• Indemnity bond for property title

X has purchased a property from Y.   X asks for an INDEMNITY BOND from Y  to indemnify for any claims rleated to the title of the property.  Is this valid and can X claim from Y if some third party disputes the title of the property in a court of law.
Asked 3 years ago in Property Law from Hyderabad, Andhra Pradesh
yes it is valid . indemnity bond is generally insisted upon to safeguard interests of the purchaser . since purchaser has paid consideration for purchase of property he needs to safeguard his interests against any  claims made by third parties
Ajay Sethi
Advocate, Mumbai
31142 Answers
1707 Consultations

5.0 on 5.0

It is valid. On the strength of the indemnity bond the purchaser can bring a legal action against the seller in the event of any third party disputes emanating in respect of the property purchased by him.
Ashish Davessar
Advocate, Jaipur
20371 Answers
537 Consultations

5.0 on 5.0

yes both carry the same level of safety . indemnity clause in sale deed should suffice . it is not necessary to  have separate indemnity bond .
Ajay Sethi
Advocate, Mumbai
31142 Answers
1707 Consultations

5.0 on 5.0

It makes no difference in law. There is no legal obligation to have a separate indemnity bond.
Ashish Davessar
Advocate, Jaipur
20371 Answers
537 Consultations

5.0 on 5.0

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