2015 (12) TMI 572 - HC - Indian Laws

Non execution of conveyance deed - Held that - The facts reveal that the sale has been confirmed way back on 16th July, 1990 and upon payment of the entire amount of consideration, the physical possession has also been handed over on 10th August, 1990. However, despite a passage of 25 years, till date the sale deed has still not been executed in relation to the property in question. Having regard to the fact that the sale has taken place way back in the year 1990 and the total amount of consideration has been paid at the relevant time, as well as the fact that it is not the case of the respondents that there is any impediment in executing the conveyance deed, a further period of four months for execution of the conveyance deed does not seem to be justified. Under the circumstances, the petition deserves to be allowed with a direction to the respondents to execute the sale deed within a reasonable period as stipulated hereunder. For the foregoing reasons, the petition succeeds and is accordingly allowed. The respondents are directed to execute the conveyance deed in favour of the petitioners for the property bearing Final Plot No.320, Sub Plot 2A, admeasuring 854 square metres and Sub Plot 2B admeasuring 595 square metres of Town Planning Scheme No.3-Navrangpura within a period of one and half months from the date of receipt of this order.

Summary

Issues:
Delay in execution of conveyance deed despite full payment and possession of property.

Analysis:
The case involved a delay in executing a conveyance deed for a property despite the petitioners having paid the full consideration and taken physical possession. The petitioners approached the court seeking a direction to the respondents to execute the conveyance deed. The respondent, the Income Tax Department, had put the property up for auction, and the petitioners were successful bidders. The sale was confirmed in 1990, and possession was handed over, but the conveyance deed had not been executed for 25 years. The court noted that there was no impediment in executing the deed and found the delay unjustified. The court allowed the petition and directed the respondents to execute the conveyance deed within one and a half months from the date of the order.

The court considered the facts of the case, where the sale was confirmed in 1990, and physical possession was given to the petitioners. Despite this, the conveyance deed had not been executed for an extended period. The court emphasized that since the full consideration had been paid and there was no obstacle to executing the deed, a further delay of four months as proposed by the respondents was unwarranted. Therefore, the court granted the petition and ordered the respondents to execute the conveyance deed within a reasonable period of one and a half months from the date of the order.

In conclusion, the court found in favor of the petitioners due to the unjustified delay in executing the conveyance deed for the property they had purchased through auction. The court directed the respondents, the Income Tax Department, to execute the conveyance deed within one and a half months from the date of the order, emphasizing that the delay of 25 years was unreasonable given the circumstances of the case.