[Tmdl.edu.vn] Under the provisions of the Transfer of Property Act, delivery of possession is valid if the property is worth up to Rs 100, the high court has ruled.

Possession is enough to prove the ownership of a property that does not require registration under the Transfer of Property Act, the Karnataka High Court (HC) has ruled.

Section 54 of the Transfer of Property Act established that registration of property papers is not mandatory in case the worth of the immovable property is only up to Rs 100. This means that in such cases the rule of delivery of possession would apply.

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The HC made this observation while dismissing an appeal filed by one Ganappa, who had sought his claim on his maternal grandfather’s land, measuring 1 acre 30 guntas. In his petition, Ganappa argued that his mother was his grandfather’s only daughter and the absolute owner of the land. He alleged that the current occupier’s father had forged property documents dated November 1963 and took possession of the property. In his plea, Ganappa sought permanent injunction against the property occupier. Documentary proof showed that the sale deed did not require registration since the value of the property at that point was Rs 100.

“It is a trite law that sale of an immovable property of value of less than Rs 100 can be made either by registered document or by delivery of possession. In such cases, vendee acquires complete title by mere delivery of possession of the property. In such cases, vendee acquires complete title by mere delivery of possession of the property. (The) Fact that there is in addition an unregistered sale deed cannot affect the good title acquired by him. Therefore, if there is a physical delivery of possession, an unregistered deed would not be rendered nugatory, only on account of existence of an unregistered sale deed,” the HC said while dismissing Ganappa’s plea.

The HC added that if possession has been delivered because sale deed registration is not required, the buyer can fall back upon the title by delivery of possession although the unregistered sale deed by itself does not convey title.

Source: https://tmdl.edu.vn/us
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