Showing posts with label cancellation of allotment order. Show all posts
Showing posts with label cancellation of allotment order. Show all posts

Wednesday, 24 August 2016

Whether co-operative society can unilaterally cancel sale deed by executing extinguishment Deed?

For the reasons
stated supra, I have to grant the reliefs in
favour of the appellant as prayed by him and
quash the extinguishment deed dated
09.08.2001 along with the subsequent sale
deeds registered in favour of the respondent
No.5 who in turn has sold property in favour
of respondent Nos.6 and 7 without the
authority of law. The sale deed can be
cancelled under Section 31 of the Specific
Relief Act, 1963, by the competent civil
court if the same is challenged within the
period of limitation stipulated under Article
59 of the Limitation Act, 1963. Since the
facts are undisputed in the case on hand and
the respondent Society, after the lapse of 39
years has erroneously and illegally cancelled

the absolute sale deed registered in favour
of the appellant’s mother, the appellant has
acquired a valid and absolute title to the
property in question and the same could not
have been cancelled by the respondent Society
and the Sub-Registrar as it is void ab initio
in law. Hence, the High Court should have
responsibly exercised its extraordinary
jurisdiction and should have examined the
documents of the sale deed with respect to
the relevant provisions of the M.P
Co-operative Societies Act and Rules, 1962
and the Bye-laws of the Society. The
cancellation of the sale deed executed in
favour of the appellant’s mother in the year
1962 by way of the extinguishment deed could
not have been registered by the Sub-Registrar
as he is not empowered to do so. Hence, for
want of the competent jurisdiction, in
registering such document, the High Court
should have exercised its extraordinary
jurisdiction to annul the extinguishment deed

and the transactions of the subsequent sale
deeds, which has not been done by it.
Reportable
IN THE SUPREME COURT OF INDIA
CIVIL APPELLATE JURISDICTION
CIVIL APPEAL NO. 6673 OF 2014
Satya Pal Anand 
Versus
State of M.P. and Others .
Dated:August 25, 2015.
Dipak Misra, J.
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