Consent decree transferring property is a conveyance and instrument, making it chargeable to stamp duty.

A consent decree that itself transfers immovable property is chargeable to stamp duty if its true effect is an inter vivos conveyance of title. The label given to the document is not decisive; what matters is whether the terms show that ownership is conveyed from one party to another. On that basis, such a decree falls within the wide definitions of both "conveyance" and "instrument" under the Bombay Stamps Act, 1958. The 1985 amendment was treated as confirmatory rather than as showing that such decrees were earlier outside the charging provision, and an earlier charge-creating consent decree was distinguished because it did not transfer title.

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Issues: Whether a consent decree expressly providing for transfer of immovable property falls within the definitions of "conveyance" and/or "instrument" under the Bombay Stamps Act, 1958, and is liable to stamp duty.

Analysis: The decree recited that the parties agreed that it would operate as a conveyance and that title in the suit property stood transferred from the defendants to the plaintiffs. The Court held that the decisive factor is the true effect of the document, not its label. A document by which property is inter vivos transferred answers the wide definitions of "conveyance" and "instrument". The 1985 amendment was treated as an abundant caution measure and not as showing that such decrees were previously outside the charging provisions. The earlier authority concerning a consent decree creating a charge was distinguished because it did not involve a decree operating as a transfer of title.

Conclusion: The consent decree was held to be both a conveyance and an instrument, and therefore liable to stamp duty.

Ratio Decidendi: Where a consent decree itself effects transfer of immovable property and the terms of the decree show that title is conveyed inter vivos, it falls within the stamp law definitions of conveyance and instrument and is chargeable to stamp duty, regardless of the form or label of the document.

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