Kaagazaat

Builder's Cancellation Notice: Defaulting Buyer

At a glance

Price: Free, always.
Stamp duty: No stamp duty: it is a letter, not an instrument within section 2(14) of the Indian Stamp Act, 1899.
Registration: The notice is not registrable.
Witnesses: Not required.

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Free, always.

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Also called

builder cancellation notice
cancellation of allotment for default
notice to defaulting allottee
termination notice to buyer
final notice before cancellation of flat
allotment cancellation by promoter
रद्दीकरण नोटिस बिल्डर
ਬਿਲਡਰ ਰੱਦ ਨੋਟਿਸ

When you need it

You are a builder or promoter, the buyer has missed payments, reminders have gone unanswered, and you are ready to give a final notice. This notice lists what is overdue and the earlier reminders, names the clause of the agreement that lets you cancel, gives a last date to clear the dues, says that the allotment stands cancelled if the dues are not paid by then, and says how the refund of the balance will be made after the deductions the agreement and the law allow.

The real estate law and the agreement control when and how a promoter may cancel, so follow both, give the full time they require, and keep proof of delivery. If the agreement was registered, ask an advocate whether a registered deed of cancellation is also needed. Not for a first reminder — use the Builder's Demand Letter and Payment Reminder. Not for a buyer who wants out — use the Deed of Cancellation of Agreement to Sell.

Whether you can fill this in here

You can fill this in here

You can fill this one in on this site, and read the whole draft on screen before you decide anything about it. It is a carefully drafted template; it is not advice about your own facts.

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See stamp duty, registration and witnesses

What follows is written for Punjab and Chandigarh. It states the position there rather than describing how it varies, so the amounts below are the ones that apply — worth confirming at the sub-registrar’s office, because rates change. If the property is anywhere else in India, none of this is yours.

Stamp duty

No stamp duty: it is a letter, not an instrument within section 2(14) of the Indian Stamp Act, 1899.

Registration

The notice is not registrable. It does not by itself undo a registered agreement for sale in the records; if the agreement was registered, ask the Sub-Registrar or an advocate whether a registered deed of cancellation is also needed.

Notarisation

Notarisation is not required.

Witnesses

Not required. The sender signs; keep proof of delivery.

Request Stamp Paper

Sample preview — placeholder answers, not your data

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Date: 1 April 2026

To,
Aarav Sharma
House No. 211, Sector 21, Panchkula

Subject: Final notice before cancellation of allotment of Flat No. 304, Tower B, Green Park Heights

Dear Sir/Madam,

1. You are the allottee of Flat No. 304, Tower B in our project Green Park Heights under the agreement dated 2 April 2026, at a total price of ₹55,00,000 (Rupees Fifty Five Lakh only), of which you have paid ₹15,00,000 (Rupees Fifteen Lakh only).

2. The following sums are overdue:

Instalment of Rs 8,50,000 due on 10 May 2026 and instalment of Rs 6,00,000 due on 15 August 2026.

The total now overdue is ₹14,50,000 (Rupees Fourteen Lakh Fifty Thousand only).

3. We have already reminded you or given notice on the following dates:

Reminder letters dated 1 June 2026 and 20 July 2026; demand letter dated 18 September 2026. None was answered.

4. Under Clause 12 of the agreement we may cancel the allotment if the dues are not paid. This is your last opportunity. Please pay ₹14,50,000 (Rupees Fourteen Lakh Fifty Thousand only) on or before 3 April 2026.

5. If the dues are not received by that date, the allotment of the unit will stand cancelled from that date, as the agreement and the real estate law permit, without any further notice, and the unit may be allotted to someone else.

6. On cancellation we will refund the amount you have paid, after deducting only what the agreement and the real estate law allow, within 60 days. The deductions are: Booking charge and brokerage under Clause 12.3, as the agreement allows.

7. This notice is sent without giving up any of our rights under the agreement and the law.

Yours faithfully,
For ABC Developers Private Limited

Signature: ______________________________
R. K. Mehta, Authorised Signatory
SCO 10, Sector 17, Chandigarh

Questions about this document

Does the Builder's Cancellation Notice: Defaulting Buyer need stamp paper or stamp duty in Punjab and Chandigarh?

No stamp duty: it is a letter, not an instrument within section 2(14) of the Indian Stamp Act, 1899.

See the full position on stamp duty, registration and witnesses

Does the Builder's Cancellation Notice: Defaulting Buyer need registration in Punjab and Chandigarh?

The notice is not registrable.

See the full position on stamp duty, registration and witnesses

What does the Builder's Cancellation Notice: Defaulting Buyer cost on Kaagazaat?

Free, always.

Does the Builder's Cancellation Notice: Defaulting Buyer need witnesses?

Not required.

See the full position on stamp duty, registration and witnesses

Often needed with this document

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