BHIKCHAND S/O DHONDIRAM MUTHA (DECEASED) THROUGH LRS. v. SHAMABAI DHANRAJ GUGALE (DECEASED) THROUGH LRS. CITATION: 2024 (SC) 375
Facts: The respondents (decree holders) purchased property owned by the judgment debtor in execution of a decree. This transaction occurred while an appeal against the decree was pending and was completed before the appellate court's reversal of the decree. The appellant sought restitution of the property post-reversal. The third respondent, having purchased the property from the decree holders, claimed to be a bona fide purchaser and resisted restitution.
FactsIssue: Whether a third party who purchases property knowing about an appeal pending can resist restitution as a bona fide purchaser.
FactsObservation: The Supreme Court granted restitution under Section 144 CPC and held that a stranger auction purchaser, who buys property with knowledge of a pending appeal that may reverse the decree, cannot claim protection as a bona fide purchaser. The principle of restitution applies in such circumstances.