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<p class="banner-heading-text-two-line"><span>What Kind of Property?</span><br><span class="banner-sub-heading">Modules IV & V: Deep Dive Into Specific Agreements—Sale Deed</span></p>
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<div class="c0 doc-content"><h2 class="c7" id="h.fi3firt1s3l"><span class="c2 c10">What Kind of Property can be Transferred by Way of Sale as per TOPA?</span></h2><p class="c3"><span class="c2 c4 c9"><span class="padded-dropcap">A</span>s per the definition of Section 54 of TOPA, immovable property and intangible rights such as reversions can be transferred by way of sale. Further, as per Section of 6 of TOPA, property of any kind may be transferred, except the following kinds of property cannot be transferred under TOPA: (a) The chance of an heir-apparent succeeding to an estate, the chance of a relation obtaining a legacy on the death of a kinsman, or any other mere possibility of a like nature, cannot be transferred. (b) A mere right of re-entry for breach of a condition subsequently cannot be transferred to any one except the owner of the property affected thereby. (c) An easement cannot be transferred apart from the dominant heritage. (d) An interest in property restricted in its enjoyment to the owner personally cannot be transferred by him. (dd) A right to future maintenance, in whatsoever manner arising, secured or determined, cannot be transferred. (e) A mere right to sue cannot be transferred. (f) A public office cannot be transferred, nor can the salary of a public officer, whether before or after it has become payable. (g) Stipends allowed to military naval, air-force and civil pensioners of Government and political pensions cannot be transferred. (h) No transfer can be made (1) in so far as it is opposed to the nature of the interest affected thereby, or (2) for an unlawful object or consideration within the meaning of Section 23 of the Indian Contract Act, or (3) to a person legally disqualified to be transferee. (i) Nothing in this Section shall be deemed to authorise a tenant having an untransferable right of occupancy, the farmer of an estate in respect of which default has been made in paying revenue, or the lessee of an estate under the management of a Court of Wards, to assign his interest as such tenant, farmer or lessee.</span></p><p class="c3"><span class="c4">Section 3 of TOPA defines ‘immovable property’ as “immovable property, does not include standing timber, growing crops or grass.” This does not give any clarity as to what constitutes immovable property. Thus, in order to understand what constitutes to be immovable property, we will have to look at General Clauses Act, 1897</span><sup class="c4 c12"><a href="#ftnt1" id="ftnt_ref1">[1]</a></sup><span class="c4"> (‘</span><span class="c8">General Clauses Act</span><span class="c4">’). Section 3(26) of the said Act, defines immovable property in the following words “shall include land, benefits to arise out of land, and things attached to the earth, or permanently fastened to anything attached to the earth.” Further, Section 2(6) Registration Act</span><sup class="c4 c12"><a href="#ftnt2" id="ftnt_ref2">[2]</a></sup><span class="c2 c4 c9">, defines immovable property in the following words “includes land, buildings, hereditary allowances, rights to ways, lights, ferries, fisheries or any other benefit to arise out of land, and things attached to the earth, or permanently fastened to anything which is attached to the earth, but not standing timber, growing crops nor grass.” </span></p><p class="c3"><span class="c2 c4 c9">TOPA does not define what constitutes ‘movable property’. General Clauses Act, defines ‘movable property’ as ‘shall mean property of every description, except immovable property’. SOGA, which regulates the sale of goods defines goods as ‘means every kind of moveable property other than actionable claims and money; and includes stock and shares, growing crops, grass, and things attached to or forming part of the land which are agreed to be severed before sale or under the contract of sale.’</span></p><p class="c3"><span class="c4">Tangible rights refers to assets that do not have a physical form but possess economic value or confer legal rights to the owner. Unlike tangible property, which can be physically touched or moved, intangible property is characterised by its conceptual nature. Ownership of intangible property often involves the legal recognition of certain rights or privileges. Examples of tangible rights are goodwill which is the reputation or brand value associated with a business that contributes to its profitability or reversions and remainders which are future interests in property, such as a reversionary right after the termination of a lease.</span></p><hr class="c14"><div><p class="c5"><a href="#ftnt_ref1" id="ftnt1">[1]</a><span class="c1">. The definitions given in the </span><span class="c13">General Clauses Act</span><span class="c2 c1">, 1897 govern all Central Acts and regulations made after the commencement of the Act.</span></p></div><div><p class="c11"><a href="#ftnt_ref2" id="ftnt2">[2]</a><span class="c1 c2">. The Registration Act, 1908 is an Act to consolidate the enactments relating to the Registration of Documents.</span></p></div></div>
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