Agreement to sell
Naresh Kumar
(Querist) 10 September 2018
This query is : Open
A(owner) signed a collaboration agreement with B (developer) to construct four floors residential house on her land with a condition that one (top) floor will be retained by the developer. After completion of construction B forced A to sign another agreement with him i.e. agreement to sell wherein it was mentioned that A is selling the floor to B. It was also mentioned in the agreement that Rs.5 lac has been paid by B to A and remaining amount shall be paid on monthly basis. How was Rs.5 lac paid is not mentioned. No cheque number or cash, etc. B also got signed blank cheque book of A and kept the same with him and now using as per his desire, depositing cash and issuing cheques to other persons. A who is a widow does not understand English language and she was just signing as was being told to her by B. Now she has told me (cousin brother) the whole incident. On behalf of A, I have following queries to raise:-
1. In collaboration agreement it was mentioned that one floor will be retained by B. Can B sign another agreement with A i.e. agreement to sell. Both are contradictory. In collaboration B says he will retain one floor but in agreement to sell he says floor is being purchased by him from A without mentioning proper terms and conditions. Even payment details are vague.
2. Can the agreement to sell signed by B with A be cancelled? If yes, how.
3. How to take back the signed blank cheque book from B.
4. If B is depositing huge cash in A’s account, will Income Tax department issue any notice.
Kindly reply.
M V Gupta
(Expert) 11 September 2018
If the cost of construction has been met by A,then B cannot get full title to the floor agreed to be retained by him unless he obtains a sale deed for it. Hence B must have got the agreement for sale executed by A in his favor.As regards your query whether the AFS can be got cancelled, it can be done by filing a suit for cancellation of the deed on grounds of fraud misrepresentation and cheating by B. As regards the blank cheques obtained by B from your sister it may be necessary to file complaint with the police and also get a lawyers notice issued to B asking him to return the balk cheques obtained by coersion and fraud..
