Friday, 18 May 2018

SHORT NOTES ON SPECIFIC RELIEF ACT PART 1


S 2 Definition:
(a) Obligation includes every duty enforceable by law.
S 4. Specific relief is to be granted only for enforcing individual civil rights and not for enforcing penal law.

S 5. Recovery of specific immovable property in accordance with CPC.

S 6. Suit by person dispossessed of immovable property:-
A person who is dispossessed otherwise than in due course of law, he can file suit to recover possession within six months from date of dispossession
1) No appeal or review is maintainable from order or decree passed in such suit.
2) Suit under this section can not be filed against government.
3) Person is not barred from suing to establish his title to such property and to recover possession thereof.



S 7.Recovery of specific movable property in accordance with CPC.
S 10. Cases in which specific performance of contract is enforceable:-
a) When there exists no standard for ascertaining the actual damages caused by non performance of act agreed to be done; or
b) When the act agreed to be done is such that compensation in money for its non performance would not afford adequate relief.
Explanation- Unless and until the contrary is proved, the court shall presume-
1) that the breach of a contract to transfer immovable property cannot be adequately relieved by compensation in money.
S 14. Contracts not specifically enforceable-
1) The following contracts can not be specifically enforced, namely
a) a contract for the non-performance of which compensation in money is an adequate relief.
b) A contract which runs into such minute or numerous details or which is so dependent on the personal qualifications or volition of the parties or otherwise from its nature is such ,that court can not enforce specific performance of its material terms;
c) A contract which is in its nature determinable;
d) A contract the performance of which involves the performance of continuous duty which court can not supervise;
S 15. Who may obtain specific performance:-
a) any party to contract;
b)the representative in interest or the principal, of any party to contract.
c) Where contract is a settlement on marriage, or a compromise of doubtful rights between members of the same family, any person beneficially entitled thereunder;
S 16. Personal bars to relief:-
Specific performance of a contract can not be enforced in favour of a person-
a) Who would not be entitled to recover compensation for its breach; or
b) Who has become incapable of performing, or violates any essential
term of the contract that on his part remains to be performed,or acts in fraud of the contract,or wilfully acts at variance with or in subversion of the relation intended to be established by contract; or
c) When there is no pleading regarding readiness and willingness to perform his part of contract.
Explanation:- For the purposes of Cl(c)-
1) Where a contract involves the payment of money, it is not essential for the plaintiff to actually tender to the defendant or to deposit in court any money except when so directed by the court.
2) Plaintiff must aver readiness and willingness to perform his part of contract.
S 18 Non enforcement except with variation.

S 20 Discretion as to decreeing specific performance:-
Sub S 2. In following cases, court will not direct specific performance of contracts,if
a) contract gives unfair advantage to plaintiff over defendant;
b) Hardship will be caused to defendant if relief is granted and no hardship will be caused to plaintiff if relief is refused;
c) Where defendant entered into the contract under circumstances which though not rendering the contract voidable, makes it inequitable to enforce specific performance.
Explanation 1-Mere inadequacy of consideration or the mere fact that the contract is more onerous to defendant or improvident in its nature, shall not be deemed to constitute an unfair advantage as mentioned in Cl(a) and (b).
Explanation 2- The question whether performance of contract would involve hardship to defendant shall be determined with reference to circumstances existing at the time of contract.
Sub S 3. The court may decree suit for specific performance of contract if plaintiff has done substantial acts or suffered losses in consequence of a contract capable of specific performance.
Sub S 4 The court shall not refuse to any party specific performance of contract merely on ground that the contract is not enforceable at the instance of other party.
S 21. Power to award compensation in certain cases:-
1) In a suit for specific performance of contract, plaintiff may also claim compensation for its breach, either in addition to ,or in substitution of such performance.
2) Court may award damages if specific performance of contract is not granted.
3) Court may grant damages in addition to specific performance of contract.
4) In determining the amount of any compensation awarded under this section, Court shall be guided by principles of 73 of Indian Contract Act.
5) There should be pleading for grant of compensation. If not pleading, plaintiff can amend plaint.
S 22. Power to grant relief for possession, partition,refund of earnest money etc.
1) Any person suing for specific performance of contract may ask for a) possession or partition and separate possession of property, in addition to such performance;or
b) Any other relief to which he is entitled, including refund of any earnest money or deposit paid or made by him in case his claim for specific performance is refused.
2) No relief to be granted unless specifically claimed. Relief not claimed, plaintiff can be permitted to amend plaint.
S 23 Liquidation of damages not a bar to specific performance:-
Court will enforce specific performance of contract even though sum is mentioned in contract to be payable in case of breach of contract and party in default is willing to pay the same, if court having regard to terms of contract and other attending circumstances, satisfied that the sum was named only for the purpose of securing performance of contract and not for the purpose of giving to party in default an option of paying money in lieu to specific performance.

S 24. Bar of suit for compensation for breach after dismissal of suit for specific performance.

Read important judgment on specific performance of contract;

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