Is a registered sale agreement valid for disputed property
Hello Sir, a very good evening to you... Sir I have a land from my grandfather and it is disputed and the matter is in court since Year 1975. The matter is still in court and the final decision from the court is pending. But the other party has done registered agreement with some other party to sell their share of land in the year 2014. Sir when there is no final decree or order issued from the court can a person do agreement with some third party to sell that land? Is that agreement valid? I read in Transfer of property act 1882 section 52 that no party can do agreement to sell to third party if there is ongoing suit. It was our family matter and now we are ready to compromise to keep family relations good. Sir kindly suggest what can be done because our families involved in suit want to compromise and dont want to sell that land to third party.
Asked 2 years ago in Property Law from Dehradun, Uttarakhand
1. The agreement is not invalid. However the buyer since has bought a suit property he will be bound by the outcome of the suit pending between you two.
2.If you have read section 52 then read it carefully that i prohibits sale during pendency of suit but does not make it illegal..
3. If you want to compromise then make it asap/ If settlement happens then the seller may cancel the agreement.
1) Please clarify whether any stay has been granted by court restraining sale of land ?
2) if in contravention of court order agreement for sale had been made you can take out proceedings for contempt of court against seller
3) if no stay granted there is no bar for sale of land by defendant
4) you wlll have to amend suit and make purchaser a party to the suit proceedings
1. Sir the person who did the agreement has expired now during that agreement other shareholder in property did power of attorney in his name now the person has expired so do the other shareholder and the legal heirs of the expired member have right to cancel the agreement?
2. The agreement is done by only one member because he was having power of attorney and there is no witness from the sellers side the buyer did agreement in his wife name and is himself the witness.
3. The legal heirs of the expired member is ready to pay the advance money with interest and other expenses so if they dont want to sell the land to whom agreement is done then how to cancel that agreement.
4. We have paid the market price of the land and the sale deed is complete and the land is registered in my name.. now we will submit it in court to close that case. Is our sale deed invalid? We have paid twice the price and stamp duty and wife of the expired member dont know about the agreement did by her expired husband. She is ready to pay to the the advance money taken by her husband with interest and other expenses to the party with whom agreement is done.. Plz help and thanks a lot
Asked 2 years ago
1) you have not bothered to reply to queries raised by me
2) once sale deed is executed title to property passed on to buyer . If you have purchased by regs sale deed seller cannot sell land to third party
3) it is necessary to pursue the various documents cited by you to advice
4) if seller has sold land to third party please clarify as to whether
buyer willing to cancel the agreement ?
The power of attorney after the death of the principal is invalid and the power holder cannot sell the property after that.
Ay sale agreement during the pendency of litigation regarding the suit property is invalid, you may move an application under order XXXIX Rule 1 and 2 for injunction restraining the defendant from alienating the property till disposal of suit.
If the purchaser of the agreement deedis died, his legal heirs can be present in the registrar's office where an application for cancellation of the agreement is moved.
1. The agreement could not have been made. However, it seems that you did not seek a stay order against the execution of the agreement during the suit. In a case of this nature we generally seek a stay against the sale or execution of the agreement till such time the case is decided by the court.
2. If you do not want the property to be sold then the only legal recourse is to seek a stay against the sale from the court.
3. If the sale takes place you will have to challenge it, which will open another round of litigation.
1. Unless there is a stay order, agreement for sale can be executed and registered by any side,,
2. Agreement for sale is not transfer of property, it is an agreement for transfer which is subject to disposition of the court in favour of the seller.
1. You shall have to see what are the terms mentioned in the said agreement to cancel it,
2. Did the deceased seller had collected any amount from the buyer?
3. If yes, then the legal heirs of the seller should refund the said advance to the buyer and inform him that the said agreement stands cancelled hence forth,
4. As per the said Sec. 52 of T.P. Act the sale deed is invalid since you can not transfer the litigated property.