Search By Topic: Property Dispute Cases

2. (SC) 17-07-2025

A. Indian Succession Act, 1925 (39 of 1925), Section 63 – Indian Evidence Act, 1872 (1 of 1872), Section 68 -- Proof of Will -- Legal Principles -- A Will has to be proved like any other document subject to the requirements of Section 63 of the Act, 1925 and Section 68 of the Act, 1872, that is examination of at least of one of the attesting witnesses -- However, unlike other documents, when a Will is propounded, its maker is no longer in the land of living -- This casts a solemn duty on the Court to ascertain whether the Will propounded had been duly proved -- Onus lies on the propounder not only to prove due execution but dispel from the mind of the court, all suspicious circumstances which cast doubt on the free disposing mind of the testator -- Only when the propounder dispels the suspicious circumstances and satisfies the conscience of the court that the testator had duly executed the Will out of his free volition without coercion or undue influence, would the Will be accepted as genuine.

(Para 11)

B. Indian Succession Act, 1925 (39 of 1925), Section 63 – Indian Evidence Act, 1872 (1 of 1872), Section 68 -- Proof of Will -- Parameters to ascertain ‘suspicious circumstances’ vitiating a Will –

-- Deprivation of a natural heir, by itself, may not amount to a suspicious circumstance because the whole idea behind the execution of the Will is to interfere with the normal line of succession

-- Prudence requires reason for denying the benefit of inheritance to natural heirs and an absence of it, though not invalidating the Will in all cases, shrouds the disposition with suspicion as it does not give inkling to the mind of the testator to enable the court to judge that the disposition was a voluntary act.

(Para 16)

C. Indian Succession Act, 1925 (39 of 1925), Section 63 – Indian Evidence Act, 1872 (1 of 1872), Section 68 -- Will in favour of nephew – Wife/ natural heir – Will is completely silent with regard to the existence of his own wife and natural heir, i.e. the 1st respondent, or the reason for her disinheritance – Nothing has come on record to show the relation between the couple was bitter – Trial Court erroneously observed that non-performance of last rites of testator by 1st respondent hinted at sour relations between the couple – Ordinarily, in a Hindu/ Sikh family, last rites are performed by Male Sapinda relations – A cumulative assessment of the attending circumstances including this unusual omission to mention the very existence of his wife in the Will, gives rise to serious doubt that the Will was executed as per the dictates of the appellant and is not the ‘free will’ of the testator – Held, non-mention of 1st respondent or the reasons for her disinheritance in the Will, is an eloquent reminder that the free disposition of the testator was vitiated by the undue influence of the appellant.

(Para 19, 20)

4. (P&H HC) 02-06-2025

A. Indian Contract Act, 1872 (9 of 1872), Section 2(d) – Consideration -- Past consideration is as good as present consideration --  Word ‘consideration’ has been defined in Section 2 (d) of the Indian Contract Act, 1872 which has a wider connotation and includes within its sweep not only the monetary consideration but even promises including promise to render future personal service.

(Para 13)

B. Transfer of Property Act, 1882 (4 of 1882), Section 54 – Indian Contract Act, 1872 (9 of 1872), Section 201, 202 – Benami Transactions (Prohibition) Act, 1988 (45 of 1988), Section 3, 4 -- Sale by Will/ Agreement to Sell/ General Power of attorney/ Affidavit -- PW-1/ S K deposed that her brother/ A.K. was only a Class IV employee and on her request and on her behalf he applied for the house in his name -- A.K/ Brother executed an agreement to sell, General Power of Attorney, registered Will and an affidavit – Hence, Benami Transactions (Prohibition) Act, 1988 could not be invoked -- After the death of A.K. on 14.08.1984, his widow and children never made any attempt to pay the instalments -- All instalments were paid by S.K. and her daughter -- All the documents of the property have been produced by the plaintiff -- Hence, it is proved that there was sale of the house in favour of Ms. S.K. by A.K -- Likewise, the General Power of Attorney will not cease to have effect because Ms.SK has interest in the property in view of agreement and Will -- Case falls under Section 202 and not 201 of the Indian Contract Act, 1872.

