Saravanan (Architect) 16 August 2023

Property sale agreement cancellation

Hello,

I am a owner of a property and I have entered into a sale agreement with a buyer. The agreement is for 90 days. I wish to cancel it because I am not interested to sell it anymore. Its around 60 days now. I have received an advance of 1 lakh and ready to return it too. The buyer is asking for more time. How should I proceed on this.

Thanks,.

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Quick Summary

If you've entered into a property sale agreement and wish to cancel before the deadline, you should aim to execute a cancellation deed with the buyer, returning their advance. If the buyer is uncooperative, it's advisable to wait until the 90-day period expires. Subsequently, you can issue a legal notice citing the buyer's failure to fulfil their part of the contract. Acting prematurely could lead to legal action from the buyer.

2 Replies

kavksatyanarayana (subregistrar/supdt.(retired)) 16 August 2023

Before the completion of 90 days, you both shall execute the cancellation deed for the sale agreement by returning the advance.

T. Kalaiselvan, Advocate (Advocate) 17 August 2023

If the buyer is not cooperating or willing to cancel the agreement, then you may have to wait for the period of 90 days and on the next date, you can issue a legal notice communicating your decision to cancel the agreement for the reason that the buyer did not turn up to perform his part of contract.

If you do this before itself then the buyer may approach court with a suit for specific performance of contract, then the litigation would be an unnecessary burden on your shoulder