LegalClue
LegalClue
AI026🏠 Housing & PropertyReply draft

Banakhat Land Sold to Another Person — What To Do

What you need to know

A 'banakhat' (agreement to sell) is a legally recognized document in India that creates a contractual right over a property in favour of the original buyer. If the seller has sold the same land to another person despite an existing banakhat, this is a serious breach of contract and may also attract criminal liability under the Indian Penal Code for cheating and fraud. Under the Specific Relief Act, 1963, the original banakhat holder has the right to seek specific performance of the agreement — meaning the court can compel the seller to complete the sale in your favour. You can also file a criminal complaint and register a caveat with the sub-registrar to prevent further transfer of the property.

Your rights

1

Right to seek specific performance of the agreement to sell under the Specific Relief Act, 1963

2

Right to file a criminal complaint for cheating and breach of trust against the seller

3

Right to register a caveat at the Sub-Registrar office to block any further sale or registration

4

Right to claim damages and refund of advance paid with interest if specific performance is not granted

What you should do now

Action first
1

Preserve and verify your banakhat documents

  • Collect the original banakhat (agreement to sell), any receipts of advance payment, and witness details
  • Check whether the banakhat was registered at the Sub-Registrar office — a registered document carries stronger legal weight
  • Obtain a 7/12 (Satbara) extract or property card from the revenue office to see current ownership status
2

File a caveat at the Sub-Registrar office immediately

  • Visit the local Sub-Registrar office and file a caveat notice so no further registration of this land can happen without informing you
  • Submit a written complaint to the District Registrar about the fraudulent second sale
3

File a criminal complaint against the seller

  • Go to the local police station and file an FIR under IPC Section 420 (cheating) against the seller
  • Attach copies of the banakhat, payment receipts, and the new sale deed (if obtained) as evidence
4

File a civil suit for specific performance or damages

  • Consult a property lawyer and file a civil suit in the appropriate Civil Court under the Specific Relief Act, 1963 for specific performance of the agreement
  • Request an ad-interim injunction to stop the seller or second buyer from taking possession or making further transfers

Acts applicable

Specific Relief Act, 1963

central

Section 10 — Specific performance of contract for immovable property

Indian Penal Code, 1860

central

Section 420 — Cheating, and Section 415 — Cheating by fraudulent sale

Transfer of Property Act, 1882

central

Section 53A — Part performance of contract protects transferee in possession

Where to complain

Consumer complaint portal: e-jagriti.gov.in (replaced edaakhil.nic.in as of Jan 2025). Labour complaints: col.gujarat.gov.in. All links verified June 2026 via web search against official government sources.