• Sale agreement under dispute

I am the vendor of my father's property. I have since entered into a Sale agreement with a politically connected individual ( wife is a corporator in Bangalore) the agreement was executed on the 16th June 2014. After several attempts the buyer is yet to register the property, despite my final confirmation of execution of sale deed dated 09th March 2015 (Wherein I have expressed my willingness to be available for registering the property) He now comes and expresses that the property does measure as per record? I do not wish to further negotiate or compromise for a rate which he quotes for the property. I have however received money for the property as advance under the said agreement. I would appreciate your kind advice in this matter.
Asked 1 year ago in Property Law from Bangalore, Karnataka
Religion: Hindu
1) you have received full consideration for the sale of property . 

2) agreement for sale has been executed in June 2014 .sale deed executed on 9th march 2015 

3) under provisions of Registration act registration has to be done within period of 4 months from date of execution of agreement.

4) maximum period is 8 months with penalty . 


5) if the purchaser dos not register sale deed the purchaser would not have clear and marketable title to the property . 

6) it is his funeral 
5)
Ajay Sethi
Advocate, Mumbai
23079 Answers
1212 Consultations
5.0 on 5.0
1. Send a Legal Notice under registered post ack.due to the buyer stating that the time agreed upon in the Sale agreement is already over and you have to register the property within 15 days from the receipt of this notice failing which the Vendor will have no obligation and would cancel the agreement of sale and the advance money would be forfeited.  
2. In the Sale agreement there would be a clause of Specific performance and you can refer that in the notice and for breach of contract by the buyer, as agreed at the time of signing the Sale agreement the clause can be enforced, like penalty on the one who committed breach, i.e., Buyer in this case..
Shashidhar S. Sastry
Advocate, Bangalore
1231 Answers
59 Consultations
5.0 on 5.0
1. You have not informed whether the actual measurement varies from what has been mentioned in the sale agreement.

2. if that is so then you have to re-negotiate with price .

3. if not then send him a notice to complete the sale within certain time. if he fails to do so then you can cancel the agreement , return the money and enter into agreement with another one.
Devajyoti Barman
Advocate, Kolkata
5131 Answers
54 Consultations
4.9 on 5.0
Hi, you must go through the clause in the agreement whether is there any time stipulated for competition of the transaction if yes then you have to issue a legal notice ask him to register the property  within 15 days and if he fail to register then the advance paid by him is forfeited so that you will be in safer side.
Pradeep Bharathipura
Advocate, Bangalore
4104 Answers
133 Consultations
4.3 on 5.0
1. Is your father alive or deceased?

2. Have you been authorised to or eligible to be a vendor of your father's property?

3. If yes, then have you kept any clause in the said Sale Agreement executed by you about the time within which the buyer should execute the Sale Deed"

4. Have you kept any forfieture clause in your said Agreement for Sale in case the Vendee fails/refuses to comply with the registration clause of the said agreement?

5. Was there any clause for cancellation of the agreement in case of his not fulfilling any clause mentioned in the said agreement?

6. If yes, then send him a notice stating that you will be compelled to cancel the said agreement and forfiet the agreed amount from the advance paid by him, if he fails to register the Sale Deed within 70 days thereof,

7. If he fails to register with in 7 days, send him a letter of cancellation of the agreement and also refund the balance amount after deducting the forfieted amount from the advance he has paid to you.
Krishna Kishore Ganguly
Advocate, Kolkata
12027 Answers
226 Consultations
5.0 on 5.0
1. Send him the legal letter stating that the said agreement will be cancelled if he fails to register the ded within 7 days,

2. Also mention about the amount you will forfiet from the advance he had pais to you towards advance.
Krishna Kishore Ganguly
Advocate, Kolkata
12027 Answers
226 Consultations
5.0 on 5.0
Hi,
1. If he is not agreeable to the price and the terms already you have agreed while giving you advance , you are no way liable to do anything in this matter.

Time of completing the deal is an essential part in every contract, so hope that you have included a time clause of performance of the contract in the sale agreement 

2. As per the sale agreement is there any clause regarding the return of advance money if the deal is called of due to the purchaser's fault? If the clause allows you to retain the money you should forfeit the  advance amount .
3. what about the time clause regarding the completion of payment and registration, how much time was allowed, if the time mentioned in the sale agreement is over  you can go ahead and take the nest necessary steps to cancel the agreement.
3. Your legal option is to send a legal notice asking him to complete the deal in a given time and also warn him that if he fails to do the deal will be cancelled and the advance money will be forfeited and you will be selling top any new buyer.
Thresiamma G. Mathew
Advocate, Mumbai
1315 Answers
85 Consultations
5.0 on 5.0
Hello,

1) Hope you are a vendor in your capacity as the POA of your father and the POA is registered.

2) The buyer's political connections does not impair your rights as the vendor. Is there a time clause in the Sale Agreement regarding the Registration of the Sale Deed? The buyer is bound to comply with the same.

3)  Regardless of the fact that the Agreement is not registered, the agreement is valid under law of contract.

4) You can issue him a legal notice demanding to come and co operate withe the registration or receive the money advanced to you under the said agreement after deductions in terms of losses you incurred as you will need to look for a new prospective buyer.
S J Mathew
Advocate, Mumbai
1949 Answers
65 Consultations
5.0 on 5.0
1. If the date for registration has been specified in the agreement then the buyer is bound to honour the same regardless of whether he is politically connected or not. You can move to court and sue him for honouring his promise whereupon the court can direct him to do the needful. Political connections will not work in the court. 

2. If you do not wish to proceed further then you may issue a lawyer's notice for cancellation of the agreement to her. The cancellation has to take place within and will be governed by the agreement itself.

3. Unless there is a forfeiture clause you are obligated to refund the advance paid.
Ashish Davessar
Advocate, Jaipur
18049 Answers
445 Consultations
5.0 on 5.0
if you have received earnest money you have power to refuse but if you get whole sale amount then you can't refuse it. buyer is corporator so you don't want to indulge in political web so you should give him a notice through a lawyer that valuation of property has been increasing so you should have to pay additional money if you not completed this contract in giving time, and stipulate a time in the notice. if he uses illegal method on you then notice is the strong evidence against him. don't elevate this issue at this stage but be prepare to take action after giving him ample opportunity.
Shivendra Pratap Singh
Advocate, Lucknow
2693 Answers
41 Consultations
4.9 on 5.0

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