Power of attorney sale rights protect transferee from execution attachment where full consideration and possession are proved.

A purchaser under a power of attorney sale who paid full consideration, obtained possession, and held contemporaneous instruments such as a power of attorney and registered will had enforceable pre-existing rights in the property. On those facts, the arrangement created an interest under Section 202 of the Contract Act and attracted the protection of Section 53A of the Transfer of Property Act. An attaching creditor could not acquire any higher right than the judgment-debtor and therefore could not defeat the transferee's prior rights through execution attachment. The objection to attachment was maintainable and entitled to succeed.

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Issues: Whether a purchaser under a power of attorney sale, who had paid full consideration and taken possession, could resist attachment of the property in execution proceedings and obtain relief under Order XXI Rule 58 of the Code of Civil Procedure, 1908.

Analysis: The transaction was not a bare agreement to sell. It was supported by contemporaneous documents, including powers of attorney, a registered will, and payment of full consideration, with possession having been delivered. Such arrangements were treated as a recognised mode of transfer in Delhi for leasehold properties. On these facts, the arrangement created an interest in the property in favour of the appellant under Section 202 of the Contract Act, 1872, and the appellant's possession also attracted the protection of Section 53A of the Transfer of Property Act, 1882. The bank, as attaching creditor, could not acquire any higher right than the judgment-debtor and could not enforce attachment so as to defeat the appellant's pre-existing rights.

Conclusion: The attachment could not prevail against the appellant's rights, and the objection to attachment was maintainable and deserved to succeed.

Ratio Decidendi: A power of attorney sale accompanied by full consideration, possession, and contemporaneous instruments can create enforceable pre-existing rights in the transferee, so an attaching creditor takes subject to those rights and cannot defeat them by execution attachment.

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