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Pooja Singh vs. Gulab Devi Prasad Singh

Regular First Appeal · 2026:DHC:8722Decided 5 Oct 2026New Delhi Bench
RFA 767/2024CNR: DLHC010769042024
Justice Neena Bansal Krishna

Background

The Plaintiff lent Rs. 7,00,000 to the Defendant, who said she needed the money to complete the purchase of a flat, and the Plaintiff paid that amount directly to the builder between October 2017 and February 2018. The loan was not repaid by the agreed date, and the District Judge decreed the Plaintiff's suit for Rs. 8,00,000 with 5% interest in April 2024. The Defendant challenged that decree in this appeal.

Decision Breakdown

While the appeal was pending, the parties settled the matter in execution proceedings for Rs. 9,50,000, and part of that settlement had already been acted upon. Rs. 1,98,000 had been paid to the Plaintiff, and the balance of Rs. 7,52,000 had been deposited in the High Court. The Court held that the Defendant could not go back on a settlement that had been acted upon, and that no monetary dispute remained for adjudication. The Court directed that the deposited balance be released to the Plaintiff and disposed of the appeal in terms of the settlement.

Lesson Learnt

A settlement that both sides have acted upon is binding, and a party cannot later reopen the dispute to avoid it. Money deposited in court under an appeal can be released to the other side once the parties settle.

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