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IN THE HIGH COURT OF KARNATAKA, DHARWAD BENCH
Hanchate Sanjeevkumar, J.
Shri. Hanumantappa, S/o. Chandrappa Gordanavar And Ors. - Appellants
Versus
Shri. Jagadish, S/o. Hansraj Thakkar And Ors. - Respondents
Regular First Appeal No. 4137 of 2012 (SP)
Decided On : 13-06-2025
| Table of Content |
|---|
| 1. plaintiffs claim ownership and contractual agreement for property sale. (Para 1 , 2) |
| 2. plaintiffs' claims regarding the agreement of sale. (Para 3) |
| 3. defendants' arguments against the plaintiffs' claims. (Para 4) |
| 4. defendants deny agreement and assert it was a loan. (Para 5) |
| 5. trial court finds for plaintiffs, ordering specific performance. (Para 8 , 9) |
| 6. defendants' grounds for appeal. (Para 10 , 11 , 12 , 13 , 14 , 15) |
| 7. plaintiffs assert readiness and willingness to complete contract. (Para 18 , 19) |
| 8. court's reasoning regarding the specific performance. (Para 22 , 23 , 24 , 25 , 26 , 27 , 28 , 29 , 30 , 31 , 32 , 33) |
| 9. court finds evidence insufficient to support plaintiffs' claims. (Para 34 , 35 , 36) |
| 10. court concludes agreement of sale is doubtful and unfair. (Para 37 , 38 , 39) |
| 11. discretion exercised in favor of defendants due to hardship. (Para 40 , 41 , 42) |
| 12. court rules in favor of refund rather than specific performance. (Para 43 , 44 , 45) |
| 13. court emphasizes continuous readiness and willingness required for relief. (Para 46 , 47 , 48) |
| 14. court reiterates that mere agreement does not guarantee specific performance. (Para 49 , 50 , 51) |
| 15. plaintiffs denied specific performance; entitled only to refund. (Para 52 , 53) |
| 16. final order rejecting specific performance and granting refund. (Para 54 , 55 , 56) |
JUDGMENT :
Hanchate Sanjeevkumar, J.
The regular first appeal is filed by the defendants challenging the judgment and decree dated 31.07.2012 passed in O.S.No.90/2009 by the Court of First Addl. Senior Civil Judge, Hubli, thereby the suit filed by the plaintiffs for specific performance of contract is decreed in full directing the defendants to execute the registered sale deed in favour of the plaintiffs by receiving the balance sale consideration amount.
2. Rank of the parties are referred to as per their rankings before the trial court.
PLAINT:
3. It is the case of the plaintiffs that the defendants are owners of suit schedule property and they had asked for financial assistance from the plaintiffs in the first week of March, 2007 and offered to sell the suit schedule property to the plaintiffs. The defendants agreed to sell suit property for a total sale consideration of Rs.11,25,000/- and the plaintiffs have agreed to purchase the said property. Accordingly, agreement of sale dated 06.03.2007 was executed and the plaintiffs have paid a sum of Rs.2,50,000/- through pay order of State Bank of India, Hubli, for Rs.1,50,000/- and another sum of Rs.1,00,000/- was paid through cheque of Bank of Maharastra.
3.1. Further it is stated by the plaintiffs that subsequent to agreement of sale dated 06.03.2007 as above stated the plaintiffs have paid further sum of Rs.1,25,000/- to the defendants and accordingly, made an endorsement on the agreement of sale. Thus, plaintiffs have paid an earnest amount of Rs.3,75,000/- out of total sale consideration of Rs.11,25,000/- and the plaintiffs were ever ready and willing to perform their part of contract and as such called upon the defendants to execute the registered sale deed, but the defendants refused to execute the registered sale deed and as such, plaintiffs were constrained to file the suit for specific performance of contract.
3.2. Further it is the case of plaintiffs that panchayath was convened before the elders of the locality and in that negotiations the defendants have agreed to execute the registered sale deed, but even so defendants have not come forward to execute the registered sale deed. Therefore, the plaintiffs have got issued legal notice dated 07.05.2009 to the defendants by calling upon the defendants to execute the registered sale deed. Therefore, the plaintiffs also got published public auction notice in Vijaya Karnataka, Kannada Daily Newspaper, informing the world at large regarding the agreement of sale. However, the defendants continued to negotiate to third parties to cause loss to the plaintiffs. Therefore, with these facts by showing as ca
In discretionary specific performance cases, courts must balance hardship and enforceability; mere proof of agreement does not guarantee relief when it risks severe hardship for the defendant.
The grant of specific performance requires the plaintiff to prove continuous readiness and willingness to perform the contract and the court's discretion is governed by principles of equity and justi....
The subsequent rise in price and the defendant's resistance were not valid grounds to deny the relief of specific performance. The trial court rightly exercised its discretion in granting the relief ....
The plaintiff must demonstrate continuous readiness and willingness, including financial capacity, to qualify for specific performance under Section 16(c) of the Specific Relief Act.
The court established that a written agreement of sale is conclusive evidence of the parties' intentions, and the plaintiff must continuously demonstrate readiness and willingness to perform their co....
Section 16(c) of the Specific Relief Act, 1963 mandates readiness and willingness on the part of the plaintiff seeking specific performance and the plaintiff has to prove the same.
Plaintiff's failure to prove continuous readiness and willingness to perform contract negates entitlement to specific performance under Specific Relief Act.
Time is of the essence of a contract if the parties have agreed that it is or if the circumstances of the case show that it is.
A plaintiff in a specific performance suit must prove continuous readiness and willingness to perform their contractual obligations throughout, as mandated by Section 16(c) of the Specific Relief Act....
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