Failure to Furnish Good Title

Implications of Failure to furnish good title

The land deals and the property sale and purchase must be a fair deal and there should be no grey areas involved. Many a time the land or the property in question has defect in its title. This must be brought in to the consideration of the buyer before or at the time of the closing of deal. But, few sellers may either deliberately try to hide the facts or may not be aware of such discrepancies. In such a situation the buyer is entitled for compensation and that could be in cash. It is the seller’s responsibility to provide to the buyer a good title and that must be done prior to or at the time of the closing of the deal.

The failure to furnish good title is a fault on the part of the seller and can lead to implications such as

• The buyer can give the seller some time to prove that the seller is the sole owner of the property and has all the rights to sell the property to anybody.
• The buyer can rescind the deal if the seller is unable to give satisfactory proof to the buyer about the title of the property and the seller will be responsible to give back all the money that was given as deposit or in any other form to the seller.

This is in favour of the buyer and saves the buyer from the title fraud or presence of any type of lien on the property.

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FAILURE TO FURNISH GOOD TITLE

If within the time provided, and in keeping with the manner specified, this option is exercised, and if seller, ______________________________, fails or neglects to provide merchantable title, including the elimination of all objectionable defects, seller shall pay the following to purchaser: _____________________________________________________ ______________________________________________________________________;
in addition to the following sum of money ______________ (amount) ($_________) which shall be taken by the purchaser as full satisfaction and settlement of damages.

_____________________________        ___________________        _____________
Signature                                           Title                                        Date

_____________________________        ___________________        _____________
Signature                                           Title                                        Date