Property Registration Is Not Ownership: Supreme Court’s Landmark Ruling Redefines Legal Title in India

From a legal standpoint, the Supreme Court of India’s landmark ruling in Mahnoor Fatima Imran vs Visweswara Infrastructure Pvt Ltd (May 7, 2025) draws a definitive line between property registration and true ownership. The ruling emphasizes that:

●        Registered sale deeds are procedural, not conclusive

Registration creates a public record but does not guarantee a lawful title, especially if the vendor's title is defective due to unregistered prior transactions or disputes.

●        Title must be traced through a complete, legal chain

Courts require documentation of each historic transfer, sale deeds, inheritance, mutation records, encumbrance certificates, possession letters, forming an unbroken, lawful chain of title.

●        Possession, GPA, or sale agreements don’t suffice

The judgment reaffirms that an unregistered sale agreement or general power of attorney cannot substitute for a valid, registered deed, nor does mere possession confer ownership.

●        Buyers must exercise due diligence

Legal experts highlight that prospective owners should review the entire title history, typically spanning 30 years, verify mutations, audit tax receipts, check for encumbrances, confirm regulatory approvals (e.g,. RERA, layout, occupancy), and initiate public notice if needed.

●        Implications for ongoing and future transactions

The ruling may trigger a review of past transactions, and could slow down current deals as lawyers and realtors intensify scrutiny. In the long term, it could foster transparency, reduce fraudulent transfers, and prompt a push toward reforms in land registration systems.

Conclusion

This ruling is a critical reminder: Registration is evidence, not a guarantee of ownership. True legal title demands a complete, verifiable, and lawful chain of transactions, bolstered by possession and statutory compliance. Buyers, sellers, and legal advisors must recalibrate their approach: due diligence is no longer optional; it is imperative.