Registered Sale Deed Cannot Be Cancelled over Non-payment of Part Payment of Sale Consideration : SC

A registered sale deed cannot be cancelled over non-payment of part payment, Rules the Supreme Court. the Cancellation of the sale deed on the ground that the sale consideration fixed by the Collector, had not been paid in entirety is no ground. As per Section 54 of the Transfer of Property Act, 1882, the SC said that the words "price paid or promised or part paid and part promised" indicates that actual payment of the price at the time of the execution of the sale deed is not a sine qua non for completion of the sale. Even if the whole of the price is not paid, but the document is executed, and thereafter registered, the sale would be complete, and the title would pass on to the transferee under the transaction. The non-payment of a part of the sale price would not affect the validity of the sale. Once the title in the property has already passed, even if the balance sale consideration is not paid, the sale could not be invalidated on this ground. In order to constitute a "sale", the parties must intend to transfer the ownership of the property, on the agreement to pay the price either in praesenti, or in future.