⚖️ Shri Ganpati Jurists Legal Learning & Awareness ⚖️
Registered Sale Deed Cannot Be Cancelled Arbitrarily: Property Rights Protected Under Article 300-A
The Punjab & Haryana High Court has reaffirmed a fundamental constitutional principle:
Once a property is transferred via a registered sale deed, it cannot be arbitrarily resumed by any authority.
Court’s Key Observations:
1. Registered Sale Deed = Complete Ownership
Rights once transferred via a registered deed of conveyance can only be cancelled by a Civil Court, not through administrative action.
2. Violation of Article 300-A
Unilateral resumption without due process violates the Right to Property, a constitutional protection under Article 300-A.
3. Condition in Agreement to Sell ≠ Condition in Registered Deed
Breaches mentioned only in the Agreement to Sell, and not included in the registered deed, cannot be grounds for resumption.
4. Due Process Ignored = Illegal Action
No proper notice served. No opportunity to be heard. Hence, eviction and resumption declared illegal.
5. Arbitration Clause ≠ Resumption Power
Even if there’s an arbitration clause, no power of cancellation or resumption can arise under it.
Final Outcome:
Court quashed the resumption, awarded Rs. 5 lakh as exemplary compensation, and protected the petitioner’s property rights.
Key Takeaway:
Property once legally transferred through a registered sale deed cannot be taken away by administrative whims. Only Civil Courts can undo such transactions, and that too after following proper legal procedures.
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