What to Do If You Bought Property Without Knowing It Was Under Litigation in Pakistan!
Buying property is one of the biggest investments most Pakistanis make in their lifetime. But what happens when, after the purchase, you find out the property is already under litigation in court?
- This unfortunate situation is more common than you think, especially in Karachi, Lahore, and other urban cities. Many buyers fall into this trap due to lack of due diligence, false documents, or dishonest sellers.
- This article explains your legal rights, remedies, and next steps if you unknowingly purchased property involved in a legal dispute in Pakistan.
⚠️ First, What Does “Litigated Property” Mean?
A property under litigation means:
- There is a pending case in court (civil or criminal) involving the ownership, possession, or title of the property.
- The property may be subject to a stay order, attachment, or injunction, making its sale unlawful.
Such property cannot be lawfully transferred—and if it is, the transaction is at risk of being cancelled or reversed by the courts.
Why Does This Happen?
Some common reasons people buy litigated property unknowingly:
- The seller hides the fact that a court case is pending.
- No search of the encumbrance certificate or property litigation record is conducted before purchase.
- The property was transferred through fake or disputed power of attorney.
- Lack of legal verification from a professional lawyer before purchase.
Step-by-Step: What You Should Do Now!
1. Stop All Further Transactions or Construction
If you’ve already taken possession or started construction pause immediately. Continuing work may be seen as contempt of court if a stay exists.
2. Find Out Case Details
Visit the local court or consult a lawyer to obtain the case file. You need to know:
- Which court the case is in
- What is the dispute (ownership, inheritance, illegal sale)
- Status of the case and any stay orders
3. Hire a Civil Litigation Lawyer
Engage a qualified property lawyer to:
- Review your sale agreement, title documents, registry, and the litigation record
- Determine if you have bona fide purchaser status (i.e., buyer in good faith)
4. Intervene in the Case as a Party
Your lawyer may file an application to become a party (intervener) in the ongoing litigation. This allows you to defend your rights in the same case.
5. File a Suit for Recovery or Cancellation
If the seller defrauded you:
- You can file a civil suit to cancel the sale and recover your money.
- You may also file a criminal complaint for fraud (cheating, 420 PPC).
What Is a “Bona Fide Purchaser”?
If you purchased the property:
- Without any knowledge of the ongoing litigation
- Paid fair market value
- Verified the documents as per normal practice
…then you may be considered a “bona fide purchaser without notice.”
Courts sometimes protect such buyers, especially if no stay order was violated at the time of purchase.
How to Avoid This Problem in the Future Before buying any property:
- Always conduct a property record search at the Sub-Registrar’s Office
- Ask for a No-Objection Certificate (NOC)
- Check with the Revenue Department and local courts for any pending litigation
- Hire a lawyer to verify title and documents thoroughly
A little caution now can save you from years of court battles later.
️ Final Words
Buying litigated property in Pakistan, even unknowingly, can lead to serious legal trouble. But you still have legal rights and remedies available.
The best course of action is to hire an experienced lawyer immediately to assess your position and take appropriate action whether that means defending your purchase, recovering your money, or canceling a fraudulent deal.
Facing a property dispute or unsure about your purchase? Contact us at +923362418786 today for expert property litigation advice and representation.