Whether transfer of standing trees of value Rs. 100 or upwards can be done without registration?
Find the answer to the mains question of Property Law only on Legal Bites.
Question: Whether transfer of standing trees of value Rs. 100 or upwards can be done without registration? [Punj JS 2006]Find the answer to the mains question of Property Law only on Legal Bites. [Whether transfer of standing trees of value Rs. 100 or upwards can be done without registration?]AnswerUnder the Transfer of Property Act, 1882, whether the transfer of standing trees of value Rs. 100 or more requires registration depends primarily on the nature and intention of the transfer. If...
Question: Whether transfer of standing trees of value Rs. 100 or upwards can be done without registration? [Punj JS 2006]
Find the answer to the mains question of Property Law only on Legal Bites. [Whether transfer of standing trees of value Rs. 100 or upwards can be done without registration?]
Answer
Under the Transfer of Property Act, 1882, whether the transfer of standing trees of value Rs. 100 or more requires registration depends primarily on the nature and intention of the transfer. If the trees are intended to remain attached to the earth and continue deriving nourishment from it, they are considered immovable property. In such cases, any transfer or sale of such trees of a value of Rs. 100 or more must be effected through a registered instrument following Section 54 of the Transfer of Property Act.
Section 54 stipulates that a sale of immovable property worth Rs. 100 or more can be made only by a registered document. Therefore, if the standing trees are not to be cut down immediately and are sold as part of the immovable property, the requirement for registration is mandatory. This is aligned with the legal position that certain things attached to the earth, like buildings, growing crops, or trees—can constitute immovable property depending on the intention of their continued attachment.
On the other hand, if the transfer is made with the intention of severing the trees, such as when standing trees are sold specifically to be cut and removed, the trees are treated as movable property. In such cases, the transfer would not fall under the ambit of Section 54, and registration would not be required irrespective of the value. This position has been supported in case law, notably in Shantabai v. State of Bombay (AIR 1958 SC 532), where the Supreme Court held that trees intended to be cut and removed could be treated as movable property.
The requirement of registration for the transfer of standing trees valued at Rs. 100 or more hinges on whether they are considered movable or immovable property. If they are to remain rooted and form part of the land, registration is required. If they are to be severed and used as timber or otherwise removed, registration is not necessary.
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