Rajasthan High Court
Bapna, J.
Ratanlal - Appellant
Versus
Kishanlal - Respondents
S.B. Civil R II Appeal No. 136 of 1951
Decided On : December 17, 1951
Where the mortgagee was already in possession of the property subsequently sold to him for some further consideration, it was held that part payment of this further consideration and an undertaking by the transferor to execute the sale deed were acts in furtherance of the contract.
2. In this second appeal, it was argued that it was necessary under the terms of sec. 53 of the Transfer of Property Act that possession should have been delivered to the mortgagees under the deed, and reliance was placed on the following words occur-ing in the section—
"and the transferee has, in part performance of the contract, taken possession of the property or any part thereof, or the transferee, being already in possession continues in possession in part performance of the contract and has done some act in furtherance of the contract."
It was contended that the mortgagees though already in possession have not been shown to have continued in possession in part performance of the contract as no words in the contract to show that possession after that date would be in pursuance of the agreement of sale. According to the terms of the agreement of sale, the mortgagor Pannalal calculated the principal and interest on the mortgage and the charge to amount to Rs. 262/14/6 and it was mentioned that the sale was being effected for Rs. 455/- and that out of the unpaid amount of Rs. 192/1/6, he was receiving Rs. 30/- in cash and the balance would be taken by him on execution of the sale deed. As the mortgagees were already in possession of the property nothing was required further in the present case than to execute a deed of sale. In the document, there are words to indicate that the parties only considered the execution of the deed and its registration as a formal matter and were it not for the laws of Stamps and Registration, the parties, so far as they were concerned, were quite prepared to take this agreement as a complete sale. The words which occur soon after the mention of the fact that the mortgagor had agreed to transfer the property for Rs. 455/-are 2
"Now I have sold this house, which is under mortgage with you, for Rs. 455/- and a formal deed of sale will be executed in four days".
There is also mention that the transferor had received Rs. 30/- out of the balance of the consideration of Rs. 192/1/6. Learned counsel for the appellant relied on Thotachila vs. Mattapalli (A.I.R. 1950 Federal Court, 1) in support of his contention that the mortgagor should appear to have transferred possession under the agreement of sale. That case is easily distinguishable because it was admitted by the parties in that case that the mortgagees had never been in possession. It has been held in Ewaz Ali vs. Mat. Firdius Jetinn and others (A.I.R. 1944 Oudh 2x2) that sec. 53 A does not lay down that the
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