VENDOR’S SOLICITOR’S LETTER INDEMNIFYING THE AUCTIONEER AGAINST LIABILITY UPON PREMATURE TRANSFER OF DEPOSIT
_________________ (name of auctioneer)
_________________________ (address of auctioneer)
LETTER TO INDEMNIFY THE AUCTIONEER AGAINST LIABILITY UPON PREMATURE TRANSFER OF DEPOSIT
- The property, namely, _____________________________________, has been sold by _______________, the vendor, in the public auction dated __/__/20__, for the bid of Rs. ___________ to ______________, the purchaser.
- The purchaser had deposited a sum of Rs. ___________ for the property, which is __% of the total consideration.
- The purchaser will pay the balance consideration within the period of _________, specified in the Memorandum of Sale executed between the vendor and the purchaser.
- ________________, the auctioneer had been authorised to accept the deposit on behalf of the vendor, and transfer the same to the vendor’s account after ___ days.
- The auctioneer, mistaking the time period after which the deposit has to be transferred, transferred the amount to the vendor’s account after ___ days.
- The purchaser has claimed that the terms of the Memorandum has been breached by the auctioneer, and he is liable to pay damages amounting to Rs. __________ to the purchaser in this regard.
- The vendor has taken full liability for the premature transfer of the deposit and has provided full indemnity to the auctioneer in this regard.
Thus, any negotiation with regard to damages to be paid to the purchaser will be undertaken by the vendor, on behalf of the auctioneer, and will be further paid by the vendor himself, after due verification by me.
_____________________ (name of vendor)
_____________________ (name of vendor’s solicitor)