• Is sale of agreement " BYANA" registered with Notary valid ??

I am going to purchasing a plot from a join owner (in re-sale) and going to execute sale agreement i.e. “BYANA” on 21.10.2016. I want to register the sale agreement i.e. “BYANA” with the sub registrar but sub-registrar’s office following the old practice of first registering the sale agreement i.e. “BYANA” with notary and then came for registration of sale deed with his office and he also refused to register the sale agreement i.e. “BYANA” as I came to know from his office, as there is no time to go to appeal to Registrar in case of his refusal for registration of sale agreement i.e. “BYANA”, which is a time consuming process as well as only God can learnt them law. Further, If I have not executed the sale agreement i.e. “BYANA” on time I may loose the deal. Does registering the sale agreement i.e. “BYANA” with NOTARY have same legal validity as registering the agreement with the SUB REGISTRAR? And what happen if seller refused to execute sale deed after registering sale agreement i.e. “BYANA” with the Notary, do I lost everything Money and Plot? Is registration of sale agreement i.e. “BYANA” with Notary have any help in Part Performance under Section 53-A of the Transfer of Property Act read with Section 17 and 48 of Indian Registration Act, 1908 ? and please guide how I would secure sale agreement i.e. “BYANA” and consequently sale deed along with relevant provisions so that i may help as eye opener for me and Registrar/Sub-Registrar please reply before 19.10.2010, so that I would move accordingly….. thanks you in anticipation of early reply….
Asked 7 years ago in Property Law
Religion: Hindu

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5 Answers

1) notarised agreement for sale is binding between parties

2) it is always advisable to insist on registered agreement for sale

3) SC in case of Suraj Lamp Industries v. State of Haryana. has held that unless a sale transaction in an immovable property involving a value of more than Rs. 100/- is properly registered by paying appropriate stamp duty and registration charges, the sale transaction is not complete and the buyer cannot get clear ownership title.

4) in respect of an immovable property a SALE DEED is required to be compulsorily registered, and only then the buyer would get a clear title,

5) your agreement for sale would contain clause that in case seller refuses to execute sale deed on full payment being made purchaser can file suit for specific performance of the contract

Ajay Sethi
Advocate, Mumbai
94689 Answers
7526 Consultations

5.0 on 5.0

1. Notarization has no legal value but you must understand that these notaries and registrars work on the theory of reciprocal benefits. An agreement for sale can be registered directly in the office of sub-registrar without it being notarized.

2. If the sale deed is not executed by the seller after the sale agreement is signed by him the buyer can file a suit for specific performance against him to seek directions from the court to the seller to register the sale deed.

3. Section 53-A has no nexus with the registration of notarization of sale agreement.

Ashish Davessar
Advocate, Jaipur
30763 Answers
972 Consultations

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1) you can enter into MOU or agreement for sale have it notarised

2) as mentioned earlier it is always advisable to register agreement for sale

3) in case seller commits breach of terms of agreement you can file suit for specific performance to direct seller to execute regd sale deed

4) possession would be handed over only after full consideration has been paid and regd sale deed executed by the seller

Ajay Sethi
Advocate, Mumbai
94689 Answers
7526 Consultations

5.0 on 5.0

Does registering the sale agreement i.e. “BYANA” with NOTARY have same legal validity as registering the agreement with the SUB REGISTRAR?

Notarised document with regard to transaction of immovable property is not valid in the eyes of law, only registered documents will be legally valid.

And what happen if seller refused to execute sale deed after registering sale agreement i.e. “BYANA” with the Notary, do I lost everything Money and Plot?

Then you may have to file a suit for specific performance of contract to seek your relief.

Rest all other things are not to be bothered about it at least for the present, go for practical procedures so that you are not cheated and also ensure proper legal relief keeping in view the future about it.

T Kalaiselvan
Advocate, Vellore
84890 Answers
2190 Consultations

5.0 on 5.0

otarised agreement for sale is binding between parties and you said Notarization has no legal value ...??? What is right ??

Notarised agreement i respect of immovable property is not legally enforceable in the court.

.but at present I am going to execute sale agreement with owners means term and condition for registration of sale deed and transfer of title to my name after registration of sale deed ....do this sale agreement will need to register at sub registrar or registration with notary is sufficiant,

Notarized sale agreement is not legally enforceable in court if there arises any dispute in this regard in future.

do sale agreement registred with notary will be taken for specific performance of contract ???? And seller can be sued if refused to go with the terms (of registration and execution of sale deed) of agreement to sale registered with notary in terms of specific performance. ....????

In case of any dispute in this regard in future, then this agreement duly notarised shall be considered as money receipt for return of the sale consideration by the court.

As sale agreement even if registred with registrar would not entite possession until and unless sale deed will not executed and registred ...

It will be a strong evidence to file a specific performance suit.

Further sirs, do stamp duty paid at the time of registration of sale agreement be adjusted to the total duty paid at the time of registration of sale deed ??? As deal is single but in two steps agreement and deed ....!!! Please tell relevant act along with relevant cluase /sub clau

The stamp duty paid during sale agree men shall be adjusted out of the stamp duty to be paid at the time of registration of sale deed.

T Kalaiselvan
Advocate, Vellore
84890 Answers
2190 Consultations

5.0 on 5.0

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