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Zarina Siddiqui v. A. Ramalingam alias R. Amarnathan

Civil Appeal · Neutral citation not assigned (Civil Appeal No. 9947 of 2014)Decided 29 Oct 2014
Civil Appeal No. 9947 of 2014
Justice M.Y. Eqbal · Justice Shiva Kirti Singh

Background

A purchaser sought completion of an agreement to buy a one-third share in a Bangalore property through the owner's brother, who held a registered power of attorney. The trial court ordered the sale, but the High Court ultimately dismissed the purchaser's claim after prolonged appeals. The purchaser's widow challenged that refusal.

Decision Breakdown

The Supreme Court allowed the appeal and restored the sale-enforcement decree with an additional payment condition. It found that the defendants had denied the agreement and concealed the attorney's authority despite evidence supporting the transaction and payment. Under the law applied in this judgment, a rise in property prices during litigation did not by itself justify refusing specific performance. To account for the long passage of time, the purchaser had to deposit an additional Rs. 15 lakh in the trial court within three months. On that deposit, the owner had to execute the sale deed, failing which the decree could be enforced through the court.

Lesson Learnt

A seller cannot necessarily escape a proved sale agreement simply because the property's price rose during litigation. When a court grants enforcement subject to an additional deposit, meeting that amount and deadline is essential to obtain the conveyance.

Official source (sci.gov.in)View Judgment (PDF)

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