LexRITU SAXENA versus J. S. GROVER & ANR.
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A B C D E F G H 349 RITU SAXENA v. J. S. GROVER & ANR. (Civil Appeal Nos. 7268-7269 of 2019) SEPTEMBER 17, 2019 [L. NAGESWARA RAO AND HEMANT GUPTA, JJ.] Specific Performance: Suit for specific performance – Seeking enforcement of agreement to sell the suit property – Dismissed by trial court holding that the plaintiff failed to prove her readiness and willingness to perform her part of contract – Finding of trial court affirmed by High Court – Appeal to Supreme Court – Held: The statement of the plaintiff regarding sufficiency of financial resources to buy the suit property was without any corroborating documentary evidence – Such statement cannot be relied upon to return a finding that the plaintiff was ready and willing to perform her part of contract – Finding recorded by courts below does not suffer from any illegality. Dismissing the appeals, the Court HELD: The sole document relied upon by the appellant to prove her readiness and willingness is the approval of loan on July 30, 2004 by the Bank. Such approval was subject to two conditions, viz., furnishing of income tax documents of the appellant and the property documents. The Bank had sent an Email on May 12, 2005 to the husband of the appellant requiring an Agreement to Sell on a stamp paper of Rs.50/- to be executed between the parties, as per the legal opinion sought from the empaneled lawyer, without which the Bank would not be able to disburse the loan. Admittedly, no agreement was executed on stamp paper, therefore, the appellant could not avail loan of Rs.50 lakhs from the Bank. Independent of such loan, there is mere statement that appellant and her husband have income of Rs.80 lakhs per annum unsupported by any documentary evidence. Such statement will be in the nature of ipsi dixit of the appellant and/or her husband and is without any corroborating evidence. Such self- [2019] 13 S.C.R. 349 349 A B C D E F G H 350 SUPREME COURT REPORTS [2019] 13 S.C.R. serving statements without any proof of financial resources cannot be relied upon to return a finding that the appellant was ready and willing to perform her part of the contract. The appellant has not produced any income tax record or the Bank Statement in support of her plea of financial capacity so as to be ready and willing to perform the contract. Therefore, mere fact that the Bank has assessed the financial capacity of the appellant while granting loan earlier in respect of another property is not sufficient to discharge of proof of financial capacity in the facts of the present case to hold that the appellant was ready and willing to perform her part of the contract. [Para 15] [356-A-E] A Kanthamani v. Nasreen Ahmed (2017) 4 SCC 654 : [2017] 2 SCR 610 – distinguished. Case Law Reference [2017] 2 SCR 610 distinguished Para 14 CIVIL APPELLATE JURISDICTION : Civil Appeal Nos. 7268- 7269 of 2019. From the Judgment and Order dated 17.07.2018 of the High Court of Delhi at New Delhi in RFA No. 518 of 2018 and order dated 29.08.2018 in Review Petition No. 328 of 2018 in RFA No. 518 of 2018. Jayant Bhushan, Sr. Adv., Arun K. Sinha, Swastik Verma, Nayan Dubey, Advs. for the Appellant. Narender Hooda, Sr. Adv., Ankur Bansal, Rajendra Beniwal, Simranjeet Singh, Advs. for the Respondents. The Judgment of the Court was delivered by HEMANT GUPTA, J. 1. The unsuccessful plaintiff is in appeals before this Court arising out of a suit for specific performance of an Agreement dated July 18, 2004 in respect of Flat No. 272, Ground Floor, Gulmohar Enclave, New Delhi. 2. The husband of the appellant, who as an employee of M/s. GE Capital Services India Ltd., was in occupation of the said residential premises on a monthly rent of Rs.13,000/- to be paid by the tenant i.e. M/s. GE Capital Services India Ltd. since September 2002 to the landlord. A B C D E F G H 351 On the expiry of the existing lease, the Agreement of Lease was extended for 11 months from September 01, 2004 but before the expiry of the lease, the appellant claims to have entered into an Agreement of Purchase the said property for a total sum of Rs.50 lakhs. A sum of Rs.1 lakh by cheque was paid to the defendants. It was agreed that all further relevant documents such as Agreement to Sell, Sale Deed, Will, Possession Certificate and No Objection Certificate for the purpose of transferring the said property shall be executed. The Agreement reads thus: “I, J. S. Grover S/o G. S. Grover, resident of M-12 (First Floor) Kailash Colony, New Delhi 48
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