How to recover amount of Market Valu in lieu of Residential Sites
I entered into a Residential Site Sale Agreement to buy two residential sites measuring 30'X40' each at Hiriyur Town, Chitradurga Dist. during 2009 with two individuals well known to me in the locality. I paid advance amounts as agreed. They promised to register the sites in my name or anyone's name whom I suggest within short span of time. But, they prolonged it citing one or the other reason till 30th Jan 2015. In the meanwhile, before completion of 3 years of first agreement, we entered into a new agreement during 2012 to keep Time Factor.
On 30th Nov 2014, they finally promised to complete registration on 30th Jan 2015, and issued cheques dt. 30th Jan 2015 for the amounts arrived at current market rate of residential sites. So that we can recover the amount if they fail to complete the registration. Accordingly, we contacted them on said date, again they failed to fulfil their promise.
Under these circumstance, please advise the legal remedies available to get either the residential sites as per agreement or to recover the market value finally agreed upon arbitration for which we hold cheques.
Asked in Criminal Law from Qatar
For the fulfillment of the contract between you and the second party, it is advisable that you file a civil suit against them for delivering as per the terms of the contract i.e. suit for performance of the contract. if there is an arbitration clause mentioned in the agreement between both the parties, then the dispute at first shall be handled by the appointed arbitrator as per the terms of the agreement. However, before you proceed further with the suit or the arbitration, it is advisable to send a legal notice demanding them to register etc and fulfillment of the promise.
You may proceed and deposit the received cheques for clearance. if the cheques are bounced, different story would come into picture as you may have to file a negotiable instrument case as well.
1. Has any specific time period been laid down in the agreement for registration of the conveyance deed in your favour?
2. If no time period has been laid down then the registration ought to have been done within a reasonable span of time.
3. You have performed your part of the obligation under the agreement by paying the advance amount, whereas the sellers have not honoured their promise to transfer the ownership to you.
4. You may now issue a lawyer's notice to these individuals to register the same, failing which you may file a lawsuit asking them to register the property at the earliest and compensate you in addition to refunding the advance amount.
5. If the clause of arbitration has been provided in the agreement the remedy before the civil court will not be available without availing the remedy of arbitration.
6. You can present the cheques for encashing to the bank. If they are dishonoured you will have to file a case for cheque bounce and recovery against them.
1. You stated " On 30th Nov 2014, they finally promised to complete registration on 30th Jan 2015, and issued cheques dt. 30th Jan 2015 for the amounts arrived at current market rate of residential sites.",
2. Was the promidse given to you in writing?
3. You shall have to deposit the cheques with in 3 months from the date of issue,
4. Deposit the said cheques and in the event of their being dishonoured, file a case u/s138 of N.I. Act for recovery of the amount,
5. You can also file a complaint case before the local District Consumer Dispute Redressal Forum alleging deficiency in service and unfair business practice claiming refund of the amount equal to the present price of same area of similar type of flat in same locality, interest, damage and cost.