What is the validity of an unregistered sale deed?


The HonÕble Supreme Court has opined that when an unregistered document is tendered in evidence, not as evidence of a completed sale, but as proof of an agreement of sale, the deed can be received in evidence making an endorsement that it is received only as evidence of an oral agreement of sale under the proviso to Section 49 of the Act of 1908. The HonÕble Apex Court went on to observe that admission of an unregistered sale deed by the Court in such cases would be in consonance with the proviso appended to Section 49 of the Act of 1908.

Sale Agreement even not registered is enforceable in Law, and shortage of stamp charges can be paid into with the courts order. Agreement is valid for three years from the date mentioned to execute. So file a suit to get the deed registered through court.

Such an unregistered sale deed can also be admitted in evidence as an evidence of any collateral transaction not required to be effected by registered document. A collateral transaction must be a transaction not itself required to be affected by a registered document, that is, a transaction creating, etc.

So yes an unregistered agreement of sale of property is a valid evidence in the court.

Reference: Section 49 of the Registration Act, 1908.



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