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Vishal (Team Lead)     18 October 2009

Power of Attorney

Hello,

My mother baught a small piece of land in 1995 through all her savings. The vendor has transferred the power of attorney and also signed the agreement to sale. We have also paid the asked money according to the agreement. However the sale deed was never executed even after paying the complete money. Please assist me on the below points :

1) The vendor claims that he is cancelling the power of attorney because of his power of attorney getting cancelled by his vendor. However the document clearly states that the POA is never gonna expire. Can the POA still get cancelled ?

2) The vendor is not willing to share the document that states POA getting cancelled.

3) Is their a specific time line to execute the sale deed ?

4) The cancellation of POA sent by the vendor states a different plot number than the one mentioned in the agreement of sale. Can I take an advantage here to safe guard my mothers interest in the plot ?

5) Do we have specific time within which one should respond to the notice ?

6) The vendor claims that he had sent a couple of reminders for executing the sale deed. However we havent received it ever.

Request you to assist on the above points and how can I resolve this problem. It shall be of a great help to my family.

Thnx,

Vishal



Learning

 13 Replies

R.R. KRISHNAA (Legal Manager)     18 October 2009

Analysing the facts of your case I reply as follows:-

 

If the sale agreement has been executed prior to the cancellation of POA, then you still have the right to ask the vendor or the original owner to execute the sale deed.  They are bound to execute the sale deed in your favour.

 

The vendor is duty bound to disclose the document that cancels his right.  If he does not disclose it then it is a advantage for your case.  So you need not worry.

 

Regarding time limit to execute the sale deed, the sale agreeement must be looked into to see whether time is the essence of the contract or not.  But from the facts of your it seems that you are ready and willing for execution and it is only the vendor who is delaying the issue for some reasons.  Hence you need not worry about time.  But needless to say there is also lapses on your part to have delayed the issue till date from 1995. 

 

I suggest you to issue a legal notice for specific performance both to the vendor agent and the vendor principal calling upon them to execute the sale deed in your mother's favour.  If they fail to comply with the notice, then you can file a suit for specific performance.

1 Like

BHANU RASPUTRA (ADVOCATE & SOLICITOR divyatta.r@gmail.com)     18 October 2009

I AGREE with KRISHANLEGAL ADVISE.

addign to it power of attoerney coupled with interest never be canceeled.

pl. inform who is in possession of the plot? pl. kep watchman on the plot  mother is not in possesion , make a boundry.

1 Like

adv. rajeev ( rajoo ) (practicing advocate)     19 October 2009

agreement of sale is executed before the cancellation of POA. if the vendor is not ready to exeucte the sale deed  then issue a notice to execute the sale deed , inspite of receipt of your notice vendor failed to execute the sale deed file a suit for specific performance of contract, in this you have to avear that " if the court comes to the conclusion that contract cannot be performed then dfendant may kindly be directed to pay the entire amount to the plaintiff"

To file this suit 3 years limittion period

1 Like

Vishal (Team Lead)     19 October 2009

Thanx for showing the road ahead. Currently the vendor has deployed one watchman for all the purchasers.

1) Is their a possibility that he sells the same plot to some one else ? How can I get to know the current owner of the plot ? Do we have some website where we have this information?

2) If I put up a fence and place a notice, do I need to follow some legal process ?

3) Could you please guide me through a rough expenditure that shall incure to file a suit ?

Thnx, Vishal

BHANU RASPUTRA (ADVOCATE & SOLICITOR divyatta.r@gmail.com)     19 October 2009

WITH regard to your PLOT, you appoint watchman and have fence . no need to give notice or start placing plan for construction in hte municipality.

show you have made full payment and file a suit . whatever may be the expenses to protect your interest u file suit

or 2nd thing put plan and start construction activity , so that opposite party will filea suit 

1 Like

BHANU RASPUTRA (ADVOCATE & SOLICITOR divyatta.r@gmail.com)     19 October 2009

IF ANY document is registered u can take search in the sub registarar office , where document is registered in respect of your plot  area.

1 Like

khyati (Associate)     20 October 2009

Dear Vishal,

On the basis of the facts narrated by you, it appears that the agreement for sale has been executed and the power of attorney to deal with the property is given by the vendor to your mother. Now you may please consider the fact as to what stamp duty has been paid on the Agreement for sale. If the stamp duty is fully paid on the agreement for sale, then it is a conveyance and therefore therefor your can claim ownership. Also, what is important is who is in possession of the property. If the property is in your possession and the Agreement for sale is stamped fully plus you have paid entire consideration amount, then to execute a sale deed is only a matter of formality.

I think, if possible what you should do is get the Agreement for sale fully stamped with penalty, if any, and get it registered by executing a Deed of confirmation. Secondly, if the possession is not with you then you should have a siut for specific performance under section 53A of the Transfer of Property Act.

Your concern for power of attorney does not practically seem to be an issue. However, if the power of attorney is not cancelled as of date then you should try to get teh Agreement for sale registered at the earliest yb executingthe confirmation deed.

