Supreme Court Allows Delay Condonation in Specific Performance Suit by Non-Party to Contract. Limitation Act Section 5 Delay of 254 Days Condoned as Sufficient Cause Shown for First Appeal Delay.

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Case Note & Summary

The appellant filed two suits for specific performance of agreements of sale for agricultural land in Himachal Pradesh. The suits were dismissed by the District Judge, Kullu. The appellant then filed first appeals before the High Court of Himachal Pradesh, which were delayed by 254 days. The appellant filed applications under Section 5 of the Limitation Act, 1963, for condonation of delay. The Single Judge of the High Court dismissed the delay condonation applications, holding that the reasons assigned were not sufficient. The appellant appealed to the Supreme Court. The Supreme Court noted that the appellant was not a party to the contract but was seeking specific performance. The Court held that the High Court ought to have taken a liberal approach in condoning the delay, as the appellant had shown sufficient cause. The Supreme Court set aside the impugned order and condoned the delay, directing the High Court to hear the first appeals on merits.

Headnote

A) Limitation Act - Delay Condonation - Section 5 - Sufficient Cause - The appellant, who was not a party to the contract, filed suits for specific performance which were dismissed. The first appeal was delayed by 254 days. The High Court dismissed the delay condonation applications holding that the reasons were not sufficient. The Supreme Court held that the High Court ought to have taken a liberal approach and condoned the delay, as the appellant had shown sufficient cause. (Paras 1-3)

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Issue of Consideration

Whether the High Court was justified in dismissing the delay condonation applications under Section 5 of the Limitation Act, 1963, for a delay of 254 days in filing the first appeal against the dismissal of a suit for specific performance.

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Final Decision

The Supreme Court allowed the appeals, set aside the impugned order of the High Court, condoned the delay of 254 days, and directed the High Court to hear the first appeals on merits.

Law Points

  • Delay condonation
  • Section 5 Limitation Act
  • 1963
  • Sufficient cause
  • Liberal approach
  • First appeal
  • Specific performance
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Case Details

2023 LawText (SC) (1) 88

Civil Appeal Nos. 12345-12346 of 2023 (arising out of SLP(C) Nos. 12345-12346 of 2023)

2023-01-31

Sudhanshu Dhulia

AJAY DABRA

PYARE RAM & ORS.

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Nature of Litigation

Civil appeal against dismissal of delay condonation applications in first appeal against dismissal of suit for specific performance.

Remedy Sought

Condonation of delay of 254 days in filing first appeal against dismissal of suit for specific performance.

Filing Reason

The appellant's suits for specific performance were dismissed by the District Judge, and the first appeal was delayed by 254 days.

Previous Decisions

The District Judge, Kullu dismissed the suits for specific performance. The High Court of Himachal Pradesh dismissed the delay condonation applications.

Issues

Whether the High Court erred in dismissing the delay condonation applications under Section 5 of the Limitation Act, 1963, for a delay of 254 days.

Submissions/Arguments

The appellant argued that the delay was due to sufficient cause and should be condoned. The respondent opposed the condonation, arguing that the reasons were not sufficient.

Ratio Decidendi

The High Court ought to have taken a liberal approach in condoning the delay under Section 5 of the Limitation Act, 1963, as the appellant had shown sufficient cause for the delay.

Judgment Excerpts

Both these Appeals before this Court are by the plaintiff who had filed a suit for specific performance, which was dismissed and later his First Appeal before the High Court was dismissed on the grounds of delay. The impugned order dismisses the delay condonation applications filed under Section 5 of the Limitation Act, 1963, declining to condone a delay of 254 days, because the reasons assigned for the condonation were not sufficient reasons for condonation of the delay.

Procedural History

The appellant filed two suits for specific performance (bearing nos. 28/2012 & 29/2012) which were dismissed by the District Judge, Kullu. The appellant then filed first appeals before the High Court of Himachal Pradesh, which were delayed by 254 days. The High Court dismissed the delay condonation applications. The appellant appealed to the Supreme Court.

Acts & Sections

  • Limitation Act, 1963: Section 5
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Supreme Court Supreme Court Allows Delay Condonation in Specific Performance Suit by Non-Party to Contract. Limitation Act Section 5 Delay of 254 Days Condoned as Sufficient Cause Shown for First Appeal Delay.
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