Important highlights of The Specific Relief (Amendment) Act 2018

 

• The Act sets out the remedies available to parties whose contractual or civil rights have been violated.  The Act sets out two main remedies to a party whose contract has not been performed: (i) the party may ask the court to compel performance of the contract (specific performance); or (ii) the party may seek monetary compensation instead of performance. 

   

• Specific performance: Under the Act, specific performance is a limited right, which may be given by the court at its discretion, in the following circumstances: (i) when monetary compensation is inadequate; or (ii) when monetary compensation cannot be easily ascertained.  The 2018 amendment Act seeks to remove these conditions and permit specific performance by courts as a general rule.  

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Important provisions of Civil minor Acts(Part 2)

 

1) Important provisions of Registration Act 1908.

https://www.lawweb.in/2022/09/important-provisions-of-registration.html

2) Important provisions of Mental Healthcare Act, 2017

https://www.lawweb.in/2020/04/important-provisions-of-mental.html

3) Notes on Hindu succession Act 1956 as amended in the year 2005.

https://www.lawweb.in/2019/05/notes-on-hindu-succession-act-1956.html

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Provisions in Specific relief Act for declaration suit or petition

 Chapter VI

DECLARATORY DECREES

34. Discretion of court as to declaration of status or right.—Any person entitled to any legal character, or to any right as to any property, may institute a suit against any person denying or interested to deny, his title to such character or right, and the court may in its discretion make therein a declaration that he is so entitled, and the plaintiff need not in such suit ask for any further relief:

Provided that no court shall make any such declaration where the plaintiff, being able to seek further relief than a mere declaration of title, omits to do so.

Explanation.—A trustee of property is a “person interested to deny” a title adverse to the title of someone who is not in existence, and for whom, if in existence, he would be a trustee.

35. Effect of declaration.—A declaration made under this Chapter is binding only on the parties to the suit, persons claiming through them respectively, and where any of the parties are trustees, on the persons for whom, if in existence at the date of the declaration such parties would be trustees.

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Supreme court: Five basic principles for grant of relief of specific performance of contract

It is a settled principle of law that the grant of relief of specific performance is a discretionary and equitable relief. The material questions, which are required to be gone into for grant of the relief of specific performance, are First, whether there exists a valid and concluded contract between the parties for sale/purchase of the suit property; Second, whether the Plaintiff has been ready and willing to perform his part of contract and whether he is still ready and willing to perform his part as mentioned in the contract; Third, whether the Plaintiff has, in fact, performed his part of the contract and, if so, how and to what extent and in what manner he has performed and whether such performance was in conformity with the terms of the contract; Fourth, whether it will be equitable to grant the relief of specific performance to the Plaintiff against the Defendant in relation to suit property or it will cause any kind of hardship to the Defendant and, if so, how and in what manner and the extent if such relief is eventually granted to the Plaintiff; and lastly, whether the Plaintiff is entitled for grant of any other alternative relief, namely, refund of earnest money etc. and, if so, on what grounds.

IN THE SUPREME COURT OF INDIA

Civil Appeal No. 4453 of 2009

Decided On: 07.01.2019

 Kamal Kumar Vs.  Premlata Joshi and Ors.

Hon'ble Judges/Coram:

Abhay Manohar Sapre and Indu Malhotra, JJ.

Citation: 2019(5) MHLJ 499

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Whether vendor can get contract of sale rescinded after passing of decree for specific performance of contract?

Section 28 in The Specific Relief Act, 1963

28. Rescission in certain circumstances of contracts for the sale or lease of immovable property, the specific performance of which has been decreed.—

(1) Where in any suit a decree for specific performance of a contract for the sale or lease of immovable property has been made and the purchaser or lessee does not, within the period allowed by the decree or such further period as the court may allow, pay the purchase money or other sum which the court has ordered him to pay, the vendor or lessor may apply in the same suit in which the decree is made, to have the contract rescinded and on such application the court may, by order, rescind the contract either so far as regards the party in default or altogether, as the justice of the case may require.

(2) Where a contract is rescinded under sub-section (1), the court—

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SHORT NOTES ON SPECIFIC RELIEF ACT PART 2

Chapter 3 Rectification of instruments

S 26. When instrument may be rectified:-

Sub S 1. When through fraud or mutual mistake of parties,a contract or other instrument in writing does not express real intention of parties, then-

a) either party or his representative in interest may institute a suit to have instrument rectified.

Sub S 2. Court may direct rectification of instrument so as to express that intention,so far as this can be done without prejudice to rights acquired by third person in good faith and for value.

Sub S 3. A contract in writing may first be rectified, and then if the party claiming rectification has so prayed in his pleading and the court thinks fit,may be specifically enforced.

Sub S 4. No relief is to be granted unless prayed. If not prayed court can allow amendment to incorporate said prayer.

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NOTES ON SPECIFIC RELIEF ACT PART 1

[Act 47 of 1963 as amended up to Act 34 of 2019]

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-A person entitled to the possession of specific immovable property may recover it in the manner provided by the Code of Civil Procedure, 1908 (5 of 1908).

S 6. Suit by person dispossessed of immovable property:-

—(1) If any person is dispossessed without his consent of immovable property otherwise than in due course of law, he or any person [through whom he has been in possession or any person] claiming through him may, by suit, recover possession thereof, notwithstanding any other title that may be set up in such suit.

Ins. by Act 18 of 2018, S. 2 (w.e.f. 1-10-2018).

(2) No suit under this section shall be brought—

(a) after the expiry of six months from the date of dispossession; or

(b) against the Government.

(3) No appeal shall lie from any order or decree passed in any suit instituted under this section, nor shall any review of any such order or decree be allowed.

(4) Nothing in this section shall bar any person from suit 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:- 
[The specific performance of a contract shall be enforced by the court subject to the provisions contained in sub-section (2) of Section 11, Section 14 and Section 16.]
Subs. by Act 18 of 2018, S. 3 (w.e.f. 1-10-2018).

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QUESTIONS AND ANSWERS FOR JUDICIAL SERVICE(specific performance of contract)

Que.No. 1:-Whether it is permissible to amend agreement of sale
in suit for specific performance of contract ?
Ans:- As per sec.26 (3) of specific relief Act,agreement of sale    in suit for
Specific performance can be amended.
Puranram ...Vs... Bhaguram 2008(4) MHLJ SC 8011.

Que.No. 2:-Whether revenue authorities under tenancy law can
grant injunction ?
Ans:- No.

Que.No. 3:-What precaution are to be taken for passing order of
status quo. ?
Ans:- Status quo order should not be passed in doubtful
circumstances.  There should be specific finding
about the person who is in possession of suit
property.

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