Dear Client,
- What are the legal rights and remedies available against the buyer, who is threatening and demanding an unreasonable refund with interest, even though I sold the plot in good faith and the title regularization process is underway?
The concerned plot was sold through the AGPA, at a disadvantageous price, and this price has not been paid off completely. The current dispute has arisen surrounding the concern of this land falling under Government property. If this is accompanied by registration and regularization under LRS, it implies the Government acceptance of the validity of the title.
In Suraj Lam & Industries Vs. State of Haryana (2012), the Supreme Court has established that a sale through GPA or AGPA alone does not transfer the ownership/ title. This means that, unless the said transaction (sale of property) is registered by a sale deed, the legal title of the property rests with you.
It is noteworthy that irrespective of whether the sale was effectuated or not, or whether the amount paid is refundable or not, the threatening behavior showcased by the buyer is punishable under the new penal statute. Section 351 of BNS penalizes acts of threatening another person with the intent to cause fear, coerce them into doing something against their will or restrain them from doing something which they are legally entitled to do. Such threats can be related to the person’s body, property, reputation including deceased persons. Persons found guilty of committing the offence under Section 351 shall punishable death or imprisonment for life, or with imprisonment for a term which may extend to seven years, or to impute unchastity to a woman, shall be punished with imprisonment of either description for a term which may extend to seven years, or with fine, or with both.
Legal principles: Section 54 of the Transfer of Property Act, 1882. Section 351 of the Bharatiya Nagarik Sanhita, 2023.
Hence, at the moment, issue a legal notice to the buyer, stating the Bonafide nature of the transaction along with any proof to substantiate this claim. Point out the Government inquiry regarding the title of the land. Lastly, give intimation of the need to proceed with respect to section 351, if the threats are to continue.
I hope this answer helps. In case of future queries, please feel free to contact us. Thank you.