High Court Kerala High Court

P.V.Madhavi vs P.V.Balakrishnan on 10 June, 2009

Kerala High Court
P.V.Madhavi vs P.V.Balakrishnan on 10 June, 2009
       

  

  

 
 
  IN THE HIGH COURT OF KERALA AT ERNAKULAM

AS.No. 357 of 1997()



1. P.V.MADHAVI
                      ...  Petitioner

                        Vs

1. P.V.BALAKRISHNAN
                       ...       Respondent

                For Petitioner  :SRI.KODOTH SREEDHARAN

                For Respondent  :SRI.S.V.BALAKRISHNA IYER (SR.)

The Hon'ble MR. Justice M.L.JOSEPH FRANCIS

 Dated :10/06/2009

 O R D E R
               M.L. JOSEPH FRANCIS, J.
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                   A.S.No. 357 of 1997
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           Dated this the 10th day of June, 2009

                          JUDGMENT

This appeal is filed by the first defendant in O.S.No.

10 of 1996 on the file of the Sub Court, Hosdurg.

Respondents 1 and 2 are the plaintiff and the second

defendant in that suit. It was a suit for setting aside the

Sale Deed executed by the guardian of a minor and for

partition.

2. The case of the plaintiff is briefly as follows.

The plaintiff’s father, late Kunhiraman Nair, was holding

properties jointly with his sister Karthiyayani. On his

death, his half right over the said properties devolved upon

the plaintiff and his mother, the second defendant, who are

his only heirs and legal representatives. Plaintiff was a

minor when his father died. Thereafter, in a suit for

partition filed by the plaintiff’s mother against

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Karthiyayani, the half share of the plaintiff and his mother was

allotted to them jointly as per a partition decree in O.S.No. 123

of 1978 of the Munsiff Court, Hosdrug. The plaintiff’s mother

was holding the said property for and on behalf of the plaintiff

also since the plaintiff was a minor.

3. The suit properties consisting of two items contain

improvement and was more than sufficient to meet the need of

the plaintiff and his mother, the 2nd defendant. The first

defendant purchased the property from the plaintiff’s mother on

29.8.1980. The plaintiff’s mother had executed the document for

herself and on behalf of the minor plaintiff. Plaintiff’s right was

purported to be transferred under the document. It was sold for a

consideration of Rs.6,000/- It is recited in the document that

Rs.4,000/- was received by her in advance, which was used for

clearing the debts of the plaintiff’s father and Rs.2,000/- received

at the time of execution of the document was paid towards

consideration for purchasing another property in the name of the

plaintiff.

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4. According to the plaintiff, the alienation by his mother

was wrongful and injurious to him and for meagre consideration.

The plaintiff’s father had no debts and there was no necessity to

sell the property. He also pleaded ignorance about the purchase

of the property in his name and also stated that he is not in

possession of the same. The alienation by the mother is void in

law and liable to be set aside and the suit was filed within 3 years

from 5.2.1992, when the plaintiff attained majority. The plaintiff

therefore prayed for setting aside the sale deed No.3527 of 1980

dt.29.8.1980 in favour of the first defendant in respect of the

plaintiff’s half right over the property and for surrender of

possession of his share which relief on 6.11.1996 was got

amended as one for partition of his share as per order in I.A.no.

645 of 1996.

5. The appellant/first defendant resisted the suit raising the

following contentions. It is admitted that the first defendant had

purchased the property from the 2nd defendant as per a registered

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Sale Deed dt.29.8.1980. But the sale deed was executed for the

then minor plaintiff’s benefit also and the consideration recited in

the document is correct and reasonable. The first defendant is a

bonafide purchaser. Out of the total consideration paid, an

extent of 1.50 acres of property with improvements in R.S.370 of

Periya Village at a place called Kannoth was purchased in the

name of the plaintiff and the plaintiff is in possession of the

same. It is incorrect to state that he has not seen the property.

The alienation is not void and was in the better interest of the

minor plaintiff. To clear of Kunhiraman Nair’s debt the sale

was necessary. Alternatively, it was also contended that the first

defendant has effected valuable improvements in the property

on the bonafide belief that she is the exclusive owner and is

entitled to the value of the same. Besides, it was also contended

that the suit is barred by limitation, since the plaintiff was aware

of the sale long back and the plaintiff has filed the suit in

collusion with the second defendant.

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6. After amendment of the plaint, an additional statement

was filed to the effect that the plaintiff’s right, if any, is barred

by averse possession and limitation. By way of an amendment

to the written statement it was also contended that in case the

court finds that the sale deed No.3527/80 is voidable and liable

to be set aside, the 1st defendant is entitled to the value of

improvements in the plaintiff’s share, since she was making

improvements on the bonafide belief and that the property

exclusively belongs to her. It was also contended that the first

defendant is entitled to the property purchased as per Deed No.

