Explain in Details The Documents of Which Registration Is Compulsory and The Effect of Non-Registration of Documents Under The Registration Act, 1908

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PROJECT ON

Explain in details the documents of which registration is


compulsory and the effect of non-registration of documents
under The Registration Act, 1908.

A project submitted to
University of Mumbai for partial completion of the degree of
Bachelor of Laws
Under the Faculty of Law

By
Ms. Pradnya Devrao Kamble
Roll No. 102
SY-LLB
Under the Guidance of
Prof. ______________

SIDDHARTH COLLEGE OF LAW


Mumbai 400-023
2020-2021
DECLARATION

I the undersigned Ms. Pradnya Devrao Kamble here by, declare that the work
embodied in this project work titled Explain in details the documents of
which registration is compulsory and the effect of non-registration of
documents under The Registration Act, 1908 forms my own

contribution to the research work carried out under the guidance of Prof.
______________ is a result of my own research work and has not been
previously submitted to any other University for any other Degree/Diploma to
this or any other University.

Whenever reference has been made to previous works of others, it has been
clearly indicated as such and included in the bibliography.

I, here by further declare that all information of this document has been
obtained and presented in accordance with academic ruled and ethical conduct.

Pradnya Devrao Kamble.


Name and signature of the learner
Date: 08th April 2021

Certified by
ACKNOWLEDGMENT

To list who all have helped me is difficult because they are so numerous, and
the depth is so enormous.

I would like to acknowledge the following as being idealistic channels and fresh
dimensions in the completion of this project. I take this opportunity to thank the
University of Mumbai for giving me chance to do this project.

I would like to thank my Principal, Mrs. Sandhya Dokhe for providing


necessary facilities required for completion of this project.

I take this opportunity to thank our Coordinator Prof. _________, for his moral
support and guidance.

I would like to express my sincere gratitude towards my project guide Prof.


___________, whose guidance and care made the project successful.

I would like to thank my College Library, for having provided various reference
books and magazine related to my project. Lastly, I would like to thank each
and every person who directly or indirectly helped me in the completion of the
project especially my parents and peers who supported me throughout my
project.
INDEX

SR.NO CONTENT
1 PROJECT NAME

2 DECLARATION

3 ACKNOWLEDGMENT

4 INTRODUCTION

5 CASE LAW

6 CONCLUSION
7 BIBLOGRAPHY
Introduction To Registration of Documents

Registration is the process of recording a document with an assigned officer and to keep it as
public record. The purpose of the Act is to consolidate the law relating to registration and it
provide for the method of its registration. It lays down what documents is compulsory for
registration. It also provides time limit for presentation and registration of document and
ensures provision for the proper and presentation of the document.

Registration means recording of the contents of the document. The object of registration is
conservation of evidence and title. Section 17 of the Indian Registration Act 1908, deals with
the documents that are compulsory to be registered.

The courts across the country currently, due to reason of non-registration of documents, have
held the transfers of property to be invalid. According to the principle enunciated under
section 17, documents registered are recognized by law. As per this section, various
documents relating to the transfer of movable and immovable properties to be registered
compulsorily are the instrument of gifts of immovable property, Mortgage deed, Charge,
Instrument of Partition, Floating Charge, Leases, and other such transactions

The Registration Act, 1908, was enacted to provide orderliness, discipline and public notice
in regard to transactions relating to immovable property and protection from fraud and
forgery of documents of transfer.” Therefore, documents pertaining to the immovable
property have to be compulsorily registered to make it enforceable. If not so, it will be
regarded as redundant and is not applicable as evidence in any court of law.

Importance of document registration


Registration of a document gives validity and authenticity to the document. Apart from this,
some documents have to be registered compulsorily under the Act. Why is it important? A
registered document can be produced as a valid evidence in Court as it is authorized by the
office of the Government.

