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Supreme Court of India

LABH SINGH & ORS.versusBACHAN SINGH

Citation
2008 INSC 47
Decided
11 January 2008
Disposal
Case Allowed

Holding

A co‑sharer does not have a superior right of pre‑emption where the sale involves the share of a female owner, as such sale is non‑pre‑emptible under Section 15(2), and the amendments to Section 15 are ultra‑vires per the precedents.

Summary

Lash Singh and others filed a suit for pre‑emption of agricultural land, claiming a superior right as a co‑sharer under Section 15(1) of the Punjab Pre‑emption Act, 1913. The vendor, Singh Ram, had sold half of the land, part of which was owned jointly with his sister Angrezo, a female. The trial court upheld the plaintiff’s claim, but the first appellate court set aside the decree, holding that the sale of the female’s share was not pre‑emptible under Section 15(2) and that the vendee’s status became that of a co‑sharer. The High Court reversed this, restoring the trial court’s decree. The Supreme Court, relying on the decisions in Atam Prakash v. State of Haryana and Mahant Braham Dass Singh Pannu v. Om Prakash Chaudhary, held that the High Court erred and reinstated the first appellate court’s view, concluding that the plaintiff did not have a superior pre‑emptive right. The appeal was allowed and the High Court order set aside, with the plaintiff permitted to withdraw deposited amounts.

Issues considered

  • Whether the plaintiff has a superior right of pre‑emption as a co‑sharer under Section 15(1) of the Punjab Pre‑emption Act, 1913.
  • Whether the suit can be dismissed for not disclosing the complete fact that the sale was by Angrezo, a female vendor, making it non‑pre‑emptible under Section 15(2).
  • Whether the amendments to Section 15 removing kinship‑based pre‑emption are ultra vires, as held in Atam Prakash and Mahant Braham Dass cases.

Legislation cited

Subjects

pre‑emptionco‑sharerPunjab Pre‑emption Actagricultural landultra viresconstitutional validitysale by femalejoint ownershippartition

Judgment

                                      [2008] 1 S.C.R. 639

~       ..o;·
                                    LASH SINGH & ORS.                            A
                                              v.
                                      BACHAN SINGH
                                   (C.A. No. 342 of 2008)

                                     JANUARY 11, 2008
                                                                                 B
                     [DR. ARIJIT PASAYAT AND AFTAB ALAM, JJ.)
       ....
                      Punjab Pre-emption Act, 1913 - s. 15 (1) and (2) -
                Agricultural land - Sale of - Suit by plaintiff claiming right to
                pre-emption as co-sharer being fourth degree collateral of c
                vendor - Decreed - First appellate court set aside the decree
                holding that since property jointly owned by vendor with his
                sister, sale to extent of share of female vendor was no( pre"
                emptible, thus, vendee's status improved as that of co-sharer
                - However, High Court restored the decree of trial court - On
                                                                                  D
                appeal held: In view of *Atam Prakash and **Mahant Braham
                Dass case, order of High Court set aside and that of first
                appellate court upheld.
                      One 'SR' sold half of the land in dispute for an
                ostensible consideration. The plaintiff filed a suit for pre- E
                emption claiming superior right of pre-emption over the
                suit land as a co-sharer with 'SR'-vendor uls 15(1) of
                Punjab Pre-emption Act, 1913 claiming that he held the
                suit land jointly with 'SR' as the fourth degree collateral of
        -t      'SR' The defendant-appellant contended that 'SR' and his F
JI              sister .'A' jointly owned half of the land and jointly executed
                the sale deed; and that the sale being by a female was
                governed by s. 15(2) of the Act. The trial court decreed
                the suit on the ground that the plaintiff being a co-sharer
                had superior right of pre-emption. The defendant filed an
                                                                                G
                appeal. The first appellate court held that the vendee had
     -"'!
                improved his status as that of a co-sharer since the sale
                to the extent of share of 'A' was not pre-emptible and thus,
                the plaintiff did not have superior right of pre-emption, and
                set aside the judgment and the decree passed by the trial
                                              639                                H
    640       SUPREME COURT REPORTS               (2008] 1 S.C.R.


