1. Lessee has sold out APMC leasehold property by Sale Deed. Whether such Sale Deed is compulsorily required to be registered or not? If YES give Bombay High Court or Supreme Court judgments in support of the same. If NO please give judgments of Bombay High Court and Supreme Court in support of the same.
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First of all under the lease of APMC is lessee has right to sale the property?? Consent of APMC taken or not??
Further every sale of immovable property under section 17 of the Registration act is compulsorily required to be registered,
The registration act is itself makes it mandatory judgement not required.
How come the lessee can sell property without ownership. Sale is illegal.
1. Any transfer of immovable property is required to be registered as per the provisions of the registration act.
Refer to section 17 of the act at the following link:
https://indiacode.nic.in/acts/7.%20Registration%20Act,%201908.pdf
Regards
Lessee has sold out APMC leasehold property by Agreement for Sale. Whether such Agreement for sale is compulsorily required to be registered or not? Because Agreement for sale will not confer title of the property
Registration of sale deed is mandatory
2)under provisions of registration act registration is mandatory of sale deed
No agreement of sale registration is not compulsoary though it would be better for purchaser to register same.
Citation
M/S. Sri Venkataram And Company
vs
State Of Karnataka
If executed on stamp than its terms can be perfomed through court in case party turned hostile, even if not registered.
1. Leasehold property is not owned by the lessee for which he/she can not sell it in any way. The lessee has the lease right only and not the title of the property.
2. He/she can sell or passon the leasec right or sub-lease the said leased property if permitted as per the lease agreement signed by the leasee.
1. The leasehold property can be sub-leased as mentioned in my earlier post.
2. The sub-lease deed shall have to be registered.
3. Registraion of sub-lease agreement is not mandatory.
Whether the lesser and lessee agreement is mention for 100 years or limited time frame and what are the the clauses mentioned in that agreement.
If its not mention agreement to sale or what rights has been granted in it needs to look it for.
A so-called agreement to sell isn’t one of the documents that requires to be be registered. As much is clear from a plain reading of sub-section 2(v) of section 17 of the Indian Registration Act.
However, if the execution of the document in question is accompanied by possession, it is necessary that it be registered for it to have any effect for the purposes of Section 53A of the Transfer of Property Act (which pertains to part performance and essentially protects the transferee/buyer who has already taken possession). So it’s only from this point of view that registration appears necessary. If possession hasn’t changed hands pursuant to the agreement to sell, you need not worry.
Please see Sukhwinder Kaur v. Amarjit Singh AIR 2012 P&H 97 and Vinod Kumar & An v. Ajit Singh (2013) 138 DRJ 324. (Note I will update this answer if I come across Bombay High Court or Supreme Court judgement.)
I hope that answers your question. Follow-up queries if any welcome.
Please see the observation of the Supreme Court at para 22 of T.G Ashok Kumar v. Govindammal 2010 14 SCC 370 lamenting the prevailing legal situation insofar as registration of sale agreements is concerned: “22. We may also refer to another related area where registration should be made compulsory to reduce property litigation. At present in most of the States, agreements to sell are not compulsorily registrable as they do not involve transfer of any right, title or interest in an immovable property. Unscrupulous property owners enter into agreements of sale and take huge earnest money deposits/advances, and then sell the property to others thereby plunging the original agreement-holder and the subsequent purchaser into litigation. Registration of agreements of sale will reduce such litigation. It will also assist in putting an end to the prevalent practice of entering into agreements of sale showing the real consideration and then registering the sale deed for only a part of the real consideration.”
As far as I know, registration is compulsory only in A.P., Gujarat, Rajasthan and Uttar Pradesh.
No. Leasehold property cannot be sold. As lease does not transfer any ownership or title. But if any condition related to sale is mentioned in lease deed and is fulfilled by the Leasee then such property can be sold.
Have you seen the contents of the sale deed?
Whether the lessee has mentioned that he is the absolute owner of the leasehold property, if so then it is illegal sale.
Or whether the lessee has give sub-lease to to a sub-lessee?
As per lessee has got rights to hold and enjoy the property till the expiration of the lease agreement period and cannot claim ownership rights in the leasehold proeprty until it is converted into freehold property.
For your information Registration of sub-lease agreement is not mandatory and under provisions of registration act registration is mandatory of sale deed.
Lessee has sold out APMC leasehold property by Agreement for Sale. Whether such Agreement for sale is compulsorily required to be registered or not?
Agreement of sale registration is not mandatory but it is advisable that the buyer register same.
Because Agreement for sale will not confer title of the property
Agreement of sale is not a proper title document.