SC Reaffirms Limits of Property Title – GPA & Agreement to Sell
Judgment dated 1.9.2025 of the Supreme Court of India in Civil Appeal No.6377 of 2012 of Ramesh Chand (d) Thr LRS. Vs. Suresh Chand and another
The suit property was owned by Kundan – father of the appellant – defendant no.1 and the Respondent No.1 – Plaintiff.
However, the plaintiff claims that he had acquired title to the suit property from his father by virtue of GPA, Agreement to Sell, Affidavit and a receipt. His father had executed registered will dated 16.5.1996
The defendant no.1 sold half of the suit property to the defendant no.2.
The defendant no.1 filed counter claim for declaration that the alleged documents of Will, Agreement to Sell, GPA, etc are null and void.
In that context, it was HELD that Section 54 of the Transfer of Property Act in its definition of sale does not include an agreement of sale and neither confers any proprietary rights in favour of the transferee nor by itself create any interest or charge in the property.
A power of Attorney is not a sale. In this case, the GPA merely authorizes the grantee to manage the affairs of the suit property. It is silent on the aspect of conveyance.
