Unregistered partition deed can not be used for collateral purpose if it is not properly stamped

Then the next question that falls for consideration is whether

these can be used for any collateral purpose. The larger Bench of
Andhra Pradesh High Court in Chinnappa Reddy Gari Muthyala
Reddy Vs. Chinnappa Reddy Gari Vankat Reddy , AIR 1969 A.P.
(242) has held that the whole process of partition contemplates
three phases i.e. severancy of status, division of joint property by
metes and bounds and nature of possession of various shares. In a
suit for partition, an unregistered document can be relied upon for
collateral purpose i.e. severancy of title, nature of possession of
various shares but not for the primary purpose i.e. division of joint
properties by metes and bounds. An unstamped instrument is not
admissible in evidence even for collateral purpose, until the same is
impounded. Hence, if the appellants/defendants want to mark these
documents for collateral purpose it is open for them to pay the
stamp duty together with penalty and get the document impounded
and the Trial Court is at liberty to mark Exhibits B-21 and B- 22 for
collateral purpose subject to proof and relevance.
Accordingly, Civil Appeal is partly allowed holding that Exhibits
B-21 and B-22 are admissible in evidence for collateral purpose
subject to payment of stamp duty, penalty, proof and relevancy.

REPORTABLE
 
IN THE SUPREME COURT OF INDIA
 
CIVIL APPELLATE JURISDICTION
CIVIL APPEAL NO. 8441 OF 2015
ARISING OUT OF
SPECIAL LEAVE PETITION (CIVIL) NO. 12788 OF 2014

YELLAPU UMA MAHESWARI  BUDDHA JAGADHEESWARARAO & ORS.

Dated;October 08, 2015
N.V. RAMANA, J.
Citation:(2015) 16 SCC 787

#partition
#unregistered
#unstamped

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