Agreement to sell- deal cancelled, buyer not ready to take money back
akash
(Querist) 16 November 2012
This query is : Resolved
I entered into an agreement to sell as the seller but the sale did not materialize because of some issues. The buyer lodged an FIR against me but the court dismissed it saying it was a civil matter and not criminal. I offered him to take the advance back (as the judge noted as well) but he has not come forward.
Its been 2 years and he still hasn't filed a suit or taken the money back. My question is- is there a time limit within which he has to file a suit? Basically I would like to the time frame after which the dispute can be said to be settled as its time barred. Am I obligated to return the advance after this time period, even though he doesn't ask for it?
H. S. Thukral
(Expert) 16 November 2012
Limitation for filing a suit for specific performance of a contract is three years from the date when the specific performance is refused. Regarding refund of token money, (advance)it depends upon the terms of the agreement and its performance. No opinion can be given without knowing who broke the contract. However if the suit becomes time barred you need not refund the money.
ajay sethi
(Expert) 16 November 2012
limitation period is 3 years
