Circumstances when a sale of property by auction or other means may be set-aside after its confirmation | Henderson Principle | Applicability of Lis Pendens in case of subsequent transfer of the property sold under auction – Celir LLP v. Mr. Sumati Prasad Bafna and Ors. – Supreme Court
December 16, 2024
In this judgment, Hon’ble Supreme Court deals with the following points: (i) Concept of Abuse of Process of Court and Collateral challenge to judgments that have attained finality. (ii) Scope of Section 17 of the SARFAESI Act, 2002. (iii) Once Borrower has elected to move the High Court for the very same cause of action and underlying prayers, the Borrower was precluded from pursuing its remedies before the DRT. (iv) The ‘Henderson’ Principle as a corollary of Constructive Res-Judicata. (v) Four situations where in second proceedings between the same parties doctrine res judicata as a corollary of the principle of abuse of process may be invoked (vi) Applicability of Lis Pendens in the absence of any registration as required under the State Amendment to Section 52 of the Transfer of Property Act, 1882. (vii) Interpretation of the Higher Court decisions. (viii) Circumstances when a sale of property by auction or other means under the SARFAESI Act may be set-aside after its confirmation.