IN THE HIGH COURT OF JUDICATURE AT MADRAS
K.GOVINDARAJAN THILAKAVADI
Robert Correya – Appellant
Versus
P. Kanagaraj – Respondent
| Table of Content |
|---|
| 1. facts regarding agreed sale and advance payment. (Para 2 , 3) |
| 2. court's evaluation of contractual obligations and defaults. (Para 4 , 8) |
| 3. issues of unjust enrichment and retention of advance. (Para 5 , 10) |
| 4. court's reasoned decision outlining rights regarding advances. (Para 9) |
JUDGMENT :
K. GOVINDARAJAN THILAKAVADI, J.
1. In this Second Appeal, challenge is made to the judgment and decree dated 20.03.2019 passed in A.S. No.111 of 2013, on the file of the IV Additional District Judge, Coimbatore, reversing the Judgment and decree dated 02.09.2013 passed in O.S.No.367 of 2011, on the file of the I Additional Sub-Court, Coimbatore.
2. The case of the plaintiff is that the defendants are the absolute owners of the suit property. The first defendant on behalf of the defendants 2 and 3 agreed to sell the suit property to the plaintiff and received a sum of Rs.5,00,000/- as advance on 20.01.2011 and executed a receipt on the same day in favour of the plaintiff. Since there was some discrepancies in the title documents with regard to the extent of the properties agreed to sell, the plaintiff requested the 1st defendant to bring out rectification deeds. But for the reasons

A buyer's advance can only be forfeited if explicitly labeled as earnest money within a contract, and this must be linked directly to the buyer's default.
A party can claim a refund of earnest money if the other party fails to provide a valid title, and time is not necessarily the essence of the contract.
A party seeking the return of advance money must establish that they did not improperly decline to accept delivery, and the terms of the contract regarding earnest money must be clear to justify forf....
(1) Agreement to Sell – Suit for Specific Performance – Plaint may be amended at any stage of proceedings to enable plaintiff to seek alternative relief, including that of refund of earnest money and....
Login now and unlock free premium legal research
Login to SupremeToday AI and access free legal analysis, AI highlights, and smart tools.
Login
now!
India’s Legal research and Law Firm App, Download now!
Copyright © 2023 Vikas Info Solution Pvt Ltd. All Rights Reserved.