unregistered sale agreement validity in view court of law


Hi All,

Please clarify below scenario.

Sale Agreement made on total value of 750000/ ( Seven Lac fifty thousands ) and 50000/- ( only Fifty thousand ) paid as advance and mentioned the same in agreement.Within three months from the date of agreement remaining should be paid. But failed to pay remaining balance even after 6 months. Seller clearly mentioned in agreement that the sale agreement valid only three months.After 20 months from date of agreement Buyer filed civil suit asking for registration of property. Does it valid in eye of Indian Law.

 
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Mr. Raghavendra chari,

The unregistered agreement in the eye of law not valid and if you file case, then you will waste your money and time.

So, better lookout for another purchaser on your property.

If you need any assitance you can reply or send message in pm box

 
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Thank you Sir. Now in above matter I am the seller not buyer. Now civil court admitted the case and it is going on for last two years. Please help with speedy disposal of case so that I can sell it to others in future.Should I approach to higher court asking for disposal.

 
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LEGAL

If there is no stay order or direction from the court that until the disposal of case you are barred to sell the land ,then you proceed to sell the land.

However if the agreement is unregistered that is not enforceble though can be used as evidance for strcuk of deal, and that case too the buyer fails as he was suppoused to pay within three months the full amoun tof sale.

Now you need to speed up the trail and for that you have to bear the the patience.High court won't interfare in the trail at this stage.

Just if there is any stay order make that vacated and sell the proerty.

 
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High Court Advocate IPR Attorney and RTI Activist

Unregistered agreement of sale is absolutely valid and  admissible under the law.

The buyer has legal right to enforce the said agreement by way of filing of civil suit of specific performance along with Injunction.

Thank you

 
Reply   
 

Hi BalachandarReddy Sir,

 

As per 

Section 17 (1A) of the Registration Act, 1908 came into force with effect from 24.09.2001 and it is prospective in operation. According to the purport of Section 17 (1A) of the Registration Act, 1908, an unregistered agreement to sell cannot be made the basis for preferring a suit for part performance of the contract.

Reference Links for your information.

https://tilakmarg.com/opinion/doctrine-of-part-performance-specific-performance-of-contract-agreement-to-sell-sale-deed-and-the-formality-of-registration/

http://lawmirror.com/search/search.php?q=unregistered%20document%20not%20admissible%20in%20evidence&sel=headnote&page=1

https://realty.economictimes.indiatimes.com/realty-check/fate-of-executed-unregistered-agreements-for-sale-for-on-going-projects-under-rera/2453

https://tilakmarg.com/forum/topic/unregistered-sale-agreement/

 

 
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Advocate

In the given situation, it is unlikely that the Court will decree specific perforamnce. However, you need to return the money advanced less the loss or damage you have sustained. It is better to work out an amicable settlement either through mediation or the "adalat".

 
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Thank you Venu Sir. Will return 50000 once court dispose the case through online digital mode, check or DD same will submit in court.
 
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Thank you Venu Sir. Will return 50000 once court dispose the case through online digital mode, check or DD same will submit in court.
 
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Thank you Venu Sir. Will return 50000 once court dispose the case through online digital mode, check or DD same will submit in court.
 
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