• Cancelation of agreement

Dear sir, 
 i have plot of 150 mtr in ulwe node in navi mumbai. i have made agreement in 2015 of agust with one person who is not buildier.agreement has mentioned that he has to pay all money in november 2015, and agreement on 500 rs bond papaer only., not registered and not noterised. which he is not made and now after 3 years i have made lease dead agreement with CIDCO. now he want to do triparty agreement with me but not agree to pay extra money. now as per market prise of plot is high bcos of cidco lease agreement. so i want some extra money but he is not agree.
so now i have send him noticed by my advocate which mentioned that agreement is cancelled but he didnt reply.and now he send me notice which mentioned that he is going to criminal complaint and civil matter in court.
so my question is can i cancel my agreement ?
can i sale again to anather person?
is any criminal offence can file against me?
is he got merrit in court?
what should i do?
Asked 6 years ago in Property Law
Religion: Hindu

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13 Answers

1) time was essence of contract

2) purchaser failed to make payment by Nov 2015

3)you are at liberty to sell plot to third party

4) no criminal case of cheating is made out against you

5) purchase case is devoid of merits

Ajay Sethi
Advocate, Mumbai
96918 Answers
7820 Consultations

i) Issue a legal notice to buyer that his agreement has been canceled due to payment period is end.

ii) withough notice if you sell the property to some other person , in that event the person to whom u have allready agreed to sell the property under agreement made in 2015, that person can file suit for Specific performance of contract or Suit for damages..against you.

Mohammed Mujeeb
Advocate, Hyderabad
19306 Answers
32 Consultations

court would not grant any stay order unless you are served with suit proceedings

2) only after hearing both parties would court pass orders

3) chances of stay being granted are bleak

Ajay Sethi
Advocate, Mumbai
96918 Answers
7820 Consultations

There is no merit in his matter. First of all, this agreement is not binding for the same is not duly stamped and registered. Secondly, even if it is believed for a minute that this agreement is perfect legally, then also since is the one who violated this agreement for not making the payment of sale consideration on time, he cannot insist for specifc performenace of ths agreement.

Vibhanshu Srivastava
Advocate, Lucknow
9659 Answers
307 Consultations

This is my response to you:

1. If there was clause stating that you can backout from the agreement then you have full liberty to do so;

2. Since the agreement is notarized therefore your are bound by it;

3. Also, if the earlier price was mentioned in the agreement then you cannot raise it now;

4. Since the agreement was not registered you can back out any time;

5. The other side may file a suit in the civil court but he will not have merit;

6. The criminal aspect also cannot be taken since you haven't cheated him;

7. File a caveat in the court and take legal precautions.

Gowaal Padavi
Advocate, Mumbai
1920 Answers
5 Consultations

Dear Client,

Agreement is already expired for his default to make payment on time. You are not bound by the agreement anymore and such cases has no role of police - no criminal offense and blink and no chance of civil suit relief.

You can sell to any of your choice.

Avoid him and alienate property acc. to your choice.

Yogendra Singh Rajawat
Advocate, Jaipur
22991 Answers
31 Consultations

1. the agreement between you and that buyer stood terminated in November 2015 when that person failed to pay the balance money

2. as agreement stood terminated you are entitled to forfeit any token money that may have been paid by that person to you at the time of signing the agreement in August 2015

3. the buyer did nothing all this while to complete his part of the obligations under the August 2015 contract

4. now he cannot require you to sell your plot at the rates prevailing on 2015. Moreover the august 2015 contract already ended in november 2015 when he did not complete the payment

5. even if he goes to civil court, his suit will fail because he is barred by limitation and he also did not complete his obligations under the conract

6. the police will not entertain his complaint because it is a dispute of civil nature

7. you can sell your property. The person has not obtained any stay order against you

Yusuf Rampurawala
Advocate, Mumbai
7678 Answers
79 Consultations

The agreement is already cancelled as he himself breached the condition and not payed the amount. Since the period is expired in 2015 November no further extension so now he has no remedy against you you can freely sale the property or lease there is no issue.

Yes agreement is already cancelled.

Yes you can sale same to another person,

No there is no offence made out of these facts.

no merits on narrated facts with the other party.

You can reply said notice and can sale your property freely.

Shubham Jhajharia
Advocate, Ahmedabad
25514 Answers
179 Consultations

There is no merit the court shall not grant a stay further you have already filed caveat so you shall receive notice before court takes any decision you can contest same.,

Shubham Jhajharia
Advocate, Ahmedabad
25514 Answers
179 Consultations

As you have entered into a lease deed with CIDCO and the plot is allotted to you, it is right time you can enter into a Tripartite Agreement with a proposed purchaser, CIDCO and you for valuable consideration.The Agreement entered into by you in 2015 doesn’t have any value as the same is not a registered document. Not only that the terms of the said Agreement has not been complied with by the Purchaser Under the limitation Act if any right the purchaser had under the unregistered document the same is hit by the said Act as the period of 3 years have elapsed. Therefore you are liberty to assign the leasehold property in favor any one. Once you transfer the said property to a third party, the right, if any of the Purchaser of 2015 is only a money claim for which he has to institute a suit. The Police or the Criminal Court as such doesn’t have any jurisdiction to entertain on the proposed complaint.

Paul Puthussery
Advocate, Panvel
5 Answers

If the agreement is not registered then it can’t be called as an valid one.

Whcih means that it holds no sanctity in the eyes of law.

You can very well go ahead and sell to anyone you wish to.

Sanjay Baniwal
Advocate, South Delhi
5474 Answers
13 Consultations

The unregistered agreement for sale is invalid and not enforceable in law.

As it is it is more than 3 years after the agreement was entered into hence it is barred by limitation.

Moreover you have already communicated the decision of cancellation hence the agreement is cancelled.

No criminal case or civil suit is maintainable.

Let him approach court.

T Kalaiselvan
Advocate, Vellore
87120 Answers
2338 Consultations

If you have filed caveat then he cannot get exparte injunction order against you.

T Kalaiselvan
Advocate, Vellore
87120 Answers
2338 Consultations

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