Hope this satisfy your query.

Regards,

Khyati

 

1 Like

Vishal (Team Lead)     20 October 2009

Thnx Khyati for all the inputs and guidance. Could you please throw some more light on:

1) "Deed of confirmation" : By this you mean the sale deed, or it is a different deed all together.

2) One important point is, a couple of reminders and cancellation of POA that were sent by the vendor addresses a different plot number than the one mentioned in agreement to sale. I strongly believe through this we can prove that the reminder mails and cancellation of POA were invalid and get a possitive point added to our side. Am I correct on this thought ?

3)  What are the other sections that can be included in the suit ?

Thnx once again,

Vishal

khyati (Associate)     21 October 2009

Dear Vishal,

A Deed of confirmation is a document which is required to be executed between a vendor and a purchase to get the orginial document registered if the time of rgistration is lapsed. It means that under the Indian  Registration Act, 1908, the max. time for getting a document registered is 4+4 months (additonal four months with penalty of course). Therefore, once this time lapse the procedure is to exeucte a Deed of confirmation adn get teh same registered. In the Act, there is no provision for registration after 8 months lapse. Since you have the power of attorney in your mother's favour, your mother can sign on behalf of both the parties and get the Confirmation Deed registered, to which the original Agreement for Sale will be attached.

Secondly, as you have pointed out the fact that the power of attorney seems to be with respect to some other plot definitely serves in your favour and therefore you should go ahead and get the registration procedure done as soon as possible.

Also, I need to know whose is in possession of the property. Also, what is the Vendor's stand as of date.

If you want to file a specific performance, you can pray the following:

(i)  a decree ordering the Vendor i.e. defendant to convey the property in your mother's favour forexecution of Sale Deed, possession of property

(ii) if the vendor decline to obey hte decree, the sale deed of the property bre executed by the Hon'ble court or through its commissioners acting for and on behalf of the Vendor;

(iii) In hte alternate, the plaintiff should get a decree for sum of the consideration paid by the Plaintiff alongwith interest @__% per annum, from the date of execution of Agreement for sale till datel;

(iv) costs for the suit;

(v) During the pendency of the suit, defendent be ordered not to deal with or dispose off with teh property;

(vi) as an ad-interim relief, defendants be restrained from interfering with the possession or carry on any construction on the property.

Regards,

Khyati trivedi

1 Like

Vishal (Team Lead)     21 October 2009

Thnx Khyati ! The POA document is registered however doesnt have any photgraphs. Is that a concern ? Also this was done in 1995, so can my mother still get the registration and the Confirmation deed executed by attaching the original agreement to sale ? The agreemant to sale has been signed by the vendor. As of today the vendor has deployed a common watchman for all the purchasers. A common fence is been put up across the complete land, while the individual plots just have the markings done. I have tried many a times to get in touch with the vendor through phone calls to get the deed executed but all in vain. He claims that the POA is cancelled as the vendor from whom he bought the land has cancelled his POA and is not willing to share the proof for the same.

khyati (Associate)     21 October 2009

Thats ok, your power of attorney is not invalidated by not affixing photograph, because the insertion of provision for affixing photograph was made by an amendment in 2001. Therefore your power of attorney does not become ineffectual.

Though the document is executed in 1995, that does not matter, in any case the original document cannot be registered. What is registered is the Deed of confirmation which annexes the original Agreement for Sale to it.

It seems that the juridical possession of the said property is still with the Vendor. Is the property a tenanted property? Why havent you got the possession till date, in fact, by doing this the Vendor has a strong stand that the claim is barred by law of limitation. So even the suit of speicific performance may not be entertained if the contention of limitation is taken seriously except that you can convince the court the cause for such reasonable delay.   

When you know for sure that the power of attorney which is cancelled is not with respect to the plot you ar disputing then in such case, you may proceed to get the document registered.

Regards

Khyati

1 Like

Vishal (Team Lead)     25 October 2009

Thnx Khyati,I had limited access to the net for the last couple of days so couldnt reply.

I have decided to start the proceedings. I shall pay the stamp duty and get the confirmation deed executed as on priority. I have heard that it takes years to get the cases solved, it that true in this case as well ? While looking for an advocate do I need to have someone specialized in resolving property disputes ?

While mentioning the causes of delay what can be some of the strong points to support the case?

1. A couple of reminders which vendor claims had sent for sale deed execution points to a different plot number and hence we didnt consider that.

2. We never recieived any requests for executing the sale deed.

3. Mother having no knowledge of executing the sale deed.

could you please throw some light on this.

Regards,

Vishal D Goel

Vishal (Team Lead)     29 April 2010

Through the shared inputs I started the proceedings. My lawyer have sent several sumons to the vendor at the address through which he had sent the notice. However all the 8-9 attempts stated that the office is closed and no one is present at the address. Seems like some kind of a trick been played by him. What shall be the next step of action to be taken in such a situation? Request your inputs over this.

 

Regards,

VIshal


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