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1972 Supreme(P&H) 257

PUNJAB & HARYANA HIGH COURT
P.C.Pandit and Bhopinder Singh Dhillon JJ.
Milkha Singh
Versus
Tara Singh
Second Appeal No. 107 of 1963,
Decided On : NOVEMBER 6, 1972

The title in the property passes to the vendees from the date of execution of the sale deed, not from the date of registration.

Headnote:

COMPROMISE - REGISTRATION ACT, 1908 - SECTION 47 - TRANSFER OF PROPERTY ACT, 1882 - SECTION 54 - PRE-EMPTION - SALE DEED - REGISTRATION - TITLE PASSES FROM DATE OF EXECUTION, NOT REGISTRATION - SALE COMPLETE ONLY WHEN REGISTRATION COMPLETED.

Fact of the Case:

A suit was filed for declaration of ownership and possession of agricultural land. During the pendency of the suit, the plaintiffs filed an application under Order 23, Rule 2, Code of Civil Procedure, stating that they had compromised the matter with the defendant on 7th February, 1961. The defendant opposed the application, claiming that she had no right to effect the compromise as she had sold her share in the property to third parties on 28th October, 1960.

Finding of the Court:

The trial court and the lower appellate court found that the defendant had no title in the property on 7th February, 1961, as she had already sold the property to the third parties on 28th October, 1960, and the title passed to them on that date. The courts also found that the sale was complete on the date of execution of the sale deed, not on the date of registration.

Issues: 1. Whether the defendant had the right to compromise the suit on 7th February, 1961, after selling the property to third parties on 28th October, 1960? 2. When does the title in the property pass under a sale deed that requires registration?

Ratio Decidendi: 1. Under Section 47 of the Registration Act, a registered document operates from the time it would have commenced to operate if no registration thereof had been required or made, and not from the time of its registration. 2. A sale of immovable property of the value of Rs. 100/- and upwards can be made only by a registered instrument under Section 54 of the Transfer of Property Act. 3. The registration of a sale deed is complete only when the sale deed is copied out in the records of the Registration Office as provided in Section 61 of the Registration Act. 4. Therefore, the title in the property passes to the vendees from the date of execution of the sale deed, not from the date of registration.

Final Decision: The appeal was dismissed, and the parties were left to bear their own costs.

Judgment

1. The facts giving rise to this second appeal are these. The property in dispute in some agricultural land, situate in village Bolewal, District Gurdaspur. It belonged to Lal Singh and his brother Sher Singh in equal shares. Lal Singh died and on his death, his share was inherited by his son Milka Singh. On 15th December, 1957, Sher Singh is alleged to have executed a will in favour of Kundan Singh son of Milkha Singh. On 16th October, 1958, Sher Singh died without leaving any child or a widow. His share in the property was mutated by the revenue authorities in favour of his sister Shrimati Ramo. On 23rd June, 1960, Kundan Singh minor, through his father Milkha Singh., and Milkha Singh on his own behalf as well, brought a suit, out of which the present second appeal has arisen, against Ramo, for declaration that they were the owners-in-possession of the land in question.

2. The suit was contested by Ramo, defendant No. 1, on a number of pleas, but in the present appeal, it is not necessary to mention them, because the case is being decided on a preliminary issue.

3. During the pendency of the suit, on 10th February, 1961, the plaintiffs filed an application under Order 23, Rule 2, Code of Civil Procedure, saying that they had compromised the matter with the defendant, Ramo, on 7th February, 1961. By the aid compromise, the suit had been adjusted, because Ramo had agreed that the same should be decreed. A prayer was, therefore, made that the compromise be recorded and the suit decided accordingly.

4. This application was opposed by Ramo. It may be stated that she did not deny her thumb-impression on the written compromise but pleaded that the compromise was vitiated by fraud and that she had no right to effect the same, because, on 7-2-1961, she did not possess any rights in the property, inasmuch as on 28th October, 1960, she had sold her share in favour of Sohan Singh and others for Rs. 15,250/-. After the said sale, therefore, she could not say that the suit be decreed.

5. It may be mentioned that after this defence was taken by Ramo, the plaintiffs impleaded her vendees as defendants Nos. 2 to 10 in the suit.

6. A preliminary issue was framed regarding this matter and it was "whether defendant No. 1 compromised the suit with the plaintiffs? If so, on what terms and with what effect?"

7. On merits also, the following issues were framed by the trial Judge:-

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"1. Whether the plaintiffs are owners in possession of the land in suit? 2. Whether is suit is maintainable in the present form? 3. Whether defendants Nos. 2 to 10 have purchased the land in suit from defendant No. 1? If so, when and with what effect?"

8. Evidence was led by the parties. It was somewhat surprising that instead of trying the issue regarding the compromise as a preliminary one, the whole case was decided. The learned Judge came to the conclusion that the suit had not been compromised by Ramo and that she could not do so, because she had sold the property in dispute to defendants Nos. 2 to 10 on 28th October, 1960, and therefore, the compromise alleged to have been made by her on 7th February, 1961, was not legally effective. On merits, under Issue No. 1 it was held that Milkha Singh was the owner of half share in the land, except Khasra Nos. 193, 646 and 648 which were in possession of the tenants of the mortgagees, while Kundan Singh, minor plaintiffs No. 1, was neither owner of the other half share nor was he in possession of any portion of the land. Under issue No. 2, the finding was that the suit was maintainable in the present form. The finding under issue No. 3 was that defendants Nos. 2 to 10 had purchased the land in suit from Ramo, defendant No. 1, and they had a valid title thereto. On these findings the Trial Court passed a decree for a declaration that Milkha Singh, plaintiff No. 2, was the owner of only half share in the land, but he was in actual or constructive possession of the entire land in dispute, except Khasra Nos. 193, 646 an






















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