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AYUB KHAN versus DEEP KUMAR CHAWLA AND ORS. ETC.

Citation: [1995] 1 S.C.R. 177 · Decided: 10-01-1995 · Supreme Court of India · Bench: K. RAMASWAMY, SUJATA V. MANOHAR · Disposal: Dismissed

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Judgment (excerpt)

AYUB KHAN 
A 
... 
v . 
DEEP KUMAR CHAWLA AND ORS. ETC. 
JANUARY 10, 1995 
[K. RAMASWAMY AND SUJATA V. MANOHAR, JJ.] 
B 
Punjab Pre-emption Act, 1913-Property purchased from the Karta of 
Joint Family-Daughter of Karta and tenants of Karta claim pre-emp-
tion-Daughters as members of joint family bound by sale-Tenants entitled 
to pre-emption. 
c 
SD, father of GKS agreed to sell property to the appellant under an 
agreement of sale. Appellant's suit for specific performance was decreed. 
GKS executed sale deed in favour of appellant in satisfaction of the decree. 
Children of GKS, including his daughter as well as the tenants in the 
property filed suit for pre-emption against appellant. Trial Court dis- D 
missed the suit against the sons but decreed the same in favour of the 
daughters and tenants. On appeal it was confirmed and second appeal was 
dismissed. 
In appeal by Special Leave, this Court 
E 
HELD : 1 By operation of Section 10 of the Punjab Pre-Emption Act, 
1913, in case of a sale by joint owners, no party to such sale can claim right 
of pre-emption. Daughters may not be co-parceners but being members of 
the joint family they are bound by the sale made by the Karta for family 
-
necessity. Decree in favour of daughter is set aside and they are permitted F 
to withdraw the pre-emption money from the trial Court together with 10% 
interest which was to be paid by the tenants'. [178-F-G] 
2. By virtue Sec. 15(1-B)(Fifthly) the tenants were entitled to pre-
emption. Tenants are directed to deposit the pre-emption amount pro-rata 
within 2 months and pay interest to the Karta's daughter at the rate of G 
10% from the date of deposit till the date of withdrawal. [179-D] 
Atam Parkash v; State of Haryana, [1986] 2 SCC 249; referred to. 
CIVIL APPELLATE JURISDICTiON : Civil Appeal Nos. 2548-
2556 of 1986. 
H 
177 
178 
SUPREME COUR'.f REPORTS 
(1995) 1 S.C.R. 
A 
From the Judgment and Order dated 14.12.85 of the Punjab & 
Haryana Court in R.S.A. Nos. 1703, 1824-31of1983. 
S.K. Mehta, Dhruv Mehta, Aman Vachher for the Appellant. 
R.K. Kapoor, Anis Ahmed Khan, Pradipta Varma and Ravindra 
B 
Bana for the Respondents. 
Gopal Krishan Chawla in person for the Respondent. 
The following Order of the Court was delivered : 
C 
These appeal by special leave arise from the judgment of the Punjab 
and Haryana High Court dated December 14, 1983 in RSA 1103/83 and 
batch. 
The only question is whether the appellant can claim pre-emption by 
virtue of the fact that he has purchased the property from the karta of the 
D joint fanllly. Admittedly, one Gopal Krishan Chawla was the karta of the 
family. Initially, one Sunder Das, father of Gopal Krishan Chawla, agreed 
to sell the property to the appellant under an agreement of sale dated May 
24, 1965. Ultimately, the suit filed by the appellant was decreed for specific 
performance, pursuant to which Gopal Krishan Chawla had executed the 
E 
sale deed on 25.6.1979. Thereafter, the children of Gopal Krishan Chawla 
and the tenants filed the above suits for pre-emption. The trial court 
dismissed the suit as against the sons but decreed the suit in favour of the 
daughters by name - Meeka and Madhu and also in favour of tenants. On 
appeal, it was confirmed and Second Appeal was dismissed. 
F 
By operation of s.10 of the Punjab Pre-Emption Act, 1913, (for short, 
'the Act') in case of a sale by join owners, no party to such a sale shall be 
pre-empted to claim a right of pre-emption. It is seen that Gopal Krishan 
Chawla, being the Karta of the joint family had sold the property pursuant 
to the decree of specific performance. Therefore, the daughters, though 
G may not be co-parceners but, being members of the joint family, are bound 
by the sale by the karta or the manager of the Hindu Joint family. The sale 
was obviously for family necessity. The courts below, therefore, were not 
x 
right in granting the decree in favour of Meeka and Madhu. 
However, the fact remains that the suits filed by the tenants, have 
H been decreed. By operation of Clause Fifthly of Sub-s. (1-b) of s.15 of the 
;I 
A YUB KHAN v. D.K. CHAWLA 
179 
Act, the tenants . are entitled to the pre-emption. The validity of Clause A 
Fifthly was upheld by this Court inAtam Parkash v. State of Haryana, [1986) 
2 SCC 249. Accordingly, we hold that the decree of pre-emption granted 
in favour of the tenants has rightly been decreed. In consequence, the 
appellant does not get any benefit under the orders of thi

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