Karnataka High Court
Contract LawCivil Procedure and Evidence

Once receipt of a lease advance is proved, the defendant bears the burden of proving repayment.

SMT. K.S. GAYATRI, vs SMT. DEEPA B.,

Karnataka High CourtJUDGMENT: August 29, 20262 MIN READSOURCE JUDGMENT
Once receipt of a lease advance is proved, the defendant bears the burden of proving repayment.. SMT. K.S. GAYATRI, vs SMT. DEEPA B.,. Karnataka High Court. LawLens
THE ORIGINAL LAWLENS SUMMARY
01

Facts

The plaintiff was a tenant of the defendant and had paid an advance of ₹10,50,000 for the suit premises.

Source reference: pp. 2–5, 9

After the defendant defaulted on a bank loan, the bank initiated proceedings under the SARFAESI Act, 2002, and the plaintiff was evicted.

Source reference: pp. 2–5, 9

The plaintiff sued to recover the advance, which the trial court decreed with interest at 6% per annum from the date of suit.

Source reference: pp. 2–5, 9

The defendant appealed, contending that she had repaid the amount when the plaintiff vacated the premises.

Source reference: pp. 2–5, 9
02

Issues

1. Whether the defendant proved that she had repaid the advance of ₹10,50,000 to the plaintiff

Source reference: p. 6

2. Whether the trial court’s judgment and decree required appellate interference

Source reference: p. 6
03

Law Applied

The Court applied the principle that once the plaintiff establishes the defendant’s receipt of the claimed amount, the burden shifts to the defendant to prove repayment; a bare denial does not discharge that burden.

Source reference: pp. 7–8

The appeal was brought under Section 96 of the Code of Civil Procedure.

Source reference: p. 1
04

Reasoning

The defendant admitted receiving ₹10,00,000 under the lease agreement but disputed the additional ₹50,000 and the later lease agreement.

Source reference: pp. 6–8

The Court found that the plaintiff’s documentary evidence, together with the defendant’s cross-examination admission concerning the ₹50,000 payment to the defendant’s husband, established receipt of the full ₹10,50,000.

Source reference: pp. 6–8

The defendant produced no documentary evidence of repayment.

Source reference: p. 8

The Court therefore held that she had not discharged the burden that shifted to her after the plaintiff established receipt of the money.

Source reference: p. 8

It found no perversity or illegality in the trial court’s assessment of the evidence.

Source reference: p. 8
05

Holding

The Court answered both issues in the negative: the defendant failed to prove repayment, and the trial court’s decree did not warrant interference.

The appeal was dismissed and the judgment and decree directing repayment of ₹10,50,000 with interest at 6% per annum from the date of suit were confirmed.

Source reference: p. 9

No order as to costs was made.

Source reference: p. 9
06

Acts & Sections Cited

1 provisions across 1 statute referred to in this judgment. Each provision opens on LawLens.

Code of Civil Procedure, 19081

Karnataka High Court

Original Court PDF

SMT. K.S. GAYATRI,vsSMT. DEEPA B.,

Karnataka High Court · August 29, 2026

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