If the girl side people would like to cancel the proposed marriage then you may ask them to give it in writing with the reasons for the same and you accept it with a condition that it should not include false allegations of dowry demand. 

If they don't accept the condition then you can ask them to go ahead which can be challenged in the trial proceedings by first obtaining anticipatory bail against the FIR registered in this connection. 

Hundreds of false cases can be filed against anybody. 

One should defend it. Deny all allegations. 

Onus to prove the allegations lie with opposite party .

1. If they themselves want to cancel marriage then filing of dowry harassment case is unlikely. 

2. However to get yourself prepared engage them in written communication of involve neutral family friends or members whereby actual facts leading to cancellation transpires. Record the conversations. 

3. Immediately with written acknowledgement return the gifted items, if any.  Ask for your articles as we.

4. Try to personally resolve the issue amicably.  

Obtain in writing from girl family that they want to cancel marriage 

that no demands for dowry were made by boy family 

in event false dowry harassment case is filed apply for and obtain Anticipatory bail from sessions court 

Since there is no marriage this case may be filed and you better if any amount is legitimately paid have to agree to return.

1. See if they want to cancel the marriage in that case you may mutually settle you may return the gifts and amount if any.

2. Further if no demand is made by you and they gave amount as gift then it does not amount to dowry.

1. Nothing can be done until they actually file the case.

2. If and when the complaint is filed and FIR gets registered under Section 3 and 4 of Dowry Prohibition Act then immediately apply for anticipatory bail.

Dear Sir,

In a landmark judgement, the Nagpur bench of the Bombay High Court has ruled that gifts given by bride's family during engagement function before marriage would not form part of dowry. ... 

Engagement offerings are not dowry: HC

In a landmark judgement, the Nagpur bench of the Bombay High Court has ruled that gifts given by bride's family during engagement function before marriage would not form part of dowry.

Responding to a petition filed before the bench, the Court quashed a police complaint and charge sheet against the petitioners Sunanda Kolkotwar and Bhushan Kolkotwar to punish them for cancelling the marriage and to get back the offerings handed over to them during an engagement. The complaint was filed by the father of the bride-to-be.

It was said that Pankaj Kolkotwar was engaged to a girl of Bramhapuri in neighbouring Chandrapur district on May 22, 2006 at a formal ceremony. During the ceremony, the bride's family had offered petitioners saree and other gifts as per their traditional customs and rituals. After five months’ of the engagement, Bhushan, brother of Pankaj, went to Bramhapuri and asked them for a dowry of Rs 4-lakh. He also warned them that if they did not fulfill the dowry demand, the marriage would be cancelled.

As the bride's family was not able to arrange the money, the marriage was cancelled. However, they lodged complaints with the local Sakkardara police against the members of groom's family.

They prevailed upon the police to register offences under the Dowry Prohibition Act and urged the police to get all the gifts made by them returned.

The police, accordingly, registered offences against the members of groom's family under section 3 and 4 of the Act for cancelling marriage for dowry.

Quashing the cases registered by the police against Kolkotwar family, Justice SS Shinde in his verdict said that if it was customary nature, the traditional giving of presents in engagement functions, they would not attract punishable provisions of Dowry Prohibition Act.

They will not file any dowry case before marriage, 

Just involve some senior society representatives and resolve the issue as soon as possible, gifts,amount,gold etc needed to be returned 

If they file you need to seek anticipatory bail in the same

 - As per section 65 of Indian Contract Act, any person who has received any advantage under such agreement or contract is bound to restore it, or to make compensation for it to the person from whom he received it.

- Further as per section 73, when a contract has been broken, the party who suffers by such breach is entitled to receive, from the party who has broken the contract, compensation for any loss or damage caused to him.

- Further, the party who broke the contract due to mistakes of other party will have also bear the consequences for breaching the contract as well. 

-  Further, breach of promise to marry also attracts an offence of cheating under S. 415 of the Indian Penal Code, if the intention was not to marry at the time of engagement.  

- Since, the girls family wants to broke the engagement , hence there is breach of promise by the bride family , hence you are not responsible for the same , and the bride family is responsible for the same. 

- Further, as your intention is very much to marry with that girl and not to cheat the bride family , by this way you have not committed any offence legally. 

- For your safeguard , you should lodge a complaint against the girls family, after mentioning that they are trying to breach the contract of marriage on the false excuses, and you have done much expenditure for the arrangement of the marriage , and further her family members are also trying to implicate you and your family members in false case of demand of dowry for which they have no proof .

- Further also send a notice to the girls family, after mentioning that you people are very much wanted to perform marriage as promised and agreed at the time of engagement , and have also done expend hefty amount for the marriage programme , and hence if they wanted to broke the marriage , then they should reimburse the same . 

Good luck and dont forget to rating Positively. 

Record everything ie the actual reasons for their refusal to go ahead with the marriage.  Return all their gifts and take a receipt. Engage a lawyer for this purpose. They cannot do anything.

Better record their reason that they themselves cancel the marrige due to boy habit and dowry never demanded. And you willing to return everything.

And also try to reconcile that marrige should not cancel than they will respond the reason. Keep that proof , will use to prove your innocence.

Unless they file some proceedings against you, you should not go to court instead file an NC with the local police if you feel the urgency.

Let the cancellation / calling off of the marriage be captured in writing and signed by both of you.

The reason for cancellation / calling off of marriage be stated as "Mutual Separation".

Let the expenses given by them be returned to them through cheque.

If they file any false case against you, the above will come to your rescue.

In case if any FIR is registered against you, immediately you obtain bail, thereafter, you can go for Quash of the said FIR by producing the above documents.

You can take ground that gift was given by them on there own will and it was not your demand and you are ready to return all the gifts. 

In the present scenario, you can file an "Informatory Petition" in the concerned District & session's Court. In the informatory petition, you need to mention all the facts and situation..

Its important to apply for Anticipatory Bail and immediately later file a Criminal Petition before High Court to quash the Complaint and FIR under Inherent Power of the Court, as criminal case amounts to abuse of process of the Court.

They should have proof of dowry . If they want to dissolve marriage no issue every one has rights to their w=own life and can their own decision. 

You can focus on false dowry case and protect yourself ans your family.