Tanu Ram Bora v. Promod Ch. Das (2019)
Section 43 TPA — “feeding the grant”: when title comes later, the earlier transfer can operate for the buyer.
Quick Summary
The buyer bought land when the seller’s title looked defective due to ceiling proceedings. Later, the land was declared ceiling-free and the seller’s title matured. The Supreme Court applied Section 43 of the Transfer of Property Act (feeding the grant). Because the contract still subsisted and the buyer had paid, the transfer could operate once the seller got title. Result: buyer’s claim succeeded; lower court decrees were set aside.
Issues
- Was the sale void due to defective/absent title at the time of transfer?
- Does Section 43 TPA let the transfer take effect after the seller later gets valid title?
- Can the transferor challenge his own transfer after taking consideration?
Rules
- Section 43 TPA: If a transferor professes to transfer property without title (or with defective title) and later acquires that title, the transfer at the option of the transferee operates on the after-acquired interest—provided the contract subsists.
- Principles: estoppel + equity. After taking money and transferring, the transferor cannot later say “the transfer does not bind me”.
- The option lies with the transferee, not the transferor.
Facts (Timeline)
06-01-1990: Buyer (Tanu Ram Bora) purchases land by registered sale deed from late Pranab Kumar Bora.
1988: Land had been declared ceiling surplus and acquired by the Government.
14-09-1990: Land is declared ceiling-free again; the cloud on title lifts.
18-12-1991: Mutation in buyer’s name is allowed; buyer recorded.
09-04-1995: Original transferor enters land; buyer sues for possession and injunction.
Trial & HC: Hold against buyer; say seller had no right to sell when land was ceiling surplus; Section 53-A TPA not available to defendant.
Supreme Court: Applies Section 43; allows buyer’s claim; sets aside lower court decrees.
Arguments
Appellant (Buyer)
- Sale deed valid in equity; seller later got title when land became ceiling-free.
- Section 43 TPA feeds the grant; transfer should operate on after-acquired title.
- He has right, title, interest; seeks possession and injunction.
Respondent (Transferor)
- At sale date, title was defective due to ceiling surplus; no valid transfer occurred.
- Buyer cannot rely on Section 43; seller free to dispute transfer.
- Lower courts’ findings should stand.
Judgment
The Supreme Court allowed the appeal. It held that once the land became ceiling-free and the transferor’s title matured, Section 43 TPA enabled the earlier transfer to operate for the buyer. The Court set aside the High Court judgment and the trial court decree and recognized the buyer’s rights flowing from the sale.
Ratio (Core Principle)
Where a seller without present title later acquires it, and the contract still stands, the transfer at the transferee’s option takes effect on the after-acquired interest (Section 43 TPA). The transferor is estopped from disputing the transfer.
Why It Matters
- Clarifies the scope of feeding the grant in modern land reform contexts.
- Shows the transferee-centric design of Section 43—option rests with the buyer.
- Distinguishes Section 43 from Section 53-A (part performance).
Key Takeaways
- Section 43 = after-acquired title binds at buyer’s option.
- Transferor who took consideration is estopped from disputing transfer.
- Ceiling cloud later clearing can feed the grant.
- Lower court refusals can be reversed if equity and statute align.
Mnemonic + 3-Step Hook
Mnemonic: F.E.E.D. — Future title Enables, Estoppel applies, Done at buyer’s option.
- Spot defective title at sale.
- Check if title later accrues and contract still lives.
- Apply Section 43: transfer operates for the buyer.
IRAC Outline
Issue: Can a sale made when title was defective take effect once title matures?
Rule: Section 43 TPA—after-acquired title feeds the earlier grant at the transferee’s option; transferor is estopped.
Application: Land later became ceiling-free; seller’s title cleared; buyer had paid; contract subsisted—Section 43 applied.
Conclusion: Transfer operates in buyer’s favour; lower decrees set aside; buyer succeeds.
Glossary
- Section 43 TPA
- Provision that lets a transfer operate on after-acquired title—“feeding the grant”.
- Estoppel
- Rule stopping a party from going back on a position after the other relied on it.
- Ceiling surplus
- Land taken over for exceeding statutory holding limits.
- Mutation
- Change in revenue records to reflect ownership transfer.
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