Sale of land

RAMYA (Querist) 30 July 2012 This query is : Resolved
Sir,
The buyer is a real estate person and has paid the advance of Rs.5 lakh for buying our land & we have entered into Rs.10 stamp paper agreement & it is not registered. The total sale consideration is of Rs.66 lakh. As per the terms of agreement, after paying the full amount the registration will happen. He has committed in the agreement to pay the balance of Rs.51 lakh in 4 months but he paid only Rs.10 lakh. In totality, he paid only Rs.15 lakh in 4 months. Agreement expired this month & he has not turned up. As per the terms if he is not paying the amount he has to forego advance paid by him. We made a mistake of accepting one condition in the agreement for allowing the buyer to make plots in our land and the buyer can enter into agreement for sale of plots. He has divided the land for plots but as of now no one has bought it.Other buyers are ready to buy the land from us.Whether the abovesaid condition will be an obstacle to sell our land to some other buyer since the buyer has not turned up and not attendig our calls? Are we supposed to return the amount of Rs.15 lakh paid by him? whether he can approach court for extension of time eventhough the agreement has expired? Now shall we send notice to the buyer for the cancellation of agreement due to expiry of agreement period? I request the expert to provide the opinion?

Follow Query

Report Abuse

M.Sheik Mohammed Ali (Expert) 30 July 2012
you send the legal notice to him with aforesaid story, thereafter sell your land.

RAMYA (Querist) 30 July 2012
Thanks Sir. Whether the buyer can go to court for extension of time? Are we supposed to return the amount paid by him?

prabhakar singh (Expert) 30 July 2012
Are we supposed to return the amount of Rs.15 lakh paid by him?
ANSWER:If the agreement to sale states that in event of failure to pay consideration amount within 4months ,the advance so paid can be forfeited,then you can forfeit it.

whether he can approach court for extension of time eventhough the agreement has expired?
ANSWER:Even if he does this adventure,the court shall not enlarge the time.

Now shall we send notice to the buyer for the cancellation of agreement due to expiry of agreement period?

ANSWER:Here you come with the real question.Get in touch of a civil lawyer.Send him a legal notice that you shall be present on the concerned sub registrar office on the last date of the payment of the agreed consideration and he should come ready with balance amount of consideration receiving which we would there ready and willing to execute sale deed fulfilling your part of the obligation under agreement reiterating that time of 4 months fixed in the agreement is the ESSENCE OF THE AGREEMENT .On date so mentioned in notice all sellers of agreement must visit the concerned sub registrar office and must get there presence marked by moving an application to that effect.if he turns up with money due ask him to get the sale deed prepared and accepting the money before sub registrar in total execute the sale deed and get it registered.
In case he does not turn wait him till office time of the sub registrar then obtain a certificate of your attendance marked from the sub registrar.

One thing more,if he does not pay you balance amount with in 4 months,never accept a single penny after 4 months in any condition as if you do so time of 4 months stipulated in the agreement as essence of contract shall lose its' importance in the eyes of courts.

After doing so much of the exercise you shall be at liberty to sale it on your own to others.

RAMYA (Querist) 30 July 2012
Thank you very much prabhakar Sir.The agreement was expired in the first week of july itself. As of now we have not sent any notice. Now we want to sell the land to other buyer.Can i send the notice to the unpaid buyer now?

prabhakar singh (Expert) 30 July 2012
You are doing adventures.You must have told it at first instance that agreement has expired but no notice was sent.You must sent notice to the effect that agreement has stood terminated due to buyers failure to pay within 4 months time and advance has stood forfeited accordingly as despite the fact that sellers were always ready and willing to fulfill their part of contract by executing and registering the required sale deed but it was he (the buyer) who was never ready and willing to perform his part of the contract,and as such the agreement has stood terminated.
But do not adventure to do it on your own.Get in touch of a lawyer to send notice after showing him the agreement,which i have no privilege.
to look into.

RAMYA (Querist) 30 July 2012
Thanks a lot for the reply Sir. I have consulted with the lawyer and he only asked us to wait till the expiry of the agreement and advised us not to send notice before expiry saying that the buyer will ask for the extension of time. Sure sir, now we will send the legal notice to the buyer...In my initial query i have mentioned that,We made a mistake of accepting one condition in the agreement for allowing the buyer to make plots in our land and the buyer can enter into agreement for sale of plots. He has divided the land for plots but as of now no one has bought it.Whether the abovesaid condition will be an obstacle to sell our land to forthcoming buyer? Please provide your opinion Sir.

prabhakar singh (Expert) 30 July 2012
May be he has not sold as just now he can not sale unless he becomes owner after sale from you.BUT WHAT IF HE HAS ALSO ENTERED WITH AGREEMENT TO SALE WITH THIRD PARTIES. OBSTACLES DO COME WHEN WE DO NOT ACT IN DESIRED MANNER.I AM NOT SATISFIED BY THE ADVISED YOU RECEIVED FROM YOUR LAWYER.THAT WAS THE RIGHT TIME TO DO WHAT I HAVE DEMONSTRATED IN MY FIRST POST IN ANSWER TO YOUR LAST QUESTION.AS REGARDS TO EXTENSION HE SHALLPLEAD IT STILL.NOTICE IS NOT NECESSARY ONLY WHEN IT IS EXPRESSLY PROVIDED IN THE AGREEMENT THAT IF IT IS NOT PERFORMED WITHIN TIME AGREED IT SHALL GET TERMINATED ON ITS OWN.

RAMYA (Querist) 01 August 2012
Thank you very much Sir

Sale of land

Similar Resolved Queries :