)
Again in paragraph 15:
“15. It is clear that under the Hindu law, the moment
a son is born, he gets a share in the father’s property
and   becomes   part   of   the   coparcenary.   His   right
accrues   to   him   not   on   the   death   of   the   father   or
inheritance from the father but with the very fact of
his birth. Normally, therefore whenever the father gets
19
a property from whatever source  from the grandfather
or from any other source, be it separated property or
not, his son should have a share in that and it will
become part of the joint Hindu family of his son and
grandson and other members who form joint Hindu
family with him. But the question is: is the position
affected by Section 8 of the Hindu Succession Act,
1956   and   if   so,   how?   The   basic   argument   is   that
Section   8   indicates   the   heirs   in   respect   of   certain
property and Class I of the heirs includes the son but
not the grandson. It includes, however, the son of the
predeceased son. It is this position which has mainly
induced   the   Allahabad   High   Court   in   the   two
judgments, we have noticed, to take the view that the
income   from   the   assets   inherited   by   son   from   his
father from whom he has separated by partition can be
assessed   as   income   of   the   son   individually.   Under
Section   8   of   the   Hindu   Succession   Act,   1956   the
property of the father who dies intestate devolves on
his son in his individual capacity and not as karta of
his own family. On the other hand, the Gujarat High
Court has taken the contrary view.”
After considering the divergent views expressed by the Allahabad
High   Court,   Full   Bench   of   the   Madras   High   Court,   Madhya
Pradesh and Andhra Pradesh High Courts on one side and the
Gujarat High Court on the other, it proceeded to opine as follows:
“21. It is necessary to bear in mind the preamble to
the Hindu Succession Act, 1956. The preamble states
that it was an Act to amend and codify the law relating
to intestate succession among Hindus.
22. In view of the preamble to the Act i.e. that to
modify where necessary and to codify the law, in our
opinion   it   is   not   possible   when   Schedule   indicates
heirs in Class I and only includes son and does not
include   son’s   son   but   does   include   son   of   a
predeceased son, to say that when son inherits the
property in the situation contemplated by Section 8 he
takes it as karta of his own undivided family.  The
20
Gujarat High Court’s view noted above, if accepted,
would mean that though the son of a predeceased
son and not the son of a son who is intended to be
excluded   under   Section   8   to   inherit,   the   latter
would by applying the old Hindu law get a right by
birth of the said property contrary to the scheme
outlined in Section 8. Furthermore, as noted by the
Andhra Pradesh High Court that the Act makes it clear
by Section 4 that one should look to the Act in case of
doubt and not to the pre­existing Hindu law. It would
be   difficult   to   hold   today   that   the   property   which
devolved on a Hindu under Section 8 of the Hindu
Succession Act would be HUF in his hand vis­à­vis his
own son; that would amount to creating two classes
among the heirs mentioned in Class I, the male heirs
in whose hands it will be joint Hindu family property
vis­à­vis son and female heirs with respect to whom no
such   concept   could   be   applied   or   contemplated.  It
may be mentioned that heirs in Class I of Schedule
under Section 8 of the Act included widow, mother,
daughter of predeceased son etc.
23. Before we conclude we may state that we have
noted   the   observations   of  Mulla’s   Commentary   on
Hindu Law, 15th Edn. dealing with Section 6 of the
Hindu   Succession   Act   at   pp.   924­26   as   well   as
Mayne’s on Hindu Law, 12th Edn., pp. 918­19.
24.   The   express   words   of   Section   8   of   the   Hindu
Succession   Act,   1956   cannot   be   ignored   and   must
prevail. The preamble to the Act reiterates that the Act
is, inter alia, to “amend” the law, with that background
the express language which excludes son’s son but
includes son of a predeceased son cannot be ignored.”
(emphasis supplied)
This   decision   has   been   quoted   with   approval   in  Yudhishter
(supra). In paragraph 10 of the said decision, the Court observed
thus:
21
“10. This question has been considered by this Court
in  CWT  v.  Chander Sen  where one of us (Sabyasachi
Mukharji, J.) observed that under the Hindu law, the
moment a son is born, he gets a share in father’s
property  and  becomes  part  of  the  coparcenary.  His
right accrues to him not on the death of the father or
inheritance from the father but with the very fact of
his birth. Normally, therefore whenever the father gets
a property from whatever source, from the grandfather
or from any other source, be it separated property or
not, his son should have a share in that and it will
become part of the joint Hindu family of his son and
grandson and other members who form joint Hindu
family with him. This Court observed that this position
has   been   affected   by   Section   8   of   the   Hindu
Succession   Act,   1956   and,   therefore,   after   the   Act,
when the son inherited the property in the situation
contemplated by Section 8, he does not take it as karta
of   his   own   undivided   family   but   takes   it   in   his
individual capacity. At p. 577 to 578 of the Report, this
Court dealt with the effect of Section 6 of the Hindu
Succession Act, 1956 and the commentary made by
Mulla,   15th   Edn.,   pp.   924­26   as   well   as  Mayne’s
Hindu Law, 12th Edn. pp. 918­19. Shri Banerji relied
on the said observations of Mayne on Hindu Law, 12th
Edn.,   at   p.   918­19.   This   Court   observed   in   the
aforesaid   decision   that   the   views   expressed   by   the
Allahabad  High Court,  the  Madras  High  Court,  the
Madhya Pradesh High Court and the Andhra Pradesh
High   Court   appeared   to   be   correct   and   unable   to
accept the views of the Gujarat High Court. To the
similar effect is the observation of learned author of
Mayne’s Hindu Law, 12th Edn., p. 919. In that view of
the matter, it would be difficult to hold that property
which devolved on a Hindu under Section 8 of the
Hindu   Succession   Act,   1956   would   be   HUF   in   his
hand vis­à­vis his own sons. If that be the position
then the property which devolved upon the father of
the respondent in the instant case on the demise of his
grandfather could not be said to be HUF property. If
that is so, then the appellate authority was right in
holding   that   the   respondent   was   a   licensee   of   his
father in respect of the ancestral house.”
