MOHAN SINGH Vs. JARNAIL SINGH

JUDGEMENT

(1.) THE plaintiff-appellant has filed this second appeal impugning the judgment and decree of the District Judge, Amritsar, dated November 18, 1983 whereby the judgment and decree of the Subordinate Judge Ist Class, Ajnala dated May 21, 1982 was partly reversed.

(2.) THE facts leading to the filing of the present appeal are that Jarnail Singh (defendant-respondent No. 1) executed an agreement to sell in favour of Mohan Singh (plaintiff-appellant) on January 25, 1979 agreeing to sell 36 Kanals 13 Marlas of land at a rate of Rs. 22,000/- per acre. Earnest money of Rs. 12,000/- was received by respondent No. 1 on January 25, 1979 and it was agreed that the sale deed would be executed on or before April 01, 1980. The agreement to sell further stipulates that in the eventuality of respondent No. 1 failing to execute the sale deed, the appellant would be entitled to receive damages amounting to Rs. 30,000/-. The appellant is alleged to have paid another sum of Rs. 18,000/-, to respondent No. 1 on March 30, 1979. On April 01, 1980 the appellant, arrived at the office of the Tehsildar, Ajnala, for the execution of the sale deed but respondent No. 1 absented himself. In the interRegulation m, respondent No. 1 executed two sale deeds in favour of respondent Nos. 2 to 4 on January 28, 1980 and January 29, 1980, transferring the land agreed to be sold to the appellant to respondent Nos. 2 to 4. Thereafter, the appellant issued a registered notice dated March 28, 1980, calling upon respondent No. 1 to execute the sale deed. As respondent No. 1 failed to execute the sale deed, the appellant filed a suit for specific performance and in the alternative prayed for the recovery of Rs. 60,000/- i.e. Rs. 30,000/- as earnest money and Rs. 30,000/- as damages.

(3.) RESPONDENT Nos. 2 to 4 put in appearance and sought the dismissal of the suit on the plea that they had no knowledge of the existence of any agreement of sell, in favour of the appellant and that respondent No. 1 had executed a prior agreement to sell in their favour which had culminated into two sale deeds. These respondents also raised a plea that they were bona fide purchasers without notice for valuable consideration.