Transferee Under Execution

Section 49 CPC – Code of Civil Procedure – Transferee.

Section 49 CPC Description

Every transferee of a decree shall hold the same subject to the equities (if any) which the judgment-debtor might have enforced against the original decree-holder.

Section 132 in The Transfer of Property Act, 1882

  1. Liability of transferee of actionable claim.—The transferee of an actionable claim shall take it subject to all the liabilities and equities and to which the transferor was subject in respect thereof at the date of the transfer.


(i) A transfers to C a debt due to him by B, A being then indebted to B. C sues B for the debt due by B to A. In such suit B is entitled to set off the debt due by A to him; although C was unaware of it at the date of such transfer.

(ii) A executed a bond in favour of B under circumstances entitling the former to have it delivered up and cancelled. B assigns the bond to C for value and without notice of such circumstances. C cannot enforce the bond against A.

Liability Of Transferee

A right of set-off is an equity , and if the judgment – debtor has the right to set-off across decree under Order – XXI , Rule -18 , he has the right against  the transferee of the decree holder also.

This section applies to all decrees including mortgage- decrees.

The Judgment –debtor is entitled to claim only those equities under this section which he had against the original decree- holder , and not against his transferee.

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