Indian_Real_Estate_Law (2)

Indian Real Estate Laws 92
rights of a transferee in good faith and for consideration.
Nothing in this sub-section shall
affect any law for the time being in force relating
to insolvency. A suit instituted by a
creditor (which term includes a decree-holder
whether he has or has not applied for execution
of his decree) to avoid a transfer on the
ground that it has been made with intent to
defeat or delay the creditors of the transferor
shall be instituted on behalf of, or for the benefit
of, all the creditors.
(2) Every transfer of immovable property
made without consideration with intent to defraud
a subsequent transferee shall be voidable
at the option of such transferee. For the
purposes of this sub-section, no transfer made
without consideration shall be deemed to have
been made with intent to defraud by reason
only that a subsequent transfer for consideration
was made.]
4.50 Part performance
53A. Where any person contracts to transfer
for consideration any immovable property by
writing signed by him or on his behalf from
which the terms necessary to constitute the
transfer can be ascertained with reasonable
certainty, and the transferee has, in part performance
of the contract, taken possession of
the property or any part thereof, or the transferee,
being already in possession, continues in
possession in part performance of the contract
and has done some act in furtherance of the
contract, and the transferee has performed or
is willing to perform his part of the contract,
then, notwithstanding that 2[***] where there
is an instrument of transfer, that the transfer
has not been completed in the manner prescribed
therefor by the law for the time being
in force, the transferor or any person claiming
under him shall be debarred from enforcing
against the transferee and persons claiming
under him any right in respect of the property
of which the transferee has taken or continued
in possession, other than a right expressly
provided by the terms of the contract: Provided
that nothing in this section shall affect
the rights of a transferee for consideration who
has no notice of the contract or of the part performance
thereof.]
4.51 “Sale” defined
54. “Sale” is a transfer of ownership in
exchange for a price paid or promised or
part-paid and part-promised. Sale how
made.—3Such transfer, in the case of tangible
immoveable property of the value of one hundred
rupees and upwards, or in the case of a reversion
or other intangible thing, can be made
only by a registered instrument. 1In the case
of tangible immoveable property of a value less
than one hundred rupees, such transfer may
be made either by a registered instrument or
by delivery of the property. Delivery of tangible
immoveable property takes place when the
seller places the buyer, or such person as he directs,
in possession of the property. Contract
for sale.—A contract for the sale of immoveable
property is a contract that a sale of such
property shall take place on terms settled between
the parties. It does not, of itself, create
any interest in or charge on such property.
4.52 Rights and liabilities
of buyer and seller
55. In the absence of a contract to the contrary,
the buyer and the seller of immovable
property respectively are subject to the liabilities,
and have the rights, mentioned in the
rules next following, or such of them as are
applicable to the property sold:—
(1) The seller is bound—
(a) to disclose to the buyer any material
defect in the property 1[or in the seller’s title
thereto] of which the seller is, and the buyer
is not, aware, and which the buyer could not
with ordinary care discover;
(b) to produce to the buyer on his request
for examination all documents of title relating
to the property which are in the seller’s possession
or power;
(c) to answer to the best of his information
all relevant questions put to him by the buyer
in respect to the property or the title thereto;
(d) on payment or tender of the amount
due in respect of the price, to execute a proper
4.52 4. THE TRANSFER OF PROPERTY ACT, 1882