(Guest)

Queries regarding Practical problem of Sale Deed.

There are 250 persons (landowners) executed irrevocable Power of Attorney to M/s. XYZ for Development of land and to sale it to other persons etc. Later M/s. XYZ executed Development agreement alongwith Power of Attorney with one Partnership Firm named as M/s. ABC. Now M/s. ABC going to execute Sale deed, but main query is that Three persons/landowners of First Power of Attorney died.

Now the question is: -

Whether the Power of Attorney is valid?
The descendents of deceased is now denying to give their confirmation. What will be the solution?
The name of deceased person is on the Sale deed going to be executed by M/s. ABC. Whether the Sale deed is valid? Because Advocate of M/s. ABC says that according the normal practice, “a person who is dead and he gave his power of attorney for a valuable consideration than the name of person should appear on sale deed even the person is deceased.” Whether it is correct, as he is very Senior Advocate.
What will be the consequence if we will execute the relevant sale deed, because it is going to executed very soon.

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6 Replies

adv. rajeev ( rajoo ) (practicing advocate) 18 May 2009

250 land owners have exeucted a PA infavour of XYZ co., for development of land and to sell it.

XYZ co., has executed a development agreement to ABC co.,. In ur case it is to be looked into. Only Development Agreement is exeucted in favour of ABC co., but not agreement of sale. So ABCV co., cannot exeucte the sale deed in favour of others. ABC co., has no right to sell the land their rights are limited to only develop the lands.

1. PA is not valid, because it is exeucted in favour of XYZ not in favour of ABC to sell the lands.

2. When the decedents of the deceased are denying, then XYZ co., has to convince them.

3. When the person is dead, his name will not appear in the sale deed, moreover ABC co., cannot exeucte the sale deed on the bais of the devlopment agreement.

4. If the decedents of the deceased filed a suit for partition, then they will get their share and sale deed will be set aside.

Alternative remedy is to convince the decedents by XYZ co., only by way of taking another PA from them.

Again I am haping that ABC co., cannot exeucte the sale deed on the basis development agreement.

Swami Sadashiva Brahmendra Sar (Nil) 18 May 2009

agree with mr. vadrali exept on one poit.

in my opinion, POA of deceased is binding on his legal heirs.

(Guest)

Mr. Tripathi Sir, I cant understand that how POA of deceased is binding on his legal heirs....! Plz. reply.

adv. rajeev ( rajoo ) (practicing advocate) 21 May 2009

Tripathi sir,

PoA was binding if the agreement of sale deed was executed in favour of ABC by XYZ

Swami Sadashiva Brahmendra Sar (Nil) 21 May 2009

Thanks. I will review the query.

Pramey Sonecha (Advocate) 23 May 2009

1. I think deceased person's original POA's validity is out of question, further It is not clear from query that whether owners have given powers to XYZ to execute development agreement with others, how XYZ being a POA holder can execute a POA empowering ABC to sale the property?

2. Every person who wants to buy the said property shall obtain NO OBJECTION cum CONFIRMATION from the deceased’s heir(s),

3. & 4. I agree with Mr. Sanjiv's reply