K.Ahmad, J.

1. The only important consideration that is raised in this case is: How far an earnest money or money paid in advance in part satisfaction or the total consideration of a contract of sale of immoveable property is liable in law to be refunded by the vendor to the vendee in case that contract falls through due to default on the part of the vendee?

2. The subject matter of sale in the present case was the sixteen anna interest of the defendants in their business carried at Ghaghidih in the name and style of Jagdishpur Metal Industries including all its immoveable assets and moveables standing thereon. It is not denied that on the 17th July, 1949, the plaintiff, a limited company, Vijoy Oil Industries Limited, which is respondent in this Court, entered into an agreement (Exhibit I) with the defendants whereunder it agreed to purchase the entire aforesaid concern or the defendants for a sum of Rs. 1,00,000.00 in cash and Rs. 25,000.00 worth of shares in any company.

Further, it is also agreed between the parties that on the same day when the aforesaid agreement was executed, the plaintiff paid a sum of Rs. 5,000/-to the defendants and on the day following, that is,