• Validity of sale deed and power of sub-registrar

i gave power of attorney to a person and after some time i intimated him that i am going to cancel his power and cancelled his power . both are registered. on the same day when i cancelled his power he intentionally made a sale of agreement with one person for 1,60,000 by getting 1,50,000 as advance and registration to be done with in three months of time. the buyer did not contacted me until now . the agreement is made three and half years ago. is it still valid. when enquired in sub register office he asks to cancel the sale of agreement to sell it to other person. does the sub registrar has the power to reject on stating the sale agreement
Asked 10 years ago in Property Law

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17 Answers

1) if power of attorney had been given by you to a person for sale of property and it is duly registered then the person has power to sell the property by entering into sale agreement

2) you have stated that power of attorney was revoked ? was intimation of revocation given in local newspapers?

3) you will have to challenge the sale agreement made by POA to third party if it was don e after cancellation of POA

4) please cross check whether sale agreement is duly registered now . if it is not properly stamped and registered then it is in admissible in evidence .

5) registration of sale deed can be done maximum within period of 8 months .

6) sale deed if registered can be cancelled by mutual consent of parties

Ajay Sethi
Advocate, Mumbai
96942 Answers
7822 Consultations

1) once sale agreement is duly stamped and registered it is valid . whether balance amount has been paid to POA by purchaser or not ? what were the clauses in event of default in making balance payment ?

2) contact a local lawyer .it is necessary to go through sale agreement to advice further .

3)if you want to cancel the sale agreement then you need buyer consent .

4)yes sub registrar can reject land registration if property has been sold already to third party

Ajay Sethi
Advocate, Mumbai
96942 Answers
7822 Consultations

If duly stamped & registered POA is given to a person for sale of property then he has the liberty to enter into agreement to sell the property. If you have revoked the POA, you should have given wide publicity in the leading local newspapers. Whether the POA entered into is duly stamped & registered Agreement of Sale with a third party before you revoked the POA?. Sale agreement made 3 1/2 years ago will not be valid now. Registeed agreement of sale can be cancelled if both parties agree.

Shashidhar S. Sastry
Advocate, Bangalore
5412 Answers
330 Consultations

1) since agreement for sale has been entered into before you revoked the POA it would be valid .

2) buyer can file suit for specific performance to direct seller to enter into regd sale deed .please check whether any such suit has been filed or not till date

3) dont sell land to third party

4) arrive at an amicable settlement with the original buyer , contact a local lawyer and then decide your course of action . it is necessary to peruse all documents mentioned by you

Ajay Sethi
Advocate, Mumbai
96942 Answers
7822 Consultations

Without perusing the documents it would not be correct to give the advice. If agreement for sale was entered into with the buyer before you revoked the POA, then it would be valid. Better to settle the issue amicably.

Shashidhar S. Sastry
Advocate, Bangalore
5412 Answers
330 Consultations

You have cancelled the power of attorney now.  But the agreement of sale has been done 3 1/2  hear ago, hence the agreement will be in effect.  Do you have a copy of the agreement.  What is mentioned in it about the time period.  Have you seen the copy that there is 3 months time period.  Unless we see that copy of agreement, we cannot advise you.  Anyway you can file a money recovery suit of Rs. 1,50,000/- along with interest, damages and legal expenses against the power of attorney holder.

Ravinder Pasula
Advocate, Hyderabad
400 Answers
125 Consultations

Hi, if you cancel the General power of attorney you have to give notice to your attorney to inform that you have cancel the GPA executed in his favor in writing and after that any transaction entered by your attorney is invalid........suppose if he execute the Agreement to sell then give notice to the seller regarding cancellation of GPA and also agreement entered by your attorney.

Pradeep Bharathipura
Advocate, Bangalore
5611 Answers
338 Consultations

Before cancelling GPA you are bound to inform the GPA holder by notice and inform the registar so that it would not create obstacles.now you can file a suit to cancel the GPA and say even though you informed GPA holder he entered into agreement and the buyer to cancel the sale.you can use phone consultation for detailed advice

Jeshma Mohandas KP
Advocate, Kozhikode
567 Answers
1 Consultation

A. In your opinion, you have cancelled POA but, as per the law, POA, can be cancelled by following manner viz.,

1. By way of Issue legal notice by Rigistered Post to the POA

2. By Paper Publication in local news paper

3. If POA registered, you can execute cancellation of POA before the Sub Registrar Office

B. Time is the essence of the contract, hence in the said agreement unequivocally mentioned 3 month period. Hence it will be dormant by itself as per the Indian contract act.

