Specific Relief – Denial of – Appellants (original defendants), entered into a “sale agreement” with the respondent (original plaintiff) for the sale of a plot of land – A total amount of Rs. 2 lakh was paid as earnest money by the respondent – Respondent filed a civil suit seeking specific performance of the sale agreement and consequential relief of injunction – The suit was resisted by the appellants on the ground that as per the agreement to sell and on failure of the appellants to execute the sale deed, the respondent shall be entitled to double the amount given as an advance – The trial court refused to pass a decree for specific performance of the sale agreement but decreed the suit for recovery of Rs. 4 lakhs, i.e., double of the earnest money – First Appellate Court dismissed the appeal – High Court in second appeal granted the relief of specific performance – On appeal, held: As per clause 2 of the sale agreement, on failure on the part of the seller to execute the sale deed within the stipulated time, the purchaser/buyer shall be entitled to the double of the amount given as an advance – Plaintiff is bound by the terms and conditions stipulated in the sale agreement – Appeal allowed – Judgment of High Court in second appeal set aside – Judgment of trial Court affirmed by the First Appellate Court restored.
P. D’Souza v. Shondrilo Naidu (2004) 6 SCC 649 : [2004] 3 Suppl. SCR 186; M. L. Devender Singh v. Syed Khaja (1973) 2 SCC 515 : [1974] 1 SCR 312 – referred to.
As published in the Supreme Court Reports, Supreme Court of India. Text from the Indian Supreme Court Judgments open data set (Dattam Labs), CC BY 4.0.
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