• Buying a plot from a GPA Holder

I am planning to purchae a plot in a private layout in Mysore (Karnataka) from a GPA holder.
The layout was developed by GPA holder after receiving GPA from the 4 owners 
in the year 2003. The layout is approved by the concerned authorities.

At that time the GPA was not registered but now in Year 2018 (after 15 years) the GPA holder has paid all the fees and fine in the subregister office and registered the 
old GPA.

Now he wants to sell one of the plot in the layout and I am willing to purchase it.
The GPA holder has paid all the taxes for the plot and he has Khata in his name.

Can I go ahead and purchase this? If so, what procedures to follow while registering this property to my name?
Asked 4 years ago in Property Law
Religion: Hindu

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14 Answers

Since GOA is duly stamped and registered he can sell the plot in approved layout by registered sale deed 

 

2)take 30 years title search to check whether title is clear and marketable 

 

3) check whether seller has original documents of title 

Ajay Sethi
Advocate, Mumbai
94719 Answers
7532 Consultations

5.0 on 5.0

1. YES.... you can purchase the plot, PROVIDED the earlier Sale Deed was duly Stamp Duty paid and duly Registered.  GPA stamp duty and Registration is separate and not related to Sale Deed.

IF Sale Deed stamp duty is not paid , THEN you would become liable for it in future.

2. Consult a local "Property Lawyer" for scrutiny of all related documents, obtain his search /title report and ONLY then proceed.

Hemant Agarwal
Advocate, Mumbai
5612 Answers
25 Consultations

5.0 on 5.0

Hi 

Since the GPA is now registered after the GPA holder complying with the ratification procedure prescribed in law, you may opt to purchase the property . 

However as a matter of abundant caution,  you are also advised to contact the legal heirs of the 4 owners by way of issue of notices (Direct if possible or else through paper publication) to ensure that there are no objections to the proposed transfer of property from the 4 owners or their legal heirs as the transaction has been ratified after a gap of 15 years .

Also kindly ensure to check from the Revenue Records/ Panchayat/ Municipal records  whether the lay out is approved by government and that the approval has been sanctioned in the name of GPA Holder. 

Hope this information is useful. 

Rajgopalan Sripathi
Advocate, Hyderabad
2173 Answers
394 Consultations

5.0 on 5.0

1. Does the GPA confer on him the authority to sell the plot in the first place? A GPA authorising someone to develop a plot does not ipso facto translate into authority to sell it.

2. Unless the GPA is perused nothing can be said.

Ashish Davessar
Advocate, Jaipur
30763 Answers
972 Consultations

5.0 on 5.0

Is this GPA irrevocable and with consideration ? If yes than can purchase.

What agreement executed between GPA holder and owners ?

 

Yogendra Singh Rajawat
Advocate, Jaipur
22636 Answers
31 Consultations

4.4 on 5.0

If the present owner is claiming ownership through a registered GPA, then it is perfectly legal Any person acting upon a registered GPA is as per prescribed law and rules governing conveyance and also as per the supreme court decisions. 

Going forward, you will have to check for any encumbrances, charges or lien in respect of this property, whether all the original documents are available with the present owner, and more importantly if all the approvals for the layout are genuine or not.

Kiran N. Murthy
Advocate, Bangalore
1298 Answers
194 Consultations

5.0 on 5.0

Dear Sir,

GPA sales are banned from 2011 as per the following judgment. Please check with legal expert with all your documents.

=====================================================================================

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 (date) 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  (date),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 (date).

After this we issued a notice to the builder and on reply to notice the builder through its legal counsel sought again time upto (date).Subsequently again a notice was given on (date) to execute the sale deed but the builder again replied by letter and sought extension upto (date) with the same reason that flats are incomplete.After (date) 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 date.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,

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.]

Kishan Dutt Kalaskar
Advocate, Bangalore
6136 Answers
487 Consultations

4.8 on 5.0

Dear Sir,

The GPA HOLDER being the son can transfer including conveyance to you. Thoroughly check the contents of GPA to understand what and how much empowerment he has, whether he has powers to sell the property.
GPA holder has the power to execute sale deed. Check the EC for GPA Registration.
A recent Supreme Court judgment has disallowed GPA way of transferring title to the property. But this dis allowance made was to curb black money exchanging hands, attempts to avoid payment of stamp duty, not having clear title etc. Hence, get clear about why the family is selling through GPA mode, why not a straight sale?

Netravathi Kalaskar
Advocate, Bengaluru
4952 Answers
27 Consultations

4.8 on 5.0

The GPA is the authorized representative of the landlord to sell the property on his behalf. 

If all other aspects are alright then you may proceed with the proposed purchase. 

The khata cannot be transferred in the name of GPA holder hence better obtain a proper legal opinion from a lawyer before venturing into the proposed purchase. 

T Kalaiselvan
Advocate, Vellore
84920 Answers
2195 Consultations

5.0 on 5.0

See if the GPA is registered and the title of property in name of legal owners is clear also all the owners are alive then in case you can purchase the property. Though verify GPA as how it is registered and is there any order for registration or not.

Shubham Jhajharia
Advocate, Ahmedabad
25514 Answers
179 Consultations

5.0 on 5.0

Please note that sale through GPA holder has been declared void by the apex court unless the same is for a genuine transaction. You need to provide all the documents from any local lawyer and get the same scrutinised before proceeding with the purchase. Feel free to contact me

Swarnarka Chowdhury
Advocate, Mysore
1879 Answers
5 Consultations

5.0 on 5.0

Yes you can go ahead

Prashant Nayak
Advocate, Mumbai
31951 Answers
179 Consultations

4.1 on 5.0

1. Yes you can go ahead with purchase of plot from GPA holder.

2. Procedure will be simple as purchasing the property from real owner. 

Mohit Kapoor
Advocate, Rohtak
10687 Answers
7 Consultations

5.0 on 5.0

GPA holder has the power to execute sale deed. Check the EC for GPA Registration and consult a local property lawyer in this regard. 

Mohammed Mujeeb
Advocate, Hyderabad
19299 Answers
32 Consultations

4.7 on 5.0

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