My father purchased a plot from a party who in turn purchased from a developer cum co-owner. The other co-owner cum developer has sold the same plot few years earlier to others by way of a General Power of Atorney. Now, that the same plot is sold to two parties by the co-owners in different time frame. Where do we stand legally?. Please advice.
As the title to B is not passed except the GPA, the persons claiming under B cannot claim right or title to the property. The Court will protect the possession of the one who is found to be in peaceful possession, the first purchaser of the property which is your father who shall have the right to retain under Section 48 of the Transfer of Property Act,1882.
The subsequent sale is bad for no title could have been again created for the same property in 2013, when this was already sold to your father in 1988. Additionally, he was the first owner with valid documents and has been living here for so many years. Even the sale deed must have been duly stamped and registered as per Section 17 of the Registration Act, 1908, giving your father the clear title to the property. Your father can challenge the subsequent sale that was made in 2013 and seek a stay order so that no third party rights are created over this property by the subsequent purchaser.
Subsequent sale by B to third party would not confer any title to the purchaser.The second purchaser can seek return of the consideration amount from the vendor and could also file a case of cheating under Section 420 of Indian Penal Code,1860 against the vendor for dual sale.
Reference: Section 48 of the Transfer of Property Act,1882.
Section 17 of the Registration Act, 1908
Section 420 of Indian Penal Code,1860