KOTHI SATYANARAYANAversusGALLA SITHAYYA & OTHERS
- Citation
- 1986 INSC 248
- Decided
- 21 November 1986
- Disposal
- Dismissed
- Bench
- O CHINNAPPA REDDY
Holding
Section 14(2) of the Hindu Succession Act, 1956, being an exception, applies to the settlement deed, so the life estate does not transform into full ownership under section 14(1).
Summary
The plaintiff, son of Ramamurty, claimed ownership of certain properties after the death of Veeraraju's widow, who had been granted a life interest under a 1937 Deed of Settlement that provided for reversion to Ramamurty or his heirs. The widow later executed a will bequeathing the properties to her brother, the appellant. The central issue was whether the life estate created by the settlement deed was transformed into full ownership under section 14(1) of the Hindu Succession Act, 1956, or whether the exception in section 14(2) applied. The Supreme Court held that the settlement deed is an instrument contemplated by section 14(2), which excludes the transformation provision of section 14(1). Consequently, the widow never acquired an alienable interest that could be bequeathed, and the appellant's title under the will could not prevail. The appeal was dismissed and each party was ordered to bear its own costs.
Issues considered
- Whether a life estate created by a settlement deed is transformed into full ownership under s.14(1) of the Hindu Succession Act, 1956.
- Whether the exception in s.14(2) of the Hindu Succession Act applies to a settlement deed, thereby preventing transformation of the life estate.
Legislation cited
- Hindu Succession Act, 1956s. 14(1), s. 14(2)
Subjects
Judgment
KOTHISATYANARAYANA A
v.
y - GALLA SITHAYYA & OTHERS
NOVEMBER 21, 1986
[O. CHINNAPPA REDDY AND RANGANATH MISRA, JJ) B
Hindu Succession Act 1956, s. 14-Life estate created infavour of widow
.by Settlement Deed-When can be transformed into full ownership.
Under a deed of settlement dated August 18, 1937, the respondent's
father settled certain properties on the widow of his son With life interest and c
upon her death those properties were to revert to the Settlor or his heirs. After
the widow's death, the respondent claimed the properties under the aforesaid
deed of settlement. However, the appellant, brother of the widow set up title
thereto under a Will executed by the widow on May 14, 1964.
The question that arose for consideration in the courts below. was D
whether the life-estate created in favour of ihe widow under the Settlement
Deed. had been transformed into full ownership under section 14(1) of the
Hindu Succession Act of 1956 and all the three courts held that the life-estate
carved out under the 1937 Settlement' did not get ln!nsformed into title in
favour of the widow and she did not acquire any allienable interest in the
properties to bequeath in favour of her brother. E
Dlsmis.sing the apJieal by the ap~llant,
HELD: 1. Sub"5.2 of s.14 of the Hindu Succession Act 1956 is an
exception to su!H. l thereof and if the situation is covered by suH. 2, the
transformation provided for in su!H. l would not take place. [360F] , F
I
The settlement deed -in the instant case, is an inStrument contemplated
under su!H: 2 and admittedly it created a restricted estate in favour of the
widow. Therefore suH. l of s.14 would not be attracted. [360G]
· CIVIL APPELtATE JURISDICTION: Civil Appeal No. 2726 of 1972 G
From the Judiinent and Order dated 4.8.1971 of the Audhra P,radesh
High Court in CP .A. No. 48 of l 969
A.S. Nambiar, G.N. Rao and Attar Singh for the Appellant.
H
359
360 SUPREME COURT REPORTS [1987] I S.C.R.
A G.S. Ramaiah, and B. Parthasarthi for the Respondents.
The Judgment of the Court was delivered by .
RAN GANATH MISRA, J. This appeal by the defendant is by Special
B Leave and challenge is to the decision of a division bench of the Andhra
Pradesh High Court in a Letters Patent appeal.
Plaintiff asked for a decree for possession after eviction of the defendants
and claimed mesne profits both past and future. Plaintiff and Veeraraju
happened to be sons of Ramamurty. The two brothers had amicably
C partitioned their properties in 1909. Veeraraju died in 1927 leaving behind his
widow. As Ramamurty sold certain properties from Veeraraju's share in 1928,
the widow raised dispute and mediators brought about a settlement leading to
the execution of a Deed of Settlement dated August 18, 1937, whereunder
Ramamurty settled certain properties on the widow with life interest and upon
her death, those properties were to reyert to Ramamurty or his heirs. After the
D widow's death, the plaintiff who is son of Ramamurty claimed the properties
but defendant No. I who is the brother of the widow set up title thereto under a
Will dated May 14, 1962,of the widow.
The main question that'arose for consideration in the courts below was
whether the life-estate created in favour of Veeraraju's widow under the
E Settlement Deed had been transformed into full ownership under section 14(1)
of the Hindu Succession Act of 1956. All the three courts have held thatthe life-
estate carved out under the 1937 settlement did not get transformed into title in
favour of the widow and she did not acquire any alienable interest in the
properties to bequeath in favo\lr of her brother.
F The only question which has beec. canvassed at the hearing is whether in _);
the facts of the case, sub-section (I) or st.b-section (2) of section 14 of the Act is '
applicable. It is not disputed that sub-section (2) of section 14 is an exception to
sub-section (I) thereof and if the situation is covered by sub-section (2), the
transformation provided for in sub-seC':ion (I) would not take place.
G The Settlement Deed is an instrument contemplated under sub-section
(2) and admittedly it created a restricted estate in favour of the widow.
Therefore, sub-section ( 1) of section 14 would not be .'lllracted. The submission
·of the appellant's learned counsel that the Settlement deed brought the
properties covered by it in exchange or in lieu of properties unauthorisedly
. alienated by Ramamuriy and as the widow had full title in the alienated
H
KOTH! SATYANARAYANA v. GALLA SITHAYYA [MISRA, J.] 36 1
property, title must be held to have accrued in favour of the widow in the A
properties covered by the settlement cannot be accepted.
The appeal fails and is dismissed.
Parties. are directed to bear their own costs in this Court.
B
M.L.A. Appeal dismissed.
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