A Full Payment Agreement of Property is essential for property transactions in India where the buyer pays the entire purchase price in one payment, rather than through installments. This document is used when both parties want to execute a straightforward property transfer without complicated payment structures. It must comply with the Transfer of Property Act, 1882, Registration Act, 1908, and state-specific property laws. The agreement includes crucial details such as property specifications, payment terms, warranties, and transfer conditions. It's particularly important for establishing clean title transfer and protecting both parties' interests in high-value transactions. The document serves as the foundation for the subsequent sale deed registration and is often required by banks, property registrars, and other authorities as proof of the transaction terms.
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1. Parties: Identification and details of the seller and purchaser, including names, addresses, and legal capacity to contract
2. Background: Context of the transaction, including brief property history and intention to sell/purchase
3. Definitions: Definitions of key terms used throughout the agreement
4. Property Details: Comprehensive description of the property being sold, including its location, boundaries, and registration details
5. Consideration: Full payment amount and payment terms
6. Transfer of Title: Terms regarding the transfer of property ownership from seller to purchaser
7. Seller's Representations and Warranties: Seller's declarations regarding property ownership, encumbrances, and legal status
8. Purchaser's Representations and Warranties: Purchaser's declarations regarding financial capacity and compliance with laws
9. Completion: Details of the completion process, including timing and documentation requirements
10. Registration and Stamp Duty: Obligations regarding registration of the sale deed and payment of stamp duty
11. Possession: Terms for handling over physical possession of the property
12. Expenses: Allocation of costs related to the transaction
13. Notices: Process for sending formal communications between parties
14. Governing Law and Jurisdiction: Applicable law and courts having jurisdiction
15. Execution: Signature blocks and execution formalities
1. Power of Attorney: Required when either party is acting through an authorized representative
2. Society Approval: Needed for properties in cooperative housing societies
3. Third Party Rights: Included when there are existing tenants or other third-party interests
4. Tax Indemnity: Additional tax-related protections for either party
5. Force Majeure: Provisions for unforeseen circumstances affecting completion
6. Property Condition: Detailed terms about the current condition and any repairs needed
7. Utilities and Outgoings: Handling of pending utility bills and property taxes
8. Surviving Provisions: Clauses that continue after completion of the sale
1. Property Description Schedule: Detailed description of the property including exact measurements, boundaries, and fixtures
2. Title Documents Schedule: List of all title documents and their chronology
3. Payment Schedule: Breakdown of payment terms, installments, and payment methods
4. Encumbrances Schedule: List of existing encumbrances, if any
5. Outstanding Liabilities Schedule: Details of pending dues, taxes, or charges
6. Inventory Schedule: List of fixtures and fittings included in the sale
7. Completion Requirements Schedule: Checklist of documents required for completion
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