TaxTMI 
TaxTMI 
2014 (12) TMI 1300
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....ersing the Order of the trial Court allowing the prayer of the appellant to be added as a party in a suit for specific performance filed by Respondent No.1-plaintiff. 4. Case of the plaintiff in O.S. No.3 of 2007 filed in the Court of District Judge, Kanyakumari, is that K. Jagathees and R. Subbaram Babu @ Subbaram, Respondent Nos.2 and 3 respectively (original defendants in the suit) acting as trustees of "Subbaiah Paniker Family Welfare Trust" (for short "the Trust") entered into the agreement dated 9th December, 2003 to sell the suit property in favour of the plaintiff. The price of the property was settled at Rs. 22,000/- per cent. A sum of Rs. 1 lakh was received as advance. The plaintiff was ready and willing to perform his part of....
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....ial Court, the respondent-plaintiff preferred a revision petition under Article 227 of the Constitution before the High Court with the plea that the appellant was not a necessary or proper party and thus the order of the trial Court impleading him as a party defendant was erroneous. Reliance was placed on the Judgment of this Court in Bharat Karasondas Thakkar vs. Kiran Construction Co. and others (2008) 13 SCC 658. The High Court upheld the plea of the plaintiff and dismissed the I.A. No.584 of 2008 filed by the appellant in the suit filed by the respondent-plaintiff. It was further observed that since suit property is a Trust property, the trial Court can look into the relevant provisions of law and examine whether permission of the Court....
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....al submissions, we are of the view that the High Court erred in interfering with the order of the trial Court impleading the appellant as a party defendant. Admittedly, the appellant is a beneficiary of the Trust and under the provisions of the Trusts Act, the Trustee has to act reasonably in exercise of his right of alienation under the terms of the trust deed. Appellant cannot thus be treated as a stranger. No doubt, it may be permissible for the appellant to file a separate suit, as suggested by Respondent No.1, but the beneficiary could certainly be held to be a proper party. There is no valid reason to decline his prayer to be impleaded as a party to avoid multiplicity of proceedings. Order I Rule 10(2), CPC enables, the Court to add a....
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....ings (including suits for specific performance), either upon or even without any application, and on such terms as may appear to it to be just, direct that any of the following persons may be added as a party: (a) any person who ought to have been joined as plaintiff or defendant, but not added; or (b) any person whose presence before the court may be necessary in order to enable the court to effectively and completely adjudicate upon and settle the questions involved in the suit. In short, the court is given the discretion to add as a party, any person who is found to be a necessary party or proper party. 15. A "necessary party" is a person who ought to have been joined as a party and in whose absence no effective decree could be ....
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....as he would be affected if he had purchased it with or without notice of the contract, but a person who claims a title adverse to that of the defendant vendor will not be a necessary party. xxxxxxxxxxxxxxx 22. Let us consider the scope and ambit of Order 1 Rule 10(2) CPC regarding striking out or adding parties. The said sub-rule is not about the right of a non-party to be impleaded as a party, but about the judicial discretion of the court to strike out or add parties at any stage of a proceeding. The discretion under the sub-rule can be exercised either suo motu or on the application of the plaintiff or the defendant, or on an application of a person who is not a party to the suit. The court can strike out any party who ....