• Property deal canceled notice by seller after title verification

Hi, I finalized a deal for property and since the deal is within relationship we didn't go in too depth on paper work. The token was given and on plain paper we put down terms as deal should complete in 6 months. A title verification notice was published in news paper with owners approval. Now suddenly owner told me they don't want to sale the property. The sale deed date was not final but the owner sent me legal notice stating my funds were not ready and I didn't went to registrar office on predecided date so we are cancelling the deal and your token amount will not be refunded.
I am still interested in the Property and want to purchase it. Can I go to court and ask the owner to complete the deal?
Asked 8 years ago in Property Law
Religion: Hindu

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7 Answers

1) it is necessary to peruse clauses in agreement signed by you

2) if under clauses in agreement you had 6 months time to make payment then purchaser cannot cancel deal unilaterally

3)reply to notice that you are willing to make payment within 6 months

4) file suit for specific performance of the contract

Ajay Sethi
Advocate, Mumbai
94727 Answers
7536 Consultations

5.0 on 5.0

As a matter of fact in the absence of proper registered sale agreement between you and the vendor. if you have filed any suit in the court, the same would have been rejected in the filing stage itself since this cannot be considered as sale agreement for enforcing execution of sale deed.

However the vendor has done you a favor by sending you a notice stating that since you have not paid the amount by due date the agreement stands cancelled.

This is a clear evidence for the sale agreement which cannot be denied by the vendor.

A sale agreement is generally valid for three years time.

Thus you can file a suit for specific performance of contract to enforce the sale agreement on the basis of his notice to prove that the white paper agreement with witness was indeed a sale agreement.

This should be handled with some technicality.

T Kalaiselvan
Advocate, Vellore
84925 Answers
2196 Consultations

5.0 on 5.0

What do you mean by newspaper title verification?

What role is it going to lay in this subject?

How does it link with the time limit for enforcement of sale agreement?

Be clear in your question so that you can get more proper answers and suggestion to move ahead.

T Kalaiselvan
Advocate, Vellore
84925 Answers
2196 Consultations

5.0 on 5.0

The vendor's gimmicks are not acceptable or maintainable in law.

A sale agreement is generally valid for three years time.

Thus you can file a suit for specific performance of contract to enforce the sale agreement on the basis of his notice to prove that the white paper agreement with witness was indeed a sale agreement.

Newspaper advertisement cannot verifytitle, it is published only to inform the general public about this sale and anyone having objection to this may notify within the stipulated time mentioned therein.

Therefore your vendor cannot take a stand this way.

You can drag him to the court on the basis of is own statement.

T Kalaiselvan
Advocate, Vellore
84925 Answers
2196 Consultations

5.0 on 5.0

1)the agreement did not specify period within which deal was to be completed after title verification

2) it only specified that full consideration was to be paid within 6 months and sale deed executed by purchaser

Ajay Sethi
Advocate, Mumbai
94727 Answers
7536 Consultations

5.0 on 5.0

You should file suit for specific performance as you were ready and willing to make payment to seller within period of6 months specified in agreement

2) it is seller who has cancelled sale deed unilaterally and committed breach of contract

Ajay Sethi
Advocate, Mumbai
94727 Answers
7536 Consultations

5.0 on 5.0

My lawyer is saying that the specific performance suit will not stand in court as there is no registered agreement. So the case will be rejected. How should I proceed.

No doubt the unregistered sale agreement is not valid in law and cannot be an admissible primary evidence, but the court may alternately direct the defendant to refund the amount he had taken from you towards sale consideration.

You will be benefited either way.

T Kalaiselvan
Advocate, Vellore
84925 Answers
2196 Consultations

5.0 on 5.0

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