(1) This Act may be called the Transfer of Property (Validating) Act, 1917.

(2) It shall extend in the first instance, to the United Provinces of Agra and Oudh, provided that the 1[Provincial Government of any Province] may, by notification in the 2[Official Gazette], extend it to 3[the whole or any part of that Province].

Where a mortgage or gift purports to have been effected by an instrument executed prior to the 1st of January, 1915, and such instrument is required by the Transfer of Property Act, 4 of 1882, to be attested, such mortgage or gift shall not be deemed to be invalid by reason only that any person who purported to attest such instrument as a witness did not see the executant sign it, provided that such person before signing his name on the instrument received from the executant a personal acknowledgment of his signature to the same.

Where a claim under any such instrument executed prior to the 1st of January, 1915, has been wholly or in part dismissed, rejected or withdrawn, after the 30th day of July, 1912 and before the commencement of this Act in a Court of first instance or of revision or appeal, by reason only of the fact that some person who purported to attest such instrument as a witness, on having received before signing his name thereon a personal acknowledgment from the executant of his signature to the same did not see the executant sign it, the case may, if the dismissal, rejection or withdrawal has had the effect of invalidating, in whole or in part, the said instrument as between persons claiming thereunder, be restored on review in accordance with the procedure provided by the Code of Civil Procedure, 5 of 1908, for review of judgments, on application in writing made within six months from the commencement of this Act; and on such restoration, the provisions of Section 2 shall apply to such instrument.

Provided nevertheless

(1) that every Court to whom such an application is made shall have a discretion to refuse the same if it is of opinion that such restoration would prejudice the rights of any transferee for value in good faith under any transfer made subsequent to the said 30th day of July, 1912;

(2) that in the event of the decree being passed upon such application in favour of the applicant or his legal representatives, interest shall only be allowed under such instrument at the contractual rate up to the date of the original dismissal, rejection or withdrawal of such claim, and for a period of six months therefrom, and at the rate of 6 per cent. thereafter until realization; and

(3) that in the event of the case being so restored the Court shall be bound by the finding of the former Court, by or before whom the case was dismissed, rejected or withdrawn on any issue of fact which was heard and finally determined by it.

1. Substituted for Governor-General in Council by A.O., 1937.

2. Substituted for Gazette of India by A.O., 1937.

3. Substituted for any other part of British India specified in the notification by A.O., 1937.