Claim to cancel our clients' purchased title rejected at trial and on appeal

Background

Our clients each bought a one-third share of a building and land from a property management company and registered their titles. The former owner of the property then sued, claiming that the earlier registration to the company was void because documents had been forged, so our clients' registrations were void too. Alternatively, it argued, on the company's behalf, that the sale to our clients was invalid.

Issues and ruling

The court held that a contract bearing a party's seal is presumed genuine, and the opposing party had to prove forgery. Given signs that the opposing party itself had cooperated in the registration, forgery was not found. Its other theories, such as a title trust and rescission or termination of a contract, were also rejected, and the claims brought on the company's behalf on that premise were held inadmissible.

Outcome

At first instance, the main claims against our clients were dismissed and the alternative claims were rejected as inadmissible. On appeal, the opposing party's appeal was dismissed, and it was ordered to bear the litigation costs.

This is the outcome of an individual case and does not guarantee the same result in similar matters. Some facts have been generalized to protect the parties involved.