Hi,
My Dad along with his five brothers owns ancestoral land at Village falls in Satara district of Maharashtra.
we have all decided to sell that land unanimously which is 18 acre. one developer/broker approached us and agreed to buy land at discussed price.
But he had a condition, he wish to pay advance of 20% amount of total cost of the deal now and rest after 9 months to while making sale deed.
Now, one of my friend suggested to me to make registered Earnest receipt or Visar Pavati for 20% advance payment by putting clause of complete the whole process of making sale deed not more than 3 or 5 months.
Questions:
1. what is the best way to handle this situation in order to safeguard our interests
2. Is there any max. validity period fixed for Ernest receipt or Visar Pavati.
3. should I follow the suggestion given by my friend.
4. what are the legal implications we should taking into consideration while entering in this deal.
Just execute a registerd Agreement to Sell and in that place all the terms and conditions; Conditional sale, you can mention that if the sale is not complete within 9 months as agreed the earnest money received by you shall forfeit .
