Section 51 of The Transfer of Property Act, 1882
When the transferee of immoveable property makes any improvement on the property, believing in good faith that he is absolutely entitled thereto, and he is subsequently evicted therefrom by any person having a better title, the transferee has a right to require the person causing the eviction either to have the value of the improvement estimated and paid or secured to the transferee, or to sell his interest in the property to the transferee at the then market value thereof irrespective of the value of such improvement. The amount to be paid or secured in respect of such improvement shall be the estimated value thereof at the time of the eviction. When, under the circumstances aforesaid, the transferee has planted or sown on the property crops which arc growing when he is evicted therefrom, he is entitled to such crops and to free ingress and egress to gather and carry them.
Summary
- This provision applies when a person who receives land or buildings makes improvements believing in good faith that they are the absolute owner.
- If they are later evicted by someone with a better title, they can require the evicting person to either pay for the value of the improvements or sell the property to them at market value.
- The value of the improvements is estimated at the time of the eviction.
- If the evicted person has sown crops on the property, they are entitled to those crops and have the right to enter the property to harvest them.
Practical examples
FAQ
1. What options does an evicted person have under Section 51 of the Transfer of Property Act, 1882?
Under Section 51 of the Transfer of Property Act, 1882, the evicted person can require the person with better title either to pay the estimated value of the improvements or to sell their interest in the property at its market value.
2. When is the value of improvements estimated under Section 51 of the Transfer of Property Act, 1882?
Under Section 51 of the Transfer of Property Act, 1882, the value of the improvements must be estimated at the time of the eviction.
3. What happens to growing crops when a tenant is evicted under Section 51 of the Transfer of Property Act, 1882?
Under Section 51 of the Transfer of Property Act, 1882, the evicted transferee is entitled to any crops they have planted or sown that are growing when they are evicted, and has free ingress and egress, which means the right to enter and leave, to gather and carry them.
Test yourself
Q1.Under Section 51 of the Transfer of Property Act, 1882, what must a transferee believe in order to claim compensation for improvements upon eviction?
Q2.How is the payment for improvements calculated under Section 51 of the Transfer of Property Act, 1882?
Q3.Under Section 51 of the Transfer of Property Act, 1882, if the evicting person chooses not to pay for the improvements, what must they do instead?
Q4.Under Section 51 of the Transfer of Property Act, 1882, what rights does an evicted transferee have regarding crops they planted that are still growing on the land?
Q5.Under the Transfer of Property Act, 1882, how do Section 50 and Section 51 differ in protecting a person dealing with a defective title holder?