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Mrs. Jaya Bhandari & Ors. vs M/S Malhan Builders & Ors. on 25 August, 2010

14 . The counsel for the appellants also placed reliance on the judgment of the Madras High Court in the case of R. Velammal (Supra) where the purchasers had agreed to purchase a property along with the encumbrances and the court took a view that no legal impediment could arise to RFA No.486-88/2005 Page 17 of 35 grant the relief of specific performance of contract where the purchasers themselves were willing to purchase the property along with the encumbrances. Relevant para of the judgment is referred as under:-
Delhi High Court Cites 21 - Cited by 2 - K Gambhir - Full Document

Ram Kumar And Etc. vs Virender Singh And Ors. on 21 August, 2006

13. The entire controversy on which the granting or refusing the relief of specific performance of contract in this case hanging, is that the property in suit was subject to the charge of the Bank, to whom it was mortgaged. The trial Court did not thought it proper to grant relief of specific performance of contract as the plaintiff in his oral evidence has stated that had he been aware of the fact that the property was mortgaged one, he would not have entered into agreement. On that ground the trial Court opined that plaintiff is not ready to buy the property subject to encumbrance. And, that is why Instead of decreeing the suit for specific performance it directed to refund the amount to the plaintiff accepted by the defendant with interest. However, the first appellate Court relying on principle of law laid down in R. Velammal v. R. Daivasigamani, , decreed the suit for specific performance as it was found that there is no legal impedment sale of property subject to encumbrabce. This Court is also of the view that a suit can be decreed for specific performance of contract for sale of property even if it is subject to encumbrance provided that the plainon is willing to purchase the property subject to such encumbrance.
Uttarakhand High Court Cites 7 - Cited by 1 - P C Pant - Full Document
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