C. Sub Registrar is only stamping duty collector and he is representing the government as a collector of registration fee and stamp duty, hence he can refuse to register, but he has to record the reason on the Book and issue acknowledgement regarding the same. Therefore, the Sub Registrar can't refuse to register without proper reason due to he can do ministerial act not more than i.e. Judicial Officer.

B.T. Ravi
Advocate, Bangalore
943 Answers
96 Consultations

If you have not followed the required formalities necessary for cancelling the POA, the POA would be still valid in the eyes of law. Perhaps the duly stamped & registered POA in the Sub-Registrar's office is alive due to want of corresponding Deed of Cancellation of POA and may be due to this reason the Sub-Registrar is refusing to entertain your request

Shashidhar S. Sastry
Advocate, Bangalore
5412 Answers
330 Consultations

In your case, if cancellation of PoA was taken place before the sale of agreement and then the latter has no force in the eye of law. And with regard to time of sale of agreement, it can be extended for a long time on mutual consent of both seller and buyer that what happened here, but it is not bound upon you since you had already revoked your PoA.

Thanking you,

Subash M R
Advocate, Bangalore
176 Answers
8 Consultations

This query has already been answered by me.

Ravinder Pasula
Advocate, Hyderabad
400 Answers
125 Consultations

1) telephonic intimation is not sufficient . it has to be in writing that POA has been revoked in your case cancellation of POA is registered after sale deed is executed by POA holder

2) if you did not receive sum of Rs 1,50,000 from POA you ought to have filed complaint of cheating , criminal breach of trust against POA holder .

3) filed suit for recovery of Rs 1, 50,000 against POA holder

4) as on date your claim is barred by limitation

5) settle issue amicably with purchaser

Ajay Sethi
Advocate, Mumbai
96942 Answers
7822 Consultations

If The power of attorney given by you is accompanied with the stamp duty and the registration fee then you have no right. However as per the recent judgment conveyance must be only through a sale deed and not through any other document. Added to this if your poa is not registered or registered but not for consideration then the sale agreement has to be looked into. F the sale agreement is registered then you have to challenge the same.

Ananth Kumar
Advocate, Bangalore
122 Answers
61 Consultations

Since you have cancelled the POA after the POA holder executed the sale agreement with a third person in respect of your property, the agreement of sale with the third party is in order. However you should have received your due share from POA towards advance money for entering into sale of your property with the buyer. Better to file a suit against the POA holder for recovery of a sum of Rs.1,50,000/- + Interest by you and also complain against the POA holder in jurisdictional P.S. for cheating and criminal breach of trust.

Even though the Sale Agreement is barred by limitation, exception being extension of the same beyond 3months with the mutual consent of seller & buyer, which however, does not bind you since you have already revoked the POA.

Better to settle the issue amicably with the buyer.

Shashidhar S. Sastry
Advocate, Bangalore
5412 Answers
330 Consultations

You can file a case for cheating you in the name of GPA saying that you informed through phone still he executed sale agreement and amount was not given to you and to cancel sale agreement and to allow you to sell to someone elsemeanwhile you send a notice to the buyer that you haven't received the amount and to cancel the sale agreement. You can consult through phone for any doubts will explain you.

Jeshma Mohandas KP
Advocate, Kozhikode
567 Answers
1 Consultation

A. Instruction through telephone conversation is not proper and sufficient procedure that there is a legal procedure which is prescribed by law ( answered previously). Because you can't prove this type of evidence before the court of law, subject to availability of voice record of the phone call .

B. POA is unequivocally established that you have already transferred your power along with the amount received right on behalf of yourself. Hence, as per POA, he received the consideration amount. You can recover that amount if you satisfied the court by producing reliable evidence with regard to that POA was being cancelled by oral instruction before execution of the Sale Agreement. Because unless abrogate the POA by the specified manner that the presumption regarding POA is still existing in the eyes of Law.

C. You can clear the issue by way of amicable settlement.

B.T. Ravi
Advocate, Bangalore
943 Answers
96 Consultations

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