How to cancel a development contract
Sohaib
(Querist) 04 November 2016
This query is : Resolved
Hi experts. Need your expertise on an issue. I own a house in which I've been residing since about 30yrs. Recently I came in contact with a developer who insisted on developing my property. I have a mortgage on the house and in the pressure to vlear my debts i agreed. They gave me a token amount which is not even 5% of my property value and asked me to write a reciept. In the reciept i mentioned my name,fathers name,location of my property and also they asked me to sell me terrace rights so i wrote that I agree to sell my terrace rights to the developer. Later i found out that the builder has a bad reputation. and i immediately went to him the next day with his money but he refused to take it back. He threatened me saying that he wont let go of my property. I am in a need of money and I'm willing to sell my property instead of developing it. Kindly advise me what to do in this troublesome time I'm going through. I want to sell my property but I'm 90% sure that this developer will bring hurdles if i try to do so. Request you to help me out. Thanks
Sohaib
(Querist) 04 November 2016
Will a caveat help me stop him?
Rajendra K Goyal
(Expert) 04 November 2016
Without referring the signed document, nothing can be advised.
Consult local lawyer and discuss.
You may face losses, if you sell property while have entered into contract to develop and sell with another and the agreement has not been cancelled.
Caveat may not relinquish the right of contract holder.
Sohaib
(Querist) 04 November 2016
I will try to describe the document. Its a plain page with the title as reciept and in the matter i wrote "i (my name s/o fathers name) hereby declare receiving amount rs as advance of development of my house located at --, and the balance to be payable at the time of agreement. I agree to sell my terrace rights in rs -.
Sohaib
(Querist) 04 November 2016
I approached a few lawyers and they gave me different opinions which got me confused. One among them asked me to send a notice to the developer asking him to collect his money while other also added to get a caveat after sending the notice in order to avoid him from creating hurdles. Please advise on what you experts feel best
Kishor Mehta
(Expert) 05 November 2016
Sir,
While everything depends on the text of the agreement, please understand that an agreement of development of a property has to be adequately stamped, executed and registered to be accepted as evidence in a Court of Law.
It will be in the best of your interests to consult an advocate and proceed as per his legal advice.
Good Luck,
Kishor MEhta
Sohaib
(Querist) 05 November 2016
Than you so much for your advise experts. appreciate it. Had another doubt. Can he file for specific performance against me depending on that piece of paper?
Rajendra K Goyal
(Expert) 05 November 2016
Agree with the expert Kishor Mehta, most part depend on agreement.
Kumar Doab
(Expert) 05 November 2016
It might be 'Sai' or 'Kachhi Sai' to enter into agreement to sell.
Agree with the expert Mr. Kishor Mehta, Mr. Rajendra K Goyal.
Approach a very able counsel in person ASAP.
