A dispute with respect to the rights over a property was presented in court.
However, the plaint was returned after a preliminary finding that the court, where it was presented, did not have the necessary pecuniary jurisdiction to try it.
Before it could be filed in the District Court of Kottayam, which was the competent court, A, who had its possession, executed a gift of the same in favour of his wife and son.
ISSUE
Whether the gift deed is hit by lis pendens?
HELD
Before 1929, there was no explanation to s.52. Legislature provided that explanation to make it clear that the pendency of the suit of proceedings for the purpose of the doctrine shall be deemed to commence from the date of presentation of the plaint or the institution of the proceedings in the court of competent jurisdiction.
In the instant case, the court applied the rule of lis pendens and found that there was no suit pending in the court of competent jurisdiction when gift was executed. Hence, it is not vitiated by the said rule.
the pending suit must be regarded as notice to the entire world so that a party does not act with malafide intention.