{"id":170821,"date":"1996-08-23T00:00:00","date_gmt":"1996-08-22T18:30:00","guid":{"rendered":"https:\/\/www.legalindia.com\/judgments\/parichhan-mistry-dead-bylrs-vs-achhiabar-mistry-and-ors-on-23-august-1996"},"modified":"2016-06-08T13:34:30","modified_gmt":"2016-06-08T08:04:30","slug":"parichhan-mistry-dead-bylrs-vs-achhiabar-mistry-and-ors-on-23-august-1996","status":"publish","type":"post","link":"https:\/\/www.legalindia.com\/judgments\/parichhan-mistry-dead-bylrs-vs-achhiabar-mistry-and-ors-on-23-august-1996","title":{"rendered":"Parichhan Mistry (Dead) Bylrs. &amp; &#8230; vs Achhiabar Mistry And Ors on 23 August, 1996"},"content":{"rendered":"<div class=\"docsource_main\">Supreme Court of India<\/div>\n<div class=\"doc_title\">Parichhan Mistry (Dead) Bylrs. &amp; &#8230; vs Achhiabar Mistry And Ors on 23 August, 1996<\/div>\n<div class=\"doc_citations\">Equivalent citations: JT 1996 (7),    589\t  1996 SCALE  (6)142<\/div>\n<div class=\"doc_author\">Author: G Pattanaik<\/div>\n<div class=\"doc_bench\">Bench: G.B. Pattanaik (J)<\/div>\n<pre>           PETITIONER:\nPARICHHAN MISTRY (DEAD) BYLRS. &amp; ANR.\n\n\tVs.\n\nRESPONDENT:\nACHHIABAR MISTRY AND ORS.\n\nDATE OF JUDGMENT:\t23\/08\/1996\n\nBENCH:\nG.B. PATTANAIK (J)\nBENCH:\nG.B. PATTANAIK (J)\nRAMASWAMY, K.\n\nCITATION:\n JT 1996 (7)   589\t  1996 SCALE  (6)142\n\n\nACT:\n\n\n\nHEADNOTE:\n\n\n\nJUDGMENT:\n<\/pre>\n<p>\t\t      J U D G M E N T<br \/>\nPATTANAIK, J.\n<\/p>\n<p>     This appeal  by the  mortgagors is directed against the<br \/>\njudgment of the Patna High Court dated 28th of July, 1980 in<br \/>\nthe Second  Appeal arising out of a suit for redemption. The<br \/>\nplaintiffs\/appellants filed  a\tsuit  for  redemption  of  2<br \/>\nbighas 3  kathas and  6 dhurs  of land in respect of which a<br \/>\nusufructuary mortgage bond Exhibit No. 1 dated 4th May, 1980<br \/>\nhad  been   executed  in   favour  of  the  defendants.\t The<br \/>\ndefendants had\ttaken the stand that under the Mortgage Deed<br \/>\nthe mortgagor  was liable  to pay  rent in  respect  of\t the<br \/>\nholding and  no rent  having been paid, in a suit instituted<br \/>\nby the\tlandlord for  arrears of  rent, a  decree  had\tbeen<br \/>\nobtained and  in execution thereof the property had been put<br \/>\nto sale and the defendant-mortgagee paid the decretal amount<br \/>\nin question  and, therefore,  a suit for redemption will not<br \/>\nlie. The  learned Trial\t Judge, however,  decreed  the\tsuit<br \/>\nrejecting the  objection put  forth  by\t the  defendant\t and<br \/>\ngranted the  relief of\tredemption. Defendants\tcarried\t the<br \/>\nmatter in  appeal and  the said appeal having been dismissed<br \/>\nthey approached\t the High  Court in  Second Appeal. The High<br \/>\nCourt by  the impugned judgment having reversed the judgment<br \/>\nand decree of the Courts below and having dismissed the suit<br \/>\nfor redemption the present appeal has been preferred.\n<\/p>\n<p>     The  High\t Court\tcame  to  the  conclusion  that\t the<br \/>\nmortgagors having  failed to  pay  a  portion  of  rent\t for<br \/>\nrealisation of\twhich the  landlord had\t filed\ta  suit\t and<br \/>\nobtained  a  decree  and  that\tsaid  decree  being  put  to<br \/>\nexecution and  the mortgagee  having paid  up  the  decretal<br \/>\ndues, the  mortgagor looses  his right\tof  redemption\tand,<br \/>\ntherefore the  suit for\t redemption must  fail. The  learned<br \/>\nJudge came  to the conclusion that the equity of redemption,<br \/>\nin the\tfacts and circumstances of the case was extinguished<br \/>\nand, therefore, the mortgagor is not entitled to redeem. The<br \/>\nshort question\tthat arises  for consideration is whether in<br \/>\nthe facts  and circumstances  of the case the High Court was<br \/>\nright in coming to a conclusion that right of redemption got<br \/>\nextinguished and  the mortgagor\t had no right of redemption.