Protecting the Rights of the Appellant: Court Rules Against Bonafide Purchasers in the Doctrine of Lis Pendens Case. Rejection of Defence and Upholding of Decree in a Property Dispute

Case Note & Summary

The proceedings and judgment of an appeal filed before a court, challenging a judgment and order passed by the Punjab and Haryana High Court on 03.10.2019. The appellant, a plaintiff in the original suit, sought specific performance, which was dismissed by the High Court. The appeal primarily revolves around the execution of an agreement to sell land, subsequent transactions, and the applicability of legal principles such as lis pendens and bona fide purchaser for valuable consideration.

1. Introduction and Background

Appeal challenges the High Court's judgment reversing lower courts' findings. Original suit filed by appellant for specific performance, partially granted by lower courts.

2. Facts Leading to Appeal

Agreement to sell land executed in 2002. Suit filed for permanent injunction in 2003. Release deed executed by respondent no. 3 in 2003. Sale deed executed by respondent no. 4 in 2004.

3. Trial Court Decree

Trial court decreed in favor of appellant, citing execution of agreement and witness testimony. Defendants' objections dismissed; adverse inference drawn against them.

4. Appeal and Observations

First Appellate Court upheld trial court's decision, citing collusion among respondents. High Court reversed lower courts' judgments, granted relief of earnest money refund to appellant.

5. Arguments and Legal Principles

Respondents claim bona fide purchase; appellant invokes lis pendens. Sections 41 and 52 of the Transfer of Property Act discussed. High Court's decision critiqued by both sides.

6. Judgment and Conclusion

Appeal allowed, High Court's judgment set aside. Direction to respondent to execute agreement to sell in favor of appellant.

The legal proceedings, arguments, and judgment concerning the dispute over the sale of land, emphasizing the application of legal principles such as lis pendens and bona fide purchaser for valuable consideration.