Supreme Court of India Judgements

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Specific Performance

Specific Performance Suit Not Maintainable For Cancelled Sale Agreement Without Seeking Declaration Against Cancellation

Bysclaw

Apr 6, 2025

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Specific Performance

A buyer’s continuous readiness and willingness to perform their part of an Agreement to Sell, a prerequisite for seeking specific performance, is negated by their conduct of accepting and encashing a substantial portion of the refunded earnest money/advance

Apr 15, 2025 sclaw
Specific Performance

Suit for Specific Performance — Agreement to sell — The respondent-plaintiff sought specific performance of an agreement to sell agricultural land — The appellant-defendant allegedly failed to execute the sale deed despite receiving earnest money — Whether the agreement was valid and enforceable, and whether the respondent-plaintiff was entitled to specific performance or alternative relief —The appellant-defendant claimed the agreement was fraudulent, without consideration, and prepared through misrepresentation — The respondent-plaintiff argued that the agreement was genuine, and the appellant-defendant breached its terms by not executing the sale deed — The trial court, first appellate court, and high court ruled against the appellant-defendant, ordering the refund of earnest money with interest —The Supreme Court found the lower courts’ judgments perverse, noting inconsistencies and lack of evidence supporting the respondent-plaintiff’s claims —The Supreme Court emphasized the need for clear evidence and adherence to legal procedures, highlighting the suspicious nature of the agreement —The Supreme Court set aside the lower courts’ judgments, ruling in favor of the appellant-defendant and dismissing the respondent-plaintiff’s claims.

Oct 2, 2024 sclaw
Specific Performance

Date of Performance determines Limitation Period — The Court clarified that when a specific date for performance is fixed in a contract, the limitation period for filing a suit for specific performance begins to run from that date, not from any later date mentioned in the agreement regarding its validity — This interpretation reinforces the principle that the statute of limitations is triggered by the failure to perform as agreed, not by the contract’s overall duration.Validity Clause does not Extend Limitation Period — The Court held that a clause in a contract extending its validity does not automatically extend the limitation period for enforcing the contract’s terms — This distinction is crucial for determining when legal action must be initiated to seek specific performance.

Aug 13, 2024 sclaw

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