<br \/>\nIt is true, that a right of redemption under a Mortgage Deed<br \/>\ncan come  to an end, but only in a manner known to law. Such<br \/>\nextinguishment of  right can  take place by contract between<br \/>\nthe parties  or by  a decree  of the Court or by a statutory<br \/>\nprovision which\t debars the  mortgagors from  redeeming\t the<br \/>\nmortgage. The  mortgagor&#8217;s right  of redemption is exercised<br \/>\nby the payment or tender to the mortgagee at the proper time<br \/>\nand at\tthe proper  place, of the mortgage money. When it is<br \/>\nextinguished by\t the act  of parties  the act  must take the<br \/>\nshape and  observe the formalities which the law prescribes.<br \/>\nThe expression\t&#8220;Act of\t parties&#8221; refers to some transaction<br \/>\nsubsequent to  the mortgage  and  standing  apart  from\t the<br \/>\nmortgage transaction. A usufructuary mortgage cannot by mere<br \/>\nassertion of  his own  or by  a unilateral  act on his part,<br \/>\nconvert his  position on moiety of the property as mortgagee<br \/>\ninto that of an absolute owner. It is no doubt true that the<br \/>\nmortgagee would be entitled to purchase the entire equity of<br \/>\nredemption from\t the mortgagor.\t The  mortgagee\t occupies  a<br \/>\npeculiar position and, therefore, the question as to what ha<br \/>\npurchases at  a Court sale is a vexed question, but being in<br \/>\nan  advantageous   position  where  the\t mortgagee  availing<br \/>\nhimself of  his position  gains an  advantage he holds, such<br \/>\nadvantage is  for the  benefit of the mortgagor. It has been<br \/>\nso held\t by this  Court in  the case  of <a href=\"\/doc\/1543036\/\">Sidhkamal Nayan vs.<br \/>\nBira Nayak  (AIR<\/a>  1954\tSC  336)  and  <a href=\"\/doc\/1681365\/\">Mritunjuoy  Pani\t vs.<br \/>\nNaramanda Bala\tSasmal<\/a> (1962)  1 SCR  290.  This  being\t the<br \/>\nposition of  law if  for some  default in  payment of rent a<br \/>\nrent decree  is obtained and the mortgagee pays off the same<br \/>\neven then  the mortgage in question is liable to be redeemed<br \/>\nat the\toption of the mortgagor. The mortgagee cannot escape<br \/>\nfrom his  obligation by bringing the equity of redemption to<br \/>\nsale in\t execution of  a decree on the personal covenant. By<br \/>\nvirtue of  purchase of\tthe property  by the  morotgagee  in<br \/>\nCourt sale, no merger takes place between the two rights nor<br \/>\nthe mortgage stands extinguished.\n<\/p>\n<p>     In this  view of  the matter  we have  no hesitation to<br \/>\ncome to\t the conclusion\t that the High Court committed gross<br \/>\nerror of  law in  recording a  finding that  the  equity  of<br \/>\nredemption stood  extinguished\tand  the  mortgagor  is\t not<br \/>\nentitled to redeem. The impugned judgment of the High Court,<br \/>\naccordingly is\tset aside  and the  judgment  of  the  Trial<br \/>\nCourt, as affirmed by the lower Appellate Court is affirmed.<br \/>\nThe appeal  is allowed, but in the circumstances, there will<br \/>\nbe no order as to costs.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Supreme Court of India Parichhan Mistry (Dead) Bylrs. &amp; &#8230; vs Achhiabar Mistry And Ors on 23 August, 1996 Equivalent citations: JT 1996 (7), 589 1996 SCALE (6)142 Author: G Pattanaik Bench: G.B. Pattanaik (J) PETITIONER: PARICHHAN MISTRY (DEAD) BYLRS. &amp; ANR. Vs. RESPONDENT: ACHHIABAR MISTRY AND ORS. DATE OF JUDGMENT: 23\/08\/1996 BENCH: G.B. PATTANAIK [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_lmt_disableupdate":"","_lmt_disable":"","_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[30],"tags":[],"class_list":["post-170821","post","type-post","status-publish","format-standard","hentry","category-supreme-court-of-india"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.3 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Parichhan Mistry (Dead) Bylrs. &amp; ... vs Achhiabar Mistry And Ors on 23 August, 1996 - Free Judgements of Supreme Court &amp; High Court | Legal India<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.legalindia.com\/judgments\/parichhan-mistry-dead-bylrs-vs-achhiabar-mistry-and-ors-on-23-august-1996\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Parichhan Mistry (Dead) Bylrs. &amp; 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