(Para 13, 18)

C. Specific Relief Act, 1963 (47 of 1963), Section 13 -- Agreement to sell of imperfect title – Effect of -- Section 13 of the Specific Relief Act, 1963 enables the purchaser to claim specific performance against person with no title or imperfect title -- Clause (a) of Section 13 (1) provides that if the vendor has subsequent to any contract acquired any interest in the property, the purchaser may compel him to make good the contract out of such interest -- If there was any defect in his ownership, the same stood rectified on payment of instalment.

(Para 14)

D. Indian Evidence Act, 1872 (1 of 1872), Section 68 -- Will – Proof of -- Suspicious circumstances -- Execution of the Will proved by examining both the attesting witnesses – Despite lengthy cross examination, the defendants failed to impeach their credibility – Will is not surrounded by suspicious circumstances because of various documents executed by A.K. including agreement to sell, General Power of Attorney, affidavit, apart from the Will.

(Para 15, 16)

5. (SC) 20-05-2025

A. Code of Civil Procedure, 1908 (V of 1908), Order 7 Rule 11 -- Benami Transactions (Prohibition) Act, 1988 (45 of 1988), Section 2(8)(9), 4 – Rejection of plaint -- Benami properties -- Whether a property is a benami, has to be considered not in the light of Section 4 of the Benami Act alone but also in connection with Sections 2 (8) and 2 (9) of the said Act i.e. whether the property if benami falls in the exception -- It is only where the property is benami and does not fall within the exception contained in Sub-Section (9) of Section 2 that a suit may be said to be barred -- However, the issue whether the property is benami and is not covered by the exception, is an issue to be decided on the basis of evidence and not simply on mere averments contained in the plaint -- Defendants have to adduce evidence to prove the property to be benami -- Plaint cannot be rejected at the stage of consideration of application under Order VII Rule 11 CPC.

(Para 27-29)

B. Code of Civil Procedure, 1908 (V of 1908), Order 7 Rule 11 -- Hindu Succession Act, 1956 (30 of 1956), Section 14 – Constitution of India, Article 136 -- Absolute property of hindu female -- Plea that plaint is hit by Section 14 of the Act -- No such specific plea was taken by the defendants in the application under Order VII Rule 11 CPC -- Such a plea was never raised and argued before either of the courts below -- There is no finding by any court on the above aspect -- Defendants cannot be permitted to raise such a plea for the first time in the Special Leave Petition without there being any foundation to that effect.

(Para 30)

C. Code of Civil Procedure, 1908 (V of 1908), Order 7 Rule 11 -- Hindu Succession Act, 1956 (30 of 1956), Section 14 – Absolute property of hindu female -- Section 14 of the Act simply provides that the property possessed by a female Hindu shall be held by her as a full owner -- It does not bar or prohibit a suit in respect of such a property -- Therefore, in the absence of any bar contained in the above provision, the suit plaint is not liable to be rejected as barred by law.

(Para 31)

8. (SC) 27-03-2025

A. Maintenance and Welfare of Parents and Senior Citizens Act, 2007 (56 of 2007), Section 4, 5, 23 – Maintenance to Senior citizen – Eviction of son – Property already transferred to daughter/ son-in-law – Effect of -- Exfacie Senior citizen ceases to be the owner of the property and it is up to the purchasers to initiate eviction proceedings, if any, against the occupants of any part of it -- Senior citizens are simply entitled to maintenance rather than eviction of their son/ relatives -- It was only in the contingency of son not behaving properly or continuing to humiliate or torture the parents that the eviction proceedings would be necessary against him -- Tribunal was justified in permitting him to continue living therein with the rider of drawing eviction proceedings if he indulges in any untoward behavior or interferes with the life of others.