How to register a document under the Registration Act, 1908


Under this Act you can register a document at the office of the sub registrar of the sub
district. If document is related to the land you can register document at the office of sub
registrar of sub district under whose jurisdiction land is located as per section 28. Of this Act.
You can also register the documents in the Sub-Register Office where the document has been
executed as per Section 29 of the Act. A person who is presenting the document needs to pay
the required fee for the registration of document.

Provision under the Registration Act


In the Registration Act, 1908 the registration of document has been categorized into
two: Documents that have to be registered compulsorily and the documents which can be
registered optionally. Section 17 of the Act deals with compulsory registration and section 18
deals with optional registration.

WHEN TO REGISTER DOCUMENTS?


According to Section 23 of The Registration Act, 1908, all documents except a will have to
be presented for registration within 4 months from the date of execution. If a document is
executed by several persons at different times then that document has to be presented for
registration and re-registration within 4 months from the date of each execution Section 24
of The Registration Act, 1908. If due to any urgency or unavoidable accident, any executed
document or a copy of decree or order is not presented within 4 months but it is presented
after its expiry will be accepted for registration provided that 10 times the amount of
registration fees is paid and delay in presentation does not exceed 4 months.
Application for such a step has to be made to Sub-Registrar who will forward such
application to the Registrar to whom he is a subordinate Section 25 of The Registration

Act, 1908. If a document is executed outside India by any or all of the parties and is
presented after expiry 4 months then it will be accepted for registration provided that it was
executed and presented for registration within 4 months after its arrival to India Section 26
of The Registration Act, 1908.

WHERE TO REGISTER
In case of documents regarding immovable property, it shall be presented for registration in
the office of Sub-Registrar within whose district the property or part of it is located (Section
28 of The Registration Act, 1908). In case of all other documents, they shall be presented:-
In the office of Sub-Registrar in whose sub-district the document was executed; or In the
office of any other Sub-Registrar under State Government where all individuals desire the
document to be registered.

The Officer authorized to register a document may on a special cause being shown also go to
the individual’s private residence who desires to present a document for registration or
deposit a will (Section 31 of The Registration Act, 1908).

Who can apply for registration


According to Section 32 of The Registration Act, 1908, every document (except in cases of
Sections 31, 88 and 89 of The Registration Act, 1908) shall be presented for registration or
deposited in a proper registration office by:- Some person executing or claiming under the
same, or, in the case of a copy of a decree or order, claiming under the decree or order, or

The representative or assignee of such a person, or The agent of such a person,


representative or assign, duly authorized by power-of-attorney executed and authenticated in
the manner hereinafter mentioned.

Every person presenting a document for registration shall affix his passport size photograph
along with fingerprints to the document. In a case where a document is related to transfer of
ownership of immovable property, passport size photographs and fingerprints of all the
buyers and sellers mentioned in the document shall be affixed (Section 32A of The
Registration Act, 1908).

In case of a will or authority to adopt, the testator or after his death any executor may or a
donor or after his death the donee or adoptive son may present it to the Registrar or Sub-
Registrar for registration respectively (Section 40 and Section 41 of The Registration Act,
1908). It shall be registered if it is satisfied that:-

The will or authority to adopt was executed by the executor or donor; The testator or donor
is dead;

The person presenting the will or authority to adopt is entitled to present the same

Section 47. Time from which registered document operates.A registered document shall
operate from the time from which it would have commenced to operate if no registration
thereof had been required or made, and not from the time of its registration.

Section 48. Registered documents relating to property when to take effect against oral
agreements. All non-testamentary documents duly registered under this Act, and relating to
any property, whether movable or immovable, shall take effect against any oral agreement or
declaration relating to such property, unless where the agreement or declaration has been
accompanied or followed by delivery of possession and the same constitutes a valid transfer
under any law for the time being in force

Provided that a mortgage by deposit of title-deeds as defined in section 58 of the Transfer of


Property Act, 1882, shall take effect against any mortgage-deed subsequently executed and
registered which relates to the same property.

