High Court Punjab-Haryana High Court

The Pearl Cooperative House … vs Narinder Vohra And Another on 30 January, 2009

Punjab-Haryana High Court
The Pearl Cooperative House … vs Narinder Vohra And Another on 30 January, 2009
Civil Revision No. 188 of 2008                          -1-

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       IN THE HIGH COURT OF PUNJAB AND HARYANA AT
                       CHANDIGARH


                              Civil Revision No. 188 of 2008
                              Date of decision: 30.01.2009


The Pearl Cooperative House Building Society Ltd.               ...Petitioner

                                     Versus

Narinder Vohra and another                              ...Respondents


CORAM: HON'BLE MR. JUSTICE S.D.ANAND.


Present:     Mr. Anupam Bhardwaj, Advocate for the petitioner

             Mr. S.K.Mahajan, Advocate for respondent no.1.

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S.D.ANAND, J.

The plaintiff-respondent filed a suit for a direction to the

defendant-petitioner to execute a sale deed in respect of plot No. 113

which had been allotted to him by the petitioner cooperative society (and

also to get it registered).

The pure and simple allegation of the plaintiff-respondent in

the plaint was that he obtained the membership of the society in the year

1980. That the plot under reference was allotted to him, that he had been

making payments towards the purchase of that plot, that the entire

purchase amount has been paid off, that he “has a legal right to get the

sale deed registered in his favour from the defendant Housing Society

regarding that plot no.113 and the defendant Housing society is legally

bound to execute the sale deed in favour of the plaintiff in respect of that

plot” and that the defendant-petitioner had not done the needful inspite of
Civil Revision No. 188 of 2008 -2-

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the fact that even a legal notice through speed post had been served upon

the defendant-society on 2.2.2006 was the further plea of the plaintiff-

respondent.

At the trial, the defendant-petitioner refrained from filing the

pleadings and opted to file an application (Annexure P-2) under Order 7

Rule 11, read with Section 151 C.P.C., for rejection of the plaint. The plea

was essentially based upon the premise that the filing of such a cause was

barred by the provisions of Sections 55 and 82 of the Punjab Cooperative

Societies Act, 1961 (hereinafter referred to as “the Act”).

The learned Trial Judge negatived the plea by holding that

“the jurisdiction of this Court is not barred under the Punjab Cooperative

Societies Act in the present case.”

Learned counsel, appearing on behalf of the defendant-

petitioner, argues that the view obtained by the learned Trial Court is

invalid in the light of the provisions contained in Sections 55 and 82 of the

Act. Relevant/relied upon part thereof is reproduced hereunder for facility

of reference:-

55. Disputes which may be referred to arbitration :- (1)

Notwithstanding anything contained in any law for the time

being in force, if any dispute touching the constitution,

management or the business of a coo-operative society

arises:-

(a) xx xx xx

(b) between a member, past member or person claiming

through a member past member or deceased member and the

society, its committee or any office, agent or employee of the

society or liquidator, past or present; or
Civil Revision No. 188 of 2008 -3-

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( c) xx xx xx

(d) xx xx xx”

82. Bar of jurisdiction of Court (1) Save as provided in this

Act, no civil or revenue Court shall have any jurisdiction in

respect of:-

            (a)    xx                 xx                        xx

            (b)    xx                 xx                        xx

            (c)    any dispute required under Section 55 to be referred to

            the Registrar; and

            (d)    xx                 xx                        xx"

A conjunctive perusal of the above provisions of the Act would

indicate that the view obtained by the learned Trial Court deserves

affirmation. In that context, it may be noticed Sub Section (2) of Section

55 defines the disputes which are “deemed to the disputes touching the

constitution, management or the business of co-operative society.” That

provision is reproduced hereunder for facility of reference:-

“(2) For the purpose of sub-section (1), the following be

deemed to the disputes touching the constitution, management

or the business of co-operative society, namely:-

(a) a claim by the society for any debt or demand due to it

from a member or the nominee, heirs or legal representatives

of a deceased member, whether such debt or demand be

admitted or not;

(b) a claim by a society against the principal debtor where

the society has recovered from the surety any amount in

respect of any debt or demand due to it from the principal

debtor as a result of the default of the principal debtor, whether
Civil Revision No. 188 of 2008 -4-

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such debt or demand is admitted or not;

( C) any dispute arising in connection with the election of any

Officer of the society.”

It is established law otherwise that the aspect of jurisdiction is

to be decided on the basis of allegation in the plaint. In this case, the only

relief sought by the plaintiff/respondent is for a direction to the defendant-

petitioner to execute ( a registered sale deed in respect of the plot under

reference which is allotted to him as a member of the Cooperative Society

and for which the entire payment had been made by the plaintiff-

respondent as a member of the society. That controversy, judged on the

touch stone of definitive provision of Sub-section 2 of of Section 55 of the

Act, cannot be said to be relate-able to ” the constitution, management or

the business of co-operative society”. It is correct that there is an averment

in the application (filed by the defendant-petitioner under Order 7 Rule 11

C.P.C.) that membership of plaintiff-respondent had been cancelled.

However, the date thereof is not indicated in that application which

(application) also does not, at all, give an idea about the circumstances

under which the membership of the plaintiff-respondent came to be

cancelled.

The specific averment made by the plaintiff-respondent, with

regard to the payment of entire dues ( as the sale price of the plot under

reference) to the society, does not appear to have been denied on facts. If

there was a controversy about that fact, the defendant-petitioner could

have indicated that fact in the application filed (under Order 7 Rule 11

C.P.C.) itself, even if it wanted to refrain from filing the pleadings at the

trial.

The right of a purchaser to get a sale deed executed (whether
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from an individual or a cooperative society) is a civil right vested in him

which has nothing, at all, to do with the the constitution, management or

the business of co-operative society. The grant or otherwise of that type of

relief can be considered only by the Civil Court.

In the light of the fore-going discussion, the petition is held to

be denuded of merit and is ordered to be dismissed.

January 30, 2009                                    (S.D.Anand)
Pka                                                    Judge