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2010 Supreme(SC) 312

R.V.RAVEENDRAN, R.M.LODHA
S. Kaladevi – Appellant
Versus
V. R. Somasundaram – Respondent


Advocates Appeared:
For the Appellants : K.V. Vishwanathan, Sr. Adv., B. Rajunath, Vijay Kumar, Advs., with him for the Appellants.
For the Respondents:T.S.R. Venkatramana, G.S. Mani, R. Satish, Advs., for the Respondents.

Judgement Key Points

Certainly. Based on the provided legal document, here are the key points:

  1. An unregistered sale deed can be admitted in evidence, not as proof of a completed sale, but as evidence of an oral agreement of sale, with an endorsement indicating its limited purpose (!) (!) .

  2. The main provision of the relevant registration law states that documents required to be registered, if not registered, shall not affect the immovable property they pertain to nor be received as evidence of a transaction affecting such property (!) .

  3. The proviso to this law allows unregistered documents affecting immovable property, which are required to be registered, to be received as evidence of a contract in a suit for specific performance or as evidence of collateral transactions not requiring registration (!) .

  4. An unregistered sale deed of a certain value can be admitted as evidence of a contract for specific performance or as evidence of collateral transactions not requiring registration, provided it is tendered not as proof of a completed sale but as proof of an oral agreement (!) .

  5. When tendered as evidence of an oral agreement, the unregistered sale deed should be endorsed to clarify its limited evidentiary purpose (!) .

  6. The law emphasizes that the admissibility of such documents depends on their purpose—whether to prove a contract or collateral transaction—and not as proof of a completed transfer (!) (!) .

  7. The law recognizes that such documents can be used to prove the character of possession or other collateral purposes, provided they are independent of the primary transaction requiring registration (!) (!) .

  8. The provisions of the law are supplemented by judicial principles that support the use of unregistered documents for proving agreements or collateral purposes in specific types of suits, such as suits for specific performance (!) (!) .

  9. The law and relevant principles clarify that if a party refuses to register a document, the appropriate remedy is to seek registration or to use the provisions for evidence of an agreement, rather than invalidating the document entirely (!) .

  10. In cases where a document is not registered due to the vendor’s refusal or other circumstances, courts are justified in admitting the document as evidence of the agreement, especially in suits for specific performance, provided it is tendered with the proper endorsement (!) (!) .

  11. The law also clarifies that the operation of other statutes, such as the specific relief or registration laws, does not override the specific provisions allowing evidence of unregistered documents in certain circumstances (!) (!) .

  12. Overall, the legal framework permits the use of unregistered sale deeds as evidence of oral agreements or collateral transactions in specific legal proceedings, with appropriate endorsements and limitations on their evidentiary weight (!) (!) (!) .

Please let me know if you need further elaboration or specific legal advice related to this case.


JUDGMENT

R.M. Lodha, J. —

Leave granted.

2.The short question is one of admissibility of an unregistered sale deed in a suit for specific performance of the contract.

3.The appellant and the respondents are plaintiff and defendant nos. 1, 2 and 3 respectively in the suit presented in the Court of Subordinate Judge, Gobichettipalayam. The plaintiff in the suit claimed for the reliefs of directing the defendants to execute a fresh sale deed with regard to the suit property in pursuance of an agreement for sale dated 27.02.2006 on or before the date that may be fixed by the court and failing which execution of the sale deed by the court. She also prayed for grant of permanent injunction restraining the defendants from disturbing with her peaceful possession and enjoyment of the suit property.

4.According to the plaintiff, 1st defendant for himself, as the guardian father of 3rd defendant and 2nd defendant jointly entered into an oral agreement with her on 27.02.2006 to sell the suit property for a consideration of Rs. 1,83,000/-. It was agreed that the sale deed, in pursuance of the oral agreement for sale, would be executed and registered on the same day. The plaintiff purchased the stamp



























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