Initial amount received but not full payment
what if a person buys a property from me and after giving some amount around 25% as byana and does not give d rest amount till years. what should b legal acton. the amount he has given can be forfited?? what else he can do if there is a dispute
Asked 3 years ago in Property Law from Panchkula, Haryana
You can file a case to recover the amount due by him if you are within the limitation period.
It appears that the you are in possession of property.
Consequence of default on the purchaser shall depend upon the terms entered into at the time of agreement to sell. If there is a forfeiture clause in the agreement, you can forfeit the earnest money if it was by way of earnest money. There is a difference between the advance and the earnest money. In the present circumstances you can not sue for recovery of balance amount and at the same time you can not go for specific performance of the contract. For further advice give the details of the agreement to sell.
Advocate, New Delhi
you have not mentioned whether you have entered into agreement for sale with seller ? what were terms and conditions of agreement ? was earnest money received by cash or cheque ? was there any clause making time the essence of contract ? in other words did contract provide that in event full payment not received earnest money would be forfeited ?when was agreement entered into ? you have stated balance amount was not paid for years .
it would be advisable to contact a local lawyer . without complete details we cannot advise .