I had purchased a 1 acre land in 1999. I have been in possession in it since then. Since 2012 I have made a layout of the land and divided into plots. I have already sold some plots to people.
Now i have got information, that previous owner had entered into sale agreement and gave a general power of attorney to another party (A) in 1991. However the concerned party died in 1998 and they sold this land to me in 1999.
Apparently during this period the Party A (GPA holder) had mortgaged this land with some private financiers who have used influence and political pressure to get this land registered on their name through Party A's legal heirs.
Please suggest what legal recourse i can take, if i file a case what time frame would it take and what actions i may take on the people who executed this transaction.
Asked in Property Law from Hyderabad, Telangana
1) when was land mortgaged ? was it prior to sale of land to you
2)when was registration done ?
3) if land had been registered to you in 1999 and subsequently legal heirs of power of attorney holder had executed sale deed in favour of mortgagor you have to file complaint of cheating , criminal breach of trust against the legal heirs
4)you have to move court to set aside sale deed executed by A legal heirs in favour of the financiers
1. The GPA ceases to exist after the demise of the principal or agent.
2. You should file a suit for declaration of your title and for declaration of the GPA on the basis of which the land was registered as illegal. If you are out of possession then a suit for recovery of possession as a consequential relief is also required to be filed.
3. The time frame would be 2-3 years.
Land was mortgaged in 1995 by GPA Holder, who got registered GPA in 1991
Same land was sold to me via registered sale deed soon after demise of GPA holder in 1999, by principal owners.
Now in 2016, legal heirs of GPA Holder have sold the land to the financiers with whom it was mortgaged.
what are their chances of getting stay or injunction and what are my chances of winning the case?
Asked 7 months ago
1) if land was mortgaged by GPA holder then owner could not have created third party right on land
2) was the mortgaged registered ?
3) wete original documents of tithe handed over to the lender ?
4) do you have the original documents of title ?
5) legal heirs of POA could not have executed sale deed in favour of lender
6) contact a local lawyer and move court as advised earlier
You have to file a suit for declaration of title, cancellation of agreement of sale, cancellation of mortgage deed with consequential reliefs of not to interfere and not to alienate the property against the legal heirs of another party A an as well as the financier. Since you bonafidely purchased said land by paying total sale consideration under a registered sale deed executed by its lawful owner in the year 1999 and you are in possession of the land as such you are having rights and title over said land. You are having good case. The time for said case would be depends on the time available with concerned Court, availability of the advocates on records, witnesses, parties and evidence. Generally a declaration suit will take 2 to 3 years.
The sale deed was executed in your favour, thereafter the heirs of the GPA holder could not have sold it. You should file a suit for declaration of your title and for cancellation of the sale deed made by the heirs of the GPA holder as they have practiced fraud and cheating. Also seek injunction to restrain the buyer from taking the possession. Your chances are fair, act swiftly.
Your vendor has played fraud on you by suppressing the fact that this property was already under a sale agreement.
It may be said that after the death of the GPA the power deed automatically stands cancelled, but what about the registered sale agreement entered with the said buyer cum GPA agent?
Your vendor should have got it cancelled, but for wrongful gains he did not do so and sold the property to you fraudulently suppressing the existing facts of the transactions or encumbrances in the property.
It was your fault too that you did not obtain legal opinion from a lawyer just to avoid the legal fees.
Had you done it, you would have come to know about the existing encumbrance in the form of registered sale agreement.
Now no doubt you can initiate some criminal action against the vendor but it is badly barred by limitation for any such complaint.
You have to face the cases to be filed against you by the so called private financiers.
The law is that after the death of GPA, the deed automatically stands revoked.
The legal heirs of GPA have no right to sell the property to anyone including the mortgagor.
The GPA has no right to mortgage the property hence the mortgage deed is also invalid.
You may have to defend yourself based on the above details and with any other additional and relevant details.