• Cancellation of sale agreement

Hi,
 Myself and my father executed one registered sale agreement to sell lands jointly to 3 of my uncles in the Jan 2003. In the agreement it is clearly mentioned that the buyer has to pay the remaining amount within 2 years and execute the sale. In the year Aug 2006 my father passed away and meanwhile my uncles went to court requesting to execute the sale. However the sale transaction has not been done till now. 

While the court proceedings are still pending without any judgements in favour of either one. Having said that 2 of my uncles are in favour with me now and they are even ready to cancel the sale agreement. 

One of uncle is creating disputes even today. 

So my question is among the 3 joint buyers in the sale agreement can the first 2 of them can cancel the agreement in register office ?

Also how can we dismiss the court case where we have 2 buyers are in favour among the three.
Asked 7 years ago in Property Law
Religion: Hindu

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8 Answers

1. Since 2 are willing to cancel the agreement you can execute a cancellation deed with them whereafter they may withdraw the suit filed by them, whereas the third uncle can continue the suit.

2. The suit is filed within limitation if it is filed within 3 years from the date of execution of sale deed mentioned in the agreement to sell

Ashish Davessar
Advocate, Jaipur
30763 Answers
972 Consultations

Is there an injunction from the civil court against the release of compensation amount? If no such injunction has been passed then you can apply to NHAI for the release of amount after execution of cancellation deed with 2 uncles.

Ashish Davessar
Advocate, Jaipur
30763 Answers
972 Consultations

1) deed of cancellation can be executed between legal heirs of your father and 2 uncles . it should eb stamped and regsitered

2) 2uncles can make application to court that they want to wuith draw case against you / other legal heirs

3) suit would not be dismissed as 3rd uncle is not interested in with drawing the case

Ajay Sethi
Advocate, Mumbai
96808 Answers
7811 Consultations

1) you can furnish NOC of 2 uncles for release of proportionate amount of compensation in your favour

Ajay Sethi
Advocate, Mumbai
96808 Answers
7811 Consultations

1) consent of all three is not necessary .

2) 2 uncles can execute deed of cancellation for their share in property

3) ask regsitrar to pass orders in writing

4) you can file writ to challenge said order

5) in meantime let uncles with draw suit filed by them

Ajay Sethi
Advocate, Mumbai
96808 Answers
7811 Consultations

So my question is among the 3 joint buyers in the sale agreement can the first 2 of them can cancel the agreement in register office ?

Also how can we dismiss the court case where we have 2 buyers are in favour among the three.

The sale agreement already entered into and due to non-performance of contract, the buyers have already approached court for enforcing the contract.

Now without the court's decision, you cannot take any such drastic step to cancel the agreement, especially when one of the buyers is not willing to cancel the sale agreement.

If all the buyers agree for this, then you may have to get a compromise decree from court to proceed in this matter for cancellation or for enforcement.

T Kalaiselvan
Advocate, Vellore
87007 Answers
2335 Consultations

Also the agreement period ends by mid of 2005, my uncles filed a suit only in the year September 2006.

This is a mater of argument before court, the court has to be convinced about this lacuna from the buyer's side.

While 2 of them are in my favour. Is there any way to get the compensation amount ASAP with my 2 uncles help?

If there is a stay in this regard by the court order, then you canot get that, however if there is no restriction by court, then you may proceed to get the compensation amount from the authorities, let the buyer keep grumbling and file more such applications before court seeking to restrain you from receiving the compensation awards.

T Kalaiselvan
Advocate, Vellore
87007 Answers
2335 Consultations

As the agreement executed between 1st and 2nd party where in the second party I.e buyer includes 3 uncles. First 2 are willing and the last is not willing. The local registration body are informing we cannot cancel the deed without all 3. Please enlighten me on this so that I can convince the registar. Property is in tamil nadu.

The registrar is right in mentioning that all the parties are required to give their consent to cancel the registered sale agreement, and if one party is not willing to cancel then only a court order would be binding on them, so you may have to pursue the matter through court only and not otherwise.

More the suit has been filed after 3 years 8 months where in the agreement states that the period as only 2 years 3 months. Any ways the suit is still pending in court.

It is mandatory to wait for the disposal of the case by the court since you people have already approached court seeking solution and remedy.

T Kalaiselvan
Advocate, Vellore
87007 Answers
2335 Consultations

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