Hindu Joint Family Property

IF A PURHCASER/AUCTION PURCHASER NEGLECTS TO VERIFY THE ANTECEDENTS OF THE PROPERTY, LIKE A PRIOR MORTGAGE, CHARGE OR TENANT LIVING IN THE PURCHASED PROPERTY, THEN HE HAVE TO PAY FOR THESE LIABILITIES OUT OF HIS OWN POCKET: THAT’S WHAT CALCUTTA HIGH COURT HELD IN “JNANENDRA NATH ROY V/S SHASHI MUKHI DEBYA”

Charge is entirely different from the a mortgage defined under Section 58 of Transfer of Property Act, 1882. If a mortgage (colloquially called “Girwi rakhna” in North India) of Rs.100 remains unpaid to the Mortgagee (the person who gives the loan on the security of the property) and the Mortgagee brings a suit for Foreclosure and Sale of the property whereby the property is sold for Rs.60 then the Auction Purchaser have to just pay the bidding amount to the Mortgagee and nothing more.

IF A BROTHER GETS HIGHER SHARE ON PARTITION OF HINDU JOINT FAMILY PROPERTY, HE MUST ALSO COMPENSATE HIS SIBLINGS FROM HIS SHARE TO EQUALIZE PARTITION: THAT’S WHAT MADRAS HIGH COURT HELD IN “MANICKAM PILLAI VS AUDINARAYANA PILLAI”

So in order to avoid any future disputes it is better to have a registered Partition Deed or Family Settlement whereby a Charge or Mortgage is created on the property of the sibling who have been more fortunate on Partition.