A court. The respondent filed a second appeal. The High
  Court set aside the order of the first appellate court
  and restored that of the trial court. Hence the present
  appeal.
          Allowing the appeal, the Court
B
         HELD: In view of the decisions in* A tam Prakash case
    and **Mahant Braham Dass case by this Court, the
    judgment of the High Court restoring the judgment and
    decree of the trial Court is set aside. The first Appellate
c   Court had taken the correct view. Certain amounts have
    been deposited by the respondent-plaintiff with the trial
    court. The said Court would permit withdrawal of the
    amount by the respondent on a proper application being
    made. [Para 15] [644-G; 645-A]
D       *Atam Prakash v. State of Haryana and Ors. 1986 (2)
    SCC 249; **Mahant Braham Dass Singh Pannu v. Om Prakash
    Chaudhary 1996 (7) SCC 97 - relied on.
       CIVILAPPELLATE JURISDICTION: Civil Appeal No. 342
E of 2008.
         From the final Judgment and Order dated 29.10.2004 of
    the High Court of Punjab and Haryana at Chandigarh in R.S.A.
    No. 1352 of 2000.
      Pardeep Gupta, K. K. Mohan, Suresh Bharati and Vijay
                                                                    t
F Laxmi Lithanthem for the Appellants.
          Kuldip Singh for the Respondent.
          Dr. ARIJIT PASAYAT, J. 1. Heard learned counsel for the
    parties.
G
          2. Leave granted.
       3. Challenge in this appeal is to the judgment dated
  29.10.2004 passed by a learned Single Judge oo' the Punjab
  and Haryana High Court in a Second Appeal filed under Section
H 100 of the Code of Civil Procedure, 1908 (in short 'CPC'). The
                     LABH SINGH & ORS. v. BACHAN SINGH                         641
                                [PASAYAT, J.]
,. A         Second Appeal before the High Court was filed by the plaintiff A
             who had succeeded before the Trial Court; but the First Appellate
             Court set aside the judgment and decree passed. In the Second
             Appeal, the judgment and decree of the Trial Court was restored
             and those of the First Appellate Court were set aside. The
             respondent as plaintiff filed a suit for pre-emption.             B
                  4. Background facts in a nutshell are as follows:
     ~~'It

                   The plaintiff filed suit for possession alleging therein that
             the vendor Singh Ram is jointly recorded as owner of half share
             of land measuring 24 kanals situated in village Fatehbad Tehsil          c
             Naraingarh. The plaintiff and vendor Singh Ram are related to
             each other as the plaintiff is fourth degree collateral of the vendor.
             Singh Ram had sold half of 24 kanal of land by way of registered
             sale deed dated 2.6.1979 registered on 29.6.1979 for an
             ostensible consideration of Rs.30,000/-
                                                                                      D
                   The plaintiff inter alia claimed superior right of pre-emption
             as a co-sharer with the vendor in the land in dispute under
             Section 15(1) of Punjab Pre-emption Act, 1913 (hereinafter
             referred to as the 'Act'). It was the case of the defendant that
             Singh Ram was owner of only 3/4 1h share and his sister was E
             owner of 1/4th share and both of them were jointly owners of half
             of the land. Singh Ram alone has half share of land measuring
             24 kanals, but it was asserted that the sale deed was by Singh
             Ram and Angrezo who are owners of the land. In replication, it
       "+    was pointed out that the sale is by Singh Ram for himself F
 !           and as Mukhtiar of Smt. Angrezo. Therefore, the sale is pre-
             emptible.
                    5. The Trial Court decreed the suit on the ground that the
             plaintiff is a co-sharer and has thus superior right of pre-emption.
             The Trial Court negatived the argument raised by the defendant G
             that the sale is by a female and thus governed by the provisions
             of sub-section (2) of Section 15 of the Act. However, in the appeal
             filed by defendant, the judgment and the decree passed by Trial
             Court were set aside and it was held that vendee has improved
             his status as that of a co-sharer in view of the fact that the sale H
    642        SUPREME COURT REPORTS                       [2008) 1 S.C.R.

