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Supreme Court of India 2022-07-12 allowed

U.N. Krishnamurthy (since deceased) Thr. Lrs vs A.M. Krishnamurthy

Bench: 2 — Indira Banerjee

In Brief

The Supreme Court reversed the High Court and Trial Court's grant of specific performance of a property sale agreement. The respondent claimed the appellant orally agreed to sell land for Rs. 15,10,000 and paid only Rs. 10,001 as advance, with execution to occur by March 2003. The respondent filed suit in October 2005—nearly three years later and just before the limitation period expired. The Court held that while specific performance requires proof of continuous readiness and willingness to perform from agreement date to final decree, the respondent failed to prove he had sufficient funds by the stipulated date. His later deposit in court years after the deadline, combined with his delay in filing suit and insignificant advance against surging property values, made equitable relief inappropriate. The appeal was allowed and earnest money was to be returned with interest.

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Specific Performance Contract Law Real Property Readiness and Willingness Discretionary Relief

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