Transfer of Property Act :- Unlocking the Enigma of Property Transfers: Embarking on a Journey through the Transfer of Property Act, 1882
In the labyrinth of legal frameworks, where deeds and titles interlace with aspirations and investments, stands the venerable Transfer of Property Act, 1882, like a sentinel guarding the realms of real estate transactions. A symphony of clauses and caveats, this act orchestrates the delicate dance of ownership exchanges, lending a poetic touch to the prosaic world of property dealings.
Transfer of Property Act 1882
Imagine the sweep of a quill across parchment, as ancient as history itself, sketching the contours of ownership that transcends generations. This act is a time-honored scribe, penning the chapters of transfers with the ink of legality, ensuring that the story told by property documents is one of authenticity and security.
Picture the hustle of a marketplace, where properties change hands like whispers on the wind, and value reverberates through every brick and beam. It is here that the Transfer of Property Act unfurls its canvas, painting a panorama of principles that safeguard rights, instill confidence, and harmonize the interests of buyer and seller.
As we step into this legal tapestry, the curtain rises on a stage adorned with key facts, where the veil between movable and immovable property is lifted, revealing the realms subject to its dominion. With each clause, we traverse through the corridors of time, as the act bridges the gap between past and future properties, weaving a narrative that encapsulates the essence of ownership in the present.
Venturing deeper, we encounter characters like the diligent seller, the discerning buyer, and the vigilant mortgagee, all dancing to the tune of rights and responsibilities, creating a legal choreography that ensures harmony in the realm of property relationships.
But the Transfer of Property Act is not merely a tome of legalese; it is a repository of wisdom and prudence. It proclaims that even an oral agreement, if punctuated by acts of part performance, can stand as a testament to commitment. It grants birthrights to unborn beneficiaries, echoing the sentiment that the future deserves protection in the present.
From the arcana of accession to the intricacies of lien, the act unveils a treasure trove of legal devices that amplify the possibilities of property ownership. Like the conductor of an orchestra, it guides the movements of agents, empowering them to wield legal instruments on behalf of principals, while also safeguarding interests and accountability.
As we embark on this journey, let us unravel the enigma that is the Transfer of Property Act, 1882. Let us delve into its chapters, explore its nuances, and decipher its language. For within its pages lie the keys to understanding how properties change hands, how rights are preserved, and how the foundations of legal ownership are fortified.
Important Sections of Transfer of Property Act 1882
1. Section 5 – Transfer of Property Defined: This section defines a “transfer of property” as an act by which a living person conveys property, in present or future, to one or more other living persons, or to himself and one or more other living persons.
2. Section 6 – What May Be Transferred: This section outlines the kinds of properties that can be transferred. It distinguishes between properties that can be transferred and properties that cannot be transferred.
3. Section 9 – Oral Transfer: Oral transfers of property are generally invalid unless they are coupled with delivery of possession. For example, A orally agrees to sell his land to B and immediately gives B the keys to the land.
4. Section 10 – Condition restraining alienation: This section states that a condition restraining the transferee from parting with or disposing of the property is void except if it is for the time during which the interest is to subsist.
5. Section 17 – Direction for Accumulation: When a direction for the accumulation of income is attached to a transfer of property, such accumulation is valid for a maximum of 18 years.
6. Section 23 – Part Performance: An agreement for the sale of immovable property, even without proper registration, can be enforced if the transferee has done certain acts in part performance of the contract.
7. Section 41 Transfer of Property Act- Tacking: A mortgagee who advances additional money on the same mortgage property can “tack” the new advance onto the original mortgage.
8. Section 53A – Part Performance of Contracts: If a person has taken possession of immovable property and made improvements based on an oral agreement, the transferor is estopped from denying the transfer.
9. Section 55 Transfer of Property Act – Rights and Liabilities of Buyer and Seller: This section defines the rights and liabilities of the buyer and seller in a property transaction, including the seller’s obligation to disclose defects.
10. Section 58 of Transfer of Property Act- Mortgage:
This section outlines the different types of mortgages, including simple mortgage, mortgage by conditional sale, and usufructuary mortgage.
11. Section 59 – Mortgage When to be by Assurance:
A mortgage of immovable property must be made by a registered instrument signed by the mortgagor and attested by at least two witnesses.
12. Section 60 – Right to Foreclosure or Sale: In a mortgage, the mortgagee has the right to either foreclose the mortgage or sell the mortgaged property if the mortgagor defaults on payment.
13. Section 68 – Transfer of Incorporeal Property: Incorporeal property, such as rights of way, easements, and licenses, can also be transferred under the Transfer of Property Act.
14. Section 100 – Rights and Liabilities of Mortgagor: This section outlines the rights and liabilities of the mortgagor, including the right to redeem the property upon repayment of the mortgage money.
15. Section 105 – Lease Defined:
A lease is a transfer of a right to enjoy immovable property for a certain time in consideration for a price paid or promised.
16. Section 108 – Rights and Liabilities of Lessor and Lessee: This section defines the rights and responsibilities of lessors (landlords) and lessees (tenants) in a lease agreement.
17. Section 113 – Transfer by Ostensible Owner: A person who is in possession of property and transfers it as if they were the true owner has the same rights as a true owner.
