Law:

Section:

(a) Transfer of Property Act (IV of 1882)---S. 53---Specific Relief Act (I of 1877), Ss. 12 & 20--- Interest in immovable property acquired through an agreement to sell---Fraudulent transfer made to defeat such an interest---Right of a party to enforce such an interest---Scope---Defendant, who was owner of subject plot entered into a sale agreement with the prospective purchaser in respect of the plot---Prospective purchaser thereafter entered into another sale agreement with the plaintiff in respect of the subject plot, and plaintiff paid substantial part of the total agreed consideration---Subsequently defendant and prospective purchaser cancelled the sale agreement between them via cancellation deed, after which defendant sold the subject plot to another party---Plaintiff filed suit for specific performance of his agreement to sell with the prospective purchaser----Trial Court dismissed the suit on the basis that plaintiff was not entitled to a decree of specific performance---High Court concurred with the Trial Court on the issue of specific performance but remanded the case to the Trial Court to record findings on the issue whether prospective purchaser was responsible for breach of sale agreement with the plaintiff---Validity---Trial Court and High Court proceeded on the wrong premise that defendant was the exclusive owner of the subject plot on the date of the sale agreement between the prospective purchaser and the plaintiff---No bar existed on a prospective purchaser under a sale agreement, from alienating his interest in immovable property acquired by virtue of the sale agreement to any other person through another sale agreement---Prospective purchaser on execution of sale agreement with the plaintiff, passed on all original documents inclusive of earlier sale agreements to the plaintiff--- Sale agreement between the plaintiff and prospective purchaser specifically mentioned the factum of earlier transactions concerning the subject plot---Plaintiff in part performance of sale agreement paid a substantial amount to the prospective purchaser under a valid sale agreement against proper receipts disclosing the mode of payment---Balance sale consideration…

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