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Contract To Sell Form for India

Contract To Sell Form Template for India

A Contract to Sell Form under Indian law is a legally binding agreement that establishes the terms and conditions for the future sale of property. This document, governed by the Indian Contract Act 1872 and Transfer of Property Act 1882, creates a contractual obligation for the seller to sell and the buyer to purchase the property under specified conditions. It includes detailed provisions regarding the property description, sale consideration, payment terms, completion timeline, and obligations of both parties. The document serves as a crucial intermediate step before the final sale deed, protecting both parties' interests during the transaction process.

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What is a Contract To Sell Form?

The Contract to Sell Form is a fundamental document in Indian property transactions, essential when parties agree to a future sale of property but need to establish terms and conditions before executing the final sale deed. This document is governed by Indian contract and property laws, particularly the Indian Contract Act 1872 and Transfer of Property Act 1882. It's commonly used when there are conditions to be fulfilled before the final sale, such as payment installments, property inspection, or title clearance. The document typically includes comprehensive details about the property, parties involved, consideration amount, payment schedule, and completion timeline. It provides legal protection to both parties by clearly defining their rights and obligations during the transaction process.

What sections should be included in a Contract To Sell Form?

1. Parties: Identifies and provides full details of the seller and buyer, including names, addresses, and legal capacity

2. Background: Establishes the context of the sale and the seller's ownership/right to sell the property

3. Definitions: Defines key terms used throughout the agreement for clarity and precision

4. Property Details: Comprehensive description of the property being sold, including location, boundaries, and measurements

5. Sale Consideration: Specifies the agreed purchase price and payment terms, including installment schedule if applicable

6. Payment Terms: Details the mode, timing, and conditions of payment

7. Possession: Specifies when and how possession will be transferred to the buyer

8. Title and Encumbrances: Declarations regarding property title clearance and existing encumbrances

9. Seller's Representations: Warranties and representations made by the seller regarding the property

10. Buyer's Representations: Confirmations and undertakings by the buyer

11. Completion: Details of the completion process and timeline

12. Default and Remedies: Consequences of default by either party and available remedies

13. Governing Law: Specifies Indian law as governing law and jurisdiction details

14. Execution: Signature blocks and execution formalities

What sections are optional to include in a Contract To Sell Form?

1. Force Majeure: Include when parties want to address unforeseen circumstances that may affect contract performance

2. Assignment: Include when transfer of rights under the agreement needs to be addressed

3. Broker/Agent: Include when a broker or agent is involved in the transaction

4. Development Rights: Include for properties with unused development potential or TDR

5. Existing Tenancies: Include when the property has existing tenants

6. Joint Ownership: Include when the property will be purchased by multiple buyers

7. Loan/Mortgage: Include when the purchase involves bank financing

What schedules should be included in a Contract To Sell Form?

1. Property Schedule: Detailed property description, including floor plans and measurements

2. Payment Schedule: Detailed breakdown of payment installments and due dates

3. Title Documents: List of title documents and their copies

4. Encumbrance Certificate: Recent encumbrance certificate details

5. Property Tax Records: Details of property tax payments and outstanding dues

6. Approvals and Permissions: List of relevant governmental approvals and permissions

7. Property Photographs: Current photographs of the property and its features

Authors

Alex Denne

Head of Growth (Open Source Law) @ Ƶ | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Jurisdiction

India

Publisher

Ƶ

Document Type

Sales Contract

Sector

Sales

Cost

Free to use
Relevant legal definitions


































Clauses






























Relevant Industries

Real Estate

Construction

Banking and Finance

Legal Services

Property Development

Commercial Property

Residential Property

Industrial Property

Agricultural Property

Retail Property

Relevant Teams

Legal

Real Estate

Compliance

Property Management

Business Development

Risk Management

Asset Management

Operations

Finance

Sales

Relevant Roles

Legal Counsel

Property Lawyer

Real Estate Manager

Property Developer

Compliance Officer

Contract Manager

Real Estate Agent

Property Consultant

Title Officer

Property Valuation Expert

Business Development Manager

Asset Manager

Property Portfolio Manager

Risk Manager

Legal Associate

Industries





Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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