Regarding land sale agreement validity
Rupesh
(Querist) 28 January 2014
This query is : Resolved
Hi,
i am in talk with one purchaser for selling of my land. as per him i need to sign on land agreement whose validity will be 3 months. my question is whether this land agreement need to be registered in court? and whether this agreement is still valid after 3 months period?
Devajyoti Barman
(Expert) 28 January 2014
Sale agreement is better to be registered.
The validity of agreement depends upon various factors including time if the same is ' essence of the contract'.
Do include the clause that the agreement can be cancelled after 3 months if the sale is completed within that time.
Rupesh
(Querist) 28 January 2014
Sir,
If purchaser is not agree to get register this agreement as he has to pay 2% of court fees, then what should i do?
Devajyoti Barman
(Expert) 28 January 2014
No need..try to put strict clause of time bound completion of sale or else cancellation.
Rajendra K Goyal
(Expert) 29 January 2014
Get the agreement vetted by your lawyer.
Agreement is drafted as per need and requirement and it should be vetted before signing it.
Rupesh
(Querist) 29 January 2014
thanks all for your suggestion !!!
Rupesh
(Querist) 29 January 2014
thanks all for your suggestion !!!
Rupesh
(Querist) 29 January 2014
thanks all for your suggestion !!!
R.V.RAO
(Expert) 30 January 2014
agreement of sale is executed between a buyer and seller for a property/other transaction,as they are unknown to each other and both wish to avoid loss of time and money . for the same reasons, it is better to register the same.
usually the cost of regn. is a constraint and can be equally shared by both unless otherwise agreed.
registration of agreements are done in SRO office, where property deals take place ,not in a court of law, where only disputes are resolved.
if validity of agreement is stipulated in the agreement as 3 months from date of the agreement,that is final.it expires at the end of 3 month period.
but be decisive here.is it 3 months time more important for you both or completion of the transaction.decide the priority/essence of the agreement to word the agreement, accordingly .
it is the mutual trust and transparancy which is more important than registration of an agreement between both of you.the buyer's antecedents and record of past deals may also be enquired into.
T. Kalaiselvan, Advocate
(Expert) 01 February 2014
The latest ruling by Supreme court is that a sale agreement of property has to be compulsorily registered or else it is invalid. Therefore if you do not want to register the same for the sake of shelling out paltry money over the expenses, the danger of losing the entire money is imminent, decide wisely.
