As you know, the purpose of registering a sale deed is to give the buyer or an individual sole ownership of the property. For it to be enforceable, both the buyer and the seller must sign it. Now, after entering a sale agreement and having it registered, some of you find you have been defrauded. But, is the cancellation of sale and construction agreement allowed? So, in India, you can end a real estate sale and construction contract, but under some conditions, which I listed below for you.
Conditions to Cancel Sale and Construction Agreement
Both the buyer and seller can cancel the sale agreement if there is a valid reason for it, but under the following case.
Cancellation is legally straightforward if both sides consent.
Failure by the builder to meet their obligations, for example, not following the agreed plans or schedule, gives you ground to cancel the agreement. A legal notice to the builder might get you a refund of any advance payments.
You can cancel the sale and construction agreement if it comes out that one party can't legally enter the agreement (for instance, a minor or someone who is not of sound mind).
If you discover the builder has committed fraud or misrepresented facts, you can file a civil suit to cancel the agreement.
I hope you found this helpful.
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Can a Registered Sale Agreement be Cancelled?
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Is It Possible to Cancel the Sale and Construction Agreement Done for Property?
I signed a sale and construction agreement for a property, a few months ago, with a builder in Bangalore. But, due to unforeseen personal and some financial issues, I'm now considering backing out. I have paid a part of the amount. I want to know, is there a legal way to cancel such agreements? Also, wanted to know what the implications are, what my options are, and whether cancellation is even possible without penalty. Need help, any legal expert here, please suggest the right steps to take.
Mithali
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5 Year
2020-08-28T21:16:25+00:00 2025-08-18T15:19:40+00:00Comment
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