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Issues: Whether an unregistered agreement to sell, which became compulsorily registrable under the Gujarat amendment to the Registration Act, 1908, could be looked into in evidence where the suit was founded solely on that document and no alternative claim based on title was pleaded.
Analysis: The amended scheme of registration under Section 17 made instruments purporting to transfer rights in immovable property compulsorily registrable, and the retrospective operation of the amendment with Section 17(1-A) and Section 23 did not enlarge the plaintiff's case beyond the statutory exceptions. The proviso to Section 49 permits an unregistered document to be received only as evidence of a contract in a suit for specific performance, as evidence of part performance under Section 53A of the Transfer of Property Act, 1882, or for a collateral transaction not required to be registered. The plaintiff's plaint was confined to recovery of possession on the strength of the unregistered document and did not found the claim on title or any other permissible basis. Since the case did not fall within the statutory exceptions, the document could not be used to sustain the claim.
Conclusion: The unregistered agreement to sell was inadmissible for the purpose for which it was relied upon, and the suit based solely on that document could not succeed. The finding is against the respondent and in favour of the appellant.
Ratio Decidendi: An unregistered instrument required to be registered cannot be relied upon to enforce a claim founded solely on that document unless the case falls within the limited exceptions in the proviso to Section 49 of the Registration Act, 1908.