3528/80 since the sale consideration for that was paid by the

appellant and the plaintiff is liable to restore that benefit and to

compensate the appellant in the event of a decree for setting

aside the document. The first defendant therefore prayed for

dismissal of the suit. The second defendant plaintiff’s mother

remained ex parte.

7. In the Sub Court, PWs. 1 and 2 and DWs. 1 to 4 were

examined. Exts.A1 to A5 and B1 were marked. The learned

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Sub Judge, on considering the evidence, decreed the suit and a

preliminary decree for partition was passed in the following

manner.

“Ext.A1 sale is set aside as far as the

plaintiff’s half share is concerned. The plaint

schedule property will be divided into two equal

shares and the plaintiff and 1st defendant are

entitled to one such share each. The 1st defendant

has not paid court fee and if she pays court fee at

the time of final decree, she will be allotted her

share separately. The plaintiff is entitled to future

profits from the date of the plaint till delivery of

possession the quantum of which will be decided

at the time of passing final decree. The first

defendant is liable for such profits. The cost of

sharers shall come out of the estate. The plaintiff

is at liberty to move the court for passing final

decree. Addl. Issue No.6 with regard to value of

improvements is left open for consideration at the

time of passing final decree.”

Against that judgment and decree the first defendant filed this

appeal.

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8. The plaintiff filed cross objection challenging the

finding on Addl. Issue No.6 to the effect that the question of

compensation for the value of improvements made by the first

defendant will be considered at the final decree stage.

9. Heard the learned counsel for the appellant and the first

respondent.

10. The plaint schedule Item No.1 property has an extent of

2.5 acres, comprised in Re-survey 103 of Beloor Village and the

extent of plaint schedule Item No.2 property is 45 cents,

comprised in R.S. 110/1 of the same Village. The plaintiff is the

son of Kunhiraman Nair and the second defendant. The plaint

schedule properties originally belonged to Kunhiraman Nair and

his sister Karthiyayani jointly. After his death, his half share

devolved upon the plaintiff and his mother, who is the second

defendant, Narayani. As per partition decree in O.S.No.123 of

1978 on the file of the Munsiff Court, Hosdurg the plaint

schedule properties were allotted to the share of the plaintiff and

second defendant. There is no dispute that the first defendant

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purchased that property as per Sale Deed No.3527/80 of S.R.O.

Hosdurg dt.29.8.1980. The second defendant executed that Sale

Deed for herself and also as the guardian of the plaintiff, who was

then a minor, aged 7 years. Ext.A1 is the copy of that Sale Deed.

It is also an admitted fact that the second defendant sold the share

of the plaintiff over the plaint schedule properties without

obtaining previous permission of the Court.

11. The main prayer in the suit is to set aside the Sale Deed

No.3527/80 of S.R.O. Hosdurg dt. 29.8.80 in respect of the

plaintiff’s share over the plaint schedule properties. The second

prayer in the plaint is to partition the plaint schedule properties

into two equal shares and allot one such share to the plaintiff with

mesne profits. The main question to be considered is whether the

original of Ext.A1 Sale Deed is void or voidable. The Hon’ble

Supreme Court in Vishwambhar v. Laxminarayan ((2001) 6

SCC 163) held that :

” sale effected without taking permission of

the court under Section 8(2) of the Hindu Minority

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and Guardianship Act, 1956 was voidable at the

instance of the plaintiffs and the plaintiffs were

required to get the alienation set aside if they

wanted to avoid the transfer and recover the

property from the purchasers. If a prayer for

setting aside the alienation is not made, then the

suit seeking possession would not be

maintainable.”

12. In Nagappan v. Ammasai Gounder ((2004) 13 SCC

480) the Hon’ble Supreme Court held that :

“Reading Section 8 itself shows that the sale

made by the natural guardian in contravention of

sub-sections (1) and (2) is voidable at the instance

of the minor. If the requirement of law is to have

the alination set aside before making any claim in

respect of the property sold then a suit without such

a prayer would be of no avail.”

13. In view of that position of law, it is clear that the

original of Ext.A1 Sale Deed is voidable at the instance of the

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plaintiff as it was executed by the natural guardian in

contravention of sub-sections (1) and (2) of Section 8 of the

Hindu Minority and Guardianship Act, 1956.

14. Article 60 of the Limitation Act prescribes a period of

3 years for setting aside a transfer of property made by the

guardian of a ward, by the ward, who has attained majority and

the period is to be computed from the date when the ward attains

majority. In the present case, the date of birth of the plaintiff is

5.2.1974, which is evident from Ext.A4, extract of admission

register. The plaintiff attained majority on 5.2.1992. He gets

three years period to file the suit from the date of his attaining

majority, i.e. on or before 5.2.1995. The present suit was

originally filed on 5.4.1994. Therefore, the suit is not barred by

limitation.

