I am a owner of a house at mysore and residing in bangalore. Few months ago i planned to sell my mysore house for my legal neccessessities to buy suitable new property nearby to bangalore. i got a buyer and we did a sale agreement buy giving advance amount. it was clearly mentioned in the agreement that i am selling the house to buy suitable property from the sale consideration,but even after completion of agreement he never came and got the sale deed registered buy paying the balance amount. in the mean time what ever advance i received and from my personnal funds i got my new property registered as i had also committed by sale agreement with the new property owners and time was the essence of the contract. i have even sent him a legal notice calling him for registration or cancellation of agreement for which he has not replied and the notice period is also over. his mumness is killing me. if the buyers asks me for refund i am not in a position to give it back to him immediately as i have invested the same to buy new property. i need to find a new buyer and from the sale transaction only pay back his refund amount which will take time.I request the experts to kindly guide me what to do next. i donot want any kind of letigation. i want to sell my house to a different buyer and i am not in a position to take a decission. i want correct legal procedure to sort this issue out. please help me.
Time is essence of cotract,buyer and seller both should have performed their part of contract in time and if any one of them fails to do so then other party has right to act according to terms and conditions mentioned in agreement.In your case buyer is not ready and willing to perform his part even in exteded period by notice, In such a situation you have right to cancel the cotract and if agreement contains the forfeiture clause regarding advance payment then you can forfeit the advance payment by cancelling contrcat.
Thank you for time taken to go through the details and giving me the desired advice. Sir, i would like to mention there is no forfeiture clause in the agreement and also only Rs 50000/= is mentioned for breach of contract. Also from my end i am also not interested to penalise the buyer with his hard earned money. the point here is though the deal did not go through in a proper sence and the buyer did not do his performed part. i am concerned if the buyers ask me or tends to give me trouble for not refunding the advance amount immediately, as i have invested the same in buying a new property as mentioned in the agreement. I have even sent him a legal notice calling him for registration, for which he has not responded. His silence is a concern of worry. i really donot know what is he upto. i want my property to be free from all his hinderence so that i can find a new buyer and return his advance amount in good faith. i only require time. to be legally perfect i donot know how to proceed. please help.