Potential questions or insights covered under this judgement

1. Can immovable property be transferred with an unregistered document?

2. Can mere agreement to sell confer the title of an immovable property?

3. What are the remedies a promise has against the promiser of an agreement to sell if he breaches his promise?

Title:  Shakeel Ahmed v/s  Sayed Akhlaq Hussain

Court: Supreme Court

Case No: Civil appeal no. 1598 of 2023

Decided on: November 1st,2023

Coram: Vikram Nath,J. & Rajesh Bindal,J.

Introduction

This appeal was filed by the appellant who is also the defendant in this suit, that was filed by the respondent for possession and mesne profit of the property in question.

Brief facts

The suit was filed on the basis of unregistered documents namely Power of attorney, an agreement to sell, an affidavit and a will. It was the contention of the appellant that he acquired the property in question from his own brother Laiq Ahamed (true owner of property) in Hiba (oral gift) and it’s in his possession. The trail court decided the matter against the appellant and the high court upheld the judgement of trial court and consequently this appeal was filed.

Issue

The main issue was an immovable property transferred through unregistered documents

Submission by counsel for appellant:

1. That the court made a mistake while decreeing the suit for possession and mesne profit on the basis of unregistered documents.
2. A ‘will’ have no relevancy in case when its testator is alive and in this case, he was alive when the suit was presented
3. Both the affidavit and unregistered agreement to sell neither confer any right nor enforceable by law.
4. He further submitted that the respondent filed the suit in his individual capacity not as attorney of Laiq Ahamed, the real owner, Claiming possession title and mesne profit under the unregistered documents.

Submission by counsel for respondent:

1. The documents submitted by the respondent were customary documents and conferred full title on the respondent to be the owner of the conflicted property. For this purpose, he has given the reference of Suraj Lamps & Industries Pvt. Ltd. Vs. State of Haryana and Anr (2011)

Court’s analysis:

1. The court observed that no immovable property can be transferred without registered documents. Even if the said documents would be registered, it still couldn’t confer the title and on the basis of the registered agreement to sell all he could claim for relief of specific performance.
2. The court quoted these cases-

(i). Ameer Minhaj Vs. Deirdre Elizabeth (Wright) Issar and Others

(ii). Balram Singh Vs. Kelo Devi

(iii). M/S Paul Rubber Industries Private Limited Vs. Amit Chand Mitra & Anr.

That lays down the rule that no right, title or interest in immovable property can be transferred without any registered documents.

3. The court said that if the respondent wanted to evict the appellant treating him to be a licensee, he could have done the same but on behalf of true owner under specific instructions of power of attorney or he might bring a suit for eviction and possession on his behalf but any of these points were not present in his plaint.

Court’s decision:

On the basis of above-mentioned observations, the court set aside the impugned judgement and dismissed the suit.

The Supreme Court of India

Written by: Shubham Mishra

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