Mohan M. Shantanagoudar, J. - (1.) These appeals arises out of judgement of the High Court of Gujarat at Ahmedabad dated 31.7.2014, allowing the appeals of the respective Respondent Nos. 1 in the four Civil Appeal Nos. 10683-86 of 2014 before us (hereinafter 'Respondent Nos. 1'), against judgement and order of the Additional District Judge, Vadodara dated 2.4.2013 and order dated 30.12.2011 of the Additional Senior Civil Judge, Vadodara; and decreeing the suits SCS Nos. 657-660/1988 filed by Respondent Nos. 1 for specific performance against the Appellants herein. I. Background Facts
(2.) This case concerns four suits for specific performance filed by the Respondent Nos. 1/Plaintiffs against the Appellants/Defendants Nos. 1-5. One Naranbhai Ramdas Patel (Defendant No. 1, now deceased) was the original owner of property bearing Survey No. 354/1, admeasuring 1 acre and 31 gunthas in Village Manjalpur of Vadodara district (hereinafter 'suit property'). He, along with Defendants Nos. 2-5 (relatives of Defendant No. 1) executed agreement to sell dated 11.3.1986 ('1986 agreement') in respect of the suit property in favour of Respondent Nos. 3-11/Defendants Nos. 6-9 (hereinafter 'original vendees'), for which the original vendees paid earnest money of Rs. 1,54,251. The suit property was included in Town Planning Scheme No. 19 of the Vadodara Municipal Corporation and possession of the suit property was to be given to the original vendees once the aforesaid Scheme was finalized. A registered sale deed in respect of the suit property was to be executed upon receipt of the remaining consideration from the original vendees, the deadline for which was within three months of finalization of the Town Planning Scheme. The case of Respondent Nos. 1 is that the original vendees thereafter executed four agreements to sell dated 14.9.1987 ('1987 agreements') in respect of four different portions of the suit property, assigning the former's rights under the 1986 agreement in the latter's favour, and that earnest money of Rs. 5000/- was paid under each agreement. Notably, the Appellants were not parties to the 1987 agreements. Under the 1987 agreements, it was purportedly open to Respondent Nos. 1 to make preparations for construction of a housing scheme over the suit property and issue advertisement for the same. Hence they claim that consequently, possession of the suit property was given to them, that a Bhoomi Pujan was conducted for laying foundation stone on the land and the members of the housing scheme were also registered. Further, that they also obtained the layout plan and construction permission for the housing scheme from Vadodara Municipal Corporation at their own cost, and the deceased original owner Mr. Naranbhai Patel had put his signature on the layout plan. Subsequently, dispute arose between the parties, and the original vendees filed suit SCS No. 194/1988 on 4.4.1988 before the Learned Civil Judge (Senior Division) at Vadodara (hereinafter 'trial court'), seeking specific performance of the 1986 agreement against the Appellants. They claimed that they had served notice to the Appellants on 11.3.1988 seeking execution of sale deed in their favour, but the latter had given evasive reply to the same; that they were deliberately avoiding execution of sale deed so as to take advantage of increase in real estate prices. Per contra, the Appellants claimed that they had on 25.3.1988, by way of reply to the original vendees' legal notice, cancelled the 1986 agreement as the original vendees had not paid the remaining consideration as required. Respondent Nos. 1 were not party to SCS No. 194/1988; and no averment was made in the said suit regarding the 1987 agreements. Instead, on 21.11.88, Respondent Nos. 1 filed four separate suits SCS Nos. 657-660/1988 against the Appellants and the original vendees seeking specific performance of the 1987 agreements. Respondent Nos. 1 alleged that the Appellants and the original vendees were conniving with each other to deny their rights under the 1987 agreements, so as to sell the land to a third party in view of the increasing price of real estate in Vadodara. The Appellants in their written statements to SCS Nos. 657- 660/1988 denied having any dealings with Respondent Nos. 1 and also stated that the original vendees had never informed them about the 1987 agreements. They averred that since the original vendees had never become the legal owners of the suit property, they did not have any right or authority to enter into any kind of transaction qua the land with Respondent Nos. 1; and that the plaints were concocted to usurp the land. Both sets of suits, SCS No. 194/1988 and SCS Nos. 657- 660/1988, remained pending for a number of years. During that period, notably, the Appellants and the original vendees acting together executed a Power-of-Attorney dated 11.11.2001 in favour of one Dhananjay Vallabhbhai Patel. It was stated in the Power-of-Attorney that the Appellants and the original vendees are relinquishing their rights in the suit property to Mr. Dhananjay Patel for the purpose of executing sale deed in favour of one Kantilal Ambalal Patel, who is the uncle of the said Dhananjay Patel. A. Proceedings in SCS No. 194/1988 (Original vendees' suit)
(3.) The original vendees filed withdrawal pursis on 26.7.2002 seeking to unconditionally withdraw SCS No. 194/1988 on the ground that the 1986 agreement was fraudulently registered; that they were not aware of the identity of the true owners of the suit property at the time of the 1986 agreement as it was executed through a broker, that the original owners of the suit property had not signed the agreement, nor had they received any consideration; and the 1986 agreement was fraudulently registered, hence no dispute could be raised regarding the suit property. On the same day, Respondent Nos. 1 sought impleadment as co-plaintiffs in SCS No. 194/1988. The trial court by way of common order dated 22.9.2002 rejected the original vendees' withdrawal application and allowed the impleadment applications of Respondent Nos. 1. The High Court in revision reversed the trial court's order, though without going into the merits of the claim made by Respondent Nos. 1. The Court held that the original vendees had an absolute right to withdraw their suit unconditionally irrespective of their motivations for the same. Further, that it was open to Respondent Nos. 1 to raise all available contentions in their separate suits, including admissions, if any, made by the original vendees in their suit SCS No. 194/1988. It was noted that Respondent Nos. 1 cannot be permitted to substitute the original vendees as plaintiffs, as otherwise substantial amendment would be required to the original vendees' plaint. The special leave petitions filed by Respondent Nos. 1 against the High Court judgement were dismissed by this Court by order dated 16.11.2004 in SLP (Civil) Nos. 22664-65/2004. Respondent Nos. 1 subsequently made application in SCS No. 658 of 2008, for revival of SCS No. 194/1988, contending that the original vendees had been misled into withdrawing the latter suit; however the application was dismissed by the trial court and the High Court by orders dated 24.1.2008 and 25.3.2008 respectively. Hence the withdrawal of the original vendees' suit has attained finality. B. Proceedings in SCS Nos. 657-660/1988 (Present suit);