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2025 Supreme(Online)(Mad) 31132

IN THE HIGH COURT OF JUDICATURE AT MADRAS
T.V. THAMILSELVI, J
V.Perumayee – Appellant
Versus
S.Rajammal – Respondent
Second Appeal Nos. 200 & 863 of 2024 | CMP.Nos.6896 & 27389 of 2024



Advocates:
For the Appellants/Petitioners: Mr.D.Selvaraju, Mr.K.R.Masilamani
For the Respondents: Mr.K.R.Masilamani, Mr.D.Selvaraju

An unregistered sale deed is inadmissible to claim possession but can be evidence in specific performance; plaintiff must exhaust statutory registration remedies and prove valid execution; mentally unsound parties require lawful guardianship for valid contracts.

Headnote:(A) Registration Act - Sections 17(1A), 32, 35, 36, 71, 73, 74, and Stamp Act - Validity and registration of sale deeds - An unregistered sale deed is inadmissible to claim possession but admissible as evidence in specific performance suits. Burden of proof lies on plaintiff to establish proper execution and registration attempt. (Paras 13, 22-36)

(B) Specific Performance - Equity and legal requirements - Relief can be granted only if contract is validly executed and plaintiff approaches court with clean hands. Mental capacity and lawful representation of parties are crucial in contract validity. (Paras 15, 31, 36, 37)

Facts of the case:
Plaintiff filed suit for specific performance seeking enforcement of sale deed for property inherited by defendants. Sale deed was unregistered, and defendants contested validity citing statutory requirements and claims of unsound mind and misrepresentation.

Findings of Court:
Trial court held sale deed valid despite absence of registration and ordered its execution. First appellate court partially modified decree reducing land extent specific performance granted. This court found unregistered sale deed invalid for possession claims, improper burden shifting on defendants, and lack of lawful representation for mentally unsound party. Suit was dismissed.

Issues: (i) Whether unregistered sale deed is valid for specific performance and possession claims. (ii) Whether plaintiff exhausted statutory remedy for registration under Registration Act. (iii) Whether the burden of proof was properly allocated and mental unsoundness was adequately considered.

Ratio Decidendi: The court ruled that an unregistered sale deed cannot support possession claims though may be evidence in specific performance suits; however, plaintiff must exhaust statutory registration remedies before filing suit. Mental unsoundness without lawful representation invalidates execution of sale deed. Burden lies with plaintiff to prove document validity and consent.

Result: Appeal No. 200 of 2024 dismissed; Appeal No. 863 of 2024 allowed; suit dismissed as meritless.

Table of Content
1. facts related to unregistered sale deed and family relationships (Para 5 , 6 , 7 , 24 , 25 , 26)
2. trial and appellate courts’ findings on validity of unregistered sale deed and specific performance (Para 9 , 10 , 11 , 12 , 13 , 14 , 15)
3. contesting party’s arguments on invalidity, fraud and procedural law (Para 16 , 17 , 18 , 19 , 20 , 21)
4. statutory registration procedures and procedural non-compliance (Para 22 , 23 , 33 , 34)
5. evidence evaluation and allegations of misrepresentation (Para 27 , 28 , 29 , 30 , 31 , 32)
6. court’s reasoning on burden of proof, mental capacity and effect on contract validity (Para 35 , 36 , 37)

COMMON JUDGMENT

The appellants have preferred these Second Appeals against the Judgment and decree passed in A.S.No.5 of 2014 on the file of Subordinate Court, Attur, modifying the judgment and decree dated 19.03.2014 made in O.S.No.351 of 2009 on the file of District Munsif Court, Attur.

2. For the purpose of convenience, the parties herein are referred to as they are ranked in the suit.

3. The appellant in S.A.No.200 of 2024 is the plaintiff in suit O.S. No. 351 of 2009 on the file of the District Munsif, Attur. The 2nd defendant is the appellant in another appeal, S.A.No.863 of 2024.

4. Before the trial court, the suit was decreed, against which an appeal, A.S.No.5 of 2014, was filed by the 2nd defendant, Rajammal, before the learned Subordinate Judge, Attur. The appeal was modified and partly 2\25 allowed. Challenging these findings, both the plaintiff and the 2nd defendant preferred the above second appeals.

5. The brief facts of the case.

The plaintiff's husband and the second defendant's husband are brothers. The 1st defendant is the son of the 2nd defendant. The plaintiff filed a suit for specific performance, seeking a direction for the defendants to execute the sale deed along with other consequential reliefs. The plaintiff's case is that the suit property belonged to Sellappa Gounder, the husband of the 2nd defendant. He died intestate, leaving behind the defendants as his legal heirs. Due to family circumstances, the defendants decided to sell the property to the plaintiff on 08.07.2009 for valid consideration. The plaintiff paid Rs.90,000/- as the entire sale consideration, and the defendants signed the sale deed. The sale deed was also typed on the same day on stamp paper. However, as there was insufficient time to register the document, the plaintiff was advised by the Registration Office to complete the registration the next day. The defendants agreed to this and handed over possession of the property to the plaintiff. The plaintiff waited for nearly two months for the defendants to execute the sale deed. On 18.09.2009, she made an oral demand. Later, on 25.09.2009, she issued a notice requesting the defendants to attend the Registration Office on 29.09.2009 for the execution of the sale deed. On 29.09.2009, the plaintiff waited at the Sub-Registrar's Office in Attur from 10:00 a.m. to 5:00 p.m., but the defendants failed to appear. On that day, the plaintiff signed as a witness on some other documents. Despite repeated oral and written demands, the defendants refused to execute the sale deed, even though they had received the entire sale consideration. Consequently, the plaintiff filed a suit for specific performance, seeking a direction for the defendants to execute the sale deed along with other consequential reliefs.

6. The defendants contested the suit. While they admitted the relationship and ownership of the property, they argued that the suit was not maintainable in law. They contended that if the value of the property exceeded Rs.100/-, the sale deed required valid registration. The plaintiff relied on an unregistered sale deed, which, according to the defendants, conferred no legal rights. The 2nd defendant also contended that, under Section 35 of the Registration Act, the plaintiff ought to have filed a petition before the Registrar for enforcement if the document

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