Distinguish between the following: Actionable claim and Non-actionable claim.

CS Executive · Economic, Business and Commercial Laws · PYQS · December 2023
Distinguish between the following: Actionable claim and Non-actionable claim.

Answer & Explanation:

Actionable Claim: "Actionable claim" is defined in Section 3 of the Transfer of Property Act as follows: A claim to any debt, other than a debt secured by mortgage of immoveable property or by hypothecation or pledge of moveable property, or to any beneficial interest in moveable property not in the possession, either actual or constructive, of the claimant, which the Civil courts recognize as affording grounds for relief, whether such debt or beneficial interest be existent, accruing, conditional or contingent. Non-Actionable Claim Debentures are secured debts and therefore not regarded as actionable claims. Copy right though a beneficial interest in immoveable property is not an actionable claim since the owner has actual or constructive possession of the same ( Savitri Devi v. Dwarka Bhatya, (1939) All 305 ). Again, an actionable claim includes a beneficial interest in the moveable property not in possession. Now, a benefit of a contract for the purchase of goods is a beneficial interest in moveable property.

Topics: Transfer of Property Act, 1882

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