Content Provider | Supreme Court of India |
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e-ISSN | 30484839 |
Language | English |
Access Restriction | NDLI |
Subject Keyword | 1996/Code of Civil Procedure Arbitration and Conciliation Act 1908 |
Content Type | Text |
Resource Type | Law Judgement |
Jurisdiction | India |
Case Type | Appeal |
Court | Supreme Court of India |
Disposal Nature | Appeal Allowed |
Headnote | Arbitration and Conciliation Act, 1996 Code of Civil Procedure, 1908 : s. 910. 39 rr. 1 and 2 - Agreement for sale of immovable property - Sale deed ·not executed within stipulated time - Vendor seeking time from the vendor Thereafter, vendor . I refusing to perform its part of contract - On apprehension of . creation of third party interest in disputed property, applications 0 by vendor for injunction and interim injunction from· transfer, alienation and 'creation bf third party interest - Plea of vendor that time being essence of the contract, ·it was not bound to execute the deed - Grant of interim injunction by trial court - Denied by High Court - 'on appeal, held: Trial Court rightly granted interim injunction - Issues in respect of the contract were to be decided in arbitration proceedings Interim _measures were necessary till the conclusion of arbitration proceedings in order to prevent irreparable loss and injury to vend In a contract relating to immovable property, time cannot be essence of contract - Direction to the vendor to deposit the balance amount in fixed deposit in favour of vendor to be kept with the arbitrator - Contract. Respondent entered into agreement to sell a plot of land with the appellant. Amount towards advance was paid to the respondent at the time of execution of the · agreement. Balance amount was to be paid at the time of registration of the sale deed. When the appellant came to know that the respondent was trying to sell off the property to some other party, he approached the respondent for execution of the deed. Respondent refused to perform its part of the contract until and unless the appellant paid the sale consideration higher than as was initially agreed upon. Appellant filed an application u/s 9 of Arbitration and Conciliation Act, 1996 for injunction and under 0. 39 r. 1 and 2 r/w s. 151 CPC for temp.orary injunction seeking' restraint to the respondent from alienating, altering or creating any third party interest in respect-of the property. Respondent took the plea that since time was essence of the contract and the appellant having failed to perform his part of the obligation of the contract, respondent was not bound to execute the sale deed. Trial Court allowed the applications on the ground that there were serious issues required to be tried before the arbitrator and that the appellant had successfully made out prima facie case for grant of injunction sought by him. Appeal was filed before High Court. In the meantime, arbitrator was also appointed. High Court set aside the order of trial court subject to condition that the respondent deposited the amount received as advance in fixed deposit, till the disposal of the dispute before the arbitrator. Hence the present appeal. |
Judge | Hon'ble Mr. Justice Tarun Chatterjee |
Neutral Citation | 2009 INSC 216 |
Petitioner | N. Srinivasa |
Respondent | M/s Kuttukaran Machine Tools Ltd. |
SCR | [2009] 2 S.C.R. 852 |
Judgement Date | 2009-02-18 |
Case Number | 1098 |
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