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AGPA(agreement of sale cum general power of attorney) to sale deed


06-Oct-2023 (In Documentation Law)
AGPA deed was executed by the vendor in favor of three-person(vendees/AGPA holders). Among three vendees/AGPA holders, vendee/AGPA holder no.1 died. vendee/AGPA holder no.1 has left his mother, wife, 4 sons and 3 daughters as his surviving legal heirs. Now on the request of vendee/AGPA holder no.2 & 3, the principal owner(old vendor) wants to execute a sale deed in favor of three-person, to the wife of deceased vendee/AGPA holder no.1, old vendee/AGPA holder no.2 & 3. Now in new sale deed old vendor(original owner), legal heirs of vendee/ AGPA holder no.1, vendee/AGPA holder no.2&3 are added in the list of vendors. legal heirs of deceased vendee/AGPA holder No.1 are represented by Registered GPA which is in favor of younger son of deceased vendee/AGPA holder NO.1. whether sale deed can be executed by taking a GPA of legal heirs of deceased AGPA holder/vendee No.1? whether vendees can also be added in the list of vendors?
Answers (2)

Answer #1
100 votes

A Sale Agreement cum General Power of Attorney (GPA) is generally not considered to be a valid mode of transferring ownership of immovable property. A GPA is a legal document that grants a person the power to act on behalf of the property owner for specific purposes, such as executing documents, registering the property, or selling the property. However, it does not convey any ownership or title to the property.

The Supreme Court of India, in the case of Suraj Lamp & Industries Pvt Ltd v. State of Haryana and Another, has held that transactions involving the sale of immovable property through a GPA are not legally enforceable, and do not convey any title to the property. Therefore, any sale of immovable property based on a GPA is not considered to be legally valid and may be challenged in a court of law.

However, if the Sale Agreement cum GPA is registered and executed in compliance with the law, it may be valid for a limited purpose, such as authorizing the person to act on behalf of the owner for specific purposes. In such cases, the validity of the Sale Agreement cum GPA would depend on the specific facts and circumstances of the case, and compliance with relevant legal provisions.

It is recommended to hire a property/documentation lawyer since without going through all the documents and understanding the facts of the matter in detail, it is not possible to advise correctly.


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Answer #2
955 votes
Your entire documents will have to be looked into in order to answer this query. Please contact me for further details and I can address all your answers. I am an expert on documentation and title due diligence.
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