1. The plaintiff has sued for recovery of principal sum of Rs.19 lakhs together with interest @ 24% per annum till the date of institution of the suit of Rs.9,05,753.43 paise, i.e. total Rs.28,05,753.43 paise pleading:

(i) that the plaintiff, a Co-operative Group Housing Society had entered into the Agreement dated 6th December, 1999 with the defendant whereunder the defendant undertook to supply, install and commission fourteen Schindler smart machine room less TM 001 lifts/elevators @ Rs.9,30,000/- per lift for a total price of Rs.1,30,20,000/-at the flats to be constructed for the members of the plaintiff Society at Plot No.9, Sector-22, Dwarka, Phase-I, New Delhi;

(ii) that the aforesaid sum of Rs.19 lakhs was paid as advance by the plaintiff to the defendant under the said Agreement;

(iii) that the plaintiff vide letters dated 1st May, 2003 and 27th May, 2003 asked the defendant to supply the lifts;

(iv) that the defendant vide letter dated 30th July, 2003 notified the plaintiff that the validity of the contract had expired and the price of the lifts had escalated since December, 1999 and it was not possible for the defendant to execute the contract at the agreed pri