1. The buyer will not come forward to buy the property in which there is an encumbrance of a subsisting registered sale agreement.
The buyer will not take the risk of facing litigation and legal disputes at a later stage due to this subsisting encumbrance.
2. The original buyer who entered into the sale agreement shall drag the vendor to the court of law with a suit for specific performance of contract.
He has no business with the subsequent buyer because he entered into the sale agreement with the vendor and not with the new buyer.
The original buyer may implead the subsequent buyer as a party to the suit for proper adjudication as a necessary party.
In any case the vendor is the person who will be liable and responsible before court of law to contest or admit the case filed against him by the original buyer and not the subsequent buyer.
3. If the subsisting registered sale agreement comes to the notice of the registrar, h may stop the registration process.
Sometimes the brokers/deed writers may bribe the registrar who may ignore the facts and law involved in this because once the registration is completed, the registrar can claim innocence of the existing fact blaming the work burden as a reason for this omission.
4. If as a buyer you still want to take a risk and have sufficient time to face the litigation, have sufficient money and energy to participate in the ongoing litigation which will either be disposed against the interests of the buyer or the buyer may ultimately have to pay a heavy mount for a compromise at the end of the cae, then the buyer may have to pay for the intentional wrong he has committed in this despite being warned about the consequence for this act of ignorance.