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vikash (SPECIAL CORRES)     13 March 2024

Letter Of Undertaking

Mortgagor give letter of undertaking that in case of delay of payment default interest can be charged at agreed rate.Is letter of undertaking on legal sheet valid or it must be on stamp paper


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 4 Replies

T. Kalaiselvan, Advocate (Advocate)     14 March 2024

Unless such undertaking which is also termed as an agreement, is executed by a registered deed, it cannot be  legally enforceable in case of dispute, in court of law

vikash (SPECIAL CORRES)     14 March 2024

Mortgage Deed is Registered and undertaking is not registered

T. Kalaiselvan, Advocate (Advocate)     14 March 2024

If you want to enforce the undertaking through court of law then it should be on a registered deed. 

Rama chary Rachakonda (Secunderabad/Highcourt practice watsapp no.9989324294 )     14 March 2024

Normally, no stamp duty is payable on MoU. However, if the MoU involves a transaction which needs to be compulsorily registered under the Registration Act, 1908, then it has to be stamped. A stamp duty paid registered document gets an evidentiary value and can be submitted as an evidence in the court.


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