Priority of rights created by transfer
Section 48 of the Transfer of Property Act, 1882 deals with priority of rights created by transfer. Where a person purports to create by transfer at different times rights in or over the same immoveable property, and such rights cannot all exist or be exercised to their full extent together, each later created right shall, in the absence of a special contract or reservation binding the earlier tra The Act came into force on 01 Jul 1882.
Where a person purports to create by transfer at different times rights in or over the same immoveable property, and such rights cannot all exist or be exercised to their full extent together, each later created right shall, in the absence of a special contract or reservation binding the earlier transferees, be subject to the rights previously created.
Section 48, The Transfer of Property Act, 1882 (Act 4 of 1882).
Related judgements & precedents
These are some judgments that construed this section, and hold precedence value. They hold authority on how to read, interpret and use this section.
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Kamla Engg. vs Punjab National Bank
Court's Decision & Legal Precedent
The dues of a secured creditor have priority over and shall be paid in priority to all other debts and government dues including Central Excise dues. An auction purchaser who purchases a mortgaged property from a secured creditor in an auction conducted under the Recovery of Debts Due to Banks and Financial Institutions Act, 1993 is not liable to pay the dues of the erstwhile owner/borrower/assessee that are claimed by the Central Excise Department or other government agencies, provided such dues do not arise from the utilization of the property itself and no charge has been created and notice given to the purchaser. The secured creditor's right of priority is established through Section 31B of Recovery Act 1993, Section 26E of Securitisation Act 2002, and Section 11E of Central Excise Act 1944, all of which have retroactive application to live and existing debts. A charge on immoveable property can only be enforced against a transferee if: (1) a charge has been validly created, and (2) the transferee had notice of such charge. In the absence of either element, the charge cannot be enforced against the transferee.
On this section: Section 100 defines charge and provides that charge cannot be enforced against transferee without notice. Section 48 establishes priority of earlier created rights over later created rights on same property. Section 58 relates to mortgage creation.
The holding above is the ratio decidendi as extracted from the judgment by eCourts India, reproduced unaltered — it is a rendering of the court's reasoning, not a substitute for its words. Read the order itself before relying on it.
Questions about Section 48
What have the courts held on Section 48 of the Transfer of Property Act?
Kamla Engg. vs Punjab National Bank (10 Aug 2020) is the leading judgment on this section among those set out below: Section 100 defines charge and provides that charge cannot be enforced against transferee without notice. Section 48 establishes priority of earlier created rights over later created rights on same property. Section 58 relates to mortgage creation.
How do I find court cases under Section 48 of the Transfer of Property Act?
In judgments and charge sheets this section is written several ways, and each form finds a different set of orders. These search the full text of every order eCourtsIndia holds, best matches first: TP Act 48, section 48 TP Act, section 48 of the Transfer of Property Act. People searching for it also type tampa 48 hour film project. Each opens the full list of orders on eCourtsIndia, where it can be narrowed by court, year and outcome. 1 reported judgment on this section is set out on this page, beginning with Kamla Engg. vs Punjab National Bank (10 Aug 2020).
When did Section 48 of the Transfer of Property Act come into force?
Section 48 of the Transfer of Property Act, cited as TP Act 48, came into force on 01 Jul 1882, having been enacted on 17 Feb 1882. It is in force as at the date shown on this page.
Other sections of this Act
- 55. Rights and liabilities of buyer and seller1096 words
- 108. Rights and liabilities of lessor and lessee1030 words
- 69A. Appointment of receiver892 words
- 3. Interpretation-clause658 words
- 35. Election when necessary614 words
- 58. Mortgage , mortgagor , mortgagee , mortgage-money and mortgage- deed defined554 words
Source and method. Compiled from the enactments of Parliament and of the State legislatures as published on India Code, and republished together with commentary and other original matter under section 52(1)(q)(ii) of the Copyright Act, 1957. Structured, cross-referenced and maintained by eCourtsIndia. Text as in force on 14 Oct 2026. This page is not a substitute for legal advice.