Ownership is the relation that a person has with an object that he owns. The concept of ownership is related with the property. The relation between the things and right over it is ownership.
It is believed that possession of things is the first stage of ownership. Ownership gives full rights over the things, including disposing the property. It is an absolute right which grants the owner the power to exercise absolute control over the property in any way he pleases. However, this right has to be exercised within the confines of law.
According to National civil code 2074 section 266″ If a person acquires the right in any property in accordance with law, his her ownership in that property shall be deemed.
Possession means having physical control or custody over an object or thing, showing that it is under one’s ownership or use.
Possession express the closest and immediate relation of the fact that can exist between a thing and the person possessing it. In legal terms, possession is not only limited to physical control, rather extends to include an intention to exercise that physical control. For possession to exist, there must be an execution of other individuals from its enjoyment. It is a prima facie evidence of ownership.
According to National Civil Code 2074 section 268“If a person holds a property with him or her lawfully with intention to possess the property, the person shall be deemed to have the possessory right over such property.”
Ownership and possession have the same subject matter. Whatever can be owned can also be possessed. These two concepts ownership and possession help distinguish between the de facto possessor of an object and its de jure owner that is, between the person who actually has it and the person who rightfully ought to have it.
The difference between ownership and Possession are as follows :
| Ownership | Possession |
| (i) Ownership is an absolute authority over the property. | (i) Possession is a physical control over the property. |
| (ii) It holds Unlimited and uncontrolled rights over the property. | (ii) It is a limited concept of right. |
| (iii) Ownership is always with the owner of property. | (iii) Possession can be given to someone else. |
| (iv) Ownership is the law of right. | (iv) Possession is law of facts. |
| (v) It is union of Ownership and Possession. | (v) It is a single concept giving no right of ownership. |
| (vi) Ownership right is a wider concept. | (vi) Possession is a right of consumption only. |
| (vii) It is a legal right. it shows legal situation of the property. | (vii) It is a Possessory right only. It shows the real possession. |
| (viii) It is guaranteed by law. | (viii) It is a Physical control over it and can also be guaranteed by law. |
| (ix) E.g: The owner of the house has an ownership right over the house. | (ix) E.g: The tenant of the house. who has lawful possessory right over it. |
