• How to correct previous seller name in sale deed

Hi, 

We are buying a property in which the owners name is misspelt. Currently, a registered GPA holder is selling this property to us. 
How to do we correct the seller's name. 
Also should the sale proceeds be paid to the GPA holder or the original seller.
Asked 5 years ago in Property Law
Religion: Hindu

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18 Answers

1) deed of rectification has to be executed to rectify mistake in seller name 

 

2) sale proceeds should be paid in name of original seller 

Ajay Sethi
Advocate, Mumbai
94720 Answers
7532 Consultations

5.0 on 5.0

The sale proceeds should be paid to original seller . For name correction in earlier deed the retification has to be done by the old seller the person from whom the current seller purchased the property and the present seller.

If previous seller is not available and there is ID proof of current seller attached along the previous deed then the current seller can make affidavit and same can be annexed to.your sale deed.

 

Shubham Jhajharia
Advocate, Ahmedabad
25514 Answers
179 Consultations

5.0 on 5.0

Dear Client,

If GPA with consideration and registered than payment will made to GPA holder. And minor spelling mistake in sale deed have no consequences,

Yogendra Singh Rajawat
Advocate, Jaipur
22636 Answers
31 Consultations

4.4 on 5.0

Hello,

I would advise you to involve the original seller also, so that it is confirmed also that the person has been authorized willingly.

He will get the name rectified before selling it. 

 

Anilesh Tewari
Advocate, New Delhi
18078 Answers
377 Consultations

5.0 on 5.0

A deed of rectification must be executed to rectify mistake in owners name. Involve the original owner and make payment of sale proceeds in original seller name. Through an order in 2011, the Supreme Court (SC) held that transferring property title through GPA is not valid

Swarnarka Chowdhury
Advocate, Mysore
1879 Answers
5 Consultations

5.0 on 5.0

In case of changing the name of the Vendor or any other rectifications/correction in the same deed, you will have to approach the Sub-Registrar before which the Sale Deed was initially registered as the same is a document in possession of a government authority, therefore, the change ought to reflect there in the first place.
One can either file a supplementary Sale Deed or an addendum to the said Sale Deed with the original Sub-Registrar in order to rectify the said error.

Mohammed Mujeeb
Advocate, Hyderabad
19299 Answers
32 Consultations

4.7 on 5.0

Understand that Seller name was misspelt in GPA, in that case they have to get it corrected in GPA registered office. 

G Suresh
Advocate, Chennai
394 Answers
5 Consultations

4.9 on 5.0

You have to file a civil suit in this regard in the Civil Court and get order of the court to rectify the regards as soon as you get the records you have to approach to the register to issue a corrected cocy as per order of the court

Vimlesh Prasad Mishra
Advocate, Lucknow
6852 Answers
23 Consultations

4.9 on 5.0

The GPA holder has to execute a rectification deed with the previous owner

Or the previous seller and your seller himself can execute rectification deed

Check the GPA if it has a power to accept payment on behalf of seller ie a power to sell and receive sale consideration. Also such a GPA has to be registered document 

If the GPA does not contain above power and the GPA is not registered then it will be safe to pay the money to seller only and not to the GPA holder

Yusuf Rampurawala
Advocate, Mumbai
7512 Answers
79 Consultations

5.0 on 5.0

  1. As per the information mentioned in the present query, makes it clear that you are going to purchase a property by way of GPA, but name of the seller is misspelled.
  2. I suggest you to rectify the GPA and get the same registered again with correction in the name of the actual seller.
  3. But, let me tell you that transfer of property via GPA has been upto certain extent has been declared as invalid in he eyes of law. Though there are some exception as it can be used in favour of a close relative of the actual owner.
  4. So, just go with a small inquery with respect to the relation of the person in whose favour GPA has been registered.

Sanjay Baniwal
Advocate, South Delhi
5474 Answers
13 Consultations

5.0 on 5.0

1. The seller's name has to be first corrected in his sale deed. To which end he has to make a rectification deed with his seller.

2. The sale proceeds are to be paid to the owner of the property. Even if there is a clause in the GPA which says that it can be paid to the agent it should still be paid to the owner. The DD/Cheque has to be drawn in favour of owner and handed over to him unless he is out of India.