Section 49. Effect of non-registration of documents required to be registered

No document required by section 17 or by any provision of the Transfer of Property Act,


1882 to be registered shall-

Affect any immovable property comprised therein, or

Confer any power to adopt, or be received as evidence of any transaction affecting such
property or conferring such power, unless it has been registered:

PROVIDED that an unregistered document affecting immovable property and required by


this Act or the Transfer of Property Act, 1882, to be registered may be received as evidence
of a contract in a suit for specific performance under Chapter II of the Specific Relief Act,
1877, or as evidence of part performance of a contract for the purposes of section 53A of the
Transfer of Property Act, 1882, or as evidence of any collateral transaction not required to be
effected by registered instrument.

Section 50. Certain registered documents relating to land to take effect against unregistered
documents
Section 50 (1) Every document of the kinds mentioned in clauses (a), (b), (c) and (d) of
section 17, sub-section (1), and clauses (a) and (b) of section 18, shall, if duly registered,
take effect as regards the property comprised therein, against every unregistered document
relating to the same property, and not being a decree or order, whether such unregistered
document be of the same nature as the registered document or not.

Section 50 (2) Nothing in sub-section (1) applies to leases exempted under the proviso to
sub-section (1) of section 17 or to any document mentioned in sub-section (2) of the same
section, or to any registered document which had not priority under the law.

Documents which are compulsory to be registered


The following is list of documents which need to be registered
Document of gift deed of immovable property: Section 17 1(a) makes compulsory to
register gift deed of the immovable property.
Documents that create some kind of interest in the immovable property having value above
one hundred rupees: Section 17 (1) (b) states that it is compulsory to register a instrument
related to the creation of some kind of interest in immovable property in present or in future
having value above rupees one hundred.
Document of lease of immovable property on yearly basis: Section 17 (1) © and (d) of the
Registration Act
Documents related to contracts of transfer of immovable property: It is compulsory under
Section 17 (1A).
Documents related to shares in the joint stock company: It has mentioned in Section 17 (2)
(ii) and (iii).
Any decree or order of Court: Section 17 (2) (vi) make it compulsory to register.
Documents related to grant of immovable property by Government: under Section 17(2)
(vii)
Documents related to grant of loan: under Section 17 (2) (ix) and (x) makes compulsory to
register documents related to grant of loan.
Documents of mortgage deed for loan in part or whole: Section 17 (2) (xi) makes it
compulsory.
Documents related to adoption: under Section 17 (3) makes it compulsory to register
documents related to adaption.

Documents falling under Optional Registration


Under Section 18 of the Registration Act, 1908 it is not compulsory to register a document but
you can register a document if you want to. Following is the list of some documents.
Documents creating some kind of interest in the immovable property having value below one
hundred rupees.
Receipts or documents related to payment of the consideration for creating interest in such
immovable property where the value is less than Rs. 100.
Documents of lease agreement less than one year and which do not come under section 17.
Will and also different documents which are not mentioned under Section 17.

The Effect of Non-Registration of documents under The


Registration Act, 1908.
Effect of non-registration of a document is enacted under Section 49 of the Registration Act,
1908. Which contemplates that no document, required to be registered under Section 17 of
this Act, shall be operative for the creation, etc. of any right, title or interest, in or to
immovable property, unless it is registered within a prescribed duration. Thus, such an
Instrument is inadmissible as evidence.

CONDITIONS FOR APPLICABILITY OF SECTION 49


The conditions for the applicability of the Section are:
(1) There must be a document.
(2) That document must be required by Section 17 of the Act or by any provision of the
Transfer of Property Act to be registered.
(3) That document must not have been registered.

If the above conditions are fulfilled, then the following


consequences will follow:
(i)That document cannot effect any immovable property comprised therein
(ii)That document cannot confer any power to adopt;
(iii)That document cannot be received as evidence of any transaction affecting such
property or conferring such power.

EXPLANATION OF CONDITIONS.
(1)There must be a Document.
The terms of the Section do not apply unless the terms of a transaction have been reduced
into writing.

(2) The Document Must be Compulsorily Register-able.


