The use of the word “in”, in the expression “in part performance of the contract” under Section 53A of Transfer of Property Act, 1882 merely connotes a nexus between the taking of possession of the property by the transferee and the contract which envisages transfer of the property – Sharad Bhansali and Anr. Vs. Mukesh Aggarwal and Anr. – Delhi High Court
Hon’ble Delhi High Court held that the taking of possession of the property is only to be “in part performance of the contract”. Section 53A does not, either expressly or by necessary implication, require the taking of possession to be simultaneous with the execution of the Agreement to Sell, or even immediately pursuant thereto. The use of the word “in”, in the expression “in part performance of the contract” merely connotes a nexus between the taking of possession of the property by the transferee and the contract which envisages transfer of the property. If, therefore, the transferee, in the case of an Agreement to Sell, acquires possession of the property forming subject matter of the Agreement to Sell, consequent upon its execution, Section 53A would ipso facto apply, even if the acquisition of possession is not simultaneous with, or immediately following, the execution of the Agreement to Sell.
