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Supreme Court of India 2024-11-21 allowed

R. KANDASAMY (SINCE DEAD) & ORS vs T.R.K. SARAWATHY & ANR

Bench: 2 — Dipankar Datta, Sanjay Karol

In Brief

In this property purchase dispute, the buyer sued for specific performance of a 2005 agreement to purchase property worth Rs. 2.3 crore, or alternatively, a refund of her Rs. 25 lakh advance. The trial court dismissed the suit, but the High Court reversed it and granted specific performance. The Supreme Court allowed the sellers' appeal and restored the trial court's dismissal. The Court held that although the sellers' obligation to vacate tenants qualified the strict four-month payment deadline, the buyer's conduct—raising unstipulated demands, delaying action after the property was vacated, failing to demonstrate financial capacity, and returning the advance payment only on its last day of validity—showed she lacked continuous readiness and willingness to perform. Specific performance, being discretionary and equitable, was therefore refused. The Court ordered the sellers to return the Rs. 25 lakh advance within one month.

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Specific Performance Contract Law Immovable Property Time of Essence Readiness and Willingness Civil Procedure Equitable Relief

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