Ashish Davessar
Advocate, Jaipur
30763 Answers
972 Consultations

5.0 on 5.0

The name should be as per the PAN card. No then wife cannot be second seller if she has no right in the property.

Shubham Jhajharia
Advocate, Ahmedabad
25514 Answers
179 Consultations

5.0 on 5.0

Your name should appear in sale deed as per your PAN and aaadhar card 

 

2) your wife name can be added in sale deed 

Ajay Sethi
Advocate, Mumbai
94720 Answers
7532 Consultations

5.0 on 5.0

Dear Sir,

You may take rectification deed in respect of mis-spelt name of the vendor in the sale deed. It is better to take new sale deed in your name as per PAN details. You can add the name of your wife as joint purchaser if she has PAN card.

You must be aware that from 2011 the Supreme Court banned GPA transactions as per following judgment. You may insist for execution of sale deed by the original owner and his family members.

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No property sale on power of attorney: Supreme Court

 

Property sales through the common practice of general power of attorney (GPA) will not give ownership title to the buyer.

In a landmark judgment that is expected to send a large number of property owners into a tizzy, the Supreme Court held that the GPA method of immovableproperty sales is not a valid form of transfer of property.

A three-judge bench presided over by Justice R. V. Raveendran said that property can be lawfully transferred only through registered sale deeds.

 

"A power of attorney is not an instrument of transfer in regard to any right, title or interest in an immovable property," the bench said, after interpreting various provisions of the law concerning property sales. However, the bench said the judgment will not affect "genuine transactions" under the GPA.

The judgment delivered on Wednesday would have an impact on both freehold and leasehold properties and affect the mode of transfer of property in Delhi and the National Capital Region (NCR) where GPA sales are very common. Even though it can cause some hardship to those who have already purchased property through the GPA, the order will help curb evasion of duties, flow of black money into real estate and also save people from being cheated by unscrupulous owners selling the same property to several people.

 

 

  • Flat sold by builder to third party whem my Agreement to sale was valid

I had executed a Agreement to sale on one flat at Agra U.P. in 02/11/2012 with a validity of 15 months ,after 15 months the builder with mutual consent and reason that the the construction work is not over renewed it for another 12 months upto  28/01/2015,again with the same reason it sought and extension of another 6 months of agreement to sale which was made and agreement to sale was extended upto 22/07/2015.

After this we issued a notice to the builder and on reply to notice the builder through its legal counsel sought again time upto 15/10/2015.Subsequently again a notice was given on 17/10/2015 to execute the sale deed but the builder again replied by letter and sought extension upto 15/07/2016 with the same reason that flats are incomplete.After 15/10/2016 the builder is untraceable and recently he was arrested on forgery charges and currently in jail.On enquiry I came to know that the builder sold my flat that was having valid agreement to sale to third party with sale deed dated  28/06/2014.During this period my agreement to sale was valid but now builder is in jail what is the legal remedy and the party having sale deed has occupied the flat .now what is the legal remedy me to get my flat back.

 

Section 53A in The Transfer of Property Act, 1882

1[53A. Part performance.—Where any person contracts to transfer for consideration any immoveable property by writing signed by him or on his behalf from which the terms necessary to constitute the transfer can be ascertained with reasonable certainty, and the transferee has, in part performance of the contract, taken possession of the property or any part thereof, or the transferee, being already in possession, continues in possession in part performance of the contract and has done some act in furtherance of the contract, and the transferee has performed or is willing to perform his part of the contract, then, notwithstanding that 2[***] where there is an instrument of transfer, that the transfer has not been completed in the manner prescribed therefor by the law for the time being in force, the transferor or any person claiming under him shall be debarred from enforcing against the transferee and persons claiming under him any right in respect of the property of which the transferee has taken or continued in possession, other than a right expressly provided by the terms of the contract: Provided that nothing in this section shall affect the rights of a transferee for consideration who has no notice of the contract or of the part performance thereof.]

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Sec 202 of Indian contract act says irrevocable GPA cannot be cancelled as it is executed for consideration.

