KASHINATH BHASKAR DATAR vs BHASKAR VISHWESHWAR KARVE

The Supreme Court held that the agreement executed by the assignor of the mortgages was not exempt from registration under Section 17(1)(b) of the Indian Registration Act, as it limited and extinguished an 'interest' in immovable property. The Court ruled that the document could not be used under the proviso to Section 49 of the Registration Act since the suit was not for specific performance and no part performance was applicable. Consequently, the agreement could not be utilized to prove the satisfaction of the mortgage amount, leading to the dismissal of the defendant's plea.