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IS Kakar (Manager)     09 December 2023

Agreement to sale dispute

Dear Sir / Madam

• In the year 2012 we entered into sale agreement for the said property. At that time the

property was not freehold. The buyer gave us 10% of the deal amount as token money and

told us that he will get the property converted into freehold as he has some contacts in govt.

office for this he requested us to give him an additional time of one month apart from the

usual three months period given in agreement to sale for which we agreed.


• In the given time frame of 4 months neither he got the property converted into freehold nor

he gave us the remaining balance amount rather he sent us blank letters which led us to

believe that he has some malafide intentions. We then filed caveat in the court and sent him

the legal notice thru a lawyer informing him that deal has been cancelled and the token

amount paid by him stands forfeited as he has not fulfilled his commitments in the given

period of 4 months. He never responded back to that legal notice.


• After terminating the deal and sending him the legal notice we ourselves got our property

converted into freehold.

• During the covid period he passed away due to illness and we have not received any

communication in all these years gone by either from him or any of his legal heirs after his

death in regard to the property.


Now we want to build this property in collaboration with some builder whereby he will rebuild the property and in return will take one floor from us for resale. we are bit confused how to proceed further as large amount of money will be required to build the house and we don't want to get stuck in the legal problems which may or may not arise due to collaboration with builder or when we sell one or more floors of the property.


Kindly guide on this matter.


 3 Replies

kavksatyanarayana (subregistrar/supdt.(retired))     09 December 2023

You and the builder mutually discuss the issue concluded and execute a construction agreement with the terms and conditions as agreed on the required stamp papers (as the stamp duty varies from one state to another).

T. Kalaiselvan, Advocate (Advocate)     09 December 2023

It appears that the sale agreement was entered by an unregistered deed with the buyer.

As the buyer did noit respond to the legal notice, you had intimated the deision of cancellation of the sale agreement, but the buyer did not respond to that as well.

It is also noted that the buyer died in between and it is not known if he was survived by any legal heirs/successors in interest.

Since there is no claim made by the buyer so far from the year 2012 till this date, moreover as the claim to this is also very badly barred  by limitaition,. you do not have to be worried on this subject.

You can proceed with your proposal  for development as per your plans.


Dr. J C Vashista (Advocate and Legal Consultant)     10 December 2023

The agreement was stated to have been executed 12 years ago (in the year 2012) it must not be in vogue for an indefinite period,which I can presume. 

Terms and conditions of Sale Agreement are required to be perused by a local prudent lawyer for appreciation of facts, forming proper opinion and advise.

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