Sunday, November 24, 2013

Legal Query on single owner selling to joint owners and father funded the house but purchased in the name of grandfather

Q 1.  I am interested in selling a piece of land registered in my name.
My questions are:
1. Is there any legal issues in selling from single owner to Joint Owners? (3 brothers)
2. How should the payment be received, individually or a Single payment from one of them. Is there any legal problem later with this?
3. Since I do not prefer cash payment,   I am insisting on a Single Cheque payment and like to register the sale deed only in the name of the person who gives the cheque. IS this OK
4. Is DD payment safer than cheque, but I may not know the source or share from the brothers, or who paid the amount for the DD, and I don’t want to face any trouble later. Thanks, Vk.

Ans. The answers to your questions are as below:
1.      There is no legal issue in selling a piece of land from a single owner to joint owners.
2.     Receiving single payment is also not a problem and even receiving separate payments is also not a problem.
3.     You can demand cheque payment, but registering only in the name of the person who is drawing the cheque/DD is not necessary, as if the buyer has no issues adding the other 2 names, then even you should not have it. All three might have pooled in the money or there must be reason they want all the 3 names as buyers, so it does not matter and even you should not dispute this. It is the lookout of the buyers to demarcate their individual rights and shares in the sale deed. To be made.
4.   Receiving DD is more advisable. You need not know the source of the funds, but as mentioned above, you can or the buyers can mention their shares in proportion i.e. in percentage, which will help them in future in case they sell or divide the property.

Q 2. I would like to have your expert advice on a real case study of a residential house dispute among siblings (i.e. my father and his 4 nos. sisters and grandmother).
It is around 20 years back; my father has filled the allotment application with my Grandfather’s name. Subsequently after flat allocation, due to financial constraint with my grandfather, my father has deposited the entire amount to take the possession of flat. 
We are staying in the house since then, and still the house registry is pending due to one of the reason of case been filled by Father's sisters asking for the equal proportion in the house including my grandmother. 
My father also has sold out a land to submit the money for possession 20 years back.
Now, the situations are like that it shall be resolved in the court itself. Despite of knowing the financial constraints of my grandfather, the payment of the house has been made by my father. 
Now, since my grandfather didn't had any role except the allotment has happened in his name. How do you see this case? Can the court will see all these details or it will be divided in among all six (my father / grandmother and 4 nos. sisters)
All my father's sisters are married and well placed long time back. Best regards, AB.

Ans. Well, if you think, your father can prove that, the funds have been paid by him, and then there is a possibility that the Court can decide the case in your favour.  However, in absence of this, since the property bears your grandfathers name, the court may order equal share for all legal heirs, it is better to go for mediation and settle the issue, instead of allowing the case to go on for years.

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