v.raj 16 November 2019

Buyer's title in case of seller's defective title

A buyer has bought property from the seller after performing normal due dilligence.

If later it is found that the seller had acquired the property from previous owner under fraudulent transaction, will the present buyer still have a good title or his purchase will be null and void?

can we cite any case law or legal provision?

thanks

Reply Follow

3 Replies

SHIRISH PAWAR, 7738990900 (Advocate) 16 November 2019

Dear v.raj,

Buyer will have title as much as seller. Buyer cannot have title better than seller.

Regards,

v.raj 16 November 2019

Thanks.

but in that case, what exactly happens with regard to the land.

supposing the previous transaction is held to be fraudulent and declared void, to whom will the property belong?

if the last buyer has already created charges against the property or already started consturction etc. what would happen? can the last buyer go to court ? on what grounds?

and what would be the procedure to get the property back from him?

thanks

Rama Kanth (IT Profession and LAW Student ) 20 November 2019

Though construction has started / completed still it is a fradualent transaction. Original owner who has the title on the land will get the land irrespective of number of transactions happened after first fraud transaction..