In a significant reaffirmation of property law, the Supreme Court of India has held that any sale deed or agreement related to transfer of immovable property must be registered within the statutorily prescribed period of four months from the date of execution. Failure to do so renders such documents invalid under the Registration Act, 1908.
This clarification came during the judgment in Mahnoor Fatima Imran & Ors. vs M/s Visweswara Infrastructure Pvt. Ltd. & Ors., wherein the apex court examined the validity of a decades-old agreement of sale that had not been registered within the statutory period and was allegedly later “validated.”
Legal Framework and Court’s Ruling
Section 23 of the Registration Act, 1908 mandates that documents requiring registration must be presented within four months from the date of execution. The proviso to Section 34 provides a limited grace period, permitting delayed registration within another four months, subject to payment of a fine.
The Supreme Court bench comprising Justices Sudhanshu Dhulia and K. Vinod Chandran emphasized that these timelines are mandatory and non-negotiable. Once this period lapses without registration, the document cannot be given legal effect.
The bench observed:
“An instrument of conveyance is compulsorily registrable as required under the Registration Act… the agreement of 1982, the original one and the revalidated one, cannot result in a valid title, merely for reason that the subsequent instrument had been registered.”
The Court further stated that even if a sale agreement is later validated or partially acted upon, its registration beyond the statutory deadline does not make it a valid conveyance of title. The law requires strict adherence to the time-bound procedure to ensure legal certainty and public notice.
Protecting Legal Certainty in Property Transactions
The apex court’s decision reinforces the principle that registration is not a mere formality but a fundamental legal requirement that serves several purposes:
- It gives notice to the world about the transaction.
- It protects against fraud and forgery.
- It prevents disputes over title and ownership.
- It ensures compliance with tax and regulatory obligations.
Relying on its earlier ruling in Suraj Lamp & Industries Pvt. Ltd. v. State of Haryana (2012) 1 SCC 656, the Court reiterated:
“Immovable property can be legally and lawfully transferred/conveyed only by a registered deed of conveyance… SA/GPA/Will transfers do not convey title.”
Implications for Buyers and Sellers
This ruling carries significant implications for real estate buyers, sellers, and developers:
- Buyers must ensure that their sale deeds are registered within four months of execution to safeguard ownership rights.
- Sellers must avoid entering into unregistered agreements that may later be contested.
- Developers and Agents cannot rely on General Power of Attorney (GPA) or old agreements of sale as valid title documents unless registered as per law.
Conclusion
By reiterating that timely registration is essential for the legal validity of property transfers, the Supreme Court has underscored the importance of due diligence and statutory compliance in real estate transactions. Any delay or lapse in registration, unless cured within the permissible window under the Registration Act, would invalidate the transaction and expose parties to legal and financial risks.
Case Citation:
- Mahnoor Fatima Imran & Ors. vs M/s Visweswara Infrastructure Pvt. Ltd. & Ors.
- Civil Appeal No. — of 2025 (@ SLP (C) No.1866 of 2024)