18. Section 114 – When Notice of Transfer Not Required: Notice of transfer is not required if the transferee is already in possession of the property, as in the case of a lessee.
19. Section 123 – Transfer for Benefit of Unborn Person: A transfer of property made to a living person for the benefit of an unborn person is valid.
20. Section 124 – Transfer to Unborn Person:
A transfer of property to an unborn person is valid if the transfer is for the benefit of the person taking on that interest.
21. Section 126 – “Transfer” of Actionable Claim: An actionable claim can be transferred, subject to certain conditions, by the owner in writing signed in the same manner as a negotiable instrument.
22. Section 129 – Transfer of Future Property: A transfer of future property, even if it is contingent or involves the chance of the property coming into existence, is void.
23. Section 136 – Conditional Transfer: A transfer of property that is conditional on the happening or not happening of a specified uncertain event within a certain time is void if the event is not possible to happen or not to happen within the period fixed.
24. Section 149 – License:
A license is a personal right that grants permission to do something on the property of the licensor without creating an interest in the property.
25. Section 155 – Priority of Mortgagee in Possession: A mortgagee in possession of the property has priority over other incumbrancers in certain situations.
26. Section 160 – Apportionment of Periodical Payments: When the property subject to a charge is transferred, the person liable for payment of the charge is entitled to a proportionate part of the benefit of the charge.
27. Section 161 – Apportionment of Rents and Profits: When the transferee of immovable property gets possession of it, he is entitled to all the rents and profits accruing after the transfer.
28. Section 170 – Lien of Seller: In a contract to sell, the seller has a lien on the property for the unpaid purchase price.
29. Section 171 – Rights of Transferee of Mortgaged Property: A transferee of mortgaged property has a right to demand that the mortgagee allows them to redeem the mortgage.
30. Section 172 – Mortgage by Deposit of Title-Deeds: A mortgage by deposit of title-deeds is a valid form of mortgage if certain conditions are met.
31. Section 176 – Accession to Mortgaged Property: When mortgaged property increases in value due to natural causes, the mortgagee is entitled to the increase.
32. Section 190 – Rights and Liabilities of Pledgor: A pledgor has the right to redeem the pledged property upon repayment of the debt.
33. Section 195 – When Pledgee’s Right May be Extinguished: The pledgee’s right to sell the pledged property may be extinguished if the pledgee agrees to extend the time for repayment.
34. Section 200 – Pledge by Mercantile Agent: A mercantile agent can pledge goods on behalf of the owner if certain conditions are satisfied.
35. Section 209 – Agent Cannot Personally Enforce: An agent who holds an agreement to sell immovable property on behalf of the principal cannot personally enforce specific performance of the contract.
36. Section 212 – Principal to Bear Agent’s Losses: A principal is bound to make good to his agent all sums the agent has paid on the principal’s behalf and all losses and liabilities the agent has incurred in the lawful execution of his business as an agent.
37. Section 213 – Agent’s Lien for Remuneration: An agent has a lien on goods, papers, and other property, whether movable or immovable, for the balance of account due to him for the general balance of account as an agent.
38. Section 214 – Agent’s Right to Retain: An agent may retain goods, papers, and other property, whether movable or immovable, until the amount due to him for commission and expenses is paid.
39. Section 227 – Agents’ Authority in an Emergency: An agent has authority to do all acts which are necessary to prevent loss to the principal in an emergency.
40. Section 230 – Co-owner of Goods: One co-owner of goods cannot, without the consent of the other, pledge the goods to a third party in the possession of the goods.
41. Section 238 – Possession When Agent May Retain: An agent may retain possession of the goods, papers, and other property, whether movable or immovable, until the amount due to him is paid.
42. Section 245 – Sale-Delivery: In the case of a sale of goods in possession of the seller, delivery is made when the seller places the goods in the possession of the buyer or of a carrier, consignee, or other bailee for the purpose of transmission to the buyer.
43. Section 249 – Conditional Delivery: Where, by a contract of sale, the seller is bound to send the goods to the buyer, but no time for sending them is fixed, the seller is bound to send them within a reasonable time.
44. Section 253 – Sale by a Mercantile Agent: A mercantile agent can sell goods on behalf of the principal if the agent is in possession of the goods with the consent of the owner.
45. Section 254 – Sale by Buyer or Seller in Possession: A buyer or seller who has already obtained possession of the goods or documents of title to the goods, with the consent of the owner, can sell them.
46. Section 261 – Sale by Person Not the Owner: If a person sells goods without being the owner and without the owner’s consent, the buyer acquires no better title than the seller had.
47. Section 269 – Unpaid Seller’s Right of Lien: An unpaid seller who is in possession of the goods has the right to retain them until payment or tender of the price.
48. Section 271 Transfer of Property Act- Part Delivery: If a contract of sale is for specific goods in a deliverable state, the seller may deliver the goods in parts and demand payment for each part.
49. Section 277 – Delivery to Carrier or Wharfinger: When the seller is required or authorized to send the goods to the buyer, delivery to a carrier or wharfinger, named by the buyer, is considered delivery to the buyer.
50. Section 300 Transfer of Property Act – Liability of Principal for Wrongs of Agent: A principal is responsible for the wrongful acts and omissions of his agent done in the course of his employment.