                                                                                 ~      ~
A to the extent of share of Angrezo is not pre-emptible being not
  governed by the provisions of Section 15(2) of the Act and thus
  the plaintiff does not have superior right of pre-emption.
         6. In Second Appeal, the following questions were
    formulated for consideration:
B
          1.    Whether the plaintiff has superior right of pre-emption
                as co-sharer?                                                   .,, '
          2.    Whether the suit for pre-emption can be dismissed
                for not disclosing the complete fact regarding the
c               sale by Angrezo, a female vendor?
          7. The High Court was of the view that right of pre-emptor
    cannot be defeated by virtue of amendment in Section 15 of the
    Act taking away right on the basis of co-sharer.
D        8. In support of the appeal, learned counsel for the
    appellants submitted that the High Court misconstrued the
    decision of this Court in Atam Prakash v. State of Haryana and
    Ors. (1986 (2) sec 249).
          9. It was further submitted that the view was re-iterated in
E Mahant Braham Dass Singh Pannu v. Om Prakash Chaudhary
    (1996 (7) sec 97).
          10. In Atam Prakash case (supra) it was inter alia observed
    as follows:-
F                                                                               1"
               "We are thus unable to find any justification for the
          classification contained in Section 15 of th~ Punjab Pre-
          emption Act of the Kinsfolk entitled to pre-emption. The
          right of pre-emption based on consanguinity is a relic of
          the feudal past. It is totally inconsistent with the constitutional
G         scheme. It is inconsistent with modern ideas. The reason
          which justified its recognition quarter of a century ago                ~
          namely, the preservation of the integrity of rural society,
          the unity of family life and 'Che agnatic theory of succession
          are today irrelevant. The list of kinsfolk mentioned as
H         entitled to pre-emption is intrinsically defective and self-
                 LASH SINGH & ORS. v. BACHAN SINGH                   643
                            [PASAYAT, J.)
~    .*
              contradictory. There is therefore no reasonable A
              classification and clauses "First'', 'Secondly" and 'thirdly"
              of Section 15(1)(a). "First", "secondly", and "thirdly" of
              Section 15(1)(b), clauses "First", "secondly" and "thirdly"
              of Section 15 (1)(c) a:id the whole of Section 15(2) are,
              therefore, declared ultra-vires the constitution.             8
              We are told that in some cases suits are pending in various
    I-~
              courts and, where decrees have been passed, appeals
              are pending in appellate courts. Such suits and appeals
              will now be disposed of in accordance with the declaration
              granted by us. We are told that there are a few cases c
              where suits have been decreed and the decrees have
              become final, no appeals having been filed against those
              decrees. The decrees will be binding inter-parties and the
              declaration granted by us will be of no avail to the parties
              thereto."                                                    D
    ...         11. In Mahant Braham Dass's case (supra) it was noted
          as follows:
                   "The question then is whether he is a co-sharer. It is·
              seen that at one time he was co-sharer but subsequently, E
              brothers effected by mutual consent partition and the
              vendee/appellant's vendor Jai Singh was in separate
              possession and enjoyment of the property. Therefore, the
              mere mention in para 3 that he is a co-sharer is not
    "'t       independent of the right to vicinage. It would appear that F
)             the pleading was made on the basis that the respondent
              is not the real brother of the vendor of the appellant and on
              the basis thereof he claimed to be the co-sharer. Therefore,
              Mr. GK. Bansal, learned counsel for the respondent, sought
              to place reliance on the judgment of this Court in Bhikha
                                                                            G
              Ram v. Ram Sarup (1992 (1) SCC 319) where a Bench
              of three Judges of this Court held that a co-sharer has a
              right of pre-emption under clause 'Fourthly' of Section
              15(1 )(b) which was not declared ultra vires in Atam Prakash
              v. State of Haryana (1986(2) SCC 249) and, therefore, he
                                                                            H
    644        SUPREME COURT REPORTS                      [2008] 1 S.C.R.


A         was entitled to seek pre-emption. It is true that independent       1--     i"·~
          of right of kinship, if there is any right as co-sharer, in other
          words, on the date when the alienation was made if the
          vendor of the appellant had remained in joint possession
          and enjoyment without any partition, he would become a
B         co-sharer with the respondent independent of the right of
          kinship. But if the joint enjoyment is by virtue of the unity
          in possession and enjoyment as members of the joint
          family property then it is not an independent right of
                                                                              "\
          co-sharer but as a member of the joint family or
c         coparcener."
        12. Learned counsel for the respondent on the other hand
    supported the judgment of the High Court.
       13. As was noted in Atam Prakash Case (supra), the
  decision was applicable to pending suits and appeals. As noted
D
  above, the view was re-iterated in Mahant Braham Dass case
  (supra).                                                                      ..
         14. A few factual aspects as evident from the order of the
  trial Court which projects the case of the parties need to be
E noted:
               "But learned counsel for the defendants has argued
          that since it has been stated by the plaintiff that he is
          cultivating the land separately, so the plaintiff is not a co-
          sharer in the suit land. But this arguments of the learned
F         counsel for the defendants, is not maintainable because              r
          the plaintiff has stated that the property in dispute was a                '·
          joint property with the vendors and himself. So, on this
          ground the plaintiff has superior right of pre-emption over
          the suit land".
G
         15. In view of what has been stated by this Court in Atam
    Prakash Case (supra) and Mahant Braham Dass case
    (supra) the inevitable result is that the ap~eal deserves to
    succeed which we direct. The judgment of the High Court
    restoring the judgment and decree of the trial Court is set
H
            LASH SINGH & ORS. v. BACHAN SINGH                 645
                       [PASAYAT, J.]

.I   aside. The first Appellate Court had taken the correct view. It A
     is stated that certain amounts have been deposited by the
     respondent with the trial Court. The said Court shall permit
     withdrawal of the amount deposited by the respondent on a
     proper application being made.
          16. The appeal is allowed. There will be no order as to   B
     costs.
     N.J.                                        Appeal allowed.


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