Deposit of Balance Sale Consideration - The decree holder is generally required to deposit the remaining balance of the sale consideration within a specified timeframe to enforce the decree for specific performance. Failure to do so can lead to dismissal of the execution application or the suit. Courts have emphasized that timely deposit is essential for the execution of the decree. For instance, in VED SINGH (SINCE DECEASED TH LRS) Vs RAMESHWAR (SINCE DECEASED THR HIS LRS) AND ORS - Punjab and Haryana, the court noted that the decree was executable and the decree holder was ready to deposit the balance amount, but delays impacted the process. Similarly, Radhey Shyam VS Harendra Pal Rathi - Allahabad highlighted that the decree holder's failure to deposit the balance consideration within the stipulated period can result in non-fulfillment of the decree.
Legal Requirements and Conditions - Courts have clarified that unless the decree explicitly stipulates a deadline or condition for deposit, non-deposit may not automatically nullify the decree, but it can be grounds for dismissing the execution if the decree mandates timely deposit (Bhupinder Singh VS Chamkaur Singh - Punjab and Haryana, T. L. Rajagopal VS S. N. Shivakumar - Karnataka). The absence of a rider clause in the decree means non-deposit does not necessarily rescind the agreement but can affect the enforcement proceedings.
Pre-Filing Deposit and Court Orders - Some judgments specify that deposit of the balance consideration must be made before filing the suit or application for execution. For example, in GODAVARTHI RAMAKRISHNA RAO VS B. SITARAMACHANDRA RAJU (DIED) PER L. RS. - Andhra Pradesh, the court held that the plaintiff was required to deposit the balance within a week of the decree, and failure to do so affected their claim for specific performance. Courts also sometimes extend time for deposit upon application, but such extensions are subject to judicial discretion (Radhey Shyam VS Harendra Pal Rathi - Allahabad, R. Gnana Arulmoni VS R. S. Maharajan - Madras).
Implications of Non-Deposit - Non-deposit of the balance consideration can lead to dismissal of the suit or execution proceedings, unless the decree or law provides otherwise. In R. LEELA AMMAL VS V. GOPAL - Madras, the court noted that failure to deposit the balance sale consideration barred the plaintiff from claiming specific performance.
Locus Standi and Objections - Courts have held that objections regarding non-deposit may be raised by parties with proper standing, but some judgments specify that certain objections are inadmissible if not raised timely or if the party lacks locus standi (Gajender Singh VS Jain Chand - Punjab and Haryana).
Analysis and Conclusion:
Deposit of the balance sale consideration before or at the time of filing for execution is a crucial procedural requirement for enforcing a decree for specific performance. Courts generally insist on strict compliance, and failure to deposit within the stipulated period can result in dismissal of the suit or execution proceedings. However, in the absence of explicit conditions in the decree, non-deposit may not automatically rescind the agreement but can hinder enforcement. Extensions of time are possible but depend on judicial discretion. Parties must adhere to deposit obligations to successfully execute decrees for sale (VED SINGH (SINCE DECEASED TH LRS) Vs RAMESHWAR (SINCE DECEASED THR HIS LRS) AND ORS - Punjab and Haryana, Radhey Shyam VS Harendra Pal Rathi - Allahabad, R. LEELA AMMAL VS V. GOPAL - Madras, T. L. Rajagopal VS S. N. Shivakumar - Karnataka).
Fact of the Case: A suit for specific performance of an agreement to sell was decreed in favor of the decree holders ... AND DECREE HOLDER READY TO DEPOSIT BALANCE SALE CONSIDERATION] - The decree in question is executable, and the Executing Court has ... SPECIFIC PERFORMANCE - EXECUTION OF DECREE - DELAY IN DEPOSIT OF BALANCE SALE CONSIDERATION - [DECREE HOLDER'S FAILURE TO DEPOSIT ... The filing of execution application along wi....
Disputes arose regarding the payment of balance sale consideration and possession terms, leading to the filing of the suit. ... discussed the validity of the receipt-cum-agreement, the issue of payment of balance sale consideration, and the interpretation ... possession' in the agreement, and directed the defendant to deposit the advance amount with interest as monetary compensation. ... ... (1) No reply was sent to the letter dated 14th November, 2011 written by the....
court to extend time for deposit Ratio Decidendi: The decree holder must deposit the balance sale consideration within the ... Finding of the Court: The court found that the decree holder did not deposit the balance sale consideration within ... for specific performance of an agreement to sell. ... The money was not deposited at the time of filing of the execution application in the year 1996. The Executing #HL_S....
Specific Relief Act, 1963, S.28 – Rescinding of Agreement to Sell – Execution of Decree – Enlargement of Time – Non deposit of balance ... sale consideration as per decree – Suit not to be dismissed automatically in the absence of such rider clause in the decree in a ... In the absence of any condition stipulated in the decree, the consequence of non deposit of such amount would be of no consequence ... Avara, 1993 (2) LJR 256 and contended that in view of non compliance of the decree,....
and the plaintiff to deposit She balance of sale consideration within a week from the date of the decree – Held, It is true that ... property and defendants 1, 2 and 3 to execute a sale deed in favour of plaintiff at the expenses of plaintiff after receipt of balance ... of the agreement of sale – Prayed for the refund of the advance amount and also for damages and also for certain other ancillary ... re-deposit was lying in the Court deposit to the credit of the #HL_....
balance of sale consideration - Held, He has to deposit on expiry of the appeal time. ... ex parte on 26.3.2003 - Time to file appeal expired on 25.4.2003 - Decree silent as to outer limit for plaintiff to deposit balance ... Agreement of sale was rescinded. ... One of the ground on which the trial Court dismissed the execution application was that the decree holder did not pay the balance of consideration as per the sale agreement ....
Fact of the Case: The respondent filed a suit for specific performance of an agreement, which was decreed by the trial ... The court also noted that the petitioner had no locus standi to raise objections regarding the non-deposit of balance sale consideration ... , and the petitioner had no locus standi to raise objections regarding the non-deposit of balance sale consideration. ... of time for deposit of the balance sale consider....
the suit, the plaintiff did not deposit the balance sale consideration as contained in the agreement of sale - Court has already ... dealt with the above submission of the counsel for the defendant that it is not mandatory for the plaintiff to deposit the balance ... the amount as required and therefore he is not entitled for the relief of specific performance - It is further stated that before filing ... It is further stated that before fi....
Civil Revision Petitions - Balance sale consideration - Agreement of sale - Civil Revision Petitions were ... undergoes the full length of trial - Hence the judgment of the Supreme court is not of much help to the plaintiffs - As far as deposit ... As. pending disposal of the suit filed by one and another against one and others for specific performance of the agreement against ... No. 1321/1999 wherein the 2nd defendant sought for a direction from the Court to the pla....
credit of suit in file of First Additional District Court Tirunelveli - On such deposit respondent/plaintiff is permitted to withdraw ... agreement a further sum was payable on or before - It was also stated that remaining balance sale consideration shall be paid within ... payable was only plaintiff is liable to pay a sum of - Since plaintiff has agreed to pay balance as per statement of defendant suit ... It is the duty of the plaintiff to plead an....
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