FATAH UDDIN vs ZARSHAD AND Another
This petition for special leave to appeal challenged a Peshawar High Court judgment in a suit for declaration, which sought to invalidate a gift deed executed in 1957. The respondent alleged the deed was obtained through fraud and undue influence by the petitioner, who posed as a Pir. Evidence indicated the respondent was a lunatic at the time of execution, and the petitioner failed to rebut claims regarding the respondent's mental state or the fraudulent nature of the transaction. The petitioner argued the suit was time-barred, calculating limitation from the date of the deed's execution. The Supreme Court rejected this, holding that under Article 120 of the Limitation Act, the right to sue accrues upon the discovery of fraud. Since the fraud was discovered in 1969 and the suit was filed in 1970, the action was within the limitation period. The Court affirmed the lower courts' decisions, ruling that the suit was timely and the evidence of fraud remained unrebutted, leading to the dismissal of the petition.
- When does the limitation period for a suit challenging a gift deed on the grounds of fraud begin to run?
- Does the right to sue for a declaration regarding a fraudulent transaction accrue from the date of execution or the date of discovery of the fraud?
- Is a suit filed within the limitation period after the discovery of fraud maintainable despite the lapse of time since the execution of the impugned deed?
- Section 13, Lunacy Act 1912
- Article 120, Limitation Act 1908
1. HAMOODUR RAHMAN, C. J.-This is a petition for special leave to appeal from a judgment of 4 learned Single Judge of the Peshawar High Court In a second appeal which arose out of a suit for a declaration filed by the respondent No. 1 herein to have a gift deed registered on the 11th of February 1957, declared void and ineffective.
2. The said respondent alleged that the gift had been obtained from him by the petitioner posing as a Pir by fraud and undue influence. He further alleged that he came to know of the fraud on the 10th of September 1969, when the petitioner entered into an exchange transaction with regard to a part of the lands with respondent No. 2.
3. The gift deed was executed on 1-1-1957 and was registered on the 11th of February 1957, but the respondent No. 1, it appears, was admitted in Jail on 28-6-1957 under section 13 of the Lunacy Act under the orders of a Magistrate at Swabi. The evidence of the plaintiff' in the suit that he was not at the relevant time in full possession of his mental faculties was confirmed also by other witnesses who deposed to the effect that the said respondent was a lunatic in 1957.
4. The petitioner did not go in the witness-box to rebut the evidence nor did he call any rebutting evidence. In this view of the matter, the High Court took the view that the first appel--late Court bad rightly decreed the suit after setting aside the order of dismissal passed by the trial Court without consideration of all the relevant evidence.
5. The petitioner now seeks special leave to appeal and the only point urged in support of this petition is that the High Court and the first appellate Court had to notice that the suit was barred by time, if time is calculated from the date of execution of the deed of gift.
6. This contention is, however, without any substance, as under Article 120 of the Limitation Act the time begins to run from the date the right to sue accrues and in this case the right to sue accrued from the date of discovery of the fraud which was specifically alleged to be in 1969. This evidence remained unrebutted and, therefore, the suit instituted on the 26th February 1970 was rightly held to be well within time both by the Additional District Judge, Mardan, in first appeal and the High Court in second appeal.
7. No other point is urged. ,This petition must, therefore, fail and is, accordingly, dismissed.
Cited by 14 cases
- Khalid Iqbal and others vs Shahid Iqbal and others 2021 CLC 1880
- Iqbal Begum vs Faiz Muhammad etc K.L.R. 2017 Civil Cases 241, 2017 PLJ Lahore 349, 2017 LHC 567
- IQBAL BEGUM vs FAIZ MUHAMMAD etc. 2017 PLJ Lahore 349
- lqbal Begum vs Faiz Muhammad, etc K.L.R. 2017 Civil Cases 241
- IQBAL BEGUM Versus FAIZ MUHAMMAD 2018 YLRN 142
- MUHAMMAD SADIQ KHAN vs Mst. TEHZEEB KHANUM and 6 others 2017 YLR 341
- MUHAMMAD NAZIR and otherss' vs Begum MARYAM SALAMAT and others 2004 CLC 132
- KHAWAS KHAN through L.Rs vs SABIR HUSSAIN SHAH and others 2004 PLJ SC 760
- Shahzada MUHAMMAD MATEEN SIDDIQUI vs Shaikh QAYAMUDDIN SIDDIQUI 2000 CLC 942
- SIRAJ DIN Versus MUHAMMAD ALI 1995 PLD 313
- MUHAMMAD SIDDIQ and 2 others vs MUHAMMAD SHARIF and 2 others 1992 SCMR 2260
- AHMAD YAR And 4 Others vs RASOOL BAKHSH And Other 1989 MLD 1043
- FATEH SHER And ANOTHER vs SHARIF KHATOON And 3 OTHER 1986 CLC 320
- Mst. DAULAN AND ANOTHER vs NOORA AND 3 OTHERS 1984 CLC 1211