Sri.Maqsood Hussain Nazirahmed Patvegar Vs Sri.Nissar Ahmed Khatal Ahmed Yamkanmardi — Karnataka HC (2025) — LawSathi Research

Sri.Maqsood Hussain Nazirahmed Patvegar Vs Sri.Nissar Ahmed Khatal Ahmed Yamkanmardi — Karnataka HC (2025) — LawSathi Research

What the court decided

AI extract

Outcome

Suit O.S.No.321/2015 and the present appeal disposed of in terms of the joint memo/compromise: respondent received Rs.65,00,000/- in full and final settlement (Rs.50,00,000/- already withdrawn plus Rs.15,00,000/- via three Demand Drafts); respondent returned 4 cheques to the appellants; court fee paid on the memorandum of appeal ordered refunded to appellant No.2.

Issue for consideration

Whether the appeal against the trial court's decree for refund of earnest money could be disposed of in terms of the joint memo/settlement between the parties.

Court's answer

Since the compromise entered into between the appellants and the respondent is lawful and is not prohibited by any law, the same is accepted; the suit in OS No.321/2015 as well as this appeal stand disposed of in terms of the compromise.

Ratio / Principle

In view of the suit being settled by the principles of the Court, the appellants are entitled to full refund of the Court fee paid; office directed to refund the entire Court fee paid by appellant No.2.

Key takeaways

As a result of the compromise, the respondent consented to the appellants withdrawing the sum of Rs.50,00,000/- deposited and handed over 3 Demand Drafts totalling Rs.15,00,000/-; simultaneously the respondent handed over 4 cheques to the appellants as mentioned in the compromise.obiter¶53

Detailed headnote1 paragraphs

Regular First Appeal under S.96 CPC against partial decree in O.S.No.321/2015 (specific performance of agreement of sale dated 16.01.2015; trial court had ordered refund of earnest money of Rs.65,00,000 with 9% interest). During final hearing, parties filed a joint memo recording a settlement mediated by elders: respondent agreed to accept Rs.65,00,000 in full and final settlement, having withdrawn Rs.50,00,000 deposited pursuant to the admission order dated 14.01.2020, and receiving the balance Rs.15,00,000 through three Demand Drafts of Rs.5,00,000 each; respondent simultaneously returned four cheques to the appellants. Holding the compromise lawful and not prohibited by any law, the Court (Coram: Justices R.Nataraj and Rajesh Rai K; judgment per R.Nataraj) accepted it and disposed of both the suit and the appeal in terms of the compromise, directing refund of the entire court fee paid by appellant No.2.

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NC: 2025:KHC-D:9069-DB RFA No. 100432 of 2019

HC-KAR

IN THE HIGH COURT OF KARNATAKA, DHARWAD BENCH

DATED THIS THE 22^ND DAY OF JULY, 2025

PRESENT

THE HON'BLE MR. JUSTICE R.NATARAJ

AND

THE HON'BLE MR. JUSTICE RAJESH RAI K

REGULAR FIRST APPEAL NO.100432 OF 2019 (SP)

BETWEEN:

SRI.MAQSOOD HUSSAIN NAZIRAHMED PATVEGAR, AGED ABOUT 28 YEARS, OCC. BUSINESS, R/AT. 567, SHAMA GALLI, NEW GANDHI NAGAR, BELAGAVI-590004.

SRI.NAZIRAHMED SHAMSHUDDIN PATVEGAR AGED ABOUT 63 YEARS, OCC. BUSINESS, R/AT. 567, SHAMA GALLI, NEW GANDHI NAGAR, BELAGAVI-590004.

…APPELLANTS

(BY SRI.MRUTYUNJAYA TATA BANGI, ADVOCATE)

Digitally signedby YASHAVANTNARAYANKAR YASHAVANTNARAYANKAR Location: HIGHCOURT OFKARNATAKADHARWADBENCHDHARWADDate:2025.07.2311:23:59 +0530

AND:

SRI.NISSAR AHMED KHATAL AHMED YAMKANMARDI AGED ABOUT 74 YEARS, OCC. RETIRED TEACHER, R/AT. 987, KALAIGAR GALLI, BELAGAVI-590002.

…RESPONDENT

(BY SRI.V.M.SHEELVANT, SRI.S.H.MITTALKOD AND SRI. M.L.VANTI, ADVOCATES)

THIS RFA IS FILED UNDER SECTION 96 OF CPC., PRAYING TO SET ASIDE THE JUDGMENT AND DECREE PASSED BY THE PRL. SENIOR CIVIL JUDGE AND CJM, BELAGAVI PASSED IN O.S.NO.321/2015 DATED 18.07.2019, INSOFAR AS IT RELATES DECREEING THE SUIT FOR ALTERNATIVE RELIEF OF REFUND OF THE EARNEST MONEY WITH INTEREST AND DISMISS THE SUIT ENTIRETY BY ALLOWING THE PRESENT APPEAL WITH COSTS THROUGHOUT IN THE INTEREST OF JUSTICE AND EQUITY.

