• Validity of title using a cheque

Hello Sir,
I have purchased a plot on sep 21st 2015 (that its the document date and date of registration) and the sale deed contains that i have paid consideration through cheque no 12345 of xyz bank but no mention of date of cheque. The developer hassnt encashed the cheque yet, will my title on the property be at risk if thte cheque exceeds its validity period of 90 days and if so when is the validity date within which he has to present the cheque? I doubt if he wants to challenge my title by not presenting the cheque and making the sale invalid...pls suggest
Asked 2 years ago in Civil Law from Hyderabad, Telangana
1) cheque validity is 3 months 

2) send reminder to builder to deposit the cheque as its validity would expire by 21st of this month 

3) if no reply is received send another reminder

4) offer to issue  demand draft for sake consideration of required 

Ajay Sethi
Advocate, Mumbai
44300 Answers
2572 Consultations

5.0 on 5.0

1. The sale is completed after exchange of consideration i.e. the plot and money,

2. In your case you have got the plot registered in your name but have not paid the money yet,

3. Issuing undated cheque as consideration is not legal,

4. The title of your property is at high risk and it can be easily challenged by the vendor.
Krishna Kishore Ganguly
Advocate, Kolkata
18151 Answers
438 Consultations

5.0 on 5.0

Not mentioning the date of cheque in the sale deed document shall not be fatal to its execution as apprehended.  
You have paid the entire consideration amount through cheque payment on the date of registration of the sale deed.
It is the problem of the vendor to not to encash the same, you need not worry about it.
If you are so much concerned about it then you may issue a legal notice to him stating that on scrutiny of your bank statement it was fond that the cheque issued towards the sale consideration of the property has not been encashed by him so far and you may advise him to present the same through his banker and realise the payment before the expiration of three months validity from the date mentioned on the cheque.
This will take care of all legal issues that you anticipate to arise at a later stage in this regard.
T Kalaiselvan
Advocate, Vellore
34455 Answers
372 Consultations

5.0 on 5.0

If the cheque no has been correctly mentioned then the omission of date of cheque does not reduce the vigour of the title. It is the duty of the developer to encash the cheque within the validity period thereof. On account of delay on his part to encash the cheque he cannot defeat your title to the property which passed to you when you delivered the cheque to him. 
Ashish Davessar
Advocate, Jaipur
22966 Answers
631 Consultations

5.0 on 5.0

No need to worry. The check date is not mention in the sale deed is not affected unless it is bounce back with out cash in your account.Keep the account as much of cash as written in the cheque amount .

As per the Indian contract act the consideration is already handed over from your side then it is the duty of the vendor to en cash the same. Only think is that the cheque is not bounce back with out cash in your account. Even though send a notice to vendor with regard to this matter immediately for encash the same. Notice can be used as a proof in future. 
Ajay N S
Advocate, Ernakulam
2756 Answers
44 Consultations

5.0 on 5.0

Hi, the validity of the cheque is 3 months form the date written in the cheque.

2. You have given the cheque to him so your part of the obligation is over and he can present the cheque when ever he wants  and you don't bother too much about that.

3. If it is dishonoured then only problem arise and he ask for the amount  but here the sale deed is already registered in your favour he can't do anything.
Pradeep Bharathipura
Advocate, Bangalore
4528 Answers
202 Consultations

4.3 on 5.0

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