1. This is an appeal from a decree passed in civil suit No. 3-B of 1944 on 18-7-1945 by the Second Subordinate Judge. First Class, Jabalpur. It was a suit for refund of earnest money and for damages for breach of contract of sale of the defendant's bungalow No. 134/125 with the land on which it is situated. The land was held under a Nazul lease for 30 years from 1908-09. Through her specially authorised agent Shri E. Walker (D. W. 1) the defendant agreed on 10-9-1943 to sell the bungalow to the plaintiff for Rs. 35,000/-. Rs. 2,500/- were paid, according to the plaintiff, as part of the price and according to the defendant, as earnest money, and a receipt dated 10-9-1943 (exhibit P-1) containing the terms of the agreement was given to the plaintiff. It was agreed that the sale deed would be executed and registered on 13-9-1943. The other terms of the agreement were - Thirty two thousand and five hundred will be paid at the time of registration on Monday the 13th of September 1943 at 12 noon. During this period the purchaser shall satisfy himself about the title deed etc. of this property. In case any thing is wrong with the title deeds etc. the amount of earnest money shall