Legal Battle Over Joint Family Property: Supreme Court Upholds Rights of Coparceners

The case of Doddamuniyappa (Dead) Through LRs. vs. Muniswamy & Ors. is a landmark judgment concerning the rights of coparceners in Hindu Joint Family property. The Supreme Court’s decision clarifies the principles governing ancestral property, the rights of legal heirs, and the binding nature of compromises in execution proceedings.

This case revolves around a dispute over property that originally belonged to the joint family. The respondents (plaintiffs) sought a declaration that a compromise decree executed in execution appeal proceedings did not bind their rights as coparceners and that they were entitled to their rightful share in the ancestral property.

Background of the Case

The dispute originated from a transaction involving the sale of ancestral property. The propositus of the joint family, Chikkanna, had three sons: Pillappa, Venkataramanappa, and Muniyappa. The respondents (plaintiffs) are the grandsons of Chikkanna. The suit was filed by the grandsons against the appellant, Doddamuniyappa, who had purchased the property in question.

The key events leading to the dispute are as follows:

• Chikkanna purchased the disputed property from his sister, Thayamma.
• After Chikkanna’s death, his three sons (defendant nos. 2, 3, and 4) jointly sold the property to a third party, Muthappa, under a sale deed dated December 2, 1950.
• The sale deed contained a reconveyance clause, stipulating that in the event of resale, the property must first be offered to the original sellers (Chikkanna’s sons).
• Later, the property was sold to another individual, Muniswamy @ Annaiyappa, from whom the appellant (Doddamuniyappa) purchased it under a registered sale deed dated January 29, 1962.
• Chikkanna’s sons (respondents 7 to 9) filed a suit for reconveyance of the property, which was initially dismissed but later allowed in Regular Appeal No. 128 of 1967.
• After a series of appeals, the decree for reconveyance became final, leading to the execution of a reconveyance deed, and possession was handed over to respondents 7 to 9 on March 7, 1974.
• During the execution appeal proceedings, a compromise decree was executed between the appellant and defendant no. 4 (Muniyappa), without the knowledge or consent of the other coparceners.
• The plaintiffs (respondents 1 to 6) filed a suit challenging the validity of the compromise decree, claiming it was not binding on them as the property was joint family property.

Petitioner’s Arguments

The appellant, represented by his counsel, raised the following contentions:

• The property lost its character as joint family property when Chikkanna’s sons sold it in 1950.
• The plaintiffs (grandsons) had no birthright in the property as it was not joint family property at the time of their birth.
• When the reconveyance was effected, the property did not automatically revert to joint family property.
• The compromise decree executed in the execution appeal was binding on all legal heirs.
• The trial court correctly held that the plaintiffs had failed to establish that the property was joint family property.

Respondent’s Arguments

The respondents (plaintiffs) countered these claims with the following arguments:

• The property was originally acquired by Chikkanna and was inherited by his sons, making it joint family property.
• The reconveyance clause in the sale deed enured to the benefit of the joint family.
• Once the property was reconveyed and possession restored to Chikkanna’s sons, it reassumed its original character as joint family property.
• The compromise decree was executed without their knowledge or consent and, therefore, could not bind their rights.
• Under Hindu law, property inherited from a father by his sons becomes joint family property in the hands of the sons, thereby creating a birthright for the grandsons.

Supreme Court’s Observations

The Supreme Court, comprising A.M. Khanwilkar and Ajay Rastogi, examined the key legal issues and made the following observations:

• The property originally belonged to the joint family and was sold with a reconveyance clause.
• When possession was restored to the legal heirs of Chikkanna, the property reassumed its original character as joint family property.
• As per the Hindu Succession law, the property inherited by the sons from their father becomes ancestral property in the hands of their sons.
• The compromise decree executed in the execution appeal was not binding on the grandsons (plaintiffs), as they were neither parties to the proceedings nor had they given their consent.
• The trial court erred in dismissing the suit by holding that the property was not joint family property.

Critical Judgment Excerpt: “Property inherited from paternal ancestors is, of course, ‘ancestral property’ as regards the male issue of the propositus, but it is his absolute property and not ancestral property as regards other relations. The property in the hands of the sons becomes joint family property in which their sons acquire a birthright.”

Final Decision

The Supreme Court upheld the judgment of the High Court and dismissed the appeal. The Court held that:

• The property was joint family property in the hands of the respondents (defendant nos. 2 to 4).
• The compromise decree was not binding on the plaintiffs (grandsons of Chikkanna).
• The plaintiffs were entitled to their rightful share in the property as coparceners.

Implications of the Judgment

This judgment is a crucial precedent in Hindu property law. It establishes that:

• When property is inherited from a father, it becomes joint family property in the hands of the sons.
• A reconveyed property reassumes its original character as joint family property.
• A compromise decree in execution proceedings does not bind non-parties or those who did not give consent.
• Grandsons acquire a birthright in ancestral property and can challenge transactions executed without their consent.

The Supreme Court’s decision in Doddamuniyappa vs. Muniswamy reinforces the principle that ancestral property cannot be unilaterally disposed of by a single coparcener without the consent of all legal heirs. This judgment serves as a valuable reference for future cases involving joint family property disputes.

Petitioner Name: Doddamuniyappa (Dead) Through LRs..
Respondent Name: Muniswamy & Ors..
Judgment By: Justice A.M. Khanwilkar, Justice Ajay Rastogi.
Place Of Incident: Karnataka.
Judgment Date: 01-07-2019.

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