15. The learned counsel for the appellant submitted that

even though the suit for setting aside the Sale Deed was filed on

5.4.1994, the prayer for partition was incorporated only on

6.11.1996 and therefore that prayer is barred by limitation. That

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argument cannot be accepted in view of the fact that it is only an

ancilliary relief and no specific period is prescribed in the

Limitation Act for the relief of partition by a co-owner.

16. In Ext.A1, copy of sale Deed No.3527/80 dt.29.8.80, it

is stated that the total consideration of the plaint schedule

properties is Rs.6,000/- It is stated in the document that the first

defendant purchaser already paid Rs.4,000/- to the second

defendant in order to discharge the debts of her husband,

Kunhiraman Nair and for the expenses of the minor plaintiff and

the balance of sale consideration of Rs.2,000/- was paid by the

first defendant for purchasing the property in R.S. 370 in the

name of minor plaintiff from Kuttiyan. Ext.B1 is the copy of the

Sale Deed No.3528/80 dt.29.8.80 executed by Kuttiyan in the

name of minor plaintiff in respect of 1 acre 50 cents in R.S. 370.

In that document the second defendant is shown as guardian of

minor plaintiff. In Ext.B1, the sale consideration shown is

Rs.2,000/- and it is stated in that document that the sale

consideration was received from the sale consideration of Ext.A1.

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From Exts.A1 and B1 it is evident that originals of those

documents were executed on the same day, one after the other.

The learned counsel for the appellant submitted that if the original

of Ext.A1 Sale Deed is set aside, the property covered by the

original of Ext.B1 Sale Deed has to be returned to the first

defendant.

17. Under Section 33 of the Specific Relief Act, on

adjudging the cancellation of an instrument, the court may require

the party, to whom such relief is granted, to make any

compensation to the other which justice may require. The learned

counsel for the appellant invited my attention to the decision

reported in Chacko v. Sreeja (1991 (1) KLT 191), in which it

was held:

“In cancelling the documents, the plaintiff

need only surrender benefits received as justice

may require. Such benefit required by the justice

is the actual benefit received under the impugned

transaction, which is avoided. It may not be

conducive to justice to allow the minor to have

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double advantage by avoiding the transaction and

at the same time retaining its benefits. “Benefit”

or ‘advantage’ referred to in Ss. 64 and 65 of the

Contract Act, do not relate to profit derived from

the investment of the benefit. Sometimes the

investment may result in loss also. In a given

case, the benefit may be only the actual

consideration and its interest. But, where the

consideration for the impugned transaction itself is

the purchase of another property in the name of

the minor, that property must be taken as the

benefit derived by the minor and it must be

directed to be returned. Value of properties might

have gone up and return of the consideration in

money alone may work out injustice to the

defendant purchaser and undue gain to the minor.”

18. Therefore, the legal position is that whether the Sale

Deed is void or voidable, the minor seeking to set aside it cannot

claim interference of a Court of law without making restitution.

The law is clear that if a person sells or mortgages another’s

property having no legal or equitable right to do so and that other

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benefits by transaction the latter cannot have it set aside without

making restitution to the person whose money has been applied

for the benefit of the estate. The principle of restitution in such

cases is based on the equitable maxim “he who seeks equity must

do equity”. No person, who is entitled to avoid a transaction

ought to be allowed to do so in such a manner as to enable him to

recover the property which would be otherwise lost to him and at

the same time to keep the money or other advantages which he

has obtained under it. Therefore, if a transfer by a guardian is

set aside, as having been made without previous permission of the

Court, equity requires that the minor should restore to the

transferee any benefit he may have received under the transfer

before the minor can take the benefit of any decree in his favour.

19. In the present case, the plaintiff is not prepared to give

back the property covered by original of Ext.B1 Sale Deed,

which was purchased in his name utilising the portion of sale

consideration given by the first defendant while purchasing the

plaint schedule properties as per the original of Ext.A1 Sale

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Deed. Therefore, the plaintiff is not entitled to get a decree to set

aside the original of Ext.A1 Sale Deed and partition the

plaintiff’s half share. In view of the above aspects of the matter, I

find that the learned Sub Judge is not justified in decreeing the

suit.

20. In the result, this appeal is allowed. The judgment and

decree in O.S.No. 10 of 1996 on the file of the Sub Court,

Hosdurg is set aside and that suit is dismissed without cost. The

cross objection filed by the first respondent is also dismissed.

The parties are directed to suffer their respective cost in this

appeal.

(M.L. JOSEPH FRANCIS)
Judge
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