In a specific performance contract there must be a valid date for performing the act of transaction. The validity of the agreement is important .Now the stage is the case before the court. If there is no specific time is not mention or not noted in the agreement then you have to express your unwillingness to continue the contract and rescind from the contract .But you have obligation to pay back the advance amount 1/3rd after taking a compensation amount. So express file written statement before the court that you are always ready and willing to transfer the property, performed the contract but the buyer not ready to pay the balance amount and not ready to register the property in his name . So due in the change of circumstances and change of market price of the property you are not ready to continue with the agreement and withdrawing from it
Is an agreement without date valid?
I signed an agreement for selling a land in 2010. I am not aware of what all things are mandate in an agreement but i have signed a agreement to sell my property. Buyer had paid me 1/3 of total amount through broker but not in person. Now the owner has not paid other amount and prolonged this for 5 complete years despite of several dialogues. The buyer has filed a case in fastrack court in 2014 (inspite he not being faithful in agreement) and even he knowing my address didnt provided my address in the case and later i came to know about this from his lawyer after 8 months the case was lodged by him. Now i wanted to know what all rights do i have as a seller as he didnt provide a valid date in the agreement. I hav the agreement and notice with me and i am even ready to pay him the amount he gave me in 2010 along with interest. How can i cancel this agreement as seller coz i dont feel the buyer is genuine.
8 Answers
1) it is necessary to peruse agreement signed by you to advice
2) was time the essence of contract ?
3) if buyer failed to make payment did you call upon buyer to pay balance amount and be present for registration of sale deed
4) if date had been left blank purchaser must have mentioned date later so that his suit is not barred by limitation
5)the pleadings in the suit filed by buyer has to be perused to advice line of defence to be adopted by you
Since the prospective buyer has not paid the balance amount you can issue a legal notice for cancellation of the agreement to him and forfeit the advance he paid you. In an agreement to sell not only the date on which it is signed is mentioned but it also mentions the date on which the sale deed is to be executed. It seems that the omission of the date was on purpose by the buyer as he wanted to carve out an escape route for himself to evade the execution of the sale deed in a time bound manner.
If you prove that this agreement was execute in the year 2010, then you can very well contest i on the basis of the limitation which is three years only.
You have to challenge the case based on the merits from your side and you can gather evidences supporting your plea.
thank you sir's for the above suggestions. The buyer has currently given injection order in the court and wanted to pay the remaining money now after 4years. I wanted to drop from this agreement and want to opt for cancellation to give back the money given with interest promised. Due to the buyer mistake i dont wanted to loose the property for lesser cost. Is it good to ask for more interest i.e from 1.5 to 2.5% interest on remaining amount?(I wil be ok for that) Will this affect the agreement if the buyer wants to take more power over this conversation. I wanted to know if it is a good decision to ask for more interest from the buyer for settlement, what rights can a seller has to call off the agreement in this scenario, In worst case scenario i have no chances to call off even if i am ready to pay back the money what are the next options for me if the case is disposed at fastrack court.The buyer is from a real estate firm has many such cases in fastrack court with the same cases, I was not able to trace other petitioners but can i use those case info to portrait the buyer ingenuity in the court.
You can demand intetest amount specified in the agreement only
2) you cannot claim higher interest rate
3) you have not mentioned what are the reliefs claimed by the buyer in the suit
4) yiu can take the plea that payme t was made in 2010 and fior 5 years buyer failed to pay balance amount and suit for specific performance is barred by limitation
First you have to peruse the agreement thoroughly .The time is the essence of contract.If there is specific time is mention in the agreement then you have no obligation to sell the property after the expiry of time limit. You have opportunity to ask damages and interest
If the buyer has approached court seeking the relief of specific performance of contract, you may challenge the same based on the limitation aspect.
You can decline to perform your part of contract and indicate court that you are ready and willing to return the consideration amount received by you owing to the rise on the cost of property from the date of original sale agreement till date i.e., 4 years or more.
The court may pass a judgment with the alternate relief of refund of advance amount received.
Contest the case properly with the help of an experienced lawyer.
Get the agreement vetted by a lawyer to know what are your rights thereunder. Without a threadbare perusal of the agreement in question it is difficult to say anything.