Sham Title Transfers

Real Estate and Property

Prepared by: Constantinople

A transaction appearing as a sale in the land register may be alleged to conceal the parties' different true intention. Examining a sham transaction requires specific evidence explaining the difference between the apparent agreement and the intended result.

The Apparent and Real Transaction

Not intending the transaction at all differs from using it to conceal another transaction. Non-payment of the price does not invariably establish a sham; it may instead constitute breach of the payment obligation. The transaction's circumstances, the parties' financial and personal relationships, use arrangements and payment traces are assessed together.

The Claimant's Position Matters

Whether you are a party, heir or other third party may affect evidential issues and the claim's legal basis. A deceased person's sham transfer does not cover every form of general sham transaction. A creditor's avoidance claim based on asset diversion is likewise not identical to every action seeking register rectification. The right to be protected is identified first.

Develop the Claim and Evidence Together

The official deed, alleged real agreement, payment movements and the parties' subsequent conduct are compared. If title has passed to someone else, protection of the subsequent acquisition is examined separately. One should not act solely by the action's label without properly connecting cancellation, registration and monetary claims.

Documents to Prepare for an Initial Review

Send each document in its entirety as held by you, rather than only its first page or a screenshot. We determine, according to the file, what authority is needed to obtain missing official records. The following records are helpful at the outset:

• Official sale deed
• Payment and bank records
• Documents showing the real agreement
• History of property use
• Records showing the inheritance or creditor relationship

Why Do the Particular Circumstances Matter?

For example, an allegation that a genuine gift was presented as a sale differs from a dispute caused by the buyer's later failure to pay. The former may focus on intention and appearance; the latter on performance of a valid agreement. The account of the file should enable that distinction.