RITU SAXENA Vs. J. S. GROVER

JUDGEMENT

(1.) The unsuccessful plaintiff is in appeals before this Court arising out of a suit for specific performance of an Agreement dated July 18, 2004 in respect of Flat No. 272, Ground Floor, Gulmohar Enclave, New Delhi.

(2.) The husband of the appellant, who as an employee of M/s. GE Capital Services India Ltd., was in occupation of the said residential premises on a monthly rent of Rs.13,000/- to be paid by the tenant i.e. M/s. GE Capital Services India Ltd. since September 2002 to the landlord. On the expiry of the existing lease, the Agreement of Lease was extended for 11 months from September 01, 2004 but before the expiry of the lease, the appellant claims to have entered into an Agreement of Purchase the said property for a total sum of Rs.50 lakhs. A sum of Rs.1 lakh by cheque was paid to the defendants. It was agreed that all further relevant documents such as Agreement to Sell, Sale Deed, Will, Possession Certificate and No Objection Certificate for the purpose of transferring the said property shall be executed. The Agreement reads thus:

(3.) The appellant relies upon communication dated July 30, 2004 that a loan of Rs.50 lakhs has been approved by the ICICI Home Finance Company Limited (for short, ICICI) but the disbursal of the loan was only after the bank receives all income tax and property documents as discussed with her husband. The appellant is said to have written a letter to the defendants on September 14, 2004 to fix the date to complete the pending documentation and other formalities followed by another letter dated December 21, 2004. A legal notice dated April 19, 2005 was also served. In reply dated April 27, 2005, it was asserted that a formal Agreement to Sell was to be executed on or before July 21, 2004 and the appellant was to pay 25% of the total consideration. Since the appellant has failed to pay 25% of the total consideration amount, therefore, the Agreement is not enforceable. It is thereafter on May 25, 2005, suit for specific performance was filed.