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2024 Supreme(Ori) 507

IN THE HIGH COURT OF ORISSA AT CUTTACK
A.C.BEHERA, J.
Dinabandhu Behera – Appellant
Versus
Binod Ram and Others – Respondents
S.A. No. 122 of 1992
Decided On : 25-01-2024

Advocates Appeared:
For the Appellants : Sumitra Mohanty, R.C. Mohanty
For the Respondents: J. Sahoo, M. Mishra

Registered sale deed conveys title to the vendee even if possession is retained by the vendor, and non-delivery of possession does not invalidate transfer.

Headnote:(A) Indian Contract Act, 1872 - Section 23 - Transfer of Property Act, 1882 - Section 54 - Appeal regarding title and possession of property - Validity of transaction under a deed executed to avoid prosecution was questioned - Court emphasized that registered sale deed conveys title despite non-delivery of possession; delivery is not essential for title transfer. (Paras 10, 14, 15)

(B) Non-disputed execution of sale deed - Defendant admitted execution of sale deed; his claims concerning possession and refund were addressed. (Paras 1, 6, 14)

(C) Legal principles established that title transfers upon registration of the sale deed irrespective of possession - Emphasis on binding nature of agreements between the parties. (Paras 7, 12, 15)

Facts of the case:
Appellant sold properties to plaintiff, leading to a dispute over possession and repayment of sums post-sale deed. Trial court confirmed plaintiff's title; defendant contested decisions across appeals insisting on non-void nature of transactions and enjoyed possession.

Findings of Court:
Plaintiff's undisputed title was confirmed; defendant's failure to deliver possession constituted illegal possession.

Issues: Whether the transaction conveyed valid title and whether the suit was maintainable.

Ratio Decidendi: The court ruled that registration of the sale deed transferred title to the plaintiff, rendering the defendant's possession illegal.

Result: 2nd Appeal dismissed, confirming prior judgments.

Table of Content
1. appellant's ownership and prior litigation context. (Para 1 , 2 , 3)
2. arguments about the sale deed and agreements. (Para 4 , 12)
3. issues framed regarding property rights. (Para 5 , 6)
4. substantial questions of law raised. (Para 8 , 10 , 11)
5. transfer of title and possession issues discussed. (Para 14 , 15)
6. dismissal of appeal and affirmation of lower court's decisions. (Para 16 , 17 , 18 , 19)

JUDGMENT :

A.C.BEHERA, J.

1. This 2nd Appeal has been preferred against the confirming Judgment.

2. The appellant of this 2nd Appeal was the sole defendant in the suit vide Title Suit No.14 of 1985-I and he was the appellant in the 1st Appeal vide Title Appeal No.4 of 1987.

The predecessor of the respondents of this 2nd Appeal i.e. Ramswarup Ram was the sole plaintiff in the suit vide Title Suit No.14 of 1985-I. When that plaintiff Ramswarup Ram expired, after the Judgment of Title Suit No.14 of 1985-I and during the pendency of the 1st Appeal vide Title Appeal No.4 of 1987, the respondents of this 2nd Appeal were substituted in his place as respondent Nos.1(a) to 1(f) in that 1st Appeal.

The appellant of this 2nd Appeal i.e. Dinabandhu Behera was the defendant in the suit vide Title Suit No.14 of 1985-I and he was the appellant in the 1st Appeal vide Title Appeal No.4 of 1987.

The suit of the plaintiff vide Title Suit No.14 of 1985-I was a suit for declaration of title over the suit properties and recovery of possession of the suit properties from the defendant along with mesne profits.

3. The case of the plaintiff as per the averments made in his plaint against the defendant was that, on dated 19.03.1974, the defendant sold some properties to Binod Kumar Ram (who is the son of the plaintiff) by executing and registering a sale deed. When the sold land covered under the aforesaid deed dated 19.03.1974 was demarcated through Amin at the field, it was found that, the defendant has no such land. Therefore, a case under Section 420 of the IPC was instituted against the defendant. During the pendency of the said criminal case, the plaintiff and defendant entered into a compromise and on the basis of such compromise, the defendant sold the suit properties to the plaintiff for a consideration of money of Rs.5,000/- by executing and registering the sale deed on dated 24.09.1977.

It was agreed between them that, if the defendant will pay Rs.5,000/- to the plaintiff on or before 30.01.1980, he will take back the suit properties from the plaintiff, for which, in view of such understanding, the plaintiff had not insisted the defendant for delivery of possession of the suit properties. But, when the defendant did not pay Rs.5,000/- on or before 30.01.1980 as per the aforesaid understandings, then the plaintiff requested for the same to defendant, but, the defendant did not pay any heed to the same, for which, the plaintiff filed the suit vide Title Suit No.14 of 1985-I against the defendant praying for declaration of his title over the suit properties and for recovery of possession of the suit properties from the defendant and also for mesne profits from the defendant.

4. Having been noticed from the court in Title Suit No.14 of 1985-I, the defendant contested the suit by filing his written statement without disputing to the execution and registration of the sale deed on dated 24.09.1977 in respect of the suit properties by him (defendant) in favour of the plaintiff by taking his stands inter alia therein that; at the time of execution and registration of the sale deed on dated 24.09.1977 by him in favour of the plaintiff, it was agreed between them (defendant and plaintiff) that, the plaintiff shall return back the suit properties to him (defendant) on payment of Rs.5,000/- by him (defendant) to the plaintiff. But, though, the defendant is prepared to pay Rs.5,000/- to the plaintiff, but the plaintiff is not accepting the same. Therefore, he (defendant) had given a registered notice on 20.06.1978 to the plaintiff to receive the sa

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