In Brief
The Supreme Court set aside a High Court order directing refund of earnest money paid by a developer under sale agreements. After the developer failed to obtain sale deeds within the stipulated time, the land owners forfeited the earnest money. Though land acquisition proceedings commenced later, the developer sought refund under Section 30 of the Land Acquisition Act. The Court held that since the developer had already filed civil suits for recovery and specific performance, it was improper to invoke Section 30 to redirect the dispute. The disputed questions regarding forfeiture and readiness to perform belonged in civil courts, not under the Land Acquisition Act. The appeals were allowed, preserving the land owners' right to compensation, subject to the outcome of pending civil suits.
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