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Judgments

Latest Judgments on Cancellation of Sale Deed

This blog post discusses the latest judgments on the cancellation of sale deeds in India. It explains that it is very difficult to cancel a registered sale deed, but that there are certain grounds on which a court may order its cancellation, such as fraud, coercion, or undue influence.

A sale deed is a legal document that transfers the ownership of a property from the seller to the buyer. It is a registered document, and once it is registered, it is difficult to cancel. However, there are certain circumstances in which a court may order the cancellation of a sale deed.

Here are some additional points to keep in mind regarding the cancellation of the sale deed:

  • A sale deed can only be canceled by a court of law.
  • The plaintiff in the suit for cancellation of a sale deed must have a valid ground for cancellation.
  • The plaintiff must prove the ground for cancellation on a balance of probabilities.
  • If the court orders the cancellation of a sale deed, the title to the property will revert to the seller.

Conclusion

The latest judgments on the cancellation of sale deeds have made it clear that it is very difficult to cancel a registered sale deed. However, there are certain grounds on which a court may order the cancellation of a sale deed, such as fraud, coercion, or undue influence. If you are considering filing a suit for cancellation of a sale deed, it is important to consult with a qualified lawyer to assess your chances of success.

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Frequently asked Questions 

What are the grounds for cancellation of the sale deed?

Grounds for cancellation of the sale deed typically include fraud, misrepresentation, coercion, undue influence, mistake, or lack of legal capacity. These grounds allow parties to seek judicial intervention to nullify the sale deed and restore the parties to their original positions before the transaction.

What is the Supreme Court judgement on registered sale deeds?

The Supreme Court has ruled that a registered sale deed enjoys a presumption of validity, but it can be challenged on grounds such as fraud, misrepresentation, or mistake. The court emphasises that while registration provides legal sanctity, it does not protect deeds tainted by illegality or fraud.

What is the limitation Act for cancellation of sale deeds?

According to the Limitation Act, 1963 the time limit for seeking cancellation of a sale deed is typically three years from the date the claimant becomes aware of the grounds for cancellation. Delay beyond this period may bar the claim unless exceptions such as fraud or mistake are proven.

How is court fee calculated in suit for cancellation of sale deed?

Court fees for a suit to cancel a sale deed are calculated based on the value of the property involved. Typically, fees range from a few hundred to thousands of rupees, depending on the property's market value. This fee structure ensures that the cost of legal action reflects the stakes involved in the cancellation process.

Can a third party file for cancellation of sale deed?

A third party does not have standing to directly file for the cancellation of a sale deed unless they can prove a legal interest or right affected by the transaction, such as inheritance rights or contractual obligations. Courts typically require direct involvement or harm to allow such actions.

What is the Supreme Court decision on cancellation of conditional gift deeds?

The Supreme Court has clarified that conditional gift deeds can be cancelled if conditions are not met or if the gift was made under undue influence, fraud, or coercion. The court emphasises fairness and intent behind conditional gifts, ensuring validity and justice in cancellation proceedings.

Can gift deeds be Cancelled by senior citizens?

Yes, senior citizens can seek cancellation of gift deeds if they can prove grounds such as fraud, coercion, or lack of mental capacity at the time of executing the deed. Courts may provide protections to seniors against exploitation, ensuring fair treatment and legal recourse.

Can gift deeds be challenged in court?

Gift deeds can be challenged in court on grounds including fraud, undue influence, or lack of legal capacity of the donor. Courts scrutinise such challenges to ensure the deed's validity and fairness, protecting the rights of all parties involved in the transaction.

 

 

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