Section 13 explained: this guide covers what it means, who it applies to, the step-by-step process, documents required, fees, due dates and penalties in India — so you can stay compliant with confidence and avoid costly mistakes.
Section 13 gives a purchaser or lessee four rights where a person contracts to sell or let immovable property but has no title or only an imperfect title. It also allows a defendant to recover his deposit with interest, his costs and a lien if the vendor's or lessor's suit fails for want of title. Sub-section (2) extends these rules to movable property.
This article follows the consolidated text of the Act consulted (amendments shown up to Act 18 of 2018). Later amendments should be checked before you rely on any provision.
Where a person contracts to sell or let immovable property with no title or only an imperfect title, the purchaser or lessee may (a) compel the vendor to make good the contract out of an interest he later acquires, (b) compel him to procure the concurrence or conveyance of others who are bound to concur, (c) compel him to redeem a mortgage on property sold as unencumbered, and (d) if the vendor's suit fails for want of title, get back the deposit with interest, costs and a lien. Sub-section (2) applies this to movable property too.
The opening words of section 13(1)
"Where a person contracts to sell or let certain immovable property having no title or only an imperfect title, the purchaser or lessee (subject to the other provisions of this Chapter), has the following rights, namely".
Three things to note. The section is about immovable property in sub-section (1). The rights belong to the "purchaser or lessee": the buyer or the tenant. And they are "subject to the other provisions of this Chapter", so the bars in sections 14 and 16 and the rules in the other sections of Chapter II still apply. The Act uses the words "vendor" and "lessor" for the seller and the landlord, and "plaintiff" and "defendant" for the person who sues and the person who is sued.
If you are buying or taking a lease and are unsure about the seller's papers, our team can review the agreement and the title documents with you before money moves.
Clause (a): interest acquired later
"if the vendor or lessor has subsequently to the contract acquired any interest in the property, the purchaser or lessee may compel him to make good the contract out of such interest".
In plain words, a seller who had nothing when he signed but later obtains an interest can be made to honour the contract out of that interest. An invented example: Harish agrees in January to sell a shop he does not yet own to Neha. In March, Harish inherits the shop. Neha can compel him to make good the contract out of that interest.
Clause (b): concurrence or conveyance of other persons
The clause covers two situations.
- "where the concurrence of other person is necessary for validating the title, and they are bound to concur at the request of the vendor or lessor, the purchaser or lessee may compel him to procure such concurrence"; and
- "when a conveyance by other persons is necessary to validate the title and they are bound to convey at the request of the vendor or lessor, the purchaser or lessee may compel him to procure such conveyance".
Printing slip: the text consulted reads "the concurrence of other person is necessary ... and they are bound" (a singular noun with a plural pronoun). Read it as "other persons".
The key condition is that the others are bound to concur or convey at the vendor's or lessor's request. The purchaser or lessee can then compel the vendor or lessor to procure it. The clause does not make the purchaser's remedy lie against persons who are not bound.
Clause (c): redeeming a mortgage
"where the vendor professes to sell unencumbered property, but the property is mortgaged for an amount not exceeding the purchase money and the vendor has in fact only a right to redeem it, the purchaser may compel him to redeem the mortgage and to obtain a valid discharge, and, where necessary, also a conveyance from the mortgagee".
Four elements: the vendor professes to sell the property unencumbered; the property is mortgaged; the mortgage amount does not exceed the purchase money; and the vendor has only a right to redeem. Then the purchaser may compel the vendor to redeem, get a valid discharge and, where needed, a conveyance from the mortgagee. Note this clause names the "purchaser" only, not the lessee. For mortgages in general, see our post on types of mortgage in simple English.
Clause (d): the failed suit by vendor or lessor
"where the vendor or lessor sues for specific performance of the contract and the suit is dismissed on the ground of his want of title or imperfect title, the defendant has a right to a return of his deposit, if any, with interest thereon, to his costs of the suit, and to a lien for such deposit, interest and costs on the interest, if any, of the vendor or lesser in the property which is the subject-matter of the contract."
Printing slip: "vendor or lesser" should read "vendor or lessor".
Here the vendor or lessor is the plaintiff. If his suit is dismissed because he lacks title or has only an imperfect title, the defendant (the purchaser or lessee) has three entitlements: return of any deposit with interest, his costs of the suit, and a lien (a claim on the property) for the deposit, interest and costs on whatever interest the vendor or lessor has in the property.
| Clause | Trigger | Right of purchaser or lessee |
|---|---|---|
| (a) | Vendor or lessor later acquires an interest | Compel him to make good the contract out of that interest |
| (b) | Others must concur or convey and are bound to do so at his request | Compel him to procure the concurrence or conveyance |
| (c) | Property sold as unencumbered but mortgaged for an amount not exceeding the purchase money; vendor has only a right to redeem | Purchaser may compel him to redeem, get a discharge and, if needed, a conveyance from the mortgagee |
| (d) | His suit for specific performance is dismissed for want of title or imperfect title | Defendant gets back deposit with interest, costs, and a lien on the vendor's or lessor's interest |
Section 13(2): movable property
"The provisions of sub-section (1) shall also apply, as far as may be, to contracts for the sale or hire of movable property." The words "as far as may be" signal that the rules apply only so far as they can sensibly fit. A contract to sell or hire a vehicle or machine, for instance, is within the sub-section.
Relationship with sections 14, 16 and 17
Section 13 sits in the group "Contracts which can be specifically enforced", just before section 14 and the group on contracts which cannot. The separate bar on a vendor or lessor who has no title is in section 17, covered in our article on sections 17-18. The position of the sale as such is dealt with in the Transfer of Property Act; our post on sale of immovable property under section 54 of the Transfer of Property Act explains that Act's rules. The preceding section is covered in section 12 on part performance.
Practical checks before you pay
- Ask for the chain of title documents and see who else must sign.
- If the seller says the property is unencumbered, ask for proof that it is clear of any mortgage.
- Record any deposit paid, with date and mode, because clause (d) refers to the return of "his deposit, if any, with interest".
The Act prints no time limit for these suits. For the limitation period for a suit for specific performance, see the Limitation Act article on specific performance and compensation for breach of contract.
Need help with a property deal that has a title problem?
If the seller's title is doubtful, the paperwork and the conduct of the parties decide which of these four rights is open to you. You can have the agreement and title papers reviewed before you decide whether to proceed, renegotiate or sue.
Key takeaways
- Section 13 applies where a person contracts to sell or let immovable property having no title or only an imperfect title.
- The purchaser or lessee may compel the vendor or lessor to make good the contract out of an interest acquired later.
- Others who are bound to concur or convey can be brought in through the vendor or lessor.
- A purchaser may compel redemption of a mortgage where the conditions in clause (c) are met.
- If the vendor's or lessor's suit fails for want of title, the defendant recovers deposit with interest, costs, and has a lien.
- Section 13(2) applies the rules to movable property as far as may be.
Read next
- Sections 17-18 of the Specific Relief Act, 1963: a contract by one with no title, and enforcement with variation
- Section 12 of the Specific Relief Act, 1963: specific performance of part of a contract
- Section 14A of the Specific Relief Act, 1963: power of the court to engage experts
- Section 14: when specific performance cannot be granted
Disclaimer: Based on a consolidated text of the Specific Relief Act, 1963 showing amendments up to the Specific Relief (Amendment) Act, 2018 (in force from 1 October 2018), as consulted on 2 October 2026. Later amendments, notifications under the Act and the law of limitation should be checked. This article is general information, not legal advice; check the official text before acting.