T P LATHA ALIAS HEMALATHA Vs. P SUKUMAR

JUDGEMENT

(1.) THE defendants in O.S.No.84 of 2008 on the file of the I Additional District Court, Erode, are the appellants in the above appeal. THE respondent / plaintiff filed the suit for specific performance of the agreement of sale, dated 10.03.2007 against the appellants / defendants and the trial court decreed the suit and being aggrieved by that, the above appeal has been filed by the appellants.

(2.) THE case of the respondent before the Court below is as follows:- THE suit property belonged to one Late.T.M.Pasai Nayagam and he died on 11.08.2005 leaving behind the appellants as his legal heirs and the appellants inherited the suit properties and became the absolute owners thereof. THE appellants made a proclamation for sale of the suit property for their family expenses and also for their welfare. After negotiations, an agreement of sale, dated 10.03.2007, was entered into between them. On 10.03.2007, the appellants agreed to sell the suit property at Rs.1,050/- per sq.ft. THE total sale consideration comes to Rs.17,01,000/-. THE time fixed for completing the sale is six months from the date of the agreement. A sum of Rs.5,00,000/- was paid as advance and the balance sale price of Rs.12,01,000/- is to be paid by the respondent to the appellants at the time of registration of the sale deed. Since the property is an immovable property, time is not the essence of the contract.

(3.) ON 14.09.2007, the appellants sent a registered notice to the respondent admitting the suit agreement, but claimed that time is the essence of the contract and on the expiry of the period stipulated in the agreement, the respondent forfeited the advance amount. Since time is not the essence of the contract and as the appellants did not chose to vacate the tenants and on account of the studies of the third appellant, the appellants were not able to vacate the suit property and in fact, sought time up to May 2008, when the academic year ends. Since the appellants had failed to comply with the terms of the agreement of sale, the suit is filed for specific performance. The respondent also filed a lodgement schedule for deposing the balance sale consideration and he also sought for an injunction against the appellants.