{"id":9686,"date":"2026-09-11T10:14:17","date_gmt":"2026-09-11T10:14:17","guid":{"rendered":"https:\/\/lawsandlegals.com\/english\/?p=9686"},"modified":"2026-09-11T10:14:19","modified_gmt":"2026-09-11T10:14:19","slug":"registered-sale-deed-cannot-be-cancelled-merely-over-non-payment-of-sale-consideration-says-rajasthan-high-court","status":"publish","type":"post","link":"https:\/\/lawsandlegals.com\/english\/registered-sale-deed-cannot-be-cancelled-merely-over-non-payment-of-sale-consideration-says-rajasthan-high-court\/","title":{"rendered":"Registered Sale Deed Cannot Be Cancelled Merely Over Non-Payment of Sale Consideration says Rajasthan High Court"},"content":{"rendered":"\n<p class=\"wp-block-paragraph\"><strong>Jaipur:<\/strong> The Rajasthan High Court has ruled that a registered sale deed cannot be cancelled merely because the entire sale consideration was not paid at the time of execution. Once the parties intend to transfer ownership and the sale deed is duly executed and registered, non-payment of the remaining consideration does not, by itself, invalidate the sale.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The Court held that in such circumstances, the seller may pursue a remedy for recovery of the unpaid sale consideration, but cannot seek cancellation of the registered sale deed solely on that ground.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The ruling was passed by Justice Chandra Prakash Shrimali while dismissing an appeal filed by Goma Devi. The High Court also upheld the decree passed by the trial court.<\/p>\n\n\n\n<h4 class=\"wp-block-heading\">Dispute Over Agricultural Land<\/h4>\n\n\n\n<p class=\"wp-block-paragraph\">The case relates to agricultural land in Jaipur district. Goma Devi had challenged the registered sale deed executed in favour of the respondents, contending that she had not received the sale consideration.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">She sought relief against the sale deed and alleged that the purchasers had failed to pay the agreed consideration.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The trial court rejected her claim and directed the respondents to deposit \u20b924 lakh along with 4% interest from May 2009 until the date of judgment. Goma Devi then approached the High Court against the decision.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The record showed that an agreement\/receipt had been executed in favour of Laxmi Narain Sharma, under which \u20b911 lakh was received as earnest money.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Upon examination the court found out that the sale deed mention rupees 24 lakh as consideration which has been paid through cheques and further recorded that nothing remained payable towards the sale consideration and that possession of the land had been handed over to the purchasers.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The purchasers were also given the right to get their names entered in the revenue records. Subsequently, their names were mutated in the revenue records and they remained in possession of the disputed land.<\/p>\n\n\n\n<h4 class=\"wp-block-heading\">Dispute Over Cheques<\/h4>\n\n\n\n<p class=\"wp-block-paragraph\">A major part of the dispute concerned the cheques mentioned in the sale deed.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The respondents subsequently instructed the bank to stop payment of the cheques. They claimed that the decision was taken because of the dispute arising from the earlier transaction concerning the same land and the legal proceedings that followed.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">However, after examining the evidence, the Court found that the material on record did not establish that the respondents had acted with a fraudulent or dishonest intention in withholding the payment.<\/p>\n\n\n\n<h4 class=\"wp-block-heading\">What Did the High Court Say?<\/h4>\n\n\n\n<p class=\"wp-block-paragraph\">Justice Chandra Prakash Shrimali relied upon several Supreme Court judgments while deciding the dispute.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Referring to Dahiben v. Arvindbhai Kalyanji Bhanusali, the Court observed that payment of the entire sale consideration at the time of execution of a sale deed is not an essential condition for completion of the sale.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Even where the entire consideration has not been paid, a duly executed and registered sale deed can complete the sale and transfer title to the purchaser. Non-payment of the remaining amount does not automatically invalidate the transaction.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">In such a situation, the seller&#8217;s remedy is to recover the unpaid consideration, rather than seek cancellation of the sale deed merely because of non-payment.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Upholding the decision of the trial court, the court held that they found no legal error which warrants interference with the trial court\u2019s proceedings.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Jaipur: The Rajasthan High Court has ruled that a registered sale deed cannot be cancelled merely because the entire sale consideration was not paid at the time of execution. Once the parties intend to transfer ownership and the sale deed is duly executed and registered, non-payment of the remaining consideration does not, by itself, invalidate &#8230; <a title=\"Registered Sale Deed Cannot Be Cancelled Merely Over Non-Payment of Sale Consideration says Rajasthan High Court\" class=\"read-more\" href=\"https:\/\/lawsandlegals.com\/english\/registered-sale-deed-cannot-be-cancelled-merely-over-non-payment-of-sale-consideration-says-rajasthan-high-court\/\" aria-label=\"Read more about Registered Sale Deed Cannot Be Cancelled Merely Over Non-Payment of Sale Consideration says Rajasthan High Court\">Read more<\/a><\/p>\n","protected":false},"author":2,"featured_media":9026,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_wppp_is_locked":false,"_wppp_selected_plans":[],"footnotes":""},"categories":[69],"tags":[1690,2982,2986,2984,1344,990,2985,1696,483,659,43,150,2980,2979,1710,2975,2976,2987,2977,2983],"class_list":["post-9686","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-rajasthan-high-court","tag-agricultural-land","tag-cheque-payment-dispute","tag-dahiben-case","tag-goma-devi","tag-jaipur","tag-justice-chandra-prakash-shrimali","tag-laxmi-narain-sharma","tag-mutation","tag-property-dispute","tag-rajasthan-hc","tag-rajasthan-high-court","tag-rajasthan-legal-news","tag-recovery-of-sale-consideration","tag-registered-sale-deed","tag-revenue-records","tag-sale-consideration","tag-sale-deed-cancellation","tag-supreme-court-judgments","tag-transfer-of-ownership","tag-trial-court-decree"],"_links":{"self":[{"href":"https:\/\/lawsandlegals.com\/english\/wp-json\/wp\/v2\/posts\/9686","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/lawsandlegals.com\/english\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/lawsandlegals.com\/english\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/lawsandlegals.com\/english\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/lawsandlegals.com\/english\/wp-json\/wp\/v2\/comments?post=9686"}],"version-history":[{"count":1,"href":"https:\/\/lawsandlegals.com\/english\/wp-json\/wp\/v2\/posts\/9686\/revisions"}],"predecessor-version":[{"id":9687,"href":"https:\/\/lawsandlegals.com\/english\/wp-json\/wp\/v2\/posts\/9686\/revisions\/9687"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/lawsandlegals.com\/english\/wp-json\/wp\/v2\/media\/9026"}],"wp:attachment":[{"href":"https:\/\/lawsandlegals.com\/english\/wp-json\/wp\/v2\/media?parent=9686"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/lawsandlegals.com\/english\/wp-json\/wp\/v2\/categories?post=9686"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/lawsandlegals.com\/english\/wp-json\/wp\/v2\/tags?post=9686"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}