Validity of sale during lis pendense
s.loganathan
(Querist) 21 September 2010
This query is : Resolved
B obtains a power of attorney from A(80 year old man) to sell his property in whole or in part.
B sells the property in parts and manipulates accounts to A. A cancells the power of attorney after giving legal notice.
A gives POA to C for the remaining.
B serves notice to A & C on account of subsisting contract with A and files a case in court for specific performance.
Case gets expartite decreed on non-appearance of counsel for A & C.
Exparte set aside and trial begins with proof of forged document by C. 340 application allowed and numbered. In the absence of any injunction, A through his power of attorney registers a sale in favor of D.
B without disclosing an earlier POA obtained clandestinely from the illiterate A, obtained even before the latter POA, uses this POA to register, the same property registered to D, to his wife's name. What is the status of the legality of the sale? Would both these sale be hit by lis pendense? Would the title of D become valid on decree in favor of A.
Counsel for defendants have moved the court for rejection of plaint, as the plaintiff himself had exercised the relief prayed in his prayer. The registration is viewed as illegal as it would be subjected to the laws governing lis pendence.
Satyendra Kumar Pandey
(Expert) 22 September 2010
POA can be canceled at any time and in the said case B lose the case and if any transfer is made during lis then it is void-ab-intio.
Kindly go through with Transfer of Property Act.