Section 202 in The Indian Contract Act, 1872

  1. Termination of agency, where agent has an interest in subject-matter.—Where the agent has himself an interest in the property which forms the subject-matter of the agency, the agency cannot, in the absence of an express contract, be terminated to the prejudice of such interest. —Where the agent has himself an interest in the property which forms the subject-matter of the agency, the agency cannot, in the absence of an express contract, be terminated to the prejudice of such interest." Illustrations

(a) A gives authority to B to sell A’s land, and to pay himself, out of the proceeds, the debts due to him from A. A cannot revoke this authority, nor can it be terminated by his insanity or death. (a) A gives authority to B to sell A’s land, and to pay himself, out of the proceeds, the debts due to him from A. A cannot revoke this authority, nor can it be terminated by his insanity or death."

(b) A consigns 1,000 bales of cotton to B, who has made advances to him on such cotton, and desires B to sell the cotton, and to repay himself out of the price the amount of his own advances. A cannot revoke this authority, nor is it terminated by his insanity or death. (b) A consigns 1,000 bales of cotton to B, who has made advances to him on such cotton, and desires B to sell the cotton, and to repay himself out of the price the amount of his own advances. A cannot revoke this authority, nor is it terminated by his insanity or death."

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Govt tightens power of attorney rules

CHENNAI: The Tamil Nadu registration department has tightened the noose around realtors using power of attorney (POA) for fraudulent land deals. Power of attorney authorizes a person to carry out transactions or act legally on behalf of another.
Under the new rules, a power of attorney holder seeking to carry out a land transaction will have to provide documentary evidence to the sub-registrar to prove that the principal, the person who issued the power of attorney, is alive. The principal has to obtain a "live" certificate with his photograph affixed to it from a registered medical practitioner or a gazetted officer. These certificates are valid for 30 days.

As per a recent order of the inspector general of registration, the new rules are applicable to all POAs registered from February 4. By law, POA is not valid once the principal dies. Section 34 of Tamil Nadu Registration Act says it is the duty of the sub-registrar to ascertain whether the POA holder has the right to execute a transaction on behalf of the principal. But sub-registrars register property documents without bothering to verify whether the principals were alive.
"In Tamil Nadu, where a large number of land transactions are carried out on the basis of POAs to circumvent payment of stamp duty and registration fees. Many instances have been reported of POA holders selling land after the death of the principal. Buyers get into trouble when legal heirs of the principal claim rights over the property. Such cases end up in protracted legal battles and ultimately the sale deeds are declared invalid," said a senior official.
There have been instances of people impersonating land owners and executing fraudulent POAs. In one case, land worth 9 crore on Venkatnarayana Road was sold to a business group based on a POA, reportedly executed by the land owner in 2008. Legal heirs of the land owner subsequently filed a case of forgery against the business group, brokers and others involved in the deal as the owner had died 28 years earlier. When police refused to take prompt action, the owners moved the court.

As per law, the principal also has the right to rescind a POA. "If there is a mention of a consideration (amount) in the POA, the holder can claim that money through legal means. But he cannot claim rights over the property once the POA is rescinded or the principal dies," said the official.


In 2010-11, more than 3.75 lakh POAs were registered across Tamil Nadu for property-related transactions. The number came down to 1.8 lakh last year. It is going up again this year, said the official.



 

Kishan Dutt Kalaskar
Advocate, Bangalore
6136 Answers
487 Consultations

4.8 on 5.0

You need to execute a rectification deed with the same to correct it. It depends on POA and its clauses.mostly the Payment is made to owner

Prashant Nayak
Advocate, Mumbai
31951 Answers
179 Consultations

4.1 on 5.0

You cannot correct the spelling of the vendor in his sale deed.

If the spelling is wrong then he only has to get a rectification deed executed giving correct spelling of his name.

You can pay the sale consideration amount to the GPA holder who is the actual seller.

 

 

T Kalaiselvan
Advocate, Vellore
84921 Answers
2195 Consultations

5.0 on 5.0

You can better have your name spelt as per PAN card whose copy shall be given to the sale deed attached thereon.

Your wife's name can be included as a joint purchaser.

 

T Kalaiselvan
Advocate, Vellore
84921 Answers
2195 Consultations

5.0 on 5.0

you can get a same name affidavit.

No need to make changes in the sale deed 

Anilesh Tewari
Advocate, New Delhi
18078 Answers
377 Consultations

5.0 on 5.0

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