Supreme Court rejects tenant's claim for ownership based on settlement with landlord: 'No transfer of title in absence of registered document'

The Supreme Court in the case Beena And Ors Versus Charan Das (D) Thr.Lrs & Ors. observed and has rejected the claim of the for ownership of the premises on the basis of a settlement with the landlord The court in the case held that the settlement arrived between the landlord and tenant that the tenant would not be evicted from the premise upon deposit of the stipulated amount could not confer the right of ownership which being upon the tenant.

The present matter relates to the filing of an eviction suit by the appellant or landlord against the respondent or tenant as the suit property was in a dilapidated condition that needed to be repaired. Therefore, a settlement was entered between the parties, wherein it is stated that if the tenant pays the stipulated amount of Rs.12,000/- then the application filed seeking eviction of the tenant would deem to be dismissed, whereas if the tenant fails to pay the stipulated amount of Rs. 12,000/- then the application seeking eviction of the tenant would be deemed to be allowed and the tenant would deliver vacant possession of the house immediately.

The court in the case observed that after filing an application by the landlord, the tenant deposited the stipulated amount and claimed ownership and possession over the suit property in light of the settlement entered between the parties that the landlord application was deemed to be dismissed upon payment of the stipulated amount.

The trial court and the first appellate court held in favor of landlord's wherein the court refused to grant a permanent injunction against the landlord in an application preferred by the tenant.