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Shashidhar   18 August 2017

Cancelling a mou

Hello, Recently I signed a Memorandum of Understanding to sell my property in Bangalore. The MOU had 3 clauses 1. The buyer would pay an advance of x amount on signing the sale agreement. 2. A second advance of x amount would be paid at the end of the month the agreement was signed. 3. Final payment of remaining balance would be paid in three months from the date of the agreement. After signing the MOU, I found the buyer yelling and being disrespectful to my agent who arranged this deal. The buyer also yelling, verbally disrespectful and agitated at me saying the deal did not meet his expectations. On my objection, buyer threatned and said he would see to it that I will not be able to sell the property to anyone else and stall any other buyer to buy my property. Next day the buyer called me asking to sign the sale agreement which I refused. The buyer is demanding an exorbitant amount about 20% of the sale price to cancel the MOU and threatening with legal actions if I refuse to complete the deal. Here are my questions: 1. As a seller what are my options to have this MOU cancelled since there was no advance received on signing the MOU. 2. I now have a buyer who has agreed to purchase the property and settle the deal in a month's time. I am concerned that the first buyer may cause unnecessary problems to complete the deal with the second buyer. Is there a way for me to prevent the first buyer from causing any further trouble in completing the deal with the second buyer. Please help.



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 6 Replies

SHIRISH PAWAR, 7738990900 (Advocate)     18 August 2017

Send legal notice through advocate and cancel the transaction.

Kumar Doab (FIN)     18 August 2017

Do you have any irrefutable evidence of said yelling, disrespect etc etc ..........?

Is title of the property clear and without any defects?

 

Kumar Doab (FIN)     18 August 2017

'Buyer Beware' applies to property deals.

It shall be appropriate to get proper legal opinion from a very able local senior counsel of unshakable repute and integrity specializing in revenue/property/civil matters before signing or making payment.

This may cost some FEE but can defend long term interest and hard earned monies.

 

Siddharth Srivastava (Advocate)     18 August 2017

If buyer has not complied with the terms of agreement then get issued legal notice and cancell the MOU.

Shashidhar   19 August 2017

I dont have any proof of buyer bad behaviour except that I was a witness. But I am convinced that if I move forward with this transaction, I will be regretting with it later. 

Kumar Doab (FIN)     19 August 2017

Go thru the MoU and legal report on title and defects if any by your counsel............


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