(Para 26-29)

B. Maintenance and Welfare of Parents and Senior Citizens Act, 2007 (56 of 2007), Section 4, 5, 23 – Eviction of son -- If son has been living in a small portion of the house, may be of his father, in which he has no share and is continuing with the family business from the shop on the ground floor without interfering with the life of others, it does not appear to be prudent to order for his eviction as after all being a son he also has an implied license to live therein – No necessity for the extreme step for ordering the eviction -- Purpose could have been served by ordering maintenance as provided under Section 4/5 of the Senior Citizens Act and by restraining him from harassing the parents and interfering in their day-to-day life.

(Para 29, 34)

C. Maintenance and Welfare of Parents and Senior Citizens Act, 2007 (56 of 2007), Section 23 -- Senior citizen case -- Eviction of person – Power of -- Provisions of the Senior Citizens Act, nowhere specifically provides for drawing proceedings for eviction of persons from any premises owned or belonging to such a senior person -- It is only on account of the observations made by this Court in S. Vanitha vs. Commissioner, Bengaluru Urban District & Ors, (2021) 15 SCC 730 that the Tribunal under the Senior Citizens Act may also order eviction if it is necessary and expedient to ensure the protection of the senior citizens -- The Tribunal thus had acquired jurisdiction to pass orders of eviction while exercising jurisdiction under Section 23 of the Senior Citizen Act which otherwise provide for treating the sale of the property to be void if it is against the interest of the senior citizen.

(Para 31)

12. (SC) 04-02-2025

A. Transfer of Property Act, 1882 (4 of 1882), Section 58, 100 -- Equitable mortgage – Rights in personam -- Where ‘equitable mortgages’ have been created based on deposit of part-deeds or documents purporting title or evincing intention of parties to create an interest, all such deposits will be a valid mortgage in equity and the charge that might have been created prior in time will assume priority over any subsequent charges or mortgagors --  However, since such a mortgage is an ‘equitable mortgage’ any rights flowing from such mortgages are only of personal character and only rights in personam and as such will not operate against any strangers or subsequent incumbrancers unaware of such equitable mortgage -- Right of the lender to apportion or appropriate the subject property for repayment of loan only a right to take such an action rather than a right in the property itself.

(Para 43)

B. Transfer of Property Act, 1882 (4 of 1882), Section 58, 100 -- Equitable mortgage – Legal mortgage – Right of --  Legal mortgage would have assumed priority in charge, yet an equitable mortgage may still be enforceable as secondary charge, provided the other considerations such as notice of such mortgage is fulfilled.

(Para 53)

C. Transfer of Property Act, 1882 (4 of 1882), Section 58, 100 -- Equitable mortgage – Charge -- ‘equitable mortgages’ are very much recognized in India under the nomenclature of “charge” in terms of Section 100 of the Act, 1882, and the same will be enforceable as far as possible in terms of the procedure and provisions application to a simple mortgage except those without notice of such charge.

(Para 56)

21. (SC) 17-12-2024

A. Violation of building approved plan – Regularisation of construction – Construction(s) put up in violation of or deviation from the building plan approved by the local authority and the constructions which are audaciously put up without any building planning approval, cannot be encouraged -- In the event of any violation being brought to the notice of the Courts, it has to be curtailed with iron hands and any lenience afforded to them would amount to showing misplaced sympathy -- Delay in directing rectification of illegalities, administrative failure, regulatory inefficiency, cost of construction and investment, negligence and laxity on the part of the authorities concerned in performing their obligation(s) under the Act, cannot be used as a shield to defend action taken against the illegal/unauthorized constructions – Regularization schemes must be brought out only in exceptional circumstances.

(Para 20)

B. Building approved plan – Occupation certificate – Amenities -- In the larger public interest, directions issued, in addition to the directives issued by this Court in Re: Directions in the matter of demolition of structures 2024 SCC OnLine SC 3291:

(i) While issuing the building planning permission, an undertaking be obtained from the builder/applicant, as the case may be, to the effect that possession of the building will be entrusted and/or handed over to the owners/beneficiaries only after obtaining completion/occupation certificate from the authorities concerned.

