Can a sale deed be cancelled with mutual consent?

Response

When a deed can be annulled, Sections 31 to 33 of the Specific Relief Act,1963 provide guidance. This Act allows for cancellation when an individual believes the deed is voidable or has reasonable doubt that such a deed would cause him harm if left outstanding.

If the deed was registered in accordance with the provisions of the Indian Registration Act of 1908, The cancellation may be executed by mutual consent of all parties. The court may partially cancel the deed and agree to let it stand for the remainder if there are clear indicators of prejudice or if various people referenced in the document have different rights or obligations.

If the court deems it appropriate, the other party may be asked to compensate or restore the benefits received by the former due to the unfair nature of the conduct, as well as pay the offended all dues owed to them. If a defendant refuses to pay compensation because the deed against him or her is voidable or the defendant has reaped various benefits as a result of it, the court may require the defendant to pay compensation. If the deed was not drawn up in accordance with the laws set forth in Section 11 of the Indian Contract Act of 1872, the court may choose to allow him to restore any advantage that that party received as a result of the deed. If the deed was not drawn up in accordance with the laws set forth in Section 11 of the Indian Contract Act of 1872, the court may choose to allow him to restore any advantage that that party received as a result of the deed.

The relief granted is based on the principle of protective or preventive justice, and so applies to the plaintiff’s documents. This does not imply that the plaintiff must be a party to the contract; rather, if the deed is in their best interests, they may initiate a lawsuit.

Reference: Sections 31 to 33 of the Specific Relief Act,1963

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