2015 Supreme(SC) 1266

SUPREME COURT OF INDIA
ANIL R. DAVE, ADARSH KUMAR GOEL, JJ.
Basavantappa – Appellant
Vs.
Irappa (D) By Lrs. & Ors. – Respondent
Civil Appeal No. 14365 of 2015 (Arising out of SLP(C)No. 29373/2012)
Decided on : 11-12-2015

In cases where the suit for specific performance is dismissed due to lack of title, the party receiving the amount must repay it with interest.

Headnote:

Payment Dispute - Property Purchase Agreement - Repayment of Amount

Fact of the Case:

The appellant paid an amount to the respondents for a property purchase agreement. The suit for specific performance was dismissed due to lack of title in favor of the respondents.

Finding of the Court:

The court found that since the suit for specific performance was dismissed, the respondents must repay the amount received from the appellant with simple interest @9% within two months.

Issues: The issue was the repayment of the amount paid by the appellant to the respondents at the time of entering into the property purchase agreement.

Ratio Decidendi: The court's decision was influenced by the dismissal of the suit for specific performance and the lack of title in favor of the respondents, leading to the order for repayment with interest.

Final Decision: The appeal was allowed, and the respondents were directed to repay the amount received from the appellant with interest. Pending application, if any, stands disposed of. No order as to costs.