m.kupparaju (Advocate) 20 July 2009

Sale Agreement

Sale Agreement

X entered into a Sale Agreement with Y for sale of his Revenue Site for a valid sale consideration and Y has paid an advance amount and agreed to pay the remaining balance sale consideration at the time of execution and registration of the sale deed within 6 months from the date of Sale agreement. Y paid the balance sale consideration amount within 6 months from the date of agreement and asked X to execute Sale Deed in his favour. In the mean time Government of Karnataka restricted registration of revenue sites in the State. Whereas X as a principal with a good intention executed a Power of Attorney in favour of Y for his site and also an Affidavit acknowledging the receipt of entire sale consideration and handing over the vacant possession of the site also and assuring Y that he will execute the sale deed as soon as Government of Karnataka lifts ban on restriction on registration of revenue sites. Unfortunately X died (died without any legal heirs) before completion of Sale transaction leaving Y in a grave situation like being in possession of the site without a valid title. How can Y get a valid sale deed in his favour in such situation? What is the legal procedure to be followed to complete such Sale Agreement?

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saumit joshi (advocate) 20 July 2009

Sir as per power of attorney act, once principal is died than power of attorney becomes null & void. and in your case principal has no legal heirs, so your issue is critical as per law.But as per section 3 of power of attorney act when consideration of property is given at the time of power of attorney.In that case grantee may right over the property.