• Property transfer

Sir,

We had a property where we currently live now. A part of which was sold to a family friend in 2010 without any agreement or legal document, the agreement was done between my mother and the other person, both of whom have died. Now that the road to the other property passes through mine, we want to cease the agreement(which was only orally) by returning the money with interest. What are the legal provisions available in this regard?

Thank you
Asked 1 year ago in Property Law from jagdalpur, Chhattisgarh
Religion: Hindu
1. Was the sale deed made? Unless the sale deed was made after the agreement you continue to be the owner of the land.

2. If the sale deed was made then you cannot cancel it now as the ownership stands transferred to your friend. 

3. If only the agreement was made then it can be cancelled only within the periphery of the agreement itself by returning the amount so paid by the buyer. The cancellation cannot be done at the sweet will of the seller.  
Ashish Davessar
Advocate, Jaipur
18061 Answers
446 Consultations
5.0 on 5.0
1) oral sale agreement is valid . but it is difficult to prove oral sale deed
 
2) the validity of oral sale has to be proved by testimony of witnesses .

3) you have not mentioned how was consideration paid ? 

4) was it by cash or cheque?

5) as on date both the seller and purchaser are dead . 


6) if the purchaser legal heirs are willing refund money received with interest . 

7) obtain letter from them that oral sale has been cancelled and   X amount has been repaid  with interest  in full and final settlement of claims 



Ajay Sethi
Advocate, Mumbai
23126 Answers
1215 Consultations
5.0 on 5.0
1.Since there is no written legal agreement which can be enforced now, it is better to return the money with interest to the legal heirs of the family friend.
2.Are the legal heirs of the family friend aware of the transaction done in 2010?.
3. The legal heirs of the family friend will not have any legal right to claim the property.  However, morally they will have the right.
4. Better to settle the issue amicably.
Shashidhar S. Sastry
Advocate, Bangalore
1233 Answers
59 Consultations
5.0 on 5.0
Hello,
1) There cannot be a sale without an agreement. And for the agreement to be valid it has to be resisted with payment of stamp duty and registration charges.

2) This means legally there has been no sale and the friend is illegally occupying your property.you can issue him legal notice asking him to vacate .In case he fails to vacate you can file a police complaint to get him vacated.

3) if you choose to settle the matter amicably you can negotiate with him and ask him to accept the money with interest and peacefully handover the possession of the property to you.

S J Mathew
Advocate, Mumbai
1950 Answers
65 Consultations
5.0 on 5.0
Hi,
 1. Go ahead with a settlement  make an offer to return money with interest , as there is legally you cannot cancel the sale after receiving the agreed consideration without the consent of the purchaser.purchaser. What was the mode of receiving the consideration. In fact no legal provision to cancel the sale, and they can demand you to cooperate to honour the contract and  complete it 
2. That possession is sufficient to  show their claim and the oral agreement along with the witnesses and mode of payment of consideration if paid in cheque or bank transfer of any form.

3. The purchaser can demand you to agree for the  registration of the sale deed. 

4. You cannot nullify/ cease  the oral agreement between the then seller and purchaser without the consent of the present legal heirs f the purchaser.
Thresiamma G. Mathew
Advocate, Mumbai
1316 Answers
85 Consultations
5.0 on 5.0
The agreement is a valid agreement even though it is oral. However it is difficult to prove an oral sale deed and it must be corroborated by the testimony of the witnesses who were present when such a deed was drafted and signed. Further, since both the seller and the purchaser are not alive so it is advisable that to cancel the said agreement, repay the amount and take a receiving letter from them that oral sale stands cancelled and the party has received the paid amount as a full and final settlement to any claim made as regards the said agreement.
Shaveta Chaudhary (Sanghi)
Advocate, Chandigarh
821 Answers
60 Consultations
5.0 on 5.0
1) there is no evidence of transaction . has your mother given any receipt for payments made ? are there any witnesses to said transaction ? 

2) better arrive at an amicable settlement . if purchaser is willing to accept refund with interest do so 

3) or let purchaser legal heirs move court . with seller and purchaser dead and all payments made in cash it would be difficult to prove oral sale
Ajay Sethi
Advocate, Mumbai
23126 Answers
1215 Consultations
5.0 on 5.0
1. Sale cannot be made orally. You continue to be the owner of the land.

2. It comes out from your query that your mother had made the agreement, but the sale was not made, which implies that this person may now sue you for breaching the agreement. 

3. You are free to use the property in the manner you desire. Let the other party go to court and seek appropriate orders. You will be given an opportunity to contest his case.
Ashish Davessar
Advocate, Jaipur
18061 Answers
446 Consultations
5.0 on 5.0
1. You can very well claim the property which your mother had sold to your family friend,

2. You can refute their claim that your mother had sold it to them,

3. You can file an eviction suit against them,

4. The only damage will be the respect of your mother since you know it very well that she had sold the said property athe family friend fter taking money,

5. You can not take back the sold property after returning the money paid by them with interest since in that case you will admit that your mother had sold portion of theproperty to the other deceased person after taking consideraion and the sale deed was not registered,

6. Engage a local lawyer for filing the said eviction suit.
Krishna Kishore Ganguly
Advocate, Kolkata
12043 Answers
228 Consultations
5.0 on 5.0
1. There are two aspects in your matter. One is approach road and the other is your desire to claim back the said property sold by your mother orally without executing and registering any deed,

2. If the residency of the other person is established in your portion of the property in any capacity (as tenant, owner or licensee occupier), you shall have to provide them ingress and outgress,

3. Even witout your signing any agreement with them their residency upon your said portition of premises can be establshed by them by submitting any other document wherein the said address has been shown as their residence.
Krishna Kishore Ganguly
Advocate, Kolkata
12043 Answers
228 Consultations
5.0 on 5.0

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