SARAYA INDUSTRIES LTD Vs. HARGOBIND BAJAJ

JUDGEMENT

(1.) The plaintiff has filed the suit for specific performance and for recovery of damages and/or recovery of compensation of Rs.20 lakhs. The plaintiff is a company incorporated and registered under the Companies Act, 1956 and the suit has been instituted through Shri Satyajit Singh Majithia, Chairman- cum-Managing Director who is also stated to be the Principal Officer. The certified copy of the resolution passed in his favour in the Board of Directors meeting held on 09.11.2001 is exhibited as Exhibit PW - 1/1.

(2.) Defendant No. 1 is stated to be the owner of a freehold plot of land measuring approximately 300 sq. yds. and numbered as House No. 47, Khasra No. 289/249, falling in the Revenue Estate of Village Kalu Sarai, Tehsil Mehrauli, New Delhi. Defendant No. 1 is stated to have entered into an Agreement for Collaboration with the builder, defendant No. 2, who is the sole proprietor of M/s. Thapar Associates. The commercial building was agreed to be constructed to be called a Thapar - Arcade and the constructed area had to be shared between the owner and the builder in the ratio of 45:55. The Collaboration Agreement dated 17.02.1992 is exhibited as Exhibit PW - 1/2. Defendant No. 1 is also stated to have simultaneously executed a General Power of Attorney dated 17.02.1992 in favour of defendant No. 2 in respect of 55% of the area falling to his share, which is exhibited as Exhibit PW - 1/3.

(3.) Defendant No. 2 is stated to have in turn entered into an Agreement to Sell dated 13.12.1996 with the plaintiff agreeing to sell space No. 302 on the Third Floor of the proposed building. The said Agreement is exhibited as Exhibit PW - 1/4. In terms of the Agreement, defendant No. 2 was liable to convey the title in favour of the plaintiff on payment of the full consideration and the stamp duty and registration charges had to be borne by defendant No. 2 as per clause 32 of the Agreement, which is as under: