TMI Blog1972 (5) TMI 60X X X X Extracts X X X X X X X X Extracts X X X X ..... perties but dismissed their claim regarding Plaint-Sch. IV properties. Both the parties appealed Against the judgment and decree of the trial court. The High Court allowed the appeal of the defendants and dismissed that of the plaintiffs. In the result the entire suit was dismissed. In order to examine the various contentions advanced at the hearing, it is necessary to state in brief various events that took place prior to the institution of the suit. One Ramalingam Pillai was the owner of a substantial part of the suit properties. He had a brother by name Kuppan Pillai. Ramalingam Pillai s wife pre-deceased him. He had no children. Ramalingani Pillai and Kuppan Pillai had married sisters. Ramalingam Pillai in 1898 but Kuppan Pillai had pre-deceased him. He had died in 1894, leaving behind him his two daughters Palani Achi Ammal and Pichai Ammal. Kuppan Pillai s wife had also predeceased Ramalingam Pillai. Ramalingam Pillai had brought up his brother s daughters Palani Achi Ammal and Pichai Amnial as his foster daughters. Before his death, Ramalingam Pillai had got married Palani Achi Ammal to V. Rm. Shanmugham Pillai, his maternal uncle s son by his first wife. The said Shanmu ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... lute owners of. the properties said to have been bequeathed to them under the alleged will dated December 30, 1926.. Ex. B-2 purports to be a family arrangement. In that deed Vendor Shanmugam Pillai acknowledged the right of the widows to manage the charities and pass on that right to others. Shortly after the execution of Ex. B-2, the senior widow Palani Achi Ammal filed a suit for partition of the properties mentioned in Ex. B-2. That suit was decreed. Thereafter on July 20, 1931, the senior widow settled the properties that she got as her share under the partition decree Ex. B-3 on Kanthimathimatha Pillai, his wife Pichai Ammal and their minor daughters as per the registered settlement deed Ex. B-3. This Pichai Ammal is the daughter of Subramania Pillai son of the original settlor s wife s sister Chitravadamal. The two widows Palani Achi Ammal and Pichai Ammal had brought up Pichai Ammal daughter of Subramania Pillai as their foster daughter and had got her married to the aforesaid Kanthimathinatha Pillai. The settlement proceeds on the basis that Palani Achi Ammal is absolutely entitled to the properties settled. Thereafter the junior widow Pichal Ammal settled the propert ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the properties jointly obtained by them under Ex. B-2. Ex. B- 10 dated October 11, 1931 is a settlement deed executed by the first plaintiff for himself-and as the guardian of his brother, the second plaintiff settling some of the properties obtained under Ex. B-2 on their sister. The second plaintiff after becoming a major joined with the first plaintiff in conveying an item of property secured under Ex. B-2 in favour of one Subbiah Konar (Ex. B-11). Plaintiffs 1 and 2 effected various alienations under Ex. B-12, B-15 and B-16 to B-42 of the properties obtained by them under Ex. B-2. All these transactions proceeded on the basis that the arrangement entered into under B-2 as was valid one. Those transactions show that plaintiffs 1 and 2 ratified the arrangement made under Ex. B-2. The third plaintiff in his turn alienated several items of the property obtained by him under Ex. B-5. On October 16, 1939, he sold some portions of that property under Ex. B-34 for ₹ 4,000/-. Again under Ex. B-36, he sold some other items on July 13, 1953 for a sum of ₹ 25,000/-. He also effected certain exchanges under Ex. B-34 and B-35., All these transactions proceeded on the basis that t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... lidity of the alienations in favour of defendants 1 to 4. The claim of the third plaintiff may be examined from another angle. It is seen from the record that within about a month of the decision of the High Court in the litigation relating to the will, the guardian of the third plaintiff entered into a compromise with the two widows possibly with a view to avoid further litigation. Evidently in pursuance, of that agreement Ex. B-5 came to be executed after the third plaintiff became a major. Hence Ex. B-5 can be considered as a family settlement. That is not all. As seen earlier after he became a major, on the strength of Ex. B-5, he alienated several items of property obtained by him under that document. We shall presently examine the relevant decisions but at present it is sufficient to say that the third plaintiff is precluded from challenging the validity of the alienation made in favour of defendants 1 to 4. Let us now examine whether plaintiffs 1 and 2 can challenge the alienations made in favour of defendants 1 to 4. The trial court has come to the conclusion that they are estopped from challenging the validity of the alienations in favour of defendants 1 to 4 in resp ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the agreement entered into under Ex. B-2. It is also reasonable to hold that after becoming majors instead of renouncing the benefit obtained under Ex. B-2, they elected to stand by that agreement and retained the benefit obtained under that document. Ex. B-2 and B-5 read together may also be considered as constituting a family arrangement. The plaintiffs and the widows of V. Rm. Shanmugam Pillai are near relations. There were several disputes between the parties. The parties must have thought it wise that instead of spending their money and energy in courts, to settle