HC - any transaction is not supported by consideration is void in the eye of law


IN THE HIGH COURT OF JUDICATURE OF ANDHRA PRADESH
AT HYDERABAD

THE HON'BLE MR JUSTICE L.NARASIMHA REDDY
                         
A.S.No.182 of 2009

A.MURALI KRISHNA PRASAD, HABZIGUDA, HYDERABAD       
VS
T.NAGAMMALLESWARA RAO, KUKATPALLY, HYDERABAD
                   


JUDGMENT:

The respondent filed O.S.No.950 of 2005 in the Court of the IV Additional Senior Civil Judge, (Fast Track Court) Ranga Reddy District, L.B. Nagar, against the appellant for the relief of specific performance of the agreement of sale dated 7.03.2005 in respect of the suit schedule property. It was pleaded that the appellant is the absolute owner of the property and the same was agreed to be sold for a consideration of Rs.5,05,000/-. The entire sale consideration is said to have been paid on the date of agreement of sale itself and the possession of the property was also delivered. The respondent pleaded that in spite of repeated demands, the appellant did not execute the sale deed.
The appellant did not dispute the execution of agreement of sale. However, he denied receipt of entire consideration. He admitted that the possession of the property was delivered. Such delivery of possession was said to be only for looking after and up keep of the property. A further plea was taken to the effect that the agreement of sale was revoked on 1.07.2005 under Ex.A.3. The trial Court decreed the suit through judgment, dated 22.12.2008. Hence this appeal.
Sri Rama Rao Ghanta, learned counsel for the appellant submits that the trial Court did not take into account, the oral and documentary evidence and decreed the suit as prayed for. He submits that the recital in Ex.A.1 as regards to payment of consideration was on the basis of firm belief and mutual confidence, but as a matter of fact, consideration was not paid. He further contends that the agreement was revoked through Ex.A.3 and still the suit was decreed.
Sri N. Subba Rao, learned counsel for the respondent, on the other hand, submits that there was clear a recital in Ex.A.1-agreement of sale to the effect that the entire sale consideration was paid and in that view of the matter there was no basis for the appellant to plead otherwise. He further submits that agreement of sale was registered and the question of revoking it through a unilateral letter does not arise.
The trial Court framed the following issues for consideration.
1.     Whether the revocation agreement of sale dated 1.07.2005 is void?
2.     Whether the plaintiff is entitled for specific performance of agreement of sale as prayed for?
3.     Whether the plaintiff is entitled for injunction as prayed for?
4.     To what relief?
On behalf of the respondent PWs.1 to 3 were examined and Exs.A.1 to A.13 were marked. On behalf of the appellant DWs.1 to 3 were examined but no documentary evidence was adduced.
The only point that arises for consideration before this Court is as to whether any oral evidence can be adduced contrary to the recitals in the registered document.
The appellant acquired the property through Ex.A.2. The fact that he executed Ex.A.1-agreement of sale is not in dispute. It is a registered document and the appellant did not even plead that he did not execute that document. The two contentions raised by the appellant while opposing the suit were that he has revoked Ex.A.1 through Ex.A.3 and that he did not receive the consideration.
Ex.A.1 is an agreement of sale cum G.P.A. While the agreement of sale confers rights upon the respondent to insist on the specific performance thereof, the G.P.A. clothes him with power to do certain acts. It is a power of attorney supplied that interest. The law is well settled to the effect that a registered document cannot be revoked unilaterally. Further, a registered document cannot be set at naught by the appellant alone. The only alternative for him was to file a suit for cancellation of that document. Therefore, this plea cannot be accepted.
The second contention advanced by the appellant was that he did not receive the consideration. It is no doubt true that any transaction is not supported by consideration is void in the eye of law. There would have been some basis for this plea.
It is a case where the assertion by the respondent was not supported by any written document. In Ex.A.1 itself there is a clear recital to the effect that the entire consideration was paid by the appellant. Section 90 of the Indian Evidence Act mandates that no oral evidence can be received to contradict the recitals in a written document. The principle applies with greater vigor where the document is registered. Viewed from any angle, the contention advanced by the appellant cannot be sustained in law. The trial Court has appreciated the matter in correct perspective and this Court is not inclined to interfere with the judgment under appeal.
The appeal is accordingly dismissed. There shall be no order as to costs.
 ______________________
(L. Narasimha Reddy, J.)
13th October, 2009
Js.

No comments:

Post a Comment