In Brief
The appellant sought specific performance to compel a property promoter to execute and register a flat purchase agreement. The trial court rejected the suit, holding that Section 4 of the Maharashtra Ownership of Flats Act required a formal written agreement before any payment, and without it, no enforceable rights existed. The Supreme Court allowed the appeal, holding that while Section 4 is absolute, Section 4A provides an override: an unregistered agreement may be enforced as evidence of a contract in suits for specific performance or as evidence of part performance under the Transfer of Property Act. The offer letter combined with the appellant's payment constituted a binding agreement despite lack of formal registration. The suit was remitted to trial.
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