‘Specific Performance no longer a Discretionary Relief’: Supreme Court

Swarna Shukla –

Published On: October 27, 2021 at 15:47 IST

‘The Specific Performance is no longer a Discretionary Relief’ observed by Supreme Court in a 2018 Amendment to Specific Relief Act, 1963.

The Bench of Justice M.R. Shah and Aniruddha Bose observed that the 2018 Amendment to the Specific Relief Act, 1963, with the help of which Section 10(a) had been inserted, may not be applicable retrospectively but can be a guide on Discretionary Relief.

The Court stated, “Not to grant the decree of specific performance despite the execution of the agreement to sell is proved; part scale considerations are proved and the Plaintiff is always ready and willing to perform his part of the contract would encourage the dishonesty.”

The Supreme Court was looking into the matter where the Allahabad High Court allowed the second Appeal and set aside the decree for specific performance of the agreement passed by the Trail Court. Hence, the Plaintiff approached the Top Court.

The Allahabad High Court observed that even though the agreement was found duly executed and the Plaintiff was ready to perform the part of the agreement, the grant of the decree of Specific Performance is not automatic and it is a Discretionary Relief.

The Top Court Bench disagreed with the High Court’s observations that there was a non-compliance with the provisions of Section 16(c) of the Act.

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