Agreement to sell can be revoked by seller ?
Dear Sir,
I'm working on a case study. Please find below scenario & kindly advise me on the two questions given at the end of case study.
Thanks in advance.
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Arun was hunting for a residential property in city of Mumbai. He finally zeroed in on a property at Dadar. Mr. Wagle was the owner of the said property and was interested in selling the property.
- On 1st January, 2016 Arun met Mr. Wagle and it was agreed upon that the price of the property would be Rs. 3 crores. It was also agreed that a token amount of Rs. 75 lacs would be given by Arun to Mr. Wagle on 15th January, 2016.
- On 15th January, 2016 Mr. Wagle and Arun entered into an Agreement to sell whereupon Mr. Wagle recorded his intention to sell the property for Rs. 3
crores. It was also confirmed that Arun has paid Mr. Wagle a sum of Rs. 75
lacs towards Advance Payment (Token) for the Sale of the property.
- Further it was agreed that Arun and Mr. Wagle would enter into a registered
Agreement of Sale on 20th January, 2016. Thereafter, the possession of property would be handed over by Mr. Wagle to Arun, this subject to simultaneous payment of Rs. 2.25 crores by Arun to Mr. Wagle.
- However, on 19th January, 2016, Mr. Wagle called Arun to inform him that he does not desires to sell the property. Mr. Wagle asks Arun to collect back the Amount of Rs. 75 lacs.
- However, Arun still insists that as Mr. Wagle had entered into an Agreement
dated 15th January, 2016 and therefore he was entitled for the said property
Question:
a) Based on the above facts can Mr. Arun insist or enforce Mr. Wagle to sell
his Flat?
b) Based on the facts above and assuming that Mr. Wagle had informed Arun
that he does not want to sell his Flat on 22nd January, 2016. Could Arun
insist or enforce Mr. Wagle to sell his Flat?
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Best Regards,
KP