AIR 2002 ANDHRA PRADESH 8 ::2002 A I H C 61 ::(2001) 5 Andh LT 473 ::(2003) 1 JCR 397 (AP) ::(2001) 5 AndhLD 845 ::(2002) 1 CurLJ(CCR) 336

Andhra Pradesh High Court

Hon'ble Judge(s): Satya Brata Sinha , C.J. AND V. V. S. Rao, C. Y. Somayajulu , JJ

Andhra Pradesh Vacant Lands in Urban Areas (Prohibition of Alienation) Act (12 of 1972) , S.4— Prohibition under - Does not apply to an agreement for sale. Transfer of Property Act (4 of 1882) , S.54— AIR 1981 Andh Pra 38, Overruled. The prohibition contained in S. 4 of the Act does not apply to an agreement for sale. Agreement for sale does not create any title in the immovable property. As by reason of an agreement for sale no interest in an immovable property is created, the question of transfer of any interest thereby would not arise. An owner of a property has a right to transfer the same unless there exists a statutory interdict. Such statutory prohibitions are required to be construed strictly. An agreement of sale being not a transfer, a fortiori, the prohibition created under S. 4 would not apply to such a transaction. Even the expression otherwise as contained in Section 4 would not bring within its purview an agreement for sale. The said expression must be read ejusdem generis. A statute creating a bar on transfer must be clear and unambiguous. No inference in relation thereto should be drawn. Thus, in a suit for specific performance of contract, the relevant date would be the date of execution of the Deed of Sale. As regards the applicability of the Act, the relevant date would be the date of execution of the conveya....