• Cancellation of unregistered bianna by seller

Hi Sir,

Good day.
We need advice for a bianna agreement default/ breach from seller, what are the consequences for the seller.

Property is on name of my mother who had passed away recently.
My father made biana on behalf of my mother when she was alive, but no any sale authorisation was given by my mother to my father.

After passing away of my mother, now property is on name of their children by default , who don’t want to sell property.

What are the consequences now, if my father cancels / breach bianna. 
Appx 20% payment cheque was given by buyer but seller has not encashed the cheque.
As per bianna, there is a penalty of 20% payment if seller defaults and also if buyer agrees.
But buyer want to buy the house only.

With above scenario, can you please advice what are consequences for seller if buyer file a legal case?
Asked 4 months ago in Property Law
Religion: Hindu

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10 Answers

Father could not have sold the property without consent of mother 

 

2) he was not POA holder of mother 

 

3) if buyer files case take plea that father was not authorised to sell the property 

Ajay Sethi
Advocate, Mumbai
94800 Answers
7551 Consultations

5.0 on 5.0

Dear client,

The Transfer of Property Act and the Registration Act are two of the laws that govern property matters in India.In your case, the buyer may take legal action if your father cancels or violates the terms of the bianna agreement. In order to execute the contract and force your father to sell the property, the buyer may bring a case for specific performance in court. The court may take into account the provisions of the bianna agreement, including any fines. The lack of your mother's sale authorization, however, could make things more difficult. Your father's ability to sell the property may be contested, and you and your siblings may have rights over it as the legal heirs.

 

Hope this helps you.

Anik Miu
Advocate, Bangalore
8937 Answers
110 Consultations

4.7 on 5.0

Merely being husband does not empower husband to make sale of property of wife. Ever such a sale is illegal. Husband cannot be seller. Subject to terms of agreement sale can be canceled on available grounds. 

Siddharth Srivastava
Advocate, Delhi
1246 Answers

5.0 on 5.0

Rhe legal heirs of the owner is not liable to execute the biana untill or unless their consents were obtained at the time of execution of agreement/biana. You will onlh be liable to return the part payment received from the purchaser. 

Nikhil Gupta
Advocate, Yamunanagar
142 Answers
1 Consultation

4.0 on 5.0

In my opinion,  you should wait and watch. Let them act. See, the way how the buyer act,  only then you should react accordingly with the advice of civil lawyer.  Anyhow, the dispute remain for 20%.  Buyer cannot claim sale under the present circumstances.   

Dalip Singh
Advocate, New Delhi
1084 Answers
36 Consultations

5.0 on 5.0

Without power of attorney deed your father cannot enter into a sale agreement, hence the sale agreement is invalid.

The buyer's case will not be maintainable in case he decides to approach court.

However since the cheque has not been encashed, the same can be returned if the court is directing to return the amount

T Kalaiselvan
Advocate, Vellore
84999 Answers
2206 Consultations

5.0 on 5.0

In  that case the legal heirs of the owner has to return the amount since the owner has expired and the legal heirs would be inheriting the property

T Kalaiselvan
Advocate, Vellore
84999 Answers
2206 Consultations

5.0 on 5.0

- Since, the property is in the name of mother , then in the absence of a registered POA from her , your father is not having any right to sell that property to anyone, and hence the said Bianna agreement is not valid , and it cannot executed by the purchaser. 

- Further, as your father has entered into an agreement with the buyer , then the buyer has his right to recover the paid amount from him legally , but cannot force to transfer the property 

- Further, after the demise of your mother intestate, her property would be devolved upon all her legal heirs equally , and your father has not right to take others share . 

Mohammed Shahzad
Advocate, Delhi
13264 Answers
198 Consultations

5.0 on 5.0

i presume you have receipt of cash payment made . in case buyer files case take the plea that father was not authorised to sell the property  and to recover advance money paid from father 

Ajay Sethi
Advocate, Mumbai
94800 Answers
7551 Consultations

5.0 on 5.0

You can cancel a unregistered agreement but if the other party rights are affected he may approach court

Prashant Nayak
Advocate, Mumbai
31965 Answers
180 Consultations

4.1 on 5.0

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