Parties to sale deed
RajaRajachozhan
(Querist) 02 April 2015
This query is : Resolved
Sir/Madam
A is the Landowner ; B is the Builder and P is the Purchaser.
A and B enter into a Joint Venture Agreement (JVA) for B to develop the property into multi storeyed apartments. They share the super built up area in the ratio; A 35% and B 65%. Consideration from B to A is that B will hand over to A 35% of allocated flats and B can sell his portion of Flats (including the UDS) to prospective purchasers at his own price and terms.
A, while reiterating that he is the rightful,legal and lawful owner of the property has allowed B to enter the premises, take possession of the property for building activities.
A has given a General Power of Attorney (GPA) to B to execute sale deed with the prospective purchasers relating to his (B's ) share of the UDS and to receive the sale price. Other powers relating to construction activities have also been given
The questions are:
Is it enough if the sale deed (for the UDS) is executed by the Power Agent on behalf of the Principal.
In the sale deed the aspects relating to JVA and the GPA should also be brought in.
or
in the contract of Sale Deed relating to UDS of B's share, the parties are A and P - and B (the power Agent) signs the Deed on behalf of the Principal (A).
kINDLY CLARIFY
SURESH BV, Advocate
(Expert) 02 April 2015
Dear Mr.Raja,
(1) Whether the JDV and GPA are registered?
(2) Whether the JDV is clear about Number of Units to be built and which unit is allocated to the builder and Land owner?
Devajyoti Barman
(Expert) 02 April 2015
who are you and how are you connected to this query?
RajaRajachozhan
(Querist) 02 April 2015
Thank you Mr.Suresh BV and Mr.Devajyoti Barman for your reply.
You have asked few questions and they are answered.
1) JDV is not registered and GPA is registered. In GPA, JDV is referred to.
2) JDV is very clear about the number of Units to be built; and the number of Units allotted to the owner and the builder.
3) I am a purchaser of the unit of the builder and I am interested to know as to who has to execute the sale deed. Is it enough if the Builder executes the deed, as a power agent on behalf of the Principal ?
Thank you
Raja
RajaRajachozhan
(Querist) 02 April 2015
Thank you Mr.Suresh BV and Mr.Devajyoti Barman for your reply.
You have asked few questions and they are answered.
1) JDV is not registered and GPA is registered. In GPA, JDV is referred to.
2) JDV is very clear about the number of Units to be built; and the number of Units allotted to the owner and the builder.
3) I am a purchaser of the unit of the builder and I am interested to know as to who has to execute the sale deed. Is it enough if the Builder executes the deed, as a power agent on behalf of the Principal ?
Thank you
Raja
Dr J C Vashista
(Expert) 03 April 2015
1. Both the documents JDV & GPA are to be perused for the terms and conditions qua the flat coming to the share of B and authorization of B to sell the flat(s).
Consult a local lawyer with documents for proper advise which cannot be provided on the basis of few/limited information.
T. Kalaiselvan, Advocate
(Expert) 08 April 2015
The unregistered JVA and the registered GPA are valid documents for processing the sale deed that may be executed and registered. The GPA is n behalf of the principal i.e., A, hence it is also valid however there should be mention about this arrangement in the sale deed document as well as the origin of the property. You should verify the parent deed document of the property before buying it, take a legal opinion even at a nominal cost to protect your future interests.
RajaRajachozhan
(Querist) 08 April 2015
Thank you Mr.Kalaiselvan sir,
Your opinion is well taken as a good guidance. In fact, the property documents (including title) have been vetted by financial institutions (HDFC,LICHFL,SBI Home loans) in respect of some parties who have availed Home Loan from them. As I am fairly aged (70 years) I cannot avail the loan facility.
Once again thank you for your advice
Sincerely
Raja
RajaRajachozhan
(Querist) 08 April 2015
Thank you Dr.J.C.Vashista for your opinion.
I respect your advice.
sincerely
Raja
