IN THE HIGH COURT OF UTTARAKHAND AT NAINITAL
Sharad Kumar Sharma, J.
Brahamdatt Sharma - Appellant
Versus
Smt. Neelam Malik and Another - Respondents
Second Appeal No.87 of 2019
Decided On : 06-07-2022
fraudulent document - Property Dispute - The Registration Act, The Transfer of Property Act - Section 17, Section 49, Section 54, Section 107 - The court discussed the validity of a sale deed executed in favor of the defendants and the impact of unregistered prior transfer deed. It emphasized the legal significance of registered documents under the Registration Act and the Transfer of Property Act, and ruled that an unregistered deed cannot confer a valid title.
Fact of the Case:
The plaintiff challenged a registered sale deed executed in favor of the defendants, claiming rights based on an unregistered prior transfer deed. The trial court dismissed the suit, and the plaintiff appealed.
Finding of the Court:
The appellate court upheld the validity of the sale deed, emphasizing its legal significance under the Registration Act and the Transfer of Property Act. It ruled that the unregistered deed could not confer a valid title, and dismissed the appeal.
Issues: Competence of the predecessor owner to execute subsequent sale deed, impact of unregistered deed on title, and the effect of non-framing of proper issue by the trial court.
Ratio Decidendi: The court emphasized the legal significance of registered documents under the Registration Act and the Transfer of Property Act, ruling that an unregistered deed cannot confer a valid title.
Final Decision: The second appeal lacked merits and was dismissed based on the concurrent finding of facts.
JUDGMENT :
The brief controversy as it emanates for consideration before this second appellate in the present second appeal, is arising out of the concurrent judgments which had been rendered by both the courts below on 29.04.2019, it was while dismissing the appeal of plaintiff/appellant herein being Civil Appeal No.160 of 2016 Brahamdatt vs. Neelam Malik; as well as the judgment of the learned trial court dated 25.10.2019 rendered in Suit No.454 of 2008 Brahamdatt vs. Neelam Malik, which too stood dismissed in which the plaintiff/appellant herein had put a challenge to the registered sale deed which was executed in favour of the defendants by the registered owner of the property described in it i.e. by Ishwar Chand on 17.06.2008. The plaintiff/appellant herein on 08.08.2008 had instituted a suit before the court of Civil Judge (Sr. Div.) Rishikesh, District Dehradun, Brahamdatt vs. Neelam Malik, wherein he has sought a degree for declaration of the sale date as executed in favour of the defendants on 17.06.2008 in relation to the property more appropriately described at the foot of the plaint constituting a property bearing Municipal No.7 and 8 lying on the ground floor constituting of six rooms, toilet, bathroom, kitchen, as well as the construction which existed on the first floor constituting of one room, toilet as well as open area of 55 x 28 feet, the prescient of which were described at the foot of the plaint. The details of the property, which was the subject matter of the sale deed executed in favour of the defendant on 17.06.2008 is given hereunder:-
lkses'oj uxj] Fkkuk&iksLV o rglhy _f"kds’k ftyk& nsgjknwu mRrjk[k.M esa fLFkr lEifRr la[;k&07 o 08 ftlesa Hkwry ij 6 dejs] ySVªhu ckFk:e o jlksbZ rFkk izFke ry ij ,d dejk o ySVªhu 'kkfey gS tks 55 QqV x 28 QqV oxZ {ks=Qy esa fLFkr gS ftldh lhek;sa fuEu izdkj gSa%&
| iwoZ esa | lEifRr@ edku nhipUnA |
| if'pe esa | lEifRr xk;=h fuoklA |
| mRrj esa | iaokj th dh tehuA |
| nf{k.k esa | jksM+@lM+dA^^ |
2. In the suit in question the nature of the decree, which was formulated, to be procured from the court was to the effect that the sale deed under question therein may be declared, as to be a fraudulent document, which has been obtained by hatching a conspiracy against the plaintiff/appellant, on the ground that in relation to the same set of property, there already existed an unregistered prior transfer deed of 28.01.2005, which is said to have been executed on Rs.100 stamp paper, which admittedly and even as per evidence on record was an unregistered document alleged to be executed in favour of the plaintiff/appellant, under the strength of which they claimed themselves to hold the title over the property in question. The suit thus instituted for the aforesaid relief, there was an amendment carried and by virtue of an amendment, a degree of permanent injunction was also sought as against the defendant for creating a restraint against them from forceful interference over the property, which was said to be the subject matter of sale deed of 17.06.2008, which had exchanged hand between Late Mr. Ishwar Chand and the defendants on the exchange of sale consideration as given therein in the sale deed to the tune of Rs.4,34,000/-.
3. The suit was contested by defendant no.1 by filing the written statement apart from denying the plaint averments, the defendants have contended, that they are the bona-fide purchaser under the register document which was executed in their favour by the recorded owner of the property, which stood registered before the Sub Registrar and hence their rights stood crystallized by the execution of the registered sale deed and any claim, which has been raised by the plaintiff/appellant to the contrary under the strength of unregistered agreement for sale would be barred by the provisions contain
The legal significance of registered documents under the Registration Act and the Transfer of Property Act, and the inability of an unregistered deed to confer a valid title.
The burden of proof in a property dispute lies on the person claiming the title, and strict compliance with the provisions of the Registration Act is necessary for the validity of a sale deed and reg....
The central legal point established in the judgment is that unregistered and insufficiently stamped documents, even if not covered by specific consequences of non-registration, are inadmissible in ev....
An unregistered Sale deed may be admissible for collateral purposes if proper procedures, including stamp duty payment, are followed, according to Section 49 of the Indian Registration Act.
Unregistered documents affecting immovable property are inadmissible as evidence under the Registration Act 1908.
(1) A registered document carries with it presumption of correctness unless proved otherwise.(2) Agreement to Sell – Doctrine of bona fide purchaser does not protect a subsequent purchaser if vendor ....
An unregistered agreement to sell immovable property is inadmissible in evidence and cannot confer rights unless registered, as per the Registration Act.
The registered document operates from the date of execution, and a party with unclean hands is not entitled to declaratory relief.
An unregistered sale deed is invalid for specific performance claims, and the burden of proof lies with the plaintiff to establish the validity of the transaction.
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