Sardar Muhammad Boota vs Jaffar Ali (deceased) S — 2026 MLD 898 LAHORE-HIGH-COURT-LAHORE

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Sardar Muhammad Boota VS Jaffar Ali (deceased) S. 52---Specific Relief act (I of 1877), S. 12---Suit for specific performance of agreement---Rule of lis pendence, exception to---Collusion---Effect---Sale pendent lite---Title in transferee, vesting of---Subsequent transaction---Bona fide / due diligence, presence / absence of---Claim of plaintiff was concurrently declined while holding him entitled for the reimbursement of earnest money---Validity---Section 52 of the Transfer of Property act, 1882 ('the act 1882') embodies the rule of lis pendence, which are both available in equity and common law---The legislature has provided a clear exception to applicability of the rule of lis pendence in cases where collusive action is involved---True scope of S.52 of the act, 1882 does not prevent the vesting of title in transferee in a sale pendent lite but only makes it subject to rights of other parties as decided in the suit---The exception of collusiveness or fraud is not only applicable to the commencement of proceedings but the parties are precluded to have benefit of S.52 of the act, 1882 if this collusiveness is made during the proceedings or a decree is obtained by collusion, which otherwise, or initially started bonafidely---a genuine compromise is a normal conduct of the parties and is not taken to be collusive but a compromise entered into by collusion or fraud excludes the application of S.52 of the act, 1882---It is altogether immaterial as to whether the proceedings were collusive from the very inception or they became so at some subsequent stage---a suit may be collusive even at its very inception or a decree may be obtained by collusion in a suit which had initially started bonafidely---a person is to act with honesty as the good faith entails righteous and rational approach with good sense of right and wrong which excludes the element of deceitfulness, lack of fair-mindedness and uprightness and or willful negligence---Thus, two Courts below had not committed any mistake in reading the evidence led by two sides and they had arrived to the correct conclusion---Regular second appeal, filed by plaintiff, being merit-less, was dismissed.

Sardar Muhammad Boota vs Jaffar Ali (deceased) S — 2026 MLD 898 LAHORE-HIGH-COURT-LAHORE

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