In Brief
In this land sale dispute, the Supreme Court reversed the lower courts' decree for specific performance. An agreement to sell land executed in January 1990 was disputed when the seller failed to execute the sale deed by the deadline. The parties later settled the dispute: the seller issued a refund cheque with a covering letter explicitly stating the agreement was cancelled. The buyer encashed the cheque without objection. The trial court upheld the settlement, but the high court reversed it, focusing only on a minor shortfall in the refunded amount. The Supreme Court restored the trial court's judgment, holding that the covering letter and the buyer's unchallenged acceptance of the refund clearly evidenced mutual settlement and annulment of the agreement, barring any later claim for specific performance."
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