Cancellation of flat before agreement
I have booked an apartment by signing the application. The agreement is yet to happen. I have paid a booking amount of 1 Lakh. In the application its written that if we cancel the booking before agreement then I have to pay 1% of sale value which is 60 Lakhs. Its also mentioned in the application that the allotment of flat will confirmed only after signing of agreement. Now after booking I got the legal documents and found that there was litigation in the land. There was a case running for 10 years and was settled between the person who sold the land to the builder and the person who had filed the case. As of now in high court matter is settled. After settlement the builder has bought the land. Also I got to know about very poor construction quality of this builder from review. The draft agreement sent to me is completely favouring the builder and against the buyer. Hence I have decided to cancel the booking. Please let me know if the builder is legally right in asking 1% of sale vale (as mentioned in application) or it should be some % of booking amount ?