Amit Athalye (Deputy Manager) 05 July 2012

Breach of sale agreement

Respected sirs,

I enetered into an registered agreement to sell my flat with person "A" on 24th April, 2012. The time given to complete the transaction is 3 months which is 23rd July, 2012. Till today mr "A" has paid only 10% of the total consideration. What I would like to know is if "A" fails to clear his outstanding amount by 23rd July, will I be able to take any legal action against "A" on the accont of breach of contract? If so, please educate me on the same.

Our agreement does not have any "breach of contact" clauses mentioned on it.

Regards,

Amit

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3 Replies

Sanyam Malhotra (Advocate) 05 July 2012

if you wish to continue with the sale transaction you demand specific performance of agreement to sell if A does not fulfil his part of the bargain. or in the alternative you could also forfeit the 10% amount paid by him and thereafter find a new buyer.

meanwhile send him a notice asking for payment of balance consideration on or before the final date fixed

Adv.R.P.Chugh (Advocate/Legal Consultant (rpchughadvocatesupremecourt@hotmail.com)) 05 July 2012

Dear Mr.Amit,

In that case you would be in a postition to appropriate a reasonable amount of earnest (10 %) as liquidated damages caused due to breach of contract by the other party. Once he defaults - on the very next day serve him with a legal notice rescinding the contract.

Feel free to talk !

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Adv Rohit Dalmia 9324538481 (Lawyer) 07 July 2012

since time is the essence of the contract. therefore if Mr. A fails to pay your entire sum on or before 23rd july, 2012 you have a right to cancel the agreement and find a new buyer. but needs to check the terms of the agreement relate to the forfeiture clause.

First you have to send him a reminder asking for the balance payment. kindly send the same through the lawyer.

Incas,erequire any legal assitance you may call on 9324538481

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