(ii) The builder/developer/owner shall cause to be displayed at the construction site, a copy of the approved plan during the entire period of construction and the authorities concerned shall inspect the premises periodically and maintain a record of such inspection in their official records.

(iii) Upon conducting personal inspection and being satisfied that the building is constructed in accordance with the building planning permission given and there is no deviation in such construction in any manner, the completion/occupation certificate in respect of residential / commercial building, be issued by the authority concerned to the parties concerned, without causing undue delay. If any deviation is noticed, action must be taken in accordance with the Act and the process of issuance of completion/occupation certificate should be deferred, unless and until the deviations pointed out are completely rectified.

(iv) All the necessary service connections, such as, Electricity, water supply, sewerage connection, etc., shall be given by the service provider / Board to the buildings only after the production of the completion/occupation certificate.

(v) Even after issuance of completion certificate, deviation / violation if any contrary to the planning permission brought to the notice of the authority immediate steps be taken by the said authority concerned, in accordance with law, against the builder / owner / occupant; and the official, who is responsible for issuance of wrongful completion /occupation certificate shall be proceeded departmentally forthwith.

(vi) No permission /licence to conduct any business/trade must be given by any authorities including local bodies of States/Union Territories in any unauthorized building irrespective of it being residential or commercial building.

(vii) The development must be in conformity with the zonal plan and usage. Any modification to such zonal plan and usage must be taken by strictly following the rules in place and in consideration of the larger public interest and the impact on the environment.

(viii) Whenever any request is made by the respective authority under the planning department/local body for co-operation from another department to take action against any unauthorized construction, the latter shall render immediate assistance and co-operation and any delay or dereliction would be viewed seriously. The States/UT must also take disciplinary action against the erring officials once it is brought to their knowledge.

(ix) In the event of any application / appeal / revision being filed by the owner or builder against the non-issuance of completion certificate or for regularisation of unauthorised construction or rectification of deviation etc., the same shall be disposed of by the authority concerned, including the pending appeals / revisions, as expeditiously as possible, in any event not later than 90 days as statutorily provided.

(x) If the authorities strictly adhere to the earlier directions issued by this court and those being passed today, they would have deterrent effect and the quantum of litigation before the Tribunal / Courts relating to house / building constructions would come down drastically. Hence, necessary instructions should be issued by all the State/UT Governments in the form of Circular to all concerned with a warning that all directions must be scrupulously followed and failure to do so will be viewed seriously, with departmental action being initiated against the erring officials as per law.

(xi) Banks / financial institutions shall sanction loan against any building as a security only after verifying the completion/occupation certificate issued to a building on production of the same by the parties concerned.

(xii) The violation of any of the directions would lead to initiation of contempt proceedings in addition to the prosecution under the respective laws.

(Para 21)

29. (SC) 12-11-2024

A. Specific Relief Act, 1963 (47 of 1963), Section 10 -- Suit for specific performance of agreement -- Evidence of attorney -- One of the purchasers and plaintiff in his suit for specific performance throughout present in the transaction held the Power of Attorney from the other plaintiffs – He was examined as PW-1 in each of the suits whether in his capacity as plaintiff or as Power of Attorney from other plaintiffs -- It was not necessary for each of the plaintiffs in separate suits to appear and prove the transaction -- Trial Court had examined this aspect and had found favour with the plaintiffs – Adverse inference drawn by the High Court for the reason that the plaintiffs did not enter the witness box to prove the Agreement to Sell, was completely misplaced.

(Para 28)

B. Specific Relief Act, 1963 (47 of 1963), Section 10 – Limitation Act, 1963 (36 of 1963), Article 54 -- Suit for specific performance of agreement – Limitation -- Agreement to Sell dated 30.08.1990 did not mention any date for the performance, nor did owner refused at any point of time and soon after the death of owner in December 1992, the plaintiffs having come to know of the mutation proceedings by her legal heirs, they proceeded to file the suit, after giving notice in May 1995, which was well within a period of three years -- Second part of Article 54 of the Schedule to the Limitation Act would be applicable once there was no date fixed for performance in the Agreement to Sell.