Section 49, Registration Act, applies only to documents of which registration is compulsory
under Section 17 of that Act, or under any provision of the Transfer of Property Act. It does
not forbid the admissibility in evidence of documents of which registration is optional under
Section 18, Registration Act and a will is such a document.

EFFECTS OF NON-REGISTRATION

Effects of non-registration of a compulsorily register able instruction may be discussed


in the following heads.

(l) Inoperativeness of Document:


That no document required to be registered under this Act or under any earlier law providing
for or relating to registration of documents shall operate to create, declare, assign, limit or
extinguish whether in present or in future, any right, title or interest, whether vested or
contingent, in or to the immovable property.

(2)No Conferment of Power to Adopt.


Under the Section a deed of adoption not registered duly, as required by Section 17 of the
Registration Act, shall not confer any power to adopt.

(3) Inadmissibility as Evidence.


A document required to be registered, which is not registered cannot be taken as the evidence
of the creation, etc., of any right, title or interest in or to certain immovable property.
Therefore, the evidential value of an instrument is destroyed by non-registration, but it may
be served as evidence of some collateral transactions.

(4) Admissibility for Collateral Transactions - Where a document required by law to be


registered, is not registered it cannot be allowed to affect an immovable property comprising
therein nor it can be received in evidence of any transaction affecting such property under
Section 49 of the Registration Act Yet such document can be admitted to prove an admission
of a party with regard to the character of the property, i e., whether it is joint or otherwise.
AIR 1983 Raj. 57

Benefits of Registration as per Sec 17

Voluntary consent — The parties give their free and voluntary consent to execute the
transaction. Registration of a document implies that the transaction was not affected by any
vitiating elements of a contract. A party cannot later come up with an argument of coercion,
force, undue influence, or threat. Registration of a document establishes that the parties
intended to be part of the transaction, knowing the legal obligations attached to it.

Credibility –Registration brings in transparency and legitimately secures the transactions.


For instance, the registered documents are in the public domain and provide accessibility of
documents. Registration helps in the prevention of fraudulent transactions.

To Maintain Cordial Relationships — For instance, in the case of partition, family


members get into an agreement initially, and it is highly probable that there are chances of a
difference of opinion later. Section 17 ensures the document stays valid even during
unpleasant situations.
Prevention of Backlog of Cases -Additionally, by bringing a finality into agreements, a lot
of disputes can be evaded, and this is only achievable through the Registration of documents
which acts a legitimate proof. It becomes especially crucial when we consider the backlog of
cases that our courts already have in existence.

Uphold the rule of law — Furthermore, government officials can take power into their
hands and forge documents. Registration helps in preventing fraud or forgery and the
principles of the rule of law are upheld.

Source Of Evidence — Another advantage is that registered documents are a source of


evidence under the court of law. The Honorable Delhi High Court laid down that, under the
provision of section 17 of the Registration Act read with the provisions of the Indian

Evidence Act, registered documents ought to be read in evidence. The same carries a sanctity
in law and is presumed to have been executed.

Case Laws
Haji Mokshed Mondal Vs. Del Rouson Bibi. (AIR 1971 Cal. 162),

It was held that section 53-A of the Transfer of Property Act 1882 precludes from enforcing
any rights in respect of the disputed property inconsistent with or not mentioned in the said
contract and therefore, the suit was dismissed.

Narandas Karsondas vs. S.A. Kantam (AIR 1977 SC 774),

It was held that the mortgagor has a right to redeem unless the sale of the property was
complete by registration in accordance with the provisions of the Registration Act 1908, and
therefore, the appeal was dismissed.

Conclusion
The registration of a document is of importance and must be done as soon as possible
otherwise it would lead to long years of legal battle which is costly and time consuming.
There are two categories: On one hand comes the compulsory registration and on other
Optional Registration. But it is suggested that any document will serve its purpose if it is
registered as its validity and authenticity cannot be questioned at later point of time.
Bibliography
1. www.google.com
2. Indian law house
3. Jhabwala book
4. Law seekho page

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