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THIS APPEAL, COMING ON FOR FINAL HEARING, THIS DAY, JUDGMENT WAS DELIVERED THEREIN AS UNDER:

CORAM: THE HON'BLE MR. JUSTICE R.NATARAJ AND

THE HON'BLE MR. JUSTICE RAJESH RAI K

ORAL JUDGMENT

(PER: THE HON'BLE MR. JUSTICE R.NATARAJ)

The suit filed for specific performance of an

agreement of sale dated 16.01.2015. The trial Court had decreed the suit in part and ordered for refund of the earnest money paid under the agreement of sale. When this appeal was listed for final hearing, the parties have filed a joint memo which reads as follows;

“ JOINT MEMO

The appellants and respondent jointly submit as under: -

1. The respondents herein instituted a suit in O.S No.321 of 2015 praying for specific performance of agreement of sale deed dated 16.01.2015. The suit came to be disposed by Judgment and Decree dated 18.07.2019 whereby the Trial Court directed for refund of earnest money of Rs.65,00,000/with interest of 9%.

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HC-KAR

2. The appeal was admitted subjected to deposit of Rs.50,00,000/-. In compliance of the Interim Order dated 14.01.2020, the amount was deposited before the Trial Court. The respondent/plaintiff has withdrawn the amount so deposited.

3. It is submitted that, the dispute between appellants and respondents has been resolved at the intervention of the elders and well wishers of the both sides and the terms of settlement are as follows:

(i) The respondent has agreed to receive total amount of Rs.65,00,000/- in full and final settlement of his claim in respect of agreement of sale dated. 16.01.2015. The respondent states that, he has no claims on any money in respect of present agreement.

(ii) The respondent has agreed to receive balance amount of Rs.15,00,000/- for the settlement as he has already withdrawn Rs.50,00,000/- deposited by the appellants.

(iii) The appellants have handed over the balance amount of Rs.15,00,000/- by way of Demand Draft bearing no.039439 dated 14.07.2025, 039439 dated 14.07.2025 and 039457 dated

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NC: 2025:KHC-D:9069-DB RFA No. 100432 of 2019

HC-KAR

19.07.2025 for Rs.5,00,000/- each drawn on HDFC Bank, Belagavi branch in the name of the respondent. The respondent acknowledges the Demand Drafts. The copies of the Demand Drafts are enclosed herewith.

(iv) The respondent has today handed over the cheques bearing nо.040430, 040432, 038812, 040431, issued by appellant no.2. Thus, there are no transaction between appellants and respondents and all financial relations are severed.

4. In view of settlement between the parties the appeal may be kindly be disposed in terms of settlement as stated above.

5. The appellants are liberty to withdraw the court fee paid on memorandum of appeal, the respondents have no objection to that and the court fee paid by the appellant may kindly be released in the name of appellant no.2 who is the father of appellant no.1 to the Account bearing no.50200064705988 in HDFC Bank, Belagavi. The copy of the front page of the passbook is enclosed herewith.

WHEREFORE it is prayed that this Hon’ble Court be please to dispose the present appeal as per the terms of the

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HC-KAR

compromise stated above in the ends of interest and equity.”

The appellant No.1 is present and he submits

that the appellant No.2 is his father, who has given a power of attorney to represent him in this appeal. The appellant No.1 and the respondent have admitted the terms of the compromise. The respondent has today i.e., on 22.07.2025 handed over the 3 Demand Drafts for a sum of Rs.15,00,000/-. As a result of a compromise, the respondent has consented to the appellants withdrawing a sum of Rs.50,00,000/- deposited and has handed over 3 Demand Drafts for a sum of Rs.15,00,000/-. Simultaneously, the respondent has handed over 4 cheques to the appellants as mentioned in the compromise. Since the compromise entered into between the appellants and the respondent is lawful and is not prohibited by any law, the same is accepted. The suit filed in OS No.321/2015 on the file of the Principal Senior Civil Judge and CJM, Belagavi as well as this appeal stands disposed of in terms of the compromise.

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HC-KAR

In view of the suit being settled by the

principles of the Court, the appellants are entitled for full refund of the Court fee paid. Accordingly, the office is directed to refund the entire Court fee paid by the appellant No.2.

In token of the acceptance of the terms of the joint memo, the parties and their respective counsels have signed the order sheet of this Court.

SD/(R.NATARAJ) JUDGE

SD/(RAJESH RAI K) JUDGE

PJ CT:PA LIST NO.: 1 SL NO.: 27