(Para 27, 30)

C. Transfer of Property Act, 1882 (4 of 1882) -- Agreement to sell – Possession with original title deed – Effect of -- A purchaser who has paid the full consideration and received the original title deeds from the seller would have taken possession under normal circumstances -- Any possession taken by any other party thereafter would be unauthorised and illegal.

(Para 32)

D. Transfer of Property Act, 1882 (4 of 1882) -- Violation of Injunction order – Alienation of the property in violation of the injunction order -- Sale deed would be a void document. 

(Para 33)

30. (SC) 08-11-2024

A. Specific Relief Act, 1963 (47 of 1963), Section 10, 16 -- Limitation Act, 1963 (36 of 1963), Article 54 – Suit for specific performance – Limitation -- Limitation prescribed by Article 54 sets in from the date when the petitioner received the reply refusing performance.

(Para 31)

B. Specific Relief Act, 1963 (47 of 1963), Section 10, 16(c) – Specific performance of agreement – Readiness and willingness – Purchaser paid a sum of Rs.11,30,00 as earnest money and paid Rs.13,00,000 on the same day by cheque and paid another Rs. 5,00,000 by Demand Draft -- If the petitioner was unwilling to perform the contract, he would not have paid nearly 75 percent of the sale consideration -- Petitioner with the payment of the additional sum above the earnest money, has proved his readiness and willingness to perform the contract -- Fit case for to exercise discretion to direct specific performance.

(Para 42)

C. Transfer of Property Act, 1882 (4 of 1882), Section 52 – Lis panders -- Doctrine of lis pendens that Section 52 of the Transfer of Property Act encapsulates, bars the transfer of a suit property during the pendency of litigation -- The only exception to the principle is when it is transferred under the authority of the court and on terms imposed by it -- Where one of the parties to the suit transfers the suit property (or a part of it) to a third-party, the latter is bound by the result of the proceedings even if he did not have notice of the suit or proceeding.

(Para 47)

D. Transfer of Property Act, 1882 (4 of 1882), Section 52 – Object of doctrine of lis pendens -- Purpose of lis pendens is to ensure that the process of the court is not subverted and rendered infructuous --  In the absence of the doctrine of lis pendens, a defendant could defeat the purpose of the suit by alienating the suit property.

(Para 49)

E. Transfer of Property Act, 1882 (4 of 1882), Section 52 – Lis pendens – Review -- Pendency means -- Review proceedings were “instituted” within the period of limitation of thirty days –  Doctrine of lis pendens kicks in at the stage of “institution” and not at the stage when notice is issued by this Court -- Argument of the respondents that the doctrine of lis pendens does not apply because the petition for review was lying in the registry in a defective state cannot be accepted.

(Para 49)

35. (P&H HC) 17-09-2024

A. Punjab Tenancy Act, 1887 (XVI of 1887), Section 4(3)(5)(6) – Landlord -- Tenant -- Gair marusi tenant -- Merely because appellant is recorded as ‘Gair Maurusi’ in the revenue record, does not mean that he is a tenant over the suit property – There can be no tenancy unless there is a condition of payment of rent, though the rent may be payable in cash, kind or service etc. -- Held, it is inconceivable that there can be any tenancy without the condition of payment of rent, unless there is a contract to the contrary, absolving the tenant the liability to pay rent.

(Para 14, 15)

B. Punjab Tenancy Act, 1887 (XVI of 1887), Section 4(3)(5)(6) – Gair marusi tenant – Trespasser -- Adverse possession -- A party to the litigation cannot be allowed to take contrary stands to suit his convenience -- When in the earlier two litigations, it was ordered by the courts that appellant could be dispossessed in due course of law, he changed the stand in next litigations taking contrary plea that he had become owner of suit property by adverse possession -- In none of the earlier litigations decided earlier, he has been held to be tenant in the suit land, though his plea of possession has been upheld with further direction that he cannot be dispossessed except in due course of law – No evidence that tenancy was ever created and as such, his possession over the suit land is nothing less than that of a stranger / trespasser.

