SARLA DEVI Vs. SHAM BIHARI AGGARWAL

JUDGEMENT

(1.) This appeal is directed against the judgment and a decree passed by the learned Additional District Judge dated 15.2.2003.

(2.) Brief facts which are necessary to dispose of the appeal are recapitulated as under. The respondent who was the plaintiff in the trial court filed a suit against the appellant (defendant) for specific performance of the contract with consequential relief. The respondent is engaged in the business of cloth under the name and style of M/s Sham Babu and Sons. The appellant was carrying on the business of cloth in partnership under the name and style of M/s Mangrove International. The appellant purchased goods on 30 days credit facility from the respondent through a broker Lakhan Singh Yadav for a total consideration of Rs. 5,05,765/- The transaction relates to the period 31.3.1998 to 29.5.1998. Admittedly, the appellant failed to adhere to the commitment of payment within the stipulated period despite repeated requests and reminders. Ultimately on 29.8.1998 the appellant along with her husband and other partners approached the respondent and offered to sell her house bearing No. 516/5A, Vijay Park, Gali No.9, Maujpur, Delhi measuring 85 square yards for a consideration of Rs. 5 lakhs and to adjust the said amount towards the outstanding amount of the said firm. The respondent had agreed to purchase the aforesaid property for a consideration of Rs. 5,00,000/- The appellant executed the agreement to sell dated 29.8.1998, payment confirmation receipt, Will and General Power of Attorney in favour of the respondent in presence of her husband Om Narain Dubey. The outstanding amount of Rs. 5,05,765/- was rounded off to Rs. 5,00,000/- and the said outstanding payment to the respondent from the appellant was adjusted towards the consideration of the sale proceeds of the aforesaid property.

(3.) The appellant also delivered the vacant and peaceful possession of the ground floor and promised to execute the registered sale deed and deliver the vacant and peaceful possession of the remaining two floors of the property by the end of December,1998. The appellant also handed over the original previous title documents of the said property to the respondent.