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IN THE HIGH COURT FOR THE STATE OF TELANGANA AT HYDERABAD
K.SUJANA
B.V.R. Projects – Appellant
Versus
Sumana Reddy – Respondent
JUDGMENT :
K. SUJANA, J.
This appeal is filed by the appellant aggrieved by the judgment and decree dated 22.12.2010 in O.S.No.2125 of 2006 on the file of VIII-Additional Senior Civil Judge, Rangareddy District at L.B.Nagar.
2. The plaintiff filed O.S.No.2125 of 2006 to cancel the cancellation of sale deed dated 21.04.2006 and to direct the Sub-Registrar-II to remove the impugned document i.e., cancellation of sale deed from the register and to grant perpetual injunction against the defendants restraining them from interfering with the peaceful possession and enjoyment of the suit property.
3. For the sake of convenience the parties herein after referred to as arrayed in the above suit. The appellant herein is the 6th defendant in the said suit.
4. The plaintiff purchased Plot No. 76 in Sy.No.45 at Miyapur village, along with two others, through a sale deed executed on 11.07.2005, by the 6th defendant-M/s. B.V.R. Projects, on behalf of defendants 1 to 5. The plaintiff paid Rs.7,50,000/- towards total sale consideration and got registered the sale deed. However, the plaintiff alleges that the defendants colluded with the Joint Sub-Registrar-II to fraudulently cancel the sale deed on 21.0
Unilateral cancellation of a sale deed is invalid without prior legal action for recovery of sale consideration, emphasizing adherence to procedural law.
The main legal point established in the judgment is that the Registering Authority has no power to unilaterally cancel a settlement deed, and such unilateral cancellation is void and non-est in law.
The court established that non-payment of sale consideration does not justify cancellation of registered Sale Deeds by Registration Authorities, which is a matter for civil courts.
The Registration Authorities lack the power to cancel registered Sale Deeds for non-payment of sale consideration, as this is governed by substantive law and must be resolved in civil court.
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