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Parry Sandhu (Director)     26 February 2017

Property sold to third party when a civil suit is pending in court of law

Dear Sirs / Madams, Greetings of the day !      I have query regarding a residential property that I have recently bought. The said property has been purchased by me and sale deed is registered in the concerned registrar office after receiving a proper permission to sell from PUDA office (Punjab Urban Development Authority) . Post registration, the said property was transferred in my name in the records of PUDA and also later permission to mortgage was given to me by PUDA as I had taken a home loan from some bank. The original mortgage letter was taken by my bank along with original registry papers and other documents that I received from the seller. After a month of the registration , I received summons from the civil courts regarding some Declaration Suit/case. I made an online search on distt court website with property and seller names and got to know that there was a civil suit pending between the seller and the childrens of the original owner from whom my seller got the said property as a way of gift and the gift deed is also registered in registrar office. Going back to origin of case : The said property was originally allotted to a lady who was working in some govt deptt around 30-40 years back when she was in service. That lady's husband is dead now and `she have 3 children who did not take care of her and that old was staying alone for the last 15-20 years approx and from last few years she was staying with the lady whom she gifted the said property out of love and affection as she used to take care of her. The original allotee (the old lady) gifted the property to the now seller who further sold property to me but during the sale agreement between me and seller (who was gifted property) there was a case pending between seller and old lady childrens. I have paid the full and final amount to the seller and now I am in possession of the said property but the summons received made me bit worried as I have not done any wrong.. I have just purchased a property that too with a loan from a bank after a proper property title search and after receiving a permission from PUDA. What is to be done? Is my property safe? Plz help..


 19 Replies

Kumar Doab (FIN)     26 February 2017

The original allotee ( referred as Old Lady by you) is alive or not?

The gift deed must have been registered?

Isn't it?

Kumar Doab (FIN)     26 February 2017

Usually it is stated in agreement to sell/sale deed that NO court case is existing/pending on property.


You must be having copy of;agreement to sell/sale deed!

Isn't it stated in the agreement to sell/sale deed?




Parry Sandhu (Director)     26 February 2017


Yes it is registered gift deed. She is alive..but too old now..

Parry Sandhu (Director)     26 February 2017

In my sale deed it is mentioned that there is no litigation pending 

Kumar Doab (FIN)     26 February 2017

The gift is complete the moment it is gifted by donor and accepted by donee.

Court alone can revoke the gift if it is proved to the satisfaction of court that gift was made under coercion, threat!

Engage  your able  senior  counsel of unshakable repute: specializing in property/such/civil matters and be a party on record.

Place the facts before court of law and let the court examine the Donor (original alottee), Donee ( seller to you)  ASAP.

Parry Sandhu (Director)     26 February 2017


I have received a summons regarding a new case filed by that old lady's childrens wherin I am also a party along with the seller,that old lady, PUDA and registrar office.. The old lady gifted her property to the caretaker lady who further sold the same to me. I have bought this  property with proper search from PUDA and with proper documents and permission from PUDA, The same is duly registeredd in registrar office. Also the said property is now mortgaged to bank and I am paying regular monthly instalments. Is my new bought property safe as I am no where wrong ?

Kumar Doab (FIN)     26 February 2017

'Buyer Beware' is applicable to property deals/matters.


You could have and should have preferred for proper legal opinion from a very able counsel specializing in property/such/civil matters, before entering into agreement to sell.

It might cost a small amount say Rs.5000/-10000/ in case of good counsel worth his salt.

Now rush to your able counsel.



Kumar Doab (FIN)     26 February 2017

Preferably: Engage  your able  senior  counsel of unshakable repute.

Avoid posers, pretenders,blackmailers that loiter at online portals to allure unsuspecting querists.


Kumar Doab (FIN)     26 February 2017

The lender bank might have collected from you: the fee for legal opinion.

Does the loan brochure, loan application, loan approval, loan agreement stated anywhere that borrower need to pay………………..fee for legal opinion?

Do you have copy of legal opinion?

Lender (bank) has lent its money (that it will claim as public fund and good money) and claim for you.

IN any case; it is secured debt and bank shall contest thru its legal cell.

Apparently bank is not made a party.

Kumar Doab (FIN)     26 February 2017

The seller may not be having OR may be having other assets.

Inquire and place before counsel and assess if these can be attached.


Obatin copy of petition from OP's lawyer, court ( examine files) and let your counsel examine  and find out what are averments made in it.



Parry Sandhu (Director)     26 February 2017

Sir I have asked the bank people from whom I have taken home loan to do a title search who made the search from the PUDA office by their ADVOCATE and sent me an email with POSITIVE property title search. I too made search from local property consultants who said the property is clear. The bank title search report was also positive , then only they gave me a loan for 1 crore plus for buying the said property. Now the same property is mortgaged and I am regulary payimg instalments . I will surely hire a senior advocte in a day or two. SIR In your opinion is the said property safe ?

Kumar Doab (FIN)     26 February 2017

Which personal law applies to Original Allottee e.g; Hindu?

If the property is self earned/acquired in the hands of Original Allottee; then she should be able to dispose it in her life time by a valid deed ( e.g; gift deed) in anyone’s favor.

So  the donor and donee need to convince the court that gift was made without any coercion and threat.



1 Like

Parry Sandhu (Director)     26 February 2017

I have a legal opinion email with Positive property search but have not paid to bank any fee for legal opinion. They made it as per their company policy but yes I too requested them to do the same. Also I think that the seller do not have any property or assets as per my best knowledge. I called the seller after knowing about pedning case, she told me that she will bring the old lady to court for recording a statement..Will this help ?

Parry Sandhu (Director)     26 February 2017

That old lady belongs to a Sikh Family...I guess it comes under Hindu....And the old lady is the original allotee of the said property.. She was in service around 30-40 yrs back and she was allotted a residential plot...Wherin a ground floor (only 1 floor)  house is built. The construction is old..I have bought it and want to make a new building.. Should I wait or Start teh hconstruction ?? Thsts why I was asking is it safe ? I dont want to risk anything?

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