Movable and Immovable Property

Movable and Immovable Property

I. Statutory Basis

The Transfer of Property Act, 1882 (TPA) deals with immovable property, while movable property is generally governed by the Sale of Goods Act, 1930 and general principles of ownership.

Definitions

Immovable Property

Sec. 3, TPA: Immovable property does not include standing timber, growing crops, or grass.

Sec. 2(6), Registration Act, 1908: Includes land, buildings, hereditary allowances, rights to ways, lights, ferries, fisheries, etc.

General Principle: Anything attached to the earth or permanently fastened to things attached to the earth is immovable.

Movable Property

Not specifically defined in TPA.

Sec. 2(9), Registration Act, 1908: All property other than immovable is movable.

General Principle: Property which can be moved from one place to another without losing its identity is movable.

II. Distinction Between Movable and Immovable Property

BasisImmovable PropertyMovable Property
DefinitionLand, benefits arising out of land, attached to earth.Property not attached to earth, can be moved.
ExamplesLand, houses, trees rooted in soil, mines, rights of way.Vehicles, jewellery, furniture, crops after severance, money.
TransferRequires registration if value exceeds ₹100 (Sec. 54, TPA).Simple delivery or sale, no mandatory registration.
TaxationAttracts stamp duty and registration charges.No stamp duty (except in specific cases).
PossessionSymbolic (documents/title deeds).Actual physical delivery possible.

III. Judicial Interpretation (Case Laws)

Standing Timber, Growing Crops, Grass

Shantabai vs. State of Bombay (1959 SC)
Held: Right to cut trees and take away timber is a profit à prendre, hence immovable property.

Mineral Rights

State of Orissa vs. Titaghur Paper Mills (1985 SC)
Held: Rights to cut and remove bamboos growing on forest land is immovable property, as it is a benefit arising out of land.

Trees

Smt. Shantabai vs. State of Bombay (1959)
Trees standing and rooted in earth are immovable; once cut, they become movable.

Right of Way / Easement

Anand Behera vs. State of Orissa (1956 SC)
Right to collect fishery from a lake = benefit arising out of land, hence immovable property.

IV. Importance of Distinction

Transfer Requirements – Immovable property transfers require registration and written instruments (Sec. 54, TPA), whereas movable can be transferred by delivery.

Legal Remedies – Different remedies apply for trespass, possession, and ownership depending on whether the property is movable or immovable.

Taxation & Duties – Immovable attracts stamp duty, movable generally does not.

V. Conclusion

Immovable property = land + benefits arising out of land + attachments to the earth.

Movable property = everything else that can be shifted without losing identity.

Courts consistently focus on degree of attachment to the earth and intention of permanence to decide whether property is movable or immovable.

⚖️ For exams:

Start with definitions (TPA + Registration Act).

Give distinction table.

Add 4–5 important case laws (Shantabai, Anand Behera, Titaghur Mills).

Conclude with importance.

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