M/S Mera Baba Pvt Ltd v. Ram Lubhaya Puri & Others

RAJIV SAHAI ENDLAW, J. MAY, 29, 2018 "bs" .. (Corrected and released on 7th June, 2018).

* IN THE HIGH COURT OF DELHI AT NEW DELHI % Date of decision: 29th May, 2018 + CS(OS) 308/2016 & CC No.10/2017 MERA BABA PVT. LTD. ...... Plaintiff Through: Mr. Jayant Mehta, Mr. Kapil Wadhwa, Ms. Devyani Nath and Mr. Rahul Kukreja, Advs. Versus RAM LUBHAYA PURI & ORS …...Defendants Through: Ms. Smita Mann, Adv. CORAM: HON'BLE MR. JUSTICE RAJIV SAHAI ENDLAW 1. The plaintiff has instituted this suit for recovery of Rs.2,60,00,000/- jointly and severally from the defendants No.1 to 5 i.e. (i) Ram Lubhaya Puri; (ii) Smt. Janak Puri; (iii) Amit Puri; (iv) Subodh Kumar; and, (v) Sneha Lata, pleading: (a) that the plaintiff entered into an Agreement to Sell dated 20th May, 2013 with the defendants, to purchase certain agricultural land, and as per the Agreement, defendants received an amount of Rs.2,60,00,000/- from the plaintiff as advance money; (b) that the defendants acknowledged receipt of payment of Rs.40 lakhs and thereafter of Rs.2,20,00,000/- in the Agreement to Sell; (c) that the defendants, after receiving the advance amount aforesaid, were under obligation to obtain permission and "No Objection Certificate" (NOC) from the concerned authorities and whereupon balance sale consideration was to be paid by the plaintiff and the sale deed executed by the defendants in favour of the plaintiff; (d) that the defendants failed to obtain the permission, as specified in Clause 9 of the Agreement to Sell, inspite of repeated requests and reminders of the plaintiff; (e) that the defendants also failed to provide to the plaintiff the complete chain of title documents with respect to the property; (f) that some inter se disputes also arose between the defendants with respect to the title to the property; (g) that the defendants sent a legal notice dated 17th December, 2013 to the plaintiff purporting to forfeit the amount of Rs.2,60,00,000/- received from the plaintiff on false and frivolous grounds; (h) that the plaintiff sent a reply dated 27th December, 2013 to the said notice, calling upon the defendants to perform their obligation under the Agreement; (i) that the defendants sent another notice dated 9th April, 2014 and to which a reply dated 22nd April, 2014 was given by the plaintiff; (j) that the defendants, in the month of June, 2014, approached the plaintiff to resolve the disputes; (k) that the plaintiff, in January, 2016 learnt that the defendants were trying to sell the land aforesaid to third party; the plaintiff filed an application before the Additional District Magistrate to not issue the NOC to the defendants to create third party interest; and, (l) that the plaintiff has again learnt that the defendants, without refunding the monies received from the plaintiff, are attempting to sell the land. 2. The suit was entertained and vide ex-parte order dated 3rd June, 2016, while issuing summons of the suit, the defendants were restrained from selling the land subject matter of Agreement to Sell with the plaintiff. 3. The defendants filed a written statement along with Counter-Claim, pleading: (i) that it is the plaintiff who is in breach of the Agreement to Sell dated 20th May, 2013 and the defendants, even now, are willing to sell the agricultural land to the plaintiff for the consideration agreed; (ii) that the Agreement to Sell was for a total sale consideration of Rs.26,00,11,125/- and the plaintiff, on 13th May, 2013 paid an amount of Rs.40 lakhs in cash to the defendants as part of token amount for purchase of the subject land and on 20th May, 2013, the Directors of the plaintiff brought an Agreement to Sell dated 20th May, 2013 and which was got signed from the defendants and the plaintiff paid a further sum of Rs.2,20,00,000/- to the defendants in cash, as an earnest amount towards the sale consideration of the subject land and the factum of earlier payment of Rs.40 lakhs was already recorded in the Agreement to Sell dated 20th May, 2013 and a separate Receipt dated 20th May, 2013 was executed by the defendants ackno