Bombay HC allows senior citizen to create third party rights

The Bombay high court, in an interim order, has recently allowed a 74-year-old senior citizen to create third party rights by renting out his properties, but restrained him from outrightly selling them till the proceedings are finally decided.

The order by Justice GS Kulkarni came in an appeal by his son against a November 2022 order by the Appellate Tribunal under the Maintenance and Welfare of Parents and Senior Citizens Act 2007.

The tribunal order had allowed the senior citizen Rajendra Agrawal, an Andheri resident, to cancel two gift deeds he signed in 2012 giving his properties to his eldest son Ravi and take possession of these properties on the ground that the specific conditions in the deeds that his sons will look after him and not sell off the properties were violated. His eldest son Ravi Agrawal, 45, and his wife Sarika 45, had challenged the tribunal order before the HC.

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Noting the tribunal order was a reasoned one, Justice Kulkarni said it appeared from the record that Rajendra Agrawal had executed gift deeds in favour of the petitioners with a specific condition that the proceeds from these properties should be used to maintain him. He observed that there was also an explicit condition that the properties in the gift deeds shall not be sold by the petitioners.

The court also observed that since the gift deeds are cancelled and Agrawal is in possession of the properties, the petitioners cannot create any embargo or restrain him from renting them out so as to earn his livelihood and maintain a standard of living to which he is legitimately entitled.

“Accordingly, respondent no.4 (Agrawal) is permitted to create third party rights by letting out the premises, however, he shall not sell the property in favour of any third party during the pendency of the present proceedings,” said the February 24 order granting interim relief.

The reply filed by advocates Sulaiman Bhimani and Sharon Fernandez of The Law Suit appearing for Rajendra Agrawal, said he had worked with a garment showroom in Taj Hotels, Colaba for 20 years before starting his own export business in 1989 when his eldest son Ravi was just 12 years old. He exported garments to Germany, and from the profits purchased his first shop -- shop no 15 in Embassy Centre at Lokhandwala Complex in 1996.

Between 1996 and 2007, he purchased several properties, He purchased flat no A-501 in Benzer CHS in 1996, an office in Morya Estate commercial premises on New Link Road in 1998, another flat no A-502 in his wife Bina’s name in 2003, flat no B-25 in Embassy Centre in 2005, and flat no A-505 in Regency CHS in Lokhandwala Complex area.

However, soon after the settlement in 2015, the father claimed Ravi had started misbehaving with him, humiliating him and his wife in front of relatives, not providing food, medicines and care. He was shocked when Shop 15 in Embassy Centre, the first shop he had purchased from exports to Germany, was sold without his consent. He also learnt that Flat A-502 in Benzer CHS was also sold in September 2015 and flat A-505 in Regency was gifted by Ravi to his wife Sarika and then sold to a third party without his knowledge, their reply said.

It was then in June 2017, the father decided to approach the competent authority under the act, additional suburban collector and sought cancellation of the remaining two gift deeds for violation of the specific conditions.

In November 2022, the tribunal cancelled the two gift deeds and asked his son to transfer the possession of the two properties to his father.

Advocate Bhimani said the gift deeds had categorically said that the donee Ravi Agrawal is bound to take permission from his father till he is alive before selling these properties.

Advocate CP Deogirikar appeared for the petitioners while advocate Anushka Shreshtha appeared for Prashant Agrawal.