Dear Experts and Seniors, please guide ....
I am a PSU Banker about to finance a Doctor for construction of an eye care Hospital that will cater to the needs of thousands of people in West Bengal.
The doctor owns the property and has entered into a notarized Agreement for Structural Design and Construction with a local developer.
Now my organization is going to Finance the Borrower (Doctor) for setting up the Hospital for Rs 4.00 Crores, my question is -
1. What is the protection if the Deveoper fails to complete construction of the Hospital within 14 months as per Agreement.
2. Do the Agreement needs to be registered one / do we need to enter into a tripartite agreement (Which in my case is not necessary as it is an agreement for construction not power of attorney for construction and selling)
3. The Notarized Development agreement is more than 10 months old do we need to revalidate/create a new agreement/get it registered.
4. Can my borrower move to court in case the Contractor fails to get the contract executed as per specifications of Agreement on the strength of Notarized Agreement.
Please guide, expecting some insights from seniors and experts, Thanks in advance.
