HIGH COURT OF MADRAS
N. SATHISH KUMAR, J
J.NARAYANAN – Appellant
Versus
DISTRICT REGISTRAR – Respondent
Registration - Property - Writ Petition Sections - The court interpreted that a mere protest petition by a third party does not automatically bar the registration of a sale deed, reinforcing the principle that an agreement for sale alone does not establish rights over immovable property.
Fact of the Case:
The petitioner challenged the refusal of the 2nd respondent to register his sale deed for a property purchased from a trust due to a protest from a third party claiming prior rights based on an agreement for sale.
Finding of the Court:
The court found that the mere existence of a protest petition does not constitute a legal basis to refuse registration, as it was held in prior judgments that agreements for sale do not create rights over property enforceable against bona fide purchasers.
Issues: Whether the 2nd respondent could refuse registration of the sale deed based solely on a protest petition from a third party alleging prior rights through an agreement for sale.
Ratio Decidendi: The court established that third-party protest petitions are insufficient grounds to deny the registration of a sale deed, affirming that agreements for sale do not confer enforceable rights against subsequent purchasers.
Final Decision: The court ordered the registration of the petitioner's sale deed to proceed, successfully allowing the writ petition.
O R D E R
Challenging the proceedings of the 2nd respondent dated 15.07.2024 bearing No.5437/2024, this writ petition has been filed.
2. Heard the learned counsel for the petitioner and the learned Additional Government Pleader appearing for the respondents 1 and 2 and perused the materials available on record.
3. It is the case of the petitioner that he had purchased the subject property from the Honk Kong Indians and Exnora Public Charitable Trust on 02.05.2024; subsequently, he sold the said property to one Krishnan vide Sale Deed dated 10.07.2024 and when the same was presented for registration, the 2nd respondent refused to register the same, citing the reason that the
3rd respondent has given a protest petition. Hence, the present writ petition.
4. It is the contention of the learned counsel for the petitioner that the
3rd respondent has given a protest petition stating that the said Trust had already entered into an agreement to sell the same subject property to him on 30.01.2023 and however, sale deed could not be executed as the Trust did not obtain prior permission for the sale. Hence, the learned counsel submits that the impugned order passed by the 2nd respondent, cannot be sustained in the eye of law.
5. In such perspective of the matter, this Court is of the view that merely on the basis of the protest petition given by a third party, the document cannot be refused to be registered. This has been clearly held in Subramani Vs. The Sub Registrar, Rasipuram and Another (W.P.No.11056 of 2024 decided on 26.04.2024). That apart, the 3rd respondent is claiming right only based on the agreement for sale said to have been executed by the Trust. It is well settled that mere existence of an agreement for sale, will not create any right or interest over the immovable property and at the best, such an agreement is capable of enforcement in a Court of law. Such being the position, merely on the basis of such protest petition given by the agreement holder, registration of document cannot be refused. Hence, the impugned order passed by the 2nd respondent is set aside and the 2nd respondent is directed to register the Sale Deed of the petitioner, within a week's time from the date of receipt of a copy of this order.
With the above direction, this writ petition stands allowed. No costs.
Connected C.M.P. is closed.
gya 25.07.2024 Index : Yes/No Neutral Citation : Yes/No N.SATHISH KUMAR, J.
gya To
1.The District Registrar Thirupapuliyur Cuddalore 607 001
2.The Sub Registrar Joint-II Thirupapuliyur Cuddalore 607 001 W.P.No.21111 of 2024
25.07.2024
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