their disputes amicably. The father of plaintiffs 1 and 2 and later on the plaintiffs were only presumptive reversioners, so also was the third plaintiff. None of them had any vested right in the suit properties till the death of the widows. Hence first the father of plaintiffs 1 and 2 and later on the plaintiffs must have thought that a bird in hand is worth more than two in the bush. If in the interest of the family properties or family peace the close relations had settled their disputes amicably, this court will be reluctant to disturb the same. The courts generally lean in favour of family arrangements. E ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nor at the time he has taken a benefit under the transaction, the principle of estoppel win be controlled by another rule governing the law of minors. A minor obviously cannot be compelled to take the benefit of a transaction which will have the effect of depriving him of his legal rights when the succession opens. But a minor can certainly after attaining majority ratify the transaction entered into on his behalf by his guardian. If he so ratifies the transaction entered into by his guardian and accepts the benefit thereunder, there cannot be any difference in the application of the principle of election. The effect would be the same. It is as if he was a major at the time the transaction was affected and the benefit was conferred on him. What he could not do at the time of the transaction must be deemed to have been done by him by his act of ratification. It may be that on attaining majority he has the option to disown the transaction and disgorge the benefit or to accept it and adopt it as his own. Whether after attaining majority the quandum minor accepted the benefit or disowned it, is a question to be decided on the facts. of each case. In the course of the judgment Subba ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 2 ). Therein repelling a similar contention the Judicial Committee observed It was argued that Annagouda s contingent interest as a remote reversioner could not be validly sold by him, as it was a mere spec succession is, and an agreement to sell such interest would also be void in law. It is not necessary to consider that question because he did not in fact either sell or agree to sell his reversionary interest. It is settled law that an alienation by a widow in excess of her powers is not altogether void but only voidable by the reversioners, who may either singly or as a body be precluded from exercising their right to avoid it either by express ratification or by acts which treat it as valid or binding. It is true that a widow cannot enlarge her own estate by entering into a contract. But as observed by this Court. in Krishna Beharilal V. Gulab Chand ([1971] S.C.C 837): It is well settled that a Hindu widow cannot enlarge her estate by entering into a compromise with third parties to the prejudice of the ultimate reversioner. But the same will not be true if the, compromise is entered into with persons who ultimately become the reversioners. As observed by ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ng a claim to a $hare in the property in dispute. If the dispute which is settled is one between near relations then the settlement of such a dispute can be considered as a-family arrangement see Ramcharan Das]s case (supra). Judged by the tests laid down in these decisions, we can reasonably come to the conclusion that Ex. B-2 and B-5 read together brought about a family settlement. This leaves us with the dispute relating to properties set out in Sch. I of the plaint. So far as the properties set out in Sch. I of the paint are concerned, the High Court and the trial court have reached different conclusions. The trial court held that under Ex. A-2, Ramalingam Pillai had made a complete dedication of those properties for charities and the management of the charities had been left to V. Rm. Shanmugam Pillai and after him to his successors. On the basis of those conclusions that Court held that the alienation of those properties is invalid and not binding, on the plaintiffs. The High Court felt unable to come to any firm conclusion on the evidence on record, as to whether the dedication made under Ex. A-2 by Ramalingam Pillai was complete or partial. Further it came to t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... r the manager, it may be possible to take the view that dedication is complete. If, on the other hand, for the maintenance of charity a minor portion of the income is expected or required to be used and a substantial surplus is left in the hands ,of the manager or worshipper for his own private purposes, it would be difficult to accept the theory of complete dedication. Ex. A-2, after setting out the various charities to be conducted concludes by saying that If, after conducting the said charities properly, there be any surplus, the same shall be utilised by the said Shanmugam Pillai and his heirs for family expenses. They should also look after the same carefully and properly. This shows that the entire income of the properties set apart for charities was not thought to be necessary for conducting the charities. It was for the plaintiffs to establish that the dedication was complete and cosequently there was a resulting trust. As they have failed to establish the same, for the purpose of this case, we have to proceed on the basis that the dedication was only partial and the properties retained the character of private properties. Therefore the, widows of V. Rm. Shanmugam Pilla ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
