IN THE HIGH COURT OF PUNJAB AND HARYANA AT CHANDIGARH
Anil Kshetarpal, J.
Sarita Devi - Appellant
Versus
Sultan Singh - Respondent
RSA No. 288 of 2021(O&M)
Decided On : 28-06-2021
Specific Performance - Agreement to Sell - Indian Registration Act, 1908, Section 17(1A), Transfer of Property Act, 1882, Section 53A - The court discussed the applicability of Section 17(1A) of the Indian Registration Act, 1908 and Section 53A of the Transfer of Property Act, 1882 in the context of specific performance of an unregistered agreement to sell coupled with delivery of possession. The court held that the registration of the agreement to sell coupled with delivery of possession is mandatory if the document is to be used for the purpose of Section 53A of the Transfer of Property Act, 1882. However, the court clarified that such amendment is not applicable in case a suit is filed for specific performance of an unregistered agreement to sell containing a recital of the delivery of possession. The court also discussed the limitations on filing a suit for specific performance and the effect of execution of the agreement to sell on the transfer of title of immovable property.
Fact of the Case:
The plaintiff filed a suit for specific performance of an agreement to sell a house. The defendant contested the suit, arguing that the agreement was unregistered and the suit was barred by limitation.
Finding of the Court:
The court found that the plaintiff successfully proved the execution of the agreement to sell and delivery of possession. The court also held that the suit was not barred by limitation.
Issues: The issues involved the applicability of Section 17(1A) of the Indian Registration Act, 1908, Section 53A of the Transfer of Property Act, 1882, and the limitation for filing a suit for specific performance.
Ratio Decidendi: The court clarified that the registration of the agreement to sell coupled with delivery of possession is mandatory if the document is to be used for the purpose of Section 53A of the Transfer of Property Act, 1882. The court also explained the limitations on filing a suit for specific performance and the effect of execution of the agreement to sell on the transfer of title of immovable property.
Final Decision: The court dismissed the appeal, finding no merit in the arguments presented by the appellant.
ORDER
Anil Kshetarpal, J (Oral). - The hearing of the case was held through video conference on account of restricted functioning of the Courts.
2. Defendant No.1 is the appellant. She assails the correcteness of the judgments and decrees passed by the courts below. The plaintiff late Sh. Sultan Singh filed a suit for specific performance of the agreement to sell dated 28.03.2003 executed by late Smt. Bimla Devi (the predecessor in interest of the defendants). As per the agreement to sell, House No.l29/P-8 measuring 125 sq. yards, situated in Shanti Nagar, Nilokheri, District Karnal was agreed to be sold for total sale consideration of Rs.3,51,000/-. As per the agreement, on receipt of the entire sale consideration, late Smt. Bimla Devi while executing the written agreement to sell in the presence of the marginal witnesses also delivered the possession of the house. She also executed a registered Will in favour of the plaintiff on 28.03.2003 as also a General Power of Attorney in favour of Smt. Shugni Devi, the mother of Sultan Singh-the plaintiff which was subsequently registered on 17.04.2003.
2. After the death of late Smt. Bimla Devi on 27.08.2006, the plaintiff requested the defendants to come forward for execution and registration of the sale deed. Since there was no response, therefore, before filing the suit, a notice dated 24.10.2009 was sent to the defendants to come to the office of Sub-Registrar on 09.11.2009, for registration of the sale deed. However, the defendants did not come present whereas the plaintiff remained present in the office of Sub-Registrar on 09.11.2009. Hence, the suit was filed.
4. Defendant no.1, 2 and 3 filed their written statements contesting the suit. Apart from the objection with regard to non impleadment of Ram Pal, the husband of late Smt. Bimla Devi as a party defendant, it was pleaded that the plaintiff did not act on the basis of the agreement to sell till the death of late Smt. Bimla Devi and the suit has been filed on the basis of a forged and fabricated agreement. The execution of the agreement to sell on the receipt of total sale consideration by late Smt. Bimla Devi was also denied.
5. Both the courts, on appreciation of the evidence, have concurrently found that the plaintiff has successfully proved the execution of the agreement to sell on receipt of total sale consideration. Both the courts further held that the plaintiff continues to be in possession after having been put in possession by late Smt. Bimla Devi. The trial court decreed the suit to the extent of 4/5th share of the house in question except the share of Ram Pal.
6. Heard, learned counsel for the appellant at length. He has also forwarded written submissions in support of his oral arguments. There is no challenge to the findings of fact with reference to execution of the agreement to sell coupled with delivery of possession on receipt of entire sale consideration.
7. Learned counsel representing the appellant has raised the following contentions :-
(1) A suit for specific performance of the agreement to sell cannot be filed on the basis of an unregistered agreement to sell particularly when the delivery of possession is also agreed to. He, in support thereof relies upon the judgments passed in Sukhwinder Kaur vs. Amarjit Singh and others. AIR 2012 P&H 97 and Rishi Rai and others vs. Rakesh Yadav and others. 2018 SCC online. Delhi 9425.
(2) The judgment passed by Hon'ble Division Bench in Ram Kishan and another vs. Biiender Mann alias Viiender Mann and others. 2013(1) PLR195 is sub silentio as the Bench has failed to notice that a mere agreement to sell does not transfer any right or interest in the immovable property.
(3) In fact, the suit for specific performance of the agreement to sell, in essence, becomes an attempt to protect physical possession and therefore, on the basis of an un-registered agreement to sell, no suit could be filed.
(4) Once along with the execution of the agreement to sell, the possession of the immov
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