Cheque dishonored issued for property sale

Originally posted by : Sreyas
	I have sold a property to buyer and the buyer has issued a cheque and the cheque details are mentioned in SALE DEED. I have presented that cheque in bank and has been returned due to INSUFFICIENT FUNDS. Even after two weeks after registration, the buyer is not funding amount in his account to clear the cheque he issued. And also the buyer is holding me to represent the cheque, due to lack of funds. My question: Legally, is it possible to cancel the registration? Is there any time limit to take legal action? Thanks - Sreyas.V

All such things should be done on cash and carry basis. No cheque business.  IF registration has been done, you are at loss, simply you will be left with cheque in hand which is bounced.  File case in court of Law by hiring able advocate who deals with cheque bounce cases.  Registration cant be cancelled.

Without waiting more and thus wasting more time you may ASAP visit a very able counsel specializing in such/property matters.

Your personal efforts to  get payment has failed.

The buyer does not have money.

Sir,

you have two remedies. one under specific performance of contract and other under 138 N.I Act. Visit an able counsel to help yourself. Probably he will send a legal demand notice to the buyer and if the buyer still wont pay then he will file a complaint and a suit for specific performance for contract.

Yes the registration can also be cancelled and yes there is a time limit under law .

You might have given the possession and this may become another issue.

Hi Shreya,

Beware of Kumar Doab, a fake expert (without real identity, without photo, without his location in his profile). As of his habit, he always tries cleverly to sidetracks the issues to entirely new direction with his multiple posts consisting of wrong, confusing an vague advice with totally unconcerned multiple pages of downloadable links to make the problem more complex due to which you can feel as if your problem is quite complicated. Although puts innumerable irrelevant questions to the querist, but normally he does not suggest any workable solution to a solution seeker even after his irrelevant 8-10 posts.

As of his habit, through his multiple posts, at first, he normally advises a person to contact some very able counsel and then recommends the names of some of his favourable lawyers, but not knowing much about the subject matter, probably for earning his commission through them.

Since I have cautioned you against his vague advice, now you will see, his session to abuse me would start soon.

Your query actually lacks most of the important facts pertinent to contracts of sale of immovable property. What were the terms of the Agreement with regard to payment; i.e.stages of part payment ... things like payment on execution of Agreement to Sell, at the time of registration fo Sale Deed, at handing over possession etc? Was there a forfeirure clause? There usually is one in Agreements to Sell. How did you end up registering a Sale Deed without having received the sale consideration? Are you sure its a Sale Deed or a registered Agreement to Sell?

Read this in totality with the terms and conditions of your Agreement to Sell and send a notice cancelling the Agreement to Sell. Keep the original dishonoured cheque and the original 'cheque return memo' with you in the event that the buyer files a Suit for Specific Performance in the future to compel you to perform the contract. It is one documentary evidence in support of the buyer's failure to perform his part of the bargain.

Sure, legally you can institute a complaint under Section 138 of the Negotiable Instruments Act but, as a matter of legal strategy and conventional usage, I'd strongly advice you against it. For one, under an Agreement to Sell, it is not the Seller's obligation to go seeking the consideration from a delinquent buyer. And secondly, and much more importantly, in instituting such a complaint, you'd only go on to create evidence by conduct reflecting that time was not of essence to the sale, which would be read in the favour of the buyer if in future he seeks to make payment after some delay stating that he is ready and willing to perform his part of the contract.

For the same reason, I'm also against a Suit for Specific Performance by you, the seller. If the buyer has failed to perform his contractual obligations, it is not for the seller to seek to compel the buyer to pay the full consideration in  the event that neither the title nor possession has passed on or vested in the buyer (facts?).

Dear LCI querist @ Ms. Shreya,

Beware of Dhingra.

Dhingra has not posted any meaningful advice in this thread ALSO.

While, all other members/experts have, properly attended to your query.

He has been littering nuisance and abuse at LCI for years and his condition has worsened in last 8-10 months to incurable limits.

He is known to publish the emails/PM’s that anyone send to him.

He loiters and stalks at portals like LCI to allure unsuspecting querists/authors.

For the time being: You may go thru: 

https://www.lawyersclubindia.com/forum/details.asp?mod_id=146335&offset=1

You may also go thru other threads place by LCI under his profile.

Dear LCI querist @ Ms. Shreya,

This abuser Dhingra has pasted the following message on my profile also, in the dead of night on :

on 24/01/2017 21:19:59

 

"P. S. DHINGRA: sssfi2016@gmail      24/01/2017 21:19:59 BEWARE, SOLUTION SEEKERS & VISITORS OF THIS PROFILE Beware of Kumar Doab, a fake expert (without real identity, without photo, without his location in his profile). As of his habit, he always tries cleverly to sidetracks the issues to entirely new direction with his multiple posts consisting of wrong, confusing an vague advice with totally unconcerned multiple pages of downloadable links to make the problem more complex due to which you can feel as if your problem is quite complicated. Although puts innumerable irrelevant questions to the querist, but normally he does not suggest any workable solution to a solution seeker even after his irrelevant 8-10 posts. As of his habit, through his multiple posts, at first, he normally advises a person to contact some very able counsel and then recommends the names of some of his favourable lawyers, but not knowing much about the subject matter, probably for earning his commission through them."

 

Mr. Dooba,

I have posted a very meaningful advice to caution the author against your misadventures. Rest you have done to make him alert about yourself.

By the way, what part of your own advice is meaningful, when stated, "You might have given the possession and this may become another issue"?

Mr. Dooba,

I sent one gift message also to you. You must have discussed about that with your close associate, Mr. Rajendra K Goyal. By the way, what was the outcome of the secret discussion between both of you?

All the bunnies are stabbing each other...YAY!