Delhi High Court holds husband cannot claim sole ownership of joint property even if he paid EMIs; wife entitled to 50% proceeds, reinforcing equal ownership rights in marriage.
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NEW DELHI: In a landmark ruling, the Delhi High Court clarified that a husband cannot claim exclusive ownership of a property jointly held with his wife merely because he provided the purchase money or paid EMIs.
A Division Bench of Justices Anil Kshetarpal and Harish Vaidynathan Shankar emphasized that such a claim would violate Section 4 of the Benami Transactions (Prohibition) Act, which bars enforcement of rights in respect of property held benami.
“No person claiming to be the real owner of a property standing in another’s name can either institute proceedings or raise a defence asserting such ownership. Therefore, the combined effect of the presumption of equal ownership between spouses and the statutory prohibition under Section 4 is that the Appellant [husband] is prevented from contending that the amount from the sale of the joint property belongs to him alone,”
the Court observed.
As a result, the wife is entitled to a 50 percent share in the proceeds of the property.
Background of the Case
The dispute arose from a matrimonial conflict. The couple, married in 1999, had been living separately since 2006. The husband initially filed for divorce, citing cruelty and later added desertion to his petition. Meanwhile, the wife sought interim maintenance and claimed her rights in the jointly owned property.
The property in question was a Mumbai flat purchased jointly. After its sale by the bank, the proceeds of ₹1.09 crore were deposited in a joint bank account. While a family court initially ordered the release of funds in favor of the husband, the wife challenged the order in the Delhi High Court.
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Court’s Observations
The High Court highlighted a critical legal principle:
- When a married couple acquires a property in joint names, there is a legal presumption of equal contribution, irrespective of who earns or whose name is on the property.
- Typically, property acquired during marriage is considered to be from common family funds, implying both spouses contributed equally.
The Court ruled that the wife is entitled to 50 percent of the sale proceeds, reinforcing the principle of shared ownership.
Additionally, the Court:
- Denied the husband’s divorce petition
- Ordered the husband to continue paying ₹2 lakh per month as maintenance to the wife
Appearance:
For the husband: Senior Advocate Vaibhav Gaggar with advocates Rohit Anil Rathi, Satish Rai, Yashas RK, Somdev Tiwari and Dhruv Dewan
For the wife: advocate Aman Mehta
Case Title:
SANGEETA GERA versus SANJEEV GERA
MAT.APP.(F.C.) 217/2017
Read Judgment:
