help needed in civil suit

Hello, Greetings. I'm Santhoshi from Chennai.. So a person agreed to me that he'll buy our property (land) 3 years ago and gave me advance amount of 6Lakhs. Later after 6 months he told he's not interested in buying the land rather he requested for the advance amount. But unfortunately we had spent the money to other mortgages and we assured that we'll return once land is sold.. But later due to government changes we're unable to sell the lands. 8 months back he approached me and got signature in a bond paper stating he lended the money to me (not as advance). Then he gave 6 months time but we're unable to sell. Now he have filed a case against us in court and we are summoned. He has requested to jabthi the land in the court.. What to do?
Retired Manager

Face the case and abide by the Judgement.


Actually the amount paid by the buyer was  earnest money (advance in token of sale) and you were suppoused to make a receipt for that with conditions  that in case of default by the buyer the money gets forfieted. Even otherwise the money was earnest money and you were not bound to pay back as the deal was cancelled by the buyer.

Now since you have accepted the money as loan by  signing  the bond paper you have  to pay 

As the matter is in court you get some good lawyer who will plead for easy installments. You were free until signing of bond paper


Any suggestion depends upon the pleadings in the suit that has been filed. If the pleadings  are contrary to truth and you have evidence to plead and prove that the bond is just sham to take care of the money given as earnest money.

However, in my understanding, you are required to return the earnest money less the loss if any you have sustained. The suit could also be defended on the ground of limitation.




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