Dinesh Maheshwari, J. - (1.) This appeal by special leave arises out of a civil suit (No. 83 of 1968) for specific performance of agreement for sale of agricultural land in Survey No. 64 admeasuring 50 acres and 39 gunthas, situated at village Gulvanchi, Taluka - North Solapur . In its judgment and decree dated 13.04.1984, the Trial Court declined the relief of specific performance but decreed the suit for the alternative relief of money recovery. On 30.11.1987, the First Appellate Court, while dismissing the contesting plaintiffs' appeal (Civil Appeal No. 546 of 1984), affirmed the decree of the Trial Court. However, the High Court of Judicature at Bombay allowed the second appeal preferred by the contesting plaintiffs (Second Appeal No. 176 of 1988) by its impugned judgment and decree dated 01.08.2007 and decreed the suit for the principal relief of specific performance, albeit on enhanced sale consideration with reference to the market value of the land in question.
(2.) In order to appreciate the relevant features of this case, essentially pertaining to the reliefs claimed under the Specific Relief Act, 1963 , the status and capacity of parties to this litigation may be taken note of at the outset and as follows: - 2.1. In the suit for specific performance leading to this appeal, the respondent No. 1 and the respondent No. 6 had been the plaintiff Nos. 2 and 3 respectively. The suit was filed by them jointly with the plaintiff No. 1- late Shri Chandulal Balaprasad Parandekar, who was the husband of plaintiff No. 2 (respondent No. 1 herein) and who expired during the pendency of suit. After the demise of plaintiff No. 1, the daughter of plaintiff Nos. 1 and 2 was taken on record as plaintiff No. 4. She is respondent No. 2 in this appeal. Therefore, respondent Nos. 1, 2 and 6 of this appeal were standing in the capacity of plaintiffs (vendees).2.2. On the other hand, the respondent Nos. 3 to 5 of this appeal had been the original defendant Nos. 1 to 3 in the suit in question. The defendant No. 1 (respondent No. 3) having expired, his legal representatives are joined as respondent Nos. 3a to 3d in this appeal. The agreements forming the subject-matter of this litigation were executed by the defendant Nos. 1 to 3 (vendors) in favour of the plaintiff Nos. 1 to 3 (vendees).2.3 The appellants of this appeal were subsequently joined as defendant Nos. 4 to 6 in the suit in question, as being the purchasers of the suit property after filing of the suit [3].2.4. It may also be noticed that an application (IA No. 3 of 2010) was moved in this appeal pointing out demise of respondent No. 1 (plaintiff No. 2), respondent No. 4 (defendant No. 2), and respondent No. 6 (plaintiff No. 3) with the submissions that the legal representative of the respondent No. 1 was already on record as respondent No. 2; and the legal representatives of deceased respondent Nos. 4 and 6 may be substituted on record. However, this application was rejected on 24.02.2012. On the other hand, other applications (IA Nos. 5 & 6 of 2013) for substitution of legal representatives of deceased respondent No. 5 (defendant No. 3) and for condonation of delay were granted on 05.08.2013. Be that as it may, the estate of the original contesting plaintiffs (plaintiffs Nos. 1 & 2) is duly represented by their daughter (plaintiff No. 4 - respondent No. 2 herein); and the contest in this litigation is essentially between her and the appellants (subsequent purchasers).
(3.) Briefly put, the relevant background aspects of the matter and respective stands of the parties had been as follows: - 3.1. The plaintiffs filed the suit aforesaid with the averments that the defendant Nos. 1 to 3 had executed an agreement dated 20.09.1965 for sale of the suit property for a consideration of Rs. 22,951/-; and that a sum of Rs. 3,500/- was paid as earnest money. It was further averred that crops were standing on the suit property and hence, possession to the extent of half portion thereof was to be handed over by the end of the year of 1965; and that in part performance of agreement, the plaintiffs made payment of a further sum of Rs. 2,000/- to the defendant Nos. 1 to 3 on 24.09.1965 and the said defendants handed over possession of 25 acres of the land in question to the plaintiffs on 14.11.1965. The plaintiffs further averred that they served a notice on the defendant Nos. 1 to 3 on 05.04.1966 for performance of the agreement in question and, on receipt of this notice, the said defendants executed a supplementary agreement for sale; they accepted an additional amount of Rs. 500/- from the plaintiffs; and they handed over possession of the remaining part of the land in question to the plaintiffs. The plaintiffs also averred that in this manner, a sum of Rs. 6,000/- was paid to the defendant Nos. 1 to 3 as part payment of the total sale consideration and the remaining sale consideration was settled at Rs. 11,951/-, after deducting Rs. 5,000/- towards encumbrances; and on payment of this amount, the defendant Nos. 1 to 3 were liable to execute the sale deed in their favour within a time span of 15 days. The plaintiffs averred that they were ready to perform their part of the contract but the defendant Nos. 1 to 3 failed to execute the sale deed for the land in question. With these averments, the plaintiffs sought the relief of specific performance of the agreement for sale and in the alternative, also prayed for recovery of earnest money with interest and for damages. The reliefs claimed in the plaint, being relevant for present purposes, may be take note of as follows: -"10) The Plaintiffs pray that,A) The Defendants may be ordered to execute the sale-deed in respect of the land described in plaint paragraph1, by accepting Rs.16,951/- from the plaintiffs and to mention in the sale-deed that, in case, the Defendants can not ward off the charges on the land, being the sum of Rs. 5,000/-, before the execution of the sale-deed then the said amount may be deducted from the sale price and the plaintiffs shall obtain assurance for the same and the defendant Nos. 1 to 6 may be ordered to join the defendant No.1 to 3, in execution of the saledeed.B) If it is proved that, perhaps the possession of the land received by the Plaintiffs by way of part performance, is taken by the Defendants and the possession is of the Defendants only, then the Defendants may be ordered to hand over the land.C) In case, if it happens that, for any reason sale-deed pertaining to the suit land can not be executed in favour of the plaintiffs, then the defendants may be ordered to pay to the plaintiffs the sum accepted by the defendants towards the earnest money Rupees 6,000/- and damages thereon at the rate of Rs. 2% p.a. And the sum of Rupees 15,000/- towards the losses on account of breach of Agreement by the Defendants and it may also be ordered that the encumbrances in respect of the said amount has been placed on the suit land.D) The Defendants may be ordered to pay to the plaintiffs the entire cost, including advocates fee, of the present suit.E) Other just and proper orders may be passed."3.2. In their written statement, the defendant Nos. 1 to 3 (vendors) though admitted the execution of agreement dated 20.09.1965 as also supplementary agreement dated 28.04.1966 but then, claimed that the said agreements were executed only as collateral security for a loan advanced by the plaintiff No. 1 and not for the sale of property. These defendants asserted that the plaintiff No. 3 had introduced them to the plaintiff Nos. 1 and 2, who in turn, had advanced the loan to them. They further asserted that though the agreement was originally executed only in favour of plaintiff No. 1, the names of other plaintiffs were incorporated at the behest of plaintiff No.3; and that they had never parted with possession of the land in question.3.3. The defendant Nos. 4 and 5 were subsequently impleaded in the said suit as they had purchased 25 acres of the land in question by way of a sale deed dated 10.07.1978, which was executed by the defendant No. 1. The defendant No. 6 was also impleaded as a subsequent purchaser of the remaining portion of the land in question, by way of another sale deed dated 18.09.1968. These defendants contended that they were bona fide purchasers having no knowledge of the aforementioned transaction between the plaintiffs and defendant Nos. 1 to 3.;