DEED OF CANCELLATION OF AGREEMENT TO SELL

This Deed of Cancellation is made at __________, __________, on __________.

BETWEEN

referred to as the "Seller", which expression, where there is more than one of them, means all of them jointly and each of them severally, and includes their legal heirs, executors, administrators and permitted successors,

AND

referred to as the "Buyer", which expression, where there is more than one of them, means all of them jointly and each of them severally, and includes their legal heirs, executors, administrators and permitted successors.

The Seller and the Buyer are together called the "parties".

BACKGROUND

The Seller is the owner of, or is otherwise entitled to sell, the immovable property described in the Schedule at the end of this Deed (the "Property").

The parties have now decided, by their own free will and mutual consent, not to go ahead with the sale and to cancel the Original Agreement, and to settle the money and everything else between them on the terms recorded below.

THE PARTIES AGREE AS FOLLOWS

1. Words used in this Deed

1.2 "Property" means the immovable property described in the Schedule.

2. Cancellation of the Original Agreement

2.1 The Original Agreement is cancelled by mutual consent with effect from the date of this Deed. It stands terminated and is of no further force or effect, and nothing in it survives except as this Deed provides.

2.2 Neither party is bound to perform anything under the Original Agreement. The Seller is not bound to sell and the Buyer is not bound to buy the Property. No claim for specific performance, damages or compensation lies between them under the Original Agreement.

2.3 This cancellation is by the free and mutual consent of both parties. Neither party admits any breach, default or wrongdoing, whether its own or the other's.

2.4 Both parties have signed this Deed. The Original Agreement has not been, and cannot be, cancelled by either party one-sidedly.

3. What the Buyer gives up

3.1 On and from payment of the Refund Amount under clause 4, and immediately where the Refund Amount is Nil, the Buyer has no right, title, interest, claim, lien or charge of any kind in or over the Property, and gives up every such right or claim arising from or connected with the Original Agreement.

3.2 The Buyer gives up any right to part performance under section 53A of the Transfer of Property Act, 1882, and any right to seek specific performance of the Original Agreement under the Specific Relief Act, 1963. This does not affect the Buyer's right to recover the Refund Amount as a debt under clause 4.

3.3 The Buyer shall not obstruct, and shall not allow anyone claiming through the Buyer to obstruct, the Seller's ownership, possession or dealing with the Property.

3.4 The Buyer confirms that the Buyer has not assigned, transferred, sub-sold, mortgaged or created any right in favour of any other person under or on the strength of the Original Agreement.

4. The Amount Paid and how it is settled

4.2 The Amount Paid is settled in the two ways set out below, and in no other way. Where either figure below is Nil, nothing is payable or kept on that account:

4.4 These amounts have been arrived at by negotiation between the parties, as a complete and final settlement of everything arising out of the Original Agreement and its cancellation. They are an agreed settlement and not a penalty, and neither party shall later contend that any part of this settlement is unreasonable, disproportionate or unenforceable.

4.5 Apart from what clause 4.2 provides, no amount of any kind is payable by either party to the other on account of the Original Agreement, its performance or its cancellation, whether as refund, price, interest, damages, compensation, expenses, brokerage or otherwise.

5. Full and final settlement and mutual release

5.1 This Deed is in full and final settlement of all claims, demands and disputes between the parties arising out of or in connection with the Original Agreement and the proposed sale of the Property.

5.2 The Buyer releases the Seller, and the Seller releases the Buyer, from all such claims and demands. The Buyer's release takes effect when the Refund Amount is paid in full; until then the Buyer keeps the right to recover the Refund Amount, with interest, under clause 4. Where the Refund Amount is Nil, the Buyer's release takes effect on the date of this Deed.

5.3 Neither party shall start or continue any claim, case, complaint or proceeding against the other in respect of the Original Agreement or the Property, except to enforce this Deed.

6. Steps the parties will take

6.1 To give effect to this Deed, the parties shall do the following:

— Papers and attendance. Each party shall sign and give the other every application, affidavit, no-objection, receipt, indemnity or form that the other reasonably needs, and shall attend in person at any office where attendance is required for that purpose.

7. The Seller's freedom to deal with the Property

7.1 From the date of this Deed the Seller may sell, agree to sell, mortgage, gift, lease or otherwise deal with the Property in favour of any person and on any terms, without reference to the Buyer and without the Buyer's consent.

7.2 The Buyer shall not, and shall not permit anyone on the Buyer's behalf to, issue any public notice, caveat, objection, or communication to any authority, bank, society or intending purchaser suggesting that the Buyer has any subsisting right in the Property.

7.3 Clauses 7.1 and 7.2 apply whether or not the Refund Amount has been paid. If it is not paid, the Buyer's remedy is to recover it as a debt under clause 4, and not to obstruct or cloud the Property.

8. Stamp duty, registration fee and costs

8.2 Each party shall bear its own legal and professional costs.

9. Stamping and registration of this Deed

9.1 This Deed shall be executed on stamp paper, or on an e-stamp certificate, of the value payable in __________ on an instrument of cancellation.

10. Statements each party makes

10.1 Each party has full power and authority to sign this Deed, and no other person's consent or approval is needed for it.

10.2 The Seller has received no amount from the Buyer other than the Amount Paid.

10.3 The Buyer has not transferred, assigned, sub-sold, mortgaged or created any right in favour of any other person under or on the strength of the Original Agreement, and no case, claim, charge or proceeding relating to the Original Agreement exists other than as disclosed in this Deed.

10.4 Each party has read and understood this Deed, has had the opportunity to take independent legal advice on it, and is signing it freely, without any force, fraud, coercion, undue influence or misrepresentation.

10.5 Neither party is insolvent, and no order of any court or authority prevents it from signing this Deed.

11. Indemnity

11.1 If a party breaks any promise or statement in this Deed, that party shall compensate the other for the loss, cost and expense, including reasonable legal costs, that the other suffers because of it.

11.2 If any person claims a right in the Property through the Buyer, or on the strength of the Original Agreement, the Buyer shall meet and settle that claim at the Buyer's own cost and keep the Seller protected against it.

12. Notices

12.1 A notice under this Deed shall be in writing and sent to the address of the other party given at the beginning of this Deed, by hand against written acknowledgement, by registered post or speed post with acknowledgement due, or by reputed courier. A notice sent by registered post or speed post is treated as delivered on the seventh day after posting, even if it is returned unserved or refused.

12.2 A party who changes address shall inform the other in writing within 7 days, failing which notice to the old address is good notice.

13. Whole understanding

13.1 This Deed records everything agreed between the parties about the cancellation of the Original Agreement, and replaces all earlier talks, letters, messages, notices and understandings on the subject.

13.2 Any change to this Deed must be in writing and signed by both parties, and where this Deed is registered, any change must also be registered.

14. Severability

14.1 If any clause of this Deed is held invalid or unenforceable, the rest of the Deed continues to apply, and that clause shall be read down only to the extent needed to make it valid.

15. Governing law and courts

15.1 This Deed is governed by the laws of India.

16. Copies

SIGNED AND DELIVERED by the parties at __________ on __________, after reading and understanding its contents.

SELLER

BUYER

WITNESSES

1. Signature: __________________________

2. Signature: __________________________

SCHEDULE — THE PROPERTY

__________

RECEIPT FOR THE REFUND AMOUNT

To be signed by the Buyer when the Refund Amount is paid. Where the Refund Amount is Nil, no receipt arises and this page is to be left unsigned.

Date: ________________ Place: ________________