I bought a property in a property expo 3 years ago. The agency firm (which sold it to me) said they are not involved anymore. But my property is now an abundant project and I have lost a lot of money. Last I heard the developer is now insolvent. Part 1.
Well, isn’t this common?
When a sale is transacted, the agency get paid for a job done. From there on, it is completed and there is no more agency relationship with the principal and third party. This is in the law as in S.154 of Contracts Act, 1950.
S.154 Termination of agency
An agency is terminated by the principal revoking his authority, or by the agent renouncing the business of the agency; or by the business of the agency being completed; or by either the principal or agent dying or becoming of unsound mind; or by the principal being adjudicated or declared a bankrupt or an insolvent.
Furthermore, the principal is now insolvent, which means the agency contract is terminated both by completion and by insolvent now. Double jeopardy! However, the question is during that expo, the agency contract was in force! So, do you have the right to hold the agency responsible 3 years ago?
Tomorrow we will continue.