Transfer of Property Act,1882- Section 52,41- Once it has been held that the transactions are illegal due to the doctrine of lis pendens, the defence that they are bona fide purchasers for valuable consideration and thus, entitled to protection under Section 41 is liable to be rejected. (Para 14) – the doctrine of lis pendens applies to an alienation during the pendency of the suit whether such alienees had or had no notice of the pending proceedings. (Para 11)
Doctrine Of Lis Pendens -In this case, suit was filed on 24.12.1992 and the next date before the Trial Court was fixed on 12.01.1993. The sale deed was executed by defendant no. 1 in favour of defendant no. 2 on 08.01.1993- Trial Court partly decreed the suit – In Second appeal, High Court held that this sale deed is hit by doctrine of lis pendens and that defendant no. 2/appellant is not a bona fide purchaser – Dismissing appeal, SC observed- Once the subsequent sale was during pendency of the suit hit by the doctrine of lis pendens, the High Court was fully justified in setting aside the judgment and decree of the Trial Court and the First Appellate Court and passing a decree for specific performance.