(1.) The essential question which must be answered in this enquiry is whether under section 53-A of the Transfer of Property Act protection can be provided to the possession given in pursuance of an agreement to sell without obtaining permission under section 47 of the Hyderabad Tenancy and Agricultural Lands Act.
(2.) The facts as found by the Courts below are not now in dispute and lie in a narrow compass. The plaintiff instituted a suit for declaration of title and recovery of possession on the strength of his title. The defence was that the plaintiff executed; an agreement to sell the suit property to the 2nd defendant on 27th April, 1955, and transferred possession in pursuance of the same. The doctrine of part performance was therefore pleaded in defence. Both the Courts below have found that the agreement, Exhibit A-1, was executed by the plaintiff and that the possession of the defendants is in pursuance of the same and the defendants can therefore validly set up a defence under section 53-A of the Transfer of Property Act.
(3.) The principal contention of Mr. K. Madhava Reddy, the learned Counsel for the appellant, is that, the agreement to sell without obtaining the permission for transferring possession in pursuance of such an agreement is illegal under section 23 of the Contract Act and no protection can be given to such a possession under section 53-A of the Transfer of Property Act. In order to appreciate this contention it is necessary to read section 53-A of the Transfer of Property Act.