Collusion and Section 52 of TPA - Section 52 of the Transfer of Property Act (TPA) renders certain sales void if collusion is involved, especially when sale deeds are found to be executed in violation of the doctrine of lis pendens or in collusion to defraud creditors or other parties. The courts have consistently held that such sales are void ab initio, and the claim of bona fide purchasers is falsified if collusion is established Sarvinder Singh VS Vipul Tandon - Delhi, Alka Shrirang Chavan VS Hemchandra Rajaram Bhonsale - Current Civil Cases, Smt. Tarawati (Now Deceased) Thr. Her Legal Representative Shri I. D. Tyagi VS Shashi Kumar Mahajan (Now Deceased) Through His Legal Representatives - Delhi.
Application and Modification of Section 52 - The application of Section 52 varies by jurisdiction; for instance, Maharashtra has a modified application due to the Bombay Amendment Act, 1939, which affects how collusion and lis pendens are treated in that region Celir LLP VS Sumati Prasad Bafna - Supreme Court, CELIR LLP vs MR. SUMATI PRASAD BAFNA - Supreme Court.
Collusion and Non-application of Section 52 - In some cases, courts have distinguished situations where collusion is absent, and sale transactions are genuine, thus applying Section 52 strictly to void fraudulent sales. Conversely, if the sale is free from collusion, Section 52 may not be invoked to declare the sale void Sarvinder Singh VS Vipul Tandon - Delhi, Alka Shrirang Chavan VS Hemchandra Rajaram Bhonsale - Current Civil Cases.
Collusion in Probate and Transfer of Property - Collusion can also influence probate proceedings, with courts recognizing that the doctrine of lis pendens can apply even outside Section 52, to prevent fraudulent transfers or revocations of probate, especially when proceedings are initiated beyond statutory time limits SARVINDER SINGH AND ANR vs VIPUL TANDON & ORS - Delhi.
Legal Proceedings and Collusion - Objections under Order XXI Rule 97 and related provisions often involve allegations of collusion, especially when parties attempt to obstruct execution of decrees through fraudulent transfers or collusive sales, which courts have held to be invalid under Section 52 VINEET TIWARI Vs HARINDER PAL SINGH CHAWLA (DECEASED) THR LRS & ANR - Delhi.
Analysis and Conclusion:
Collusion significantly impacts the application of Section 52 of the TPA, often leading to the sale being declared void ab initio when collusive practices are proven. The courts emphasize the importance of genuine transactions and have recognized that collusion undermines the principles of transparency and fairness in property dealings. While jurisdictional variations exist, the overarching principle remains that sales obtained through collusion are invalid, and Section 52 serves as a vital safeguard against fraudulent transfers. The doctrine of lis pendens further reinforces this by preventing parties from collusively transferring properties during ongoing legal proceedings, ensuring the integrity of property rights and judicial processes.
Section 52 of the TPA shall apply and the sale would be void. Reliance in this regard is placed on the judgments of this Court in Sunil Jain Vs. Zamiruddin Section 52 of the TPA is applicable to the Objectors. Thus, their Sale Deeds are void ab initio and the Objectors have no right, title and interest in the suit property. Section 52 of TPA, the claim of the Objector that he is a bona fide purchaser stands falsified as all the th....
(A) SARFAESI Act, 2002 - Section 13(8) - Right of redemption - The court held that the right of the borrower to redeem the secured ... It has been contended by the Subsequent Transferee that Section 52 of the TPA has a modified application in Maharashtra i.e., the area in which the said property is situated by virtue of the State Amendment made to Section 52 of the TPA by the Bombay Amendment Act, 1939 (Act XIV of 1939). ... We have carefully gone th....
(A) Code of Civil Procedure, 1908 - Order XXI Rule 97, 102, and 103 - Transfer of Property Act, 1882 - Section 52 - Specific Relief ... Act, 1963 - Section 6 - Execution proceedings - Appeals dismissed as non-maintainable; objections under Order XXI Rule 97 by judgment ... execution proceedings must not be obstructed by parties claiming through the judgment debtor, as per the provisions of CPC and TPA ... , an application under Order XXI Rule 101 and Section 151 of th....
Learned counsel for the Appellants contends that the doctrine of lis pendens can be applied to the probate proceedings and it can be applied, even dehors Section 52 of the Transfer of Property Act, 1882 [hereinafter referred to as ‘TPA’]. ... On 01.06.2005, the Appellants filed an application seeking revocation of letter of administration/probate, which was dismissed on 24.04.2007 on the ground that it was filed beyond the period of limitation. ... Thereafter, FAO 242/2007 had been filed by the Appellant No.1, challengin....
Bhatia, also referred to a catena of judgments to contend that the appellant, being admittedly a purchaser pendente lite, had acquired no title in the property, as the sale transaction was hit by Section 52 of the Transfer of Property Act (for short `TPA') and the doctrine of lis pendens enshrined therein ... (ii) The respondent, along with his written statement, filed an application under Order VII Rule 11 read with Section 151 of the Code of Civil Procedure for rejection of the plaint on the ground t....
(A) Transfer of PropertyAct, 1882 – Section 52 – Civil Procedure Code, 1908 – Order XXI Rule 97 – Execution ... of decree – Issue of possession warrant and direction for removal of obstruction in execution of decree – Section 52 does not annul ... (Paras 58 and 59) (C) Transfer of Property Act, 1882 – Section 52 – Lis Pendens – Principle of lis pendens ... It has been contended by the Subsequent Transferee that Section 52 of the TPA....
Arbitration and Conciliation Act - Agreement to Sell - Section 34 Fact of the Case: The case involved a dispute between ... No.3565 of 2004 had been filed by Respondent No.1 under Section 52 of the Transfer of Property Act, 1882 (‘TPA’) seeking a declaration that the execution of documents by Smt. ... In the said application notice was accepted by Contemnor No. 1 on 26th May 2004 and Contemnors 3 and 4 on 9th December 2004. Contemnor No.2 was served through publication. Pleadings in the said ....
Section 6 of the 1986 Act empowers the Central Government to frame rules to regulate environmental pollution, whereas Section 25 confers power on the Central Government to make rules for carrying out the purposes of the 1986 Act. ... Section 3 mandates the Central Government to take measures to protect and improve the environment. Section 3 (2) of the 1986 Act contains an inclusive list of the matters in respect of which the Central Government can take measures. ... 43.3 In exercise of powers under Section#HL_....
The Court also held that the rigors, fetters and restrictions contained in Section 118 of the Himachal Pradesh Tenancy and Land Reforms ... The petitioner challenged the applicability of Section 118 to the auction sale and sought directions to register the sale deed and ... Whether the rigors, fetters and restrictions contained in Section 118 of the Himachal Pradesh Tenancy and Land Reforms Act, 1972 ... The application for amendment of the decree was made after the application for execution of the decr....
(A) SARFAESI Act, 2002 - Section 13(8) - Right of redemption - The court held that the right of the borrower to redeem the secured ... It has been contended by the Subsequent Transferee that Section 52 of the TPA has a modified application in Maharashtra i.e., the area in which the said property is situated by virtue of the State Amendment made to Section 52 of the TPA by the Bombay Amendment Act, 1939 (Act XIV of 1939). ... We have carefully gone ....
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