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Pls suggest its urgent: Compromise Deed Execution

(Querist) 29 January 2010 This query is : Resolved 
My father got property share under arbitration award between three of the brothers including my father, but after the award got registered and became a decree and my father's brother challenged on some false grounds claiming large amount of money from us and finally in order to settle the dispute we admit to give the amount of Rs549000 on sale of our property in which we are living and he is also living with us in a room occupied by him.Now when we are ready to sell our house he is demanding 8 lacs more to vacate the property. The time limit for sale of house expired in Nov.2009 and we filed a petition for extension for 6 more months and today judge has dismissed the petition and did not grant any time extension.Now my father brother threatening for filing contempt against my father for not selling the house or may be he file for execution through court.My lawyer suggesting for filing execution appeal by us.Pls suggest will the court have power to aution the property even when we are ready to pay him 549000.
R.R. KRISHNAA (Expert) 29 January 2010
There is no other way out. Try to settle the matter peacefully with your uncle (father's brother).

If the amount of Rs.549000 has been agreed by your uncle in writing then you have the right to enforce the terms otherwise it is not possible for the court to help you out.
Amandeep Singh (Querist) 29 January 2010
Sir
The term of paying Rs 549000 only already written in the compromise deed but person is not accepting the same.There is an open query posted by me inc Compromise Deed Ex C1 pls read and suggest again Thanx pls suggest
R.R. KRISHNAA (Expert) 29 January 2010
The clause below found in the compromise deed helps your case

"That the H.No. B-I-815, Ludhiana will be sold in the open market by Sh. Sarvjit Singh within 6 months from the date of getting a T.S..-1 from M.C. Ludhiana. The original time period of 6 months for selling the house will be extended for reasonable time, if any legal complication arises."

You can file a review application before the same court or file an appeal against the said order dismissing the application for extension of time and based on the above clause seek further extension of time.
Amandeep Singh (Querist) 29 January 2010
But Sir at the time when Judge passed the order i was present there he read this clause and then he passed the order may be he has not found requirement bcaus "if any legal complication arises" pls can u give me ur cell no i want to talk to u my no 9417779889 Amandeep Singh Ludhiana
R.R. KRISHNAA (Expert) 29 January 2010
The term "if any legal complication arises" has no much value. Without regard to that term, generally in deeds/contracts, there should be negative covenant regarding TIME BEING THE ESSENCE OF CONTRACT i.,e "if the amount is not paid the sale cannot be made" etc etc.


In your contract (compromise deed) there is no such negative covenant that if the amount is not paid within the stipulated time the property cannot be sold. Since there is no negative covenant you are eligible for grant of extension of time by the court. Hence in your case time is not the essence of contract. I think the court has overlooked the issue.


For better understanding the issue of TIME IS THE ESEENCE OF CONTRACT look upon the article written by me in the ARTICLES section in my profile.


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