22
18. The   respondents   have   also   invited   our   attention   to   the
decision   of   Madhya   Pradesh   High   Court   in  Chandrakanta
(supra), which had followed the aforementioned dictum to reject
the claim of the plaintiffs on the ground that so long as their
father was alive, they cannot claim any right.
19. Reverting to the factual matrix of the present case, it is
noticed that Sukhdeo had inherited ancestral property and was
alive till 1965. The father of appellant, Saheblal, predeceased him
in 1957. Saheblal was the son of Janakram. Janakram died in
1982. During the life time of Janakram, in terms of Section 6 of
the 1956 Act, Saheblal could not have succeeded to the property
as he could claim only through Janakram. Janakram, however,
was alive till 1982. If Saheblal himself had no claim in his own
rights, the question of appellant, being his daughter, succeeding
to the property does not arise.
20.  The consistent view of this Court, including of three Judge
Bench,   is   that   the   grand   son   or   grand   daughter   is   clearly
excluded from heirs in Class­I.  Saheblal himself was grand son
of   Sukhdeo,   who   predeceased   Sukhdeo.   After   the   demise   of
Sukhdeo in 1965, therefore, the ancestral suit property could be
23
and came to be partitioned between Janakram and Pilaram in
1967. As a result of that partition, the suit property came to the
exclusive share of Janakram in his individual capacity. He could,
therefore, legitimately dispose of the same in the manner he
desired and which he did in favour of his grandsons (defendant
Nos.1 to 3 respectively) vide registered sale deed dated 21st July,
1979.  Neither the stated partition of 1967 nor the registered sale
deed in favour of respondents (defendant Nos.1 to 3) dated 21st
July, 1979 has been challenged. The relief sought in the suit as
filed by the appellant/plaintiff is only for partition and awarding
share to the appellant/plaintiff alongwith possession. Suffice it to
observe that, the grand­daughter of Janakram (appellant herein)
could not have claimed a higher right than the right of her father
Saheblal.
21. Reliance placed by the appellant on the decision of this
Court in Gurupad Khandappa Magdum  (supra), is inapposite.
In that case, the plaintiff, being heir in Class­I, claimed to have
share in the interest of her husband which he had at the time of
his death in the coparcenary property. In that view of the matter,
in terms of proviso to Section 6 of the 1956 Act, the interest of
her   husband   in   the   coparcenary   property   would   devolve   by
24
succession under the 1956 Act. Similarly, in the case of   Raj
Rani (supra), the Court was called upon to consider the dispute
between   the   widow,   three   sons   and   three   daughters   of   the
deceased who being heirs in Class­I had succeeded to interest in
equal   shares,   as   the   property   in   question   was   Mitakshara
coparcenary property, by virtue of Explanation­I of Section 6 of
the 1956 Act. That analysis  can be discerned from paragraph 17
of the reported  judgment. Even the recent decision of this Court
in Ramesh Verma (supra), does not take the matter any further
for the appellant. Inasmuch as, even in that case, the dispute
was between the concerned heirs in Class­I after the demise of
Bhagwan   Das.     Before   commencement   of   the   1956   Act,   the
notional partition had taken place and as per Section 82 of the
Madhya Bharat Land Code, his sons and wife became entitled to
get 1/3 share in the property. On partition, share had fallen to
one of the sons which became his separate property and no
longer   remained   a   Mitakshara   property.   This   factual   position
could be discerned from paragraph 11 of the reported judgment.
22. A priori, we uphold the view taken by the High Court that
after the death of Sukhdeo in 1965, the property devolved upon
25
his  two   sons   Janakram   and   Pilaram.   They   succeeded  to   the
ancestral property equally. They later effected partition in 1967,
as a result of which, the property came to the exclusive share of
Janakram. The father of appellant, Saheblal, had predeceased
his father Janakram and even his grandfather Sukhdeo. During
the life time of Janakram, Saheblal could not have succeeded to
the property and for the same reason, the appellant being his
daughter cannot be heard to claim any right higher than that of
Saheblal. Applying the settled legal position to the present case,
the grounds urged by the appellant need to be rejected. 
23. Accordingly,   this   appeal   must   fail.   Hence,   the   same   is
dismissed with no order as to costs. 
24. All pending applications are also disposed of in the above
terms.
      …………………………..J
      (A.M. Khanwilkar)
      …………………………..J
      (Dinesh Maheshwari)
New Delhi;
November 22, 2019.