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2026 Supreme(MP) 681

IN THE HIGH COURT OF MADHYA PRADESH AT JABALPUR
DEEPAK KHOT, J.
Muddassar Khan – Appellant 
Versus
Smt. Geeta Bai – Respondent 
First Appeal No. 398 Of 2016
Decided On : 12-01-2026

Advocates Appeared:
For the Appellant :Shri Ankit Saxena - Advocate

Specific performance is a discretionary relief. Proving the execution of an agreement or admitted signatures is insufficient without proving the actual transfer of consideration and the plaintiff's continuous readiness and willingness to perform essential contractual terms under Section 16(c) of the Specific Relief Act.

Headnote:(A) Specific Relief Act, 1963 - Sections 16(c), 20, 21, 22, and 23 - Specific performance of contract - Grant of specific performance is a discretionary and equitable relief - Key requirements include: (i) existence of a valid and concluded contract, (ii) plaintiff's readiness and willingness to perform their part of the contract, (iii) actual performance of the contract to the extent possible, and (iv) whether it is equitable to grant the relief without causing undue hardship to the defendant. (Paras 21, 26)

(B) Evidence Act - Admittance of signatures - Mere acceptance of the fact of signatures over an agreement is not sufficient to prove a case for specific performance unless other essential parameters, such as transfer of consideration and readiness and willingness, are established. (Para 23)

(C) Specific Relief Act, 1963 - Section 16(c) - Personal bars to relief - Specific performance cannot be enforced in favor of a person who fails to prove that they have performed or have always been ready and willing to perform the essential terms of the contract. Readiness and willingness must be determined by considering all circumstances, including the availability of funds; mere averments in the plaint are insufficient. (Paras 26, 27)

Facts of the case:
A suit was filed for specific performance of an agreement to sell a residential property for a total consideration of Rs. 7 lakh, where a substantial advance was allegedly paid and the balance was to be paid within 20 days. The defendant denied the agreement, claiming that signatures were obtained fraudulently on blank papers. The trial court dismissed the suit, holding that the execution of the agreement and its terms were not proved and the plaintiff was not ready and willing to perform the contract.

Findings of Court:
The court found that the payment of the sale consideration was not proved and the plaintiff's oral evidence was contradictory to their own legal notice, which indicated a failure to pay the balance amount for two years. Furthermore, the plaintiff failed to provide evidence of financial capacity or income tax returns to support the claim of paying a large sum in cash.

Issues: Whether the execution of the agreement and its terms and conditions were proved, and whether the plaintiff was ready and willing to perform their obligations under the agreement.

Ratio Decidendi: Specific performance is a discretionary relief that requires more than just proving the execution of an agreement. The plaintiff must concretely prove the transfer of consideration and maintain a consistent state of readiness and willingness to perform the contract. Contradictory evidence regarding payment and a lack of proven financial means negate the requirement of readiness and willingness under Section 16(c) of the Specific Relief Act.

Result: first appeal fails and is hereby dismissed.

Legal Category Hierarchy

  • contract law
    • specific performance
      • requirements
      • readiness and willingness
      • discretionary relief
  • practice and procedure
    • civil procedure
      • appeals (Para 2)
      • pleadings (Para 3, 4)
    • evidence
      • burden of proof
      • admission of signatures

Table of Contents

1. Appeal under Section 96 CPC from dismissal of suit for specific performance of agreement to sell immovable property. (Para 2 , 3 , 4 )

ORDER :

DEEPAK KHOT, J.

Despite of service on sole respondent, as per office note dated 02.06.2018, nobody has marked presence for the respondent, therefore, the matter is heard finally.

2. The appellant has filed the present appeal under Section 96 of the Code of Civil Procedure being aggrieved by the judgment and decree dated 04.11.2015 passed by the V Additional District Judge, Bhopal in Civil Suit No.435-A/2011, dismissing the suit.

3. In short, the facts of the case are that the appellant has filed a suit for specific performance of agreement dated 02.01.2009 (Ex.P/1) claiming therein that he is owner and in possession of the suit property i.e. House No.39, Pant Nagar, Hinotiya Kachiyana, which is a part of Kh. No. 39/3 and 90/3, PC No. 21 situated Tahsil Huzur, District Bhopal. Total area of the suit house is 15x30=450 sq.f.t.

4. As per the plaint averments, the said suit house has been mortgaged by the respondent/defendant with the UCO Bank for obtaining the loan. Since the respondent/defendant was unable to repay the loan amount, she executed an agreement to sale with the appellant on 02.01.2009 for sale of the suit house. As per the terms and conditions of the agreement, the total sale consideration of Rs.7 lakh was agreed to be paid to the respondent/defendant.

5 . As per the plaint averments, Rs. 5 lakh was paid by the the appellant/plaintiff to the respondent/defendant on the date of execution of the agreement/contract itself as an advance out of the total sale consideration. The remaining amount of sale consideration i.e. Rs.2,00,000/- was agreed to be paid by the respondent/defendant within 20 days thereafter. In acknowledgment of the receipt of the said amount, the respondent/defendant signed the agreement document.

6 . As per the agreement, it was also agreed that the respondent/defendant would repay the amount of loan and after receiving the original documents and the NOC from the Bank in respect of the suit house, she would execute the sale deed in favour of the appellant/plaintiff. In addition, it was also agreed that if the respondent/defendant is unable to execute the sale deed within 20 days, the period of agreement shall be deemed to be extended. Thereafter, the respondent/defendant, citing his financial difficulties, requested for remaining amount of Rs.2,00,000/-, which was also paid by the appellant/plaintiff to the respondent/defendant.

7 . As per the plaint averments, when after repeated request the respondent/defendant did not execute the sale deed, the appellant sent a legal notice to the respondent/defendant on 15.03.2011, which was replied by the respondent/defendant denying the allegation and stating that her signatures were obtained fraudulently by the appellant/plaintiff on blank paper and consequently she refused to execute the sale deed in favour of the appellant/plaintiff. Hence, the appellant/plaintiff has filed the suit for specific performance of contract/agreement and injunction.

8. The respondent/defendant has filed written statement denying all the plaint averments. The respondent/defendant has taken a specific stand in the written statement that the signatures, which are shown to be of the respondent/defendant, are in fact not of the respondent/defendant and the documents have been forged and prepared by the appellant/plaintiff with the intention of misusing them. The respondent/defendant has denied that because she was unable to repay the loan amount, she expressed her wish to appellant to sale the suit house. She has also denied that the appellant had given his consent for purchase of suit house and accordingly, an agreement in that respect was executed on 02.01.2009 and she complied its terms and conditions.

9. The respondent/defendant has denied that as per the terms of the agreement, the total consideration of sale of the suit shop was agreed to be Rs.7 lakh. It is also denied that on the date of execution of the agreement/contract itself, as an advance, out of the total sale considerati

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