Pre-emption under SAT Act Maintainable Despite Specific Performance Decree

Rajib Kumar Deb : A pertinent legal question arises as to whether a pre-emption case under Section 96 of the State Acquisition and Tenancy Act, 1950 is maintainable when a person obtains a sale deed based on a judgment and decree under the Specific Relief Act, 1877.
Section 96 of the SAT Act confers a right of pre-emption in cases of transfer of land, which includes sale, gift, exchange, or partition. Importantly, the law contemplates that the transfer must be voluntary and not compulsory or involuntary.
In cases where a sale deed is executed pursuant to a decree under Section 12 of the Specific Relief Act (specific performance of contract), the court enforces a contract for sale that was voluntarily entered into by the parties. Although the sale deed is eventually executed through court intervention, the original transaction stems from a voluntary agreement between the seller and buyer. Thus, the subsequent court enforcement does not alter the voluntary nature of the transfer.
Section 96(10) of the SAT Act stipulates certain exceptions where the right of pre-emption does not apply. These include transfers by way of exchange, gift, inheritance, or wakf (endowment), among others. Notably, a sale pursuant to a decree for specific performance does not fall within these exceptions.
Therefore, a sale deed executed in compliance with a decree for specific performance remains a “sale” within the meaning of Section 96 of the SAT Act. Accordingly, the right of pre-emption is maintainable in such cases.
The Author is Senior Assistant Judge, Cumilla