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2023 Supreme(Telangana) 974

IN THE HIGH COURT FOR THE STATE OF TELANGANA AT HYDERABAD
SUREPALLI NANDA, J.
M. Panduranga Reddy – Petitioner
Versus
N. Narsamma – Respondent
C.R.P. No. 2124 of 2023
Decided On : 29-11-2023

Advocates:
Advocate Appeared:
For the Petitioner: P. Srihari Nath
For the Respondent: B. Jithender

Unregistered agreements of sale are inadmissible in evidence for suits requiring registration under the Indian Registration Act, as their nature is determined by recitals, not nomenclature.

Headnote:(A) Indian Registration Act, 1908 - Section 17 and Section 49 - Admissibility of unregistered documents - The trial Court held that the unregistered Agreement of Sale is inadmissible in evidence, as it is compulsorily registrable under Section 17 of the Act. (Paras 5, 11, 12)

(B) Legal Principles - The nature of a document is determined by its recitals rather than its nomenclature; unregistered documents cannot be admitted for transactions requiring registration. (Paras 10, 11)

Facts of the case:
The plaintiff sought declaration of title and eviction of the defendant, who claimed ownership through an unregistered agreement of sale. (Paras 3, 4)

Findings of Court:
The agreement of sale was deemed a sale deed, thus requiring registration. (Paras 10, 11)

Issues: Whether the unregistered agreement of sale can be admitted into evidence for a suit for declaration of title. (Paras 11, 12)

Ratio Decidendi: The document in question is compulsorily registrable and cannot be admitted into evidence as it does not meet the requirements of Section 49 of the Act. (Paras 11, 12)

Result: Civil Revision Petition dismissed.

ORDER :

1. This Civil Revision Petition is filed challenging the propriety and legality of the docket order dated 26.06.2023 in O.S. No. 53 of 2017 passed by the Court of Junior Civil Judge, Zaheerabad whereby and whereunder it was held by the trial Court that the unregistered Agreement of Sale dated 25.01.2000 is inadmissible in evidence and accordingly the objection raised by the plaintiff was sustained.

2. For the sake of convenience, the parties are referred to as they are arrayed in the suit before the trial Court.

3. The plaintiff filed the suit against the defendant for declaration of her title for the suit property, for the eviction of the defendant and for a decree for correction in the house tax Revision Register of the Grampanchayat at Rajole for the year 1998-1999, by incorporating her name as owner of the suit property after deleting the name of the plaintiff in respect thereof.

4. As can be seen from the plaint, the case of the plaintiff in brief is that one Narayana Rao, was the owner and possessor of the house bearing No. 3-106, admeasuring 507.65 sq. yards situated in Rajole Village. In the year 1987, the plaintiff purchased the western portion of the said house which includes constructed and open area admeasuring 226.65 sq. yards under registered sale deed bearing document No. 1723 of 1987 dated 18.08.1987 from the said Narayana Rao for valid consideration and the vendor delivered possession of the properly to her as shown in the schedule to the plaint (suit property). The defendant is younger brother of the plaintiff. M. Vittal Reddy, the father of the plaintiff and the defendant jointly purchased the eastern portion of the above said house under registered sale deed bearing document No. 1722 of 1987 dated 18.08.1987. About seven or eight years ago, the plaintiff at the request of the defendant permitted him to reside in the suit house in January 2017, she asked him to vacate the suit house but he refused and that is why plaintiff is constrained to file the suit. The defendant filed written statement denying the case of the plaintiff and took the plea that the plaintiff sold the suit house to him under simple sale deed dated 25.01.2000 for sale consideration of Rs.31,000/- and that with her consent he got mutated his name in revenue record and that ever since the date of purchase he has been in possession and enjoyment of the suit house.

5. The impugned docket order shows that the defendant intended to mark the unregistered agreement of sale dated 25.01.2000 and the plaintiff objected to the marking of the document on the ground that the document is compulsorily registerable under Section 17 of the Indian Registration Act, 1908 (for short the ‘Act’) and so it is inadmissible in evidence.

6. The trial Court upheld the objection of the plaintiff. Aggrieved thereby the defendant preferred the present Revision Petition.

7. Heard the arguments of both the learned counsel on record.

PERUSED THE RECORD.

DISCUSSION AND CONCLUSION:

8. The learned counsel for the revision petitioner mainly contended that the document is an agreement of sale and that the document was impounded and stamp duty and penalty was paid and so it can be admitted into evidence, and in support of the said contention he relied upon the following Judgments:

(1) The Apex Court Judgment dated 10.04.2023 reported in 2023 SCC Online SC 381 in R. Hemalatha v. Kashthuri, in Civil Appeal No. 2535/2023 and SLP (C) No. 14884/2022.

(2) The Apex Court Judgment dated 12.04.2010 reported in 2010 SCC in S. Kaladevi v. V.R. Somasundaram & Others, in Civil Appeal No. 3192/2010 and Arising out of SLP (C) No. 1451/2009.

(3) The order of this Court dated 25.04.2023 in Pathi Chandrasekhar v. Syed Salar and & Others, in Civil Revision Petition No. 24 of 2003.

9. The learned counsel for the respondent refuting the above contention submitted that the document is compulsorily registrable under Section 17 of the Indian Registration Act, 1908 and so it cannot be admitted into evidence i

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