Untitled Document
Untitled Document
Principle
1. Section 52 of theTransfer of Property Act, 1882embodiesthe doctrine of
lis pendens(pending litigation) as expressed by themaxim“pendente
lite nihil innovetur”.
○ This means thatnothing new should be introduced duringthe
pendency of litigation.
2. As a principle ofequity, justice, and good conscience,this rule applies
even when the Transfer of Property Act does not apply.
Judicial Explanations
he Doctrine of Lis Pendens originated from the case ofBellamy vs. Sabine
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(1857), where Lord Justice Turner explained the rationalebehind it:
In simpler terms, Turner highlighted that if property could be sold or transferred
while litigation was pending, it would make resolving disputes impossible. The
plaintiff would always be at a disadvantage, and fresh proceedings would have to
be initiated every time a defendant transferred the property during the suit.
M
● r. Xsold immovable property toMr. A.
● Mr. Z, son of Mr. X and the rightful heir, suedMr.Ain a competent court to
declare the sale void.
● During the litigation,Mr. Asold the property toMr. B, who was unaware of
the ongoing suit.
Court’s Decision:
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● he court held thatMr. Z, the rightful heir, wasentitled to the property.
● Mr. Bdid not acquire any valid title, asMr. Asoldthe property during
litigation and thus did not have a valid title to pass.
his case solidified the principle that a transfer of property during litigation does
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not convey valid ownership to the transferee if the court later rules in favor of the
plaintiff.
rom this case, the principle evolved intoSection52 of the Transfer of
F
Property Act, 1882, which enshrines the doctrine ofLis Pendens:
● If a lawsuit is ongoing in any competent court in India regarding immovable
property, any transfer or sale of the property by a party to the suitcannot
affectthe rights of the other party without courtpermission.
Latin Maxim
● S
ection 52 isprohibitive, meaning property cannotbe transferred or dealt with during
the pendency of a suit. However, transfers made during the suit are notvoid, but
voidable. The transferee’s rights are subject to thecourt's final decision. Thus, transfers
during the suit do not prevent alienation but bind the transferee to the outcome of the
litigation.
● S
ection 52 operates on public policy, meaning that no question of good faith or notice
arises. A transferee cannot claim protection underSection 43of the Transfer of Property
Act, 1882, which deals withfeeding the grant by estoppel.
○ The pending suit acts as a notice to any transferee, meaning whether they were
aware of the suit or not is irrelevant.
○ Example: A property is transferred to C while litigation between A and B is
ongoing. C cannot claim the property under Section 43, as the suit itself serves
as notice.
Exception
● The court may allow the transfer of property during litigation under terms it deems fit.
○ Example: InAmarnath v. Deputy Director of Consolidation,the court held that
even parties not formally impleaded in the suit could be affected by the judgment
if it impacts their rights.
○ S
imilarly, inFayaz Husain Khan v. Prag Narain, a prior mortgage extinguished
the rights of a subsequent mortgagee even though the latter was not a party to
the suit.
https://articles.manupatra.com/article-details/The-Doctrine-of-Lis-Pendens
hisdoctrinedoesnotapplymechanicallyassoonasthereisasuitpendingconcerning
T
immovable property, but rather there are certain essential conditions that need to be
fulfilled. Hon'ble Justice A. N. Sen in the matter of Dev Raj Dogra and Ors. vs. Gyan
ChandJainandOrs.8 hadlisteddownthreeessentialconditionsfortheimplementation
of the doctrine-
1. A suit or a proceeding in which any right to immovable property must directly and
specifically in question must be pending;
2. The suit or the proceeding shall not be a collusive one;
3. Such property during the pendency of such a suit or proceeding cannot be
transferred or otherwise dealt with by any party to the suit or proceeding so as to
affect the right of any other party thereto under any decree or order which may be
passed therein except under the authority of Court. In other words,any transfer of
such property or any dealing with such property during the pendency of the suit is
prohibited except under the authority of the Court, if such transfer or otherwise
dealing with the property by any party to the suit or proceeding affects the right
of any other party to the suit or proceeding under any order or decree which may
be passed in the said suit or proceeding.
—
1. Definition:
○ Rajendra Singh vs. Santa Singh (1973): In this case,the doctrine was
defined as:
"Lis Pendens means a pending suit, and it represents the jurisdiction or
ontrol which a court acquires over property involved in the suit during its
c
pendency, and until a final judgment is passed."
2. Judicial Reinforcement:
○ The Supreme Court of India reaffirmed this reasoning inJayaram Mudaliar
vs. Ayyaswami (1972).
3. Two Theories Underpinning the Doctrine:
○ Theory of Notice: This theory states that ongoinglitigation serves as a
constructive notice to the world, warning potential buyers that the property
in question is under dispute. Therefore, third parties should avoid
purchasing it.
○ Theory of Necessity: This theory argues that to ensurea fair and just
adjudication, it is necessary to prevent parties from alienating the property
while litigation is pending. Allowing such transfers could interfere with the
execution of the court's judgment.
4. Clarification in Bellamy vs. Sabine (1857):
○ In this case, Lord Justice Turner explained that thebasis of the doctrineis
not merelyconstructive notice, but thenecessityto prevent disruption of
legal proceedings:
“If parties to a dispute aren't prevented from transferring the property, it
would be impossible for any action or suit to be successfully terminated.”
5. Faiyaz Husain Khan vs. Munshi Prag Narain (1907):
○ The principle that the doctrine ofLis Pendensisbased onnecessityfor
final adjudication was reinforced here, ensuring that no party could
interfere with the court’s eventual decree by alienating the property.
ttps://blog.ipleaders.in/doctrine-lis-pendens/#The_purpose_of_the_doctrine_of_Lis_Pe
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ndens