Without obtaining the real estate ownership certificate, the "prospective owner" resells the house to others. After obtaining the real estate ownership certificate, he signs a house sales contract with a third person and handles the transfer procedures. A few days ago, the people's Court of Xiantao City, Hubei Province concluded a case of "one house and two sales", and ordered the seller to return the down payment and pay a penalty of 110000 yuan. In march2018, Ma and Chen signed a house purchase and sale contract. Both parties agreed that Ma would buy Chen's commercial house that has not yet been registered for property rights, and pay Chen the down payment of RMB 210000 on the day of signing the contract. The balance will be paid after the transfer of the property. If Chen defaults, he should return the house purchase price and pay RMB 210000 as liquidated damages. In September 2021, Ma learned that Chen had obtained the real estate ownership certificate of commercial housing, and immediately asked Chen to go through the transfer procedures, but Chen preyed on it for various reasons. Later, Ma learned through multi-party verification that Chen had sold the house to a third person and gone through the transfer procedures. Ma then filed a lawsuit to Xiantao court, asking Chen to return the purchase price and pay liquidated damages. After hearing the case, the court held that the signing of the house purchase and sale contract does not represent the transfer of the house ownership, and the acquisition of the house ownership must be registered before it becomes legally effective. In this case, Chen "sold two houses for one house". Although Ma signed the contract with Chen first, he did not go through the house change registration and failed to obtain the house ownership. On the contrary, Ma sold the house to a third person after obtaining the house property certificate and went through the transfer procedures. At this time, the house ownership has been transferred to a third person. The signing of the house purchase and sale contract between Ma and Chen is the expression of the true intention of both parties. At this time, although the house has not gone through the property right registration, Chen has not obtained the ownership of the house, but based on the commercial house purchase and sale contract, Chen has the contractual creditor's rights to the house, and the transfer of creditor's rights is one of the rights given to the parties to the contract by the civil code. Mr. Chen sold the house to a third party and went through the transfer procedures. This breach of contract caused that the house sales contract could not be performed. Mr. Ma could request to terminate the contract, ask Mr. Chen to return the house purchase money, and pay liquidated damages or compensate for the losses caused by the breach of contract. In combination with such comprehensive factors as the area where the house involved is located, the amount of down payment actually paid by Ma, Chen's ability to foresee the rise and fall of the house when he entered into the contract, and the economic situation, the court determined that the penalty for breach of contract is 60% of the difference between the rise and fall of the house price, that is, 110000 yuan. To sum up, the court ruled that Chen returned the down payment of RMB 210000 to Ma and paid liquidated damages of RMB 110000. After the judgment was made, neither party appealed, and the case has now entered into force. (outlook new era)
Edit：sishi Responsible editor：xingyong
Source：http://rmfyb.chinacourt.org/paper/html/
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