On July 28, 2021, the Supreme Court of India delivered a landmark judgement on the validity of oral agreements in the context of property sales. The case in question, Kailash vs. Nanhku, dealt with a dispute over a property transaction that was allegedly agreed upon orally between the parties involved.

The Court held that an oral agreement to sell immovable property is valid and enforceable if it satisfies the requirements of Section 2(47) of the Indian Contract Act, 1872. This section defines a contract of sale as “a contract whereby the seller transfers or agrees to transfer the property in goods to the buyer for a price.”

The Court observed that a contract of sale can be either in writing or verbal, and the law does not prohibit the validity of an oral agreement. However, for an oral agreement to be enforceable, it must meet the following conditions:

1. The terms and conditions of the agreement must be clear and unambiguous.

2. The agreement must be supported by valid and legal consideration.

3. The parties to the agreement must have the capacity to enter into a contract.

4. The agreement must not be void or illegal under any law.

In the present case, the Court found that the oral agreement between the parties satisfied all the above conditions and hence, was enforceable. The Court also observed that the fact that the agreement was not reduced to writing did not invalidate it, and the parties were bound by their oral agreement.

This judgement is significant as it clarifies the legal position on the validity of oral agreements in property transactions. It also emphasizes the importance of ensuring that all terms and conditions of an agreement are clear and unambiguous, regardless of whether the agreement is in writing or verbal.

From an SEO perspective, this judgement may lead to an increase in online searches related to the validity of oral agreements in property sales. Therefore, it is essential for legal websites and blogs to publish informative and accurate content on this topic, incorporating relevant keywords and phrases to improve search engine visibility.

In conclusion, the Supreme Court`s judgement on oral agreements to sell provides clarity on the legal position on this issue and emphasizes the need for clear and unambiguous terms and conditions in all agreements. It is a reminder that agreements, whether verbal or written, can be legally binding and should be carefully considered and negotiated before entering into them.