Automatic statutory charge on advance sale consideration under property law upheld against donee and legal representatives.

Advance purchase money paid under a concluded agreement to sell creates an automatic statutory charge under Section 55(6)(b) of the Transfer of Property Act against the seller and persons claiming under him, so the donee remained liable for the decretal amount even without a specific prayer for charge. The legal representatives of the deceased vendor could not avoid liability by raising a new factual plea for the first time in second appeal, and their responsibility was confined to the estate inherited from the deceased. The appellate decree for recovery of the advance amount was therefore sustained.

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Issues: (i) Whether the decree for recovery of Rs. 6,500 could be passed personally against the legal representatives of the deceased vendor. (ii) Whether the decree for recovery of Rs. 6,500 could be passed against the donee in the absence of a specific prayer in the plaint.

Issue (i): Whether the decree for recovery of Rs. 6,500 could be passed personally against the legal representatives of the deceased vendor.

Analysis: In a second appeal, the Court confined itself to the legal questions arising from the decree. The plea that the legal representatives had not inherited any property from the deceased vendor had not been pleaded before the trial court and could not be raised for the first time in second appeal. The Court also noted that, in any event, their liability would be limited to the estate inherited by them and could be worked out in execution.

Conclusion: The objection was rejected; the decree against the legal representatives was not disturbed.

Issue (ii): Whether the decree for recovery of Rs. 6,500 could be passed against the donee in the absence of a specific prayer in the plaint.

Analysis: The agreement to sell had been proved, the advance price had been paid, and the vendor thereafter executed a gift deed in favour of the donee. Under Section 55(6)(b) of the Transfer of Property Act, the purchase money paid in anticipation of delivery, with interest, remains a charge on the property as against the seller and persons claiming under him. The Court held that this statutory charge operated automatically and did not depend on a separate prayer for creation of charge. In these circumstances, the donee was rightly made liable for the decretal amount.

Conclusion: The objection was rejected; the decree against the donee was upheld.

Final Conclusion: The appellate decree awarding recovery of the advance amount was sustained, and the second appeal failed.

Ratio Decidendi: Where advance purchase money is paid under a concluded agreement to sell, Section 55(6)(b) of the Transfer of Property Act creates an automatic statutory charge on the property against the seller and persons claiming under him, and the liability of legal representatives remains confined to the estate inherited by them.

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