IN THE HIGH COURT OF KARNATAKA AT BENGALURU
KRISHNA S. DIXIT, RAMACHANDRA D. HUDDAR, JJ.
Smt. Lakkamma @ Lakshmamma, Wife Of Doddegowda @ Doddaiah and Ors. – Appellants
Versus
Smt. Jayamma, Wife Of Puttaraju – Respondent
Regular First Appeal No. 6 Of 2013
Decided On : 13-06-2024
Specific Performance - Contract Law - Section 16(c) of the Specific Relief Act, 1963 - The court emphasized the necessity for the plaintiff to prove continuous readiness and willingness to perform the contract, highlighting that failure to do so bars the relief of specific performance.
Fact of the Case:
The plaintiff sought specific performance of a sale agreement for property, claiming readiness to pay the balance consideration. The defendants admitted the agreement but contended the plaintiff was not ready and willing to complete the transaction.
Finding of the Court:
The court found that the plaintiff failed to prove continuous readiness and willingness to perform her part of the contract, which is essential for granting specific performance under Section 16(c) of the Specific Relief Act.
Issues: Whether the trial court erred in its appreciation of evidence regarding the plaintiff's readiness and willingness to perform the contract, and whether the judgment requires interference.
Ratio Decidendi: The court reiterated that a plaintiff must demonstrate continuous readiness and willingness to perform their contractual obligations to be entitled to specific performance.
Result: The appeal is allowed, and the trial court's judgment is set aside, with the plaintiff entitled to a refund of earnest money with interest.
JUDGMENT :
(Ramachandra D. Huddar J.)
Appellants-defendants have called in question the Judgment rendered by the Sr.Civil Judge, Channarayapatna dated 20th October 2012 in OS No.4/2008 decreeing the suit of the plaintiff against the defendants for the relief of specific performance of the suit agreement dated 02.08.2007 one executed by the defendants by directing them to execute the registered sale deed in respect of the suit schedule property in accordance with agreement of sale dated 02.08.2007 within three months as the plaintiff has already deposited remaining balance consideration of amount of Rs.16,00,000/- before the Court and if the defendants fail to execute the above said registered sale deed then, the plaintiff is at liberty to get it executed by the Court by appointing a Commissioner in this behalf at the cost of the defendants.
2. The facts of the case in brief are stated; the defendants are the owners of the suit schedule property having agreed to sell the same in favour of the plaintiff for a sum of Rs.17,00,000/-. To that effect, they executed an agreement of sale on 02.08.2007 by receiving advance consideration amount of Rs.50,000/- in part performance of the contract executed an agreement of sale. It is further averred that the defendants agreed to execute the registered sale in favour of the plaintiff within six months after getting the Khatha and other documents changed in their name and also on receipt of balance consideration of Rs.16,50,000/-. It is further averred that during the month of September 2007, the defendants approached the plaintiff and requested to pay Rs.50,000/- and accordingly, plaintiff paid the same. To that effect, defendants acknowledged and an undertaking was given as per the aforesaid agreement of sale.
3. It is alleged that defendants did not come forward to execute the registered sale deed in favour of the plaintiff. It is alleged that plaintiff was and is always ever ready and willing to perform her part of contract. It is stated that as such, plaintiff got issued a legal notice to the defendants on 04.02.2008 and called upon to execute the sale deed in respect of the suit schedule property. But, defendants refused to receive the notices. The plaintiff got the knowledge that defendants are making attempts to alienate the suit schedule property to the strangers therefore, plaintiff filed the suit in OS No.4/2008 seeking the aforesaid reliefs.
4. Before the trial Court, pursuant to the suit summons, all the defendants appeared and filed their written statement inter alia contending, that so far as their ownership of the suit schedule property it is admitted. They also admit about execution of the agreement of sale dated 02.08.2007, receipt of advance amount of Rs.50,000/- on the said day and also further receipt of Rs.50,000/- on 10.09.2007. They specifically denied the other averments made in the plaint with regard to the ready and willingness alleged by the plaintiff in the plaint. According to defendants, such averments are all false. It is contended that, since at that time, defendants were in dire need of money to meet the domestic necessities, therefore, they entered into agreement of sale. It is contended that, plaintiff pleaded her financial difficulties to pay the entire balance sale consideration amount and only paid a sum of Rs.50,000/-. She undertook to complete the sale transaction within the time agreed under the said sale agreement. It is contended that though the defendants were ready to perform their part of the contract, but, plaintiff herself went on postponing the same expressing her financial difficulties. It is their contention that, infact, they obtained the Khatha and other documents in their name at the time of agreement of sale itself. Despite that plaintiff has not come forward to complete the sale transaction and thus, failed to perform her part of the contract within the time stipulated. It is contended that thereby she has lost her right to enforce the per
Man Kaur vs. Harthar Singh Sangha (2010) 10 SCC 512
His Holiness Acharya Swamy Ganeshdasji vs. Seetharam Apar
Santhosh Hajari vs. Pursushotham Tiwari reported in (2001) 3 SCC 179
Saradamani Kandappan vs. S.Rajalakshmi (2011) 12 SCC 18
Vidhyadhar V. Manikrao (1999) 3 SCC 573
Shambhu Dutt Shastri v. State of Rajasthan (1986) 2 WLN 713 (Raj)
Ram Prasad v. Hari Narain AIR 1998 Raj 185 : (1998) 3 Cur CC 183
A plaintiff seeking specific performance must prove continuous readiness and willingness to perform their contractual obligations; failure to do so bars relief.
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Plaintiff's failure to prove continuous readiness and willingness to perform contract negates entitlement to specific performance under Specific Relief Act.
The main legal point established in the judgment is the requirement for the plaintiff to prove continuous readiness and willingness to perform the essential terms of the contract, as mandated by Sect....
The court affirmed that specific performance can be decreed if the plaintiff proves readiness and willingness, and the burden of proof shifts once a prima facie case is established.
Plaintiffs must prove continuous readiness and willingness to perform a contract for specific performance, supported by evidence of financial capacity.
The plaintiff's failure to demonstrate readiness and willingness to perform the contract led to the dismissal of the appeal for specific performance.
(1) Specific performance of agreement of sale –Alternative plea of refund of earnest amount and damage could not be bar to claiming decree for specific Performance of contract.(2) Specific performanc....
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