Landmark Judgments of Transfer of Property Act, 1882
The 23 leading Transfer of Property Act, 1882 cases — each with a full brief (facts, issues, held, ratio). Verified against the original judgment. Free to read.
Mortgages (S58–104)
- Stanley v Wilde Any stipulation in a mortgage that fetters or prevents the mortgagor's right to redeem on payment is a void clog on the equity of redemption.
- Gangadhar v Shankar Lal The right of redemption is one and indivisible; a mortgagor cannot ordinarily redeem only part of the mortgaged property, save in the statutory exceptions to S60.
- Seth Ganga Dhar v Shankar Lal A long term for redemption is not per se a clog; it is void only if shown to be oppressive or unconscionable in the circumstances of the bargain.
- Pomal Kanji Govindji v Vrajlal Karsandas Purohit A long-term redemption clause in a mortgage is a clog where it is oppressive and harsh, taking advantage of the borrower's weak position; such terms are void and the mortgagor may redeem early.
- Shivdev Singh v Sucha Singh A condition postponing redemption for a long fixed period is a clog and void where, considering all circumstances, it operates oppressively against the mortgagor.
Doctrines — part performance (S53A), lis pendens (S52), fraudulent transfer (S53)
- Faiyaz Hussain Khan v Prag Narain A transfer of property pendente lite is bound by the eventual decree; the doctrine rests on expediency, not notice, and applies to non-collusive suits.
- Musahar Sahu v Hakim Lal A transfer for adequate consideration in satisfaction of a genuine debt, reserving no benefit to the debtor, is not voidable under Section 53 merely because it prefers one creditor and leaves another unpaid.
- Samarendra Nath Sinha v Krishna Kumar Nag The principle of lis pendens applies to involuntary alienations too; a transferee pendente lite is bound by the decree even though not a party and even without notice of the suit.
- Nathulal v Phoolchand Willingness to perform is judged by the sequence of reciprocal obligations; a buyer who must pay only after the vendor performs a condition is not 'unwilling' merely because that condition is unfulfilled.
- Shrimant Shamrao Suryavanshi v Pralhad Bhairoba Suryavanshi Part performance is a shield available in defence; a transferee in possession may resist the transferor's suit for possession under Section 53A even though a suit for specific performance is barred by limitation.
General principles of transfer (S5–37)
- Muhammad Raza v Abbas Bandi Bibi A condition restraining the transferee from alienating the property to a stranger, i.e. outside the family, is only a partial restraint and is valid; it is not repugnant under section 10.
- Sopher v Administrator-General of Bengal A transfer/bequest for the benefit of an unborn person must confer the whole of the transferor's remaining interest; a gift to the unborn that is liable to be defeated by forfeiture clauses does not satisfy this and is invalid.
- Shantabai v State of Bombay A right to enter upon land and remove trees is a benefit arising out of land, a profit a prendre and hence immovable property; a document creating such a right requires registration.
- Jumma Masjid, Mercara v Kodimaniandra Deviah Where a transferor fraudulently represents an existing title and later acquires it, section 43 feeds the estoppel for a bona fide transferee, even though the transfer was of a mere spes successionis hit by section 6(a).
- Ram Baran Prasad v Ram Mohit Hazra The rule against perpetuity in section 14 does not apply to a mere contract for sale or a covenant of pre-emption, since such an agreement creates no interest in immovable property.
- Zoroastrian Co-operative Housing Society Ltd v District Registrar, Co-operative Societies (Urban) A bye-law restricting a co-operative society member from alienating his property to a non-Parsi is only a partial restraint on alienation and is valid and enforceable, not hit by section 10.
Leases (S105–117)
- Associated Hotels of India Ltd v R.N. Kapoor Whether a deed creates a lease or a licence turns on the parties' intention and creation of an interest in property, not on nomenclature; exclusive possession is a strong but not conclusive indicator of a lease.
- Bhawanji Lakhamshi v Himatlal Jamnadas Dani Section 116 (holding over) operates only when the landlord, free to eject, unequivocally assents to the tenant continuing; mere acceptance of rent from a statutory tenant under a Rent Act does not create a holding-over tenancy.
- Sevoke Properties Ltd v West Bengal State Electricity Distribution Co Ltd Once a lease is determined by efflux of time under section 111(a), the lessee becomes a tenant at sufferance and no notice to quit under section 106 is required to evict him.
Sale of immovable property & conditions restraining transfer (S10, S54)
- Rambaran Prosad v Ram Mohit Hazra A contract for sale of immovable property creates no interest in or charge on the land; hence the rule against perpetuity does not strike a covenant of pre-emption.
- Suraj Lamps & Industries Pvt Ltd v State of Haryana Immovable property can be transferred only by a registered deed of conveyance; GPA/agreement-to-sell/Will transfers convey no title.
Gift, exchange & actionable claims (S118–137)
- K. Balakrishnan v. K. Kamalam Gift provisions (Ch. VII) must be read conjointly; a minor can be a donee and acceptance may be made on his behalf, a registered gift being complete on execution, registration and acceptance.
- Sarojini Amma v. Velayudhan Pillai Sreekumar A transfer evidenced by consideration is not a gift; consideration excludes natural love and affection, and transfer of possession is not a sine qua non for a valid gift.