(Para 19)

C. Punjab Tenancy Act, 1887 (XVI of 1887), Section 4(3)(5)(6) – Punjab Security of Land Tenures Act, 1953 (10 of 1953), Section 9 --  Tenant of land – Eviction -- Jurisdiction of civil court --  When the person is inducted as a tenant on payment of rent and the rent is not paid --  Civil Court will not have jurisdiction and the landlord will have to seek his remedy before the Revenue Authorities to seek ejectment of such tenant or a tenant holding over, under the provisions of Punjab Tenancy Act, 1887 to be read with the provisions Punjab Security of Land Tenure Act.

(Para 22)

D. Punjab Tenancy Act, 1887 (XVI of 1887), Section 4(3)(5)(6) – Punjab Security of Land Tenures Act, 1953 (10 of 1953), Section 9 --  Gair marusi tenant – Suit for possession – Jurisdiction of civil court --  When the possession of person concerned on the suit land is without payment of rent, such as person is no more than a stranger or trespasser over the suit property -- In such a situation, his possession, howsoever long it may be, cannot be considered in the capacity of tenant in view of the definition of ‘landlord’, ‘tenant’ and ‘rent’ -- In this eventuality, it is only the Civil Court, which will have the jurisdiction to pass the decree of possession in favour of the landlord – Suit for possession decreed.

(Para 22, 23)

39. (SC) 06-09-2024

A. Consumer Protection Act, 1986 (68 of 1986), Section 21 -- Limitation Act, 1963 (36 of 1963), Section 18, 19 -- Offer of possession made on 04.02.2014 -- ADA issued reminders to the appellant on 22.09.2014, 21.11.2014 and 17.01.2018 -- Additionally, ADA accepted the appellant's payment of Rs. 3,43,178/- on 20.06.2019 without any reservations -- NCDRC correctly applied Sections 18 and 19 of the Limitation Act, 1963, which extend the limitation period where part payments or acknowledgments are made -- Consequently, the cause of action continued to exist, and the filing of the complaint in July 2020 is within the limitation period.

(Para 16)

B. Consumer Protection Act, 1986 (68 of 1986), Section 21 -- Pecuniary jurisdiction -- Respondent ADA challenged the pecuniary jurisdiction of the NCDRC, contending that the total payment made by the appellant amounted to Rs. 59,97,178/-, which was less than Rs. 1 crore -- Claim made by the appellant also included compensation for mental agony, harassment, and loss of income, which brought the total claim well above Rs. 1 crore -- In consumer disputes, the value of the claim is determined not just by the amount deposited but by the aggregate relief sought, which includes compensation and other claims -- NCDRC rightly held that it had the requisite pecuniary jurisdiction to entertain the complaint, and this Court affirms that finding.

(Para 18, 19)

C. Consumer Protection Act, 1986 (68 of 1986), Section 21 -- Real Estate (Regulation and Development) Act, 2016 (16 of 2016), Section 19(10) -- Uttar Pradesh Apartment (Promotion of Construction, Ownership and Maintenance) Act, 2010 (U.P. Act No. 16 of 2010), Section 4(5) -- Offer of possession -- Completion certificate -- Firefighting clearance certificate – Requirement of -- A developer must obtain these certificates before offering possession -- Possession offered without the requisite completion certificate is illegal, and a purchaser cannot be compelled to take possession in such circumstances -- ADA’s failure to provide the required certificates justifies the appellant’s refusal to take possession --  Entire amount deposited by the appellant ordered to be refunded with interest 9% per annum from the date of complaint till the date of refund, the ADA is directed to pay an additional amount of Rs. 15,00,000/- (Fifteen Lakhs only) to the appellant.

(Para 20-23)