SWARNAM RAMACHANDRAN Vs. ARAVACODE CHAKUNGAL JAYAPALAN

JUDGEMENT

(1.) THE learned Single Judge has decreed a suit for specific performance. This appeal is against the judgment and order of the learned Single Judge dated 3rd October, 1994.

(2.) ON 18-2-1981, an agreement for sale was entered into between the appellants as vendors and the respondent as purchaser of a property comprising of a plot of land admeasuring 481. 25 sq. meters bearing plot No. 423-C out of a larger piece of land bearing City Survey No. 1285 (Part), Plot No. 423 of Suburban Scheme III of Chembur with a bungalow bearing Municipal No. 1137 (2) standing thereon. Clause (1) of the agreement provided that the respondent shall purchase the property, in question, for a price of Rs. 10 lakhs which was to be paid as follows :---

(3.) ON 20-2-1981, the appellants forwarded six documents by their advocates letter to the respondents advocate for the purpose of making out a marketable title to the property. As stipulated in the agreement, an amount of Rs. 1,25,000/- was to be paid by the respondent to the appellants on or before 18-4-1981. On 31-3-1981, the respondent forwarded an amount of Rs. 50,000/- by cheque to the appellants. The respondent, did not pay the balance amount of Rs. 75,000/- before 18-4-1981. On 3-9-1981 the advocate for the appellants addressed a letter to the respondents advocate setting out that the respondent had not paid in full the amount of Rs. 1,25,000/- within two months from the date of the agreement. The respondent was called upon to comply with the terms of the agreement by effecting payment within three days of the receipt of the letter. In para 3 of the letter dated 3-9-1981, the appellants sought to extend the time for the completion of the sale to 31-12-1981 in accordance with the provisions contained in Clause 8 of the agreement. Together with the said letter, the appellants sought from the respondent a draft deed of conveyance for approval so that the income-tax clearance could be obtained.