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1944 (12) TMI 3 - HC - Indian Laws

Issues:
1. Suit for recovery of possession of the suit properties barred by Art. 91, Limitation Act, 1908.
2. Validity of the gift set up by the defendants and plea of limitation.

Analysis:

Issue 1:
The appeal concerned a suit for recovery of possession of properties by the plaintiffs, who claimed to be the reversioners of the deceased Appaji. The defendants contended that Appaji had gifted the properties to his sister, which was later inherited by defendant 2. The Subordinate Judge found the gift was proved but was induced by undue influence, making it void. However, the High Court held that the gift was voluntary, albeit influenced, and thus, Art. 91 applied, barring the suit as it was brought beyond three years from the date of the gift. The High Court's decision was based on the understanding that the transaction was voidable, not void, necessitating its cancellation before claiming property possession.

Issue 2:
The key question was whether the suit was barred by Art. 91, Limitation Act. The High Court determined that limitation began to run from the date Appaji was aware of the transaction's nature, not from the removal of undue influence. Citing a previous case, it was established that time starts from the date of knowledge. The plaintiffs argued that the properties were held in trust due to undue influence, invoking Sections 88, 89, and 95 of the Trusts Act and Section 10 of the Limitation Act. However, the Privy Council dismissed this argument, stating that Section 10 applies only to property vested in trust for a specific purpose, which was not the case here. Consequently, the appeal was dismissed, ruling the suit barred by limitation.

This judgment highlights the intricacies of undue influence in transactions, the distinction between void and voidable acts, and the application of limitation laws in property disputes.

 

 

 

 

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