SupremeToday Landscape Ad
Back
Next
Judicial Analysis Court Copy Headnote Facts Arguments Court observation
Listen Audio Icon Pause Audio Icon
judgment-img

2023 Supreme(Online)(UT) 2839

HIGH COURT OF UTTARAKHAND
Shri Justice Manoj Kumar Tiwari, J
Puneet Sharma – Appellant
Versus
Shri Sunil V Gupta & others – Respondent
First Appeal No. 147 of 2022 | Original Suit No. 55 of 2017



Advocates:
For the Appellants/Petitioners: Mr. Siddhartha Sah
For the Respondents: Mr. Siddhartha Singh, Mr. Prabhoo Dayal Tiwari, Mr. P.S. Bisht

A non-owner cannot confer title or rights over property, and unregistered agreements to sell lack enforceability.

Headnote:(A) Specific Relief Act, 1963 - Section 31 - Cancellation of gift deed - Plaintiff's appeal against lower court's dismissal of suit for cancellation of a gift deed executed without authority by a third party - Original plaintiff claims rights based on an unregistered agreement to sell which does not confer any title. Court emphasizes rights depend on ownership, ruling that agreements to sell unregistered do not create interest under law. (Paras 10, 14, 19)

(B) Title in property - Principle of nemo dat quod non habet reiterated - A party can only transfer interest they possess - Innocence of buyer irrelevant if seller lacks ownership; liabilities and rights of property remain protected by law. (Paras 12, 16)

Facts of the case:
Plaintiff entered into an agreement with a party lacking authority to sell a piece of land, seeking cancellation of a gift deed made to another. Suit dismissed due to lack of ownership and indefensibility of the unregistered agreement.

Findings of Court:
The court finds that the plaintiff did not establish any legitimate claim over the property based on the agreement with a non-owner.

Issues: The core issue is the legality of claiming interest based on an unregistered agreement against a registered deed.

Ratio Decidendi: The court argues that possession granted by a non-owner does not confer legitimacy and that no deed can legally bind an owner without comprehensive ownership consent.

Result: Appeal dismissed.

Table of Content
1. appeal based on cancellation of a gift deed. (Para 1 , 4)
2. legality of agreements to sell by non-owners. (Para 8 , 10 , 12 , 16)
3. court's clarification on title transfer constraints. (Para 19 , 21 , 23)

JUDGMENT

This is plaintiff’s appeal under Section 96 CPC, challenging the judgment and decree dated 07.06.2022 passed by learned Additional Senior Civil Judge, New Tehri, Tehri Garhwal, in Original Suit No. 55 of 2017, whereby his suit for cancellation of gift deed was dismissed with cost.

2. The suit was filed by the plaintiff/appellant in the year 2017 under Section 31 Specific Relief Act with the averment that defendant no.3, on instructions from defendant no. 2, executed an unregistered agreement to sell in his favour in respect of a plot of land situate in Village Tapovan, Patti Dhamandsyu, District Tehri Garhwal. In the plaint, he stated that defendant no. 1 is owner of the said land while defendant no. 2 was his power of attorney holder.

(i) It was further stated that price of the land was settled at Rs. 58,24,000/-and plaintiff paid 6,00,000/-, as advance, through cheque to defendant no. 3 which was deposited in the account of defendant no. 2.

(ii) As per the plaint allegation, plaintiff paid 14,00,000/- in cash to defendant no. 3 and the remaining amount was to be paid to defendant no. 3 upto 15.07.2006; defendant no. 3 had assured him that sale deed would be executed in his favour before 15.07.2006, however, the deadline for paying balance sale consideration was extended in view of pendency of litigation, by another agreement executed on 15.07.2006 wherein it was mentioned that sale deed would be executed after vacation of the stay granted by Hon’ble Court. It was further pleaded that when sale deed was not executed by defendant nos. 2 & 3, even after decision in the pending litigation, plaintiff sent a notice for executing sale deed, but, defendant nos. 2 and 3 did not give any reply and when he personally met defendant no. 3, then he started misbehaving with him and threatened him of dire consequences and ultimately, at the instance of plaintiff, a criminal case was registered against defendant no. 3 in police station Muni-ki-Reti, under Section 420 & 506 IPC, in which charge-sheet is filed and case is pending before Judicial Magistrate, Narendranagar.

(iii) It was further stated in the plaint that a gift deed in respect of land in question has been executed by defendant no. 2, as power of attorney holder of defendant no. 1, in favour of defendant no. 4. In paragraph no. 14 of the plaint, plaintiff further stated that apprehending encroachment upon the land in question, he filed a suit for injunction which is registered as civil suit no. 49 of 2017, and is pending.

(iv) Based on these pleadings, plaintiff sought cancellation of registered gift deed executed by defendant nos. 1 & 2 in favour of defendant no. 4, which was registered in the office of Sub Registrar, Devprayag on 12.06.2015.

3. Learned Trial Court issued notice to the defendants. Since defendants were not represented on the date fixed, therefore, on 05.05.2022, learned trial Court ordered that the suit shall be proceeded ex-parte against the defendants.

4. Learned Trial Court considered the pleadings made in the plaint and also the statement made by plaintiff as PW-1 and dismissed the suit, vide judgment dated 07.06.2022 by holding that defendant no. 3 had no right to execute agreement to sell in respect of a property owned by defendant no. 1 as only the owner of property (defendant no. 1) or power of attorney of the owner (defendant no. 2) were competent to execute an agreement to sell. Learned Trial Court observed that no one can transfer a title better than what he has. Learned Trial Court held that there is nothing on record to show that the power of attorney (defendant no. 2) instructed defendant no. 3 to enter into agreement to sell with the plaintiff, on his behalf. Learned Trial Court further observed that if power of attorney is ex

Click Here to Read the rest of this document
1
2
3
4
5
6
7
8
9
10
11
SupremeToday Portrait Ad
supreme today icon
logo-black

An indispensable Tool for Legal Professionals, Endorsed by Various High Court and Judicial Officers

Please visit our Training & Support
Center or Contact Us for assistance

qr

Scan Me!

India’s Legal research and Law Firm App, Download now!

For Daily Legal Updates, Join us on :

whatsapp-icon Back to top