- (1.) The present appeals by certificate are directed against the judgment dated 6th November, 1968 of the Madras High Court.
(2.) The dispute between the parties centres around 48.70 acres of land, partly wet and partly dry in village Pichanur, Gudiyattam Taluk, North Arcot District and one house in Gudiyattam town. Admittedly the said properties belonged to one Varadayya Chetty. He had two sons, K. V. Purushotham and K. V. Sriramulu. K. V. Purushotham in his turn had four sons while K V. Sriramulu had three sons. They constituted a joint Hindu family. The family owned and possessed 48.70 acres of land and three houses. Varadayya Chetty died about 30 years prior to the institution of the suits giving rise to these appeals. At the time of his death his eldest son K. V. Purushotham was the only adult male member, the other son, K. V. Sriramulu being only 4-5 years old. Purushotham thus came into the sole management of the entire family affairs and he brought up his younger brother Sriramulu. Their ancestral family business (Kulachara) was that of tobacco and money lending.
(3.) It appears that immediately after the second world war Purushotham started a new business of lungi. In connection with his new venture he borrowed money from others either on promissory notes or on the security of the family properties. He, however, suffered loss in that business. When his creditors began to press for immediate discharge of the debts, K. V. Purushotham and his brother K. V. Sriramulu on their behalf and on behalf of other minors in the family entered into an agreement on 7th July, 1955 with V. Govindaswami Mudaliar, V. Shanmugha Mudaliar and V. Nataraja Mudaliar, sons of Vaidinankuppam Venugopala Mudaliar. This agreement was evidenced by a writing, Ext. B-4. Under the agreement K. V. Purushotham and K. V. Sriramulu were to sell their entire property, except one acre of land, and a house, to Mudaliar brothers for a sum of Rs. 14,000/- to discharge their debts. They received a sum of Rs. 500/- by way of advance and the balance of Rupees 13,500/- was to be paid within two months. It was further stipulated that in case the vendees defaulted they would lose the advance money, on the other hand if the vendors defaulted they would have to pay to the vendees a liquidated damage of Rs. 2,000/-.;