Case Note & Summary
The petitioner, Ramasamy, filed a writ petition under Article 226 of the Constitution of India before the Madurai Bench of the Madras High Court challenging the unilateral cancellation of a sale deed executed in his favor. The petitioner's father-in-law, Veeramuthu Gounder, had executed a sale deed (Document No.232/1994) dated 31.1.1994 in favor of the petitioner for a property measuring 3½ cents in S.No.754/10,754/11 at Pommayanaickenpatti, Theni District. However, just three days later, on 4.2.1994, the same vendor executed a cancellation deed (Document No.292/1994) unilaterally cancelling the earlier sale deed. The petitioner discovered this cancellation only in 2018 when he attempted to deal with the property. The legal issue was whether a registered sale deed can be unilaterally cancelled by the vendor without the consent of the purchaser or a court order. The petitioner argued that such unilateral cancellation is void and not binding. The respondents, including the Sub-Registrar and the vendor's legal heirs, contended otherwise. The court, relying on settled legal principles, held that a registered sale deed conveys title to the purchaser and cannot be unilaterally cancelled by the vendor. Any such cancellation without the purchaser's consent or a court decree is void ab initio. The court quashed the cancellation deed and directed the Sub-Registrar to remove the entry from the encumbrance register. The writ petition was allowed with no order as to costs.
Headnote
A) Property Law - Unilateral Cancellation of Sale Deed - Void Ab Initio - Registration Act, 1908; Transfer of Property Act, 1882 - The court considered whether a vendor can unilaterally cancel a registered sale deed without the consent of the purchaser or a court order. Held that such unilateral cancellation is void ab initio and does not affect the rights of the purchaser, as a registered deed conveys title and cannot be revoked unilaterally. (Paras 3-4)
Issue of Consideration
Whether a registered sale deed can be unilaterally cancelled by the vendor without the consent of the purchaser or an order from a competent court.
Final Decision
The court allowed the writ petition, quashed the cancellation deed (Document No.292/1994), and directed the first respondent to remove the entry from the encumbrance register. No order as to costs.
Law Points
- Unilateral cancellation of a registered sale deed by the vendor without the consent of the purchaser or an order from a competent court is void ab initio and does not affect the rights of the purchaser
- Registration Act
- 1908
- Transfer of Property Act
- 1882
