The Supreme Court allowed the appeal and set aside the High Court’s order, thereby restoring the Trial Court’s decision rejecting the application for condonation of delay.

The Court held that the delay of 1312 days was not sufficiently justified and the explanation provided lacked credibility. The doctrine of equitable jurisdiction requires genuine hardship and reasonable cause, neither of which were established in this case. The application to set aside the ex-parte decree was deemed an afterthought and purely experimental. (Para 10, 11)

The appeal was allowed, and the Trial Court’s order refusing to condone the delay was reinstated.

Acts and Sections Discussed:

1. Code of Civil Procedure, 1908 (CPC) – Section 96 – Appeal from Original Decree

2. Specific Relief Act, 1963 – Section 20 – Discretion as to Decreeing Specific Performance

3. Limitation Act, 1963 – Section 5 – Extension of Prescribed Period in Certain Cases

Subjects:
Ex-Parte Decree – Condonation of Delay – Equitable Jurisdiction – Specific Performance – Power of Attorney – Execution Proceedings – Legal Representatives – Substantial Justice – Deliberate Delay

Nature of the Litigation:
Appeal against the order of the High Court condoning a delay of 1312 days in setting aside an ex-parte decree for specific performance.

Relief Sought:
The appellant sought reinstatement of the Trial Court’s order refusing to condone the delay and rejecting the application to set aside the ex-parte decree.

Reason for Filing the Case:
The appellant contested the High Court’s order that condoned the delay in filing the application to set aside the ex-parte decree, arguing that the delay was deliberate and unjustified.

Prior Decisions:

1. The Trial Court refused to condone the delay and rejected the application to set aside the ex-parte decree.

2. The High Court reversed the Trial Court’s decision and allowed the application by condoning the delay.

Issues:
a) Whether the High Court was justified in condoning a delay of 1312 days in filing the application to set aside the ex-parte decree.
b) Whether equitable jurisdiction could be exercised in the absence of sufficient cause for delay.
c) Whether the ex-parte decree for specific performance was rightly set aside.

Submissions/Arguments:

• Appellant: The delay was not properly explained, and the reasons cited were unsubstantiated and frivolous. The original defendant had ample opportunity to contest the suit but chose not to, and the legal representatives failed to take timely action despite being aware of the decree.

• Respondents: Claimed hardship and lack of awareness regarding the ex-parte decree due to misplacement of case files by their lawyer. Argued that the agreement for sale was collusive and against their interests.