THE CHURCH OF CHRIST CHARITABLE TRUST & EDUCATIONAL CHARITABLE SOCIETY, REPRESENTED BY ITS CHAIRMAN versus M/S PONNIAMMAN EDUCATIONAL TRUST REPRESENTED BY ITS CHAIRPERSON/ MANAGING TRUSTEE
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[2012] 6 S.C.R. 404 A THE CHURCH OF CHRIST CHARITABLE TRUST & EDUCATIONAL CHARITABLE SOCIETY, REPRESENTED BY ITS CHAIRMAN v. M/S PONNIAMMAN EDUCATIONAL TRUST B REPRESENTED BY ITS CHAIRPERSON/ MANAGING TRUSTEE (Civil Appeal No. 4841 of 2012) JULY 03, 2012 C [P. SATHASIVAM AND J. CHELAMESWAR, JJ.] CODE OF CIVIL PROCEDURE, 1908: 0. 7, r.1 read with rr. 14(1), 14(2) and Forms 47 and 48 D in Appendix A - Suit for specific performance - Agreement of sale between plaintiff and second defendant - Plaint stating that second defendant as power of attorney-holder as also agreement holder of first defendant executed agreement of sale - Application for rejection of plaint as against first E defendant - Held: The plaintiff-respondent to get a decree for specific performance has to prove that there is a subsisting agreement in his favour and the second defendant has the necessary authority under the power of attorney - Neither the documents were filed nor terms thereof set out in the plaint - In view of the shortfall in the plaint averment and non- F compliance of statutory provisions, the single Judge of the High Court has correctly concluded that in the absence of any cause of action shown as against the appellant-first defendant, the suit cannot be proceeded either for specific performance or for the recovery of money advanced which according to the G plaintiff was given to the second defendant in the suit and rightly rejected the plaint as against the first defendant - Cause of action. 0. 7, r. 11 - Rejection of plaint - Suit for specific H 404 CHURCH OF CHRIST CHARITABLE TRUST & EDU. CHARITABLE 405 SOCIETY v. PONNIAMMAN EDU. TRUST performance - Power of attorney - Held: A power of attorney A has to be strictly construed - In order to agree to sell or effect a sale by a power of attorney, it should also expressly authorize the power to the agent to execute sale agreement! sale deed i.e., (~) to present the document before the Registrar; and (b) to admit execution of the document before B I the Registrar - Deeds and documents. 0. 7, r. 11 - Rejection of plaint - Held: The power under 0. 7 r. 11 can be ~ercised at any stage of the suit either before registering the pfaint or after the issuance of summons to the C defendants or at any time before the conclusion of the trial - In order to consider 0. 7, r. 11, the court has to look into the averments in the plaint and the averments in the written statement are immaterial. 0. 7, r. 11 - Application for rejection of plaint - Non-joinder D of party - Held: To reject the plaint even before registration of the plaint on one or more grounds mentioned in 0. 7, r. 11, the other defendants need not necessarily be heard at all as it does not affect their rights - In the instant case, second defendant is not a necessary party nor does the applicant-first E defendant seek any relief against him - Besides, the plea as to the non-joinder of party cannot be raised for the first time before Supreme Court if the same was not raised before the trial court and has not resulted in failure of justice. SPECIFIC RELIEF ACT, 1963: F s. 20 - Held: The jurisdiction to grant specific performance is discretionary - In view of the conduct of the plaintiff, bereft of required materials as mandated by the statutory provisions, the plaint is liable to be rejected, as the G cause of action pleaded in the plaint is vitiated - Code of Civil Procedure, 1908 - 0. 7, r. 11. The appellant Society-1st defendant, on 9.1.1990, entered into an agreement of sale of certain property in H 406 SUPREME COURT REPORTS [2012] 6 S.C.R. A favour of defendant no. 2. On 19.10.1990, the appellant- Society executed a registered power of attorney in favour of defendant no. 2 for limited purpose enabling him to represent the Society before the authorities. However, the said power of attorney was revoked on 15.10.1991 by a B registered document. Since defendant no. 2 failed to comply with the commitments, the appellant-Society, on 19.11.1991 cancelled the agreement of sale dated 7.1.1990. The suit filed by defendant no. 2 challenging the said cancellation was withdrawn in the year 2006. c Meanwhile, on 4.8.2001, defendant no. 2 entered into a Memorandum of Understanding with the respondent- plaintiff to sell certain portion of property as the agreement-holder and power of attorney agent of the appellant-Society. On 24.11.2004, the respondent-plainti
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