New Delhi, September 1, 2025 – The Supreme Court of India has delivered a significant ruling in the case of Ramesh Chand vs. Suresh Chand & Anr., clarifying that documents such as an Agreement to Sell, General Power of Attorney (GPA), Affidavit, or even a registered Will cannot by themselves transfer ownership of immovable property.
Background of the Case
The dispute involved two brothers, Ramesh Chand and Suresh Chand, over a property in Ambedkar Basti, Delhi. Their father, late Shri Kundan Lal, was the original owner.
- Suresh Chand (plaintiff) claimed ownership of the property on the basis of an Agreement to Sell, GPA, Receipt, Affidavit, and a registered Will allegedly executed by his father in 1996.
- Ramesh Chand (defendant), on the other hand, argued that the property had been orally transferred to him way back in 1973 and that he had been in continuous possession since then. He also sold half of the property to a third party, who became a co-defendant.
The trial court and the Delhi High Court had earlier accepted Suresh Chand’s claims and ruled in his favor. However, Ramesh Chand challenged these decisions before the Supreme Court.
Supreme Court’s Findings
After examining the case, a Bench of Justices Aravind Kumar and Sandeep Mehta set aside the earlier rulings and dismissed Suresh Chand’s suit. The Court made some important clarifications about property law:
- Agreement to Sell is not Ownership
- An agreement to sell, even if accompanied by payment and possession, does not transfer ownership.
- Only a registered sale deed can legally transfer title under Section 54 of the Transfer of Property Act.
- Power of Attorney is not a Sale
- A GPA merely authorizes someone to act on behalf of the owner; it does not transfer ownership rights.
- Will Alone is Not Enough
- A Will is effective only after the testator’s death and must be strictly proved under law.
- In this case, the Will was not properly proved, and it was suspicious because it excluded other legal heirs without explanation.
- No Benefit Under ‘Part Performance’
- The plaintiff could not claim protection under Section 53A (doctrine of part performance), because he was not in possession of the property when he filed the suit.
What This Means
With the Will being held invalid and no registered sale deed in existence, the Court ruled that the property would devolve equally among the legal heirs of late Shri Kundan Lal as per succession laws.
The rights of the third party purchaser (Defendant No. 2), who bought half the property from Ramesh Chand, were protected—but only to the extent of Ramesh Chand’s rightful share.
Key Takeaway for the Public
This judgment is a strong reminder that ownership of property in India can only be transferred through a registered sale deed. Common practices such as relying on GPAs, agreements to sell, or affidavits are not legally valid to claim ownership. Even a Will must be strictly proved in court to be effective.
People buying property should ensure that the transaction is completed with a properly stamped and registered sale deed to avoid future legal disputes.
Download PDF of the judgement in RAMESH CHAND (D) THR. LRS. VERSUS SURESH CHAND AND ANR. CIVIL APPEAL NO. 6377 OF 2012 (2025 INSC 1059)