Mr shivaji
Q. What contracts can be specifically enforced?
Section 10 of Specific Relief Act 1963 specifies the conditions in which a contract can be specifically enforced. These are as follows -
When there exists no standard for ascertaining the actual damage caused by non-performance of the act agreed to be done.
When the act agreed to be done is such that a compensation in the form of money would not afford adequate relief. Unless contrary is proved, the court shall presume that the breach of a contract to transfer immovable property cannot be adequately relieved by compensation in money. the breach of a contract to transfer a movable property can be so relieved except when the property is not an ordinary article of commerce, or is of special value or interest to the plaintiff or consists of goods which are not easily available in the market. where the property is held by the defendant as the agent or trustee of the plaintiff.
Nivarti Govind Ingale vs R B Patil 1997 SCC - A woman took a loan from a relative and executed a deed of sale in favor of the relative's minor son with an agreement of re-conveyance at the repayment of loan. This contract was held to be specifically enforceable. The relative had sold the property off to a buyer. This decree was allowed to be enforced against such buyer also.
M S Madhusoodhanan vs Kerala Kaumudi Pvt. Ltd. 2003 SCC - Shares of a private company were held to be goods of such a nature as are not easily obtainable in the market. Thus, SC allowed specific performance to be granted in such cases.
Section 11 says that specific performance can be enforced when the act agreed to be done is wholly or partly is in the performance of a trust. An exception is that the contract must not be in excess of the power of a trustee.
Section 12 says that if, in the discretion of the court, only a small part of a contract cannot be specifically performed and if such part can be alternatively compensated, the rest of the part can be
Section 10 of Specific Relief Act 1963 specifies the conditions in which a contract can be specifically enforced. These are as follows -
When there exists no standard for ascertaining the actual damage caused by non-performance of the act agreed to be done.
When the act agreed to be done is such that a compensation in the form of money would not afford adequate relief. Unless contrary is proved, the court shall presume that the breach of a contract to transfer immovable property cannot be adequately relieved by compensation in money. the breach of a contract to transfer a movable property can be so relieved except when the property is not an ordinary article of commerce, or is of special value or interest to the plaintiff or consists of goods which are not easily available in the market. where the property is held by the defendant as the agent or trustee of the plaintiff.
Nivarti Govind Ingale vs R B Patil 1997 SCC - A woman took a loan from a relative and executed a deed of sale in favor of the relative's minor son with an agreement of re-conveyance at the repayment of loan. This contract was held to be specifically enforceable. The relative had sold the property off to a buyer. This decree was allowed to be enforced against such buyer also.
M S Madhusoodhanan vs Kerala Kaumudi Pvt. Ltd. 2003 SCC - Shares of a private company were held to be goods of such a nature as are not easily obtainable in the market. Thus, SC allowed specific performance to be granted in such cases.
Section 11 says that specific performance can be enforced when the act agreed to be done is wholly or partly is in the performance of a trust. An exception is that the contract must not be in excess of the power of a trustee.
Section 12 says that if, in the discretion of the court, only a small part of a contract cannot be specifically performed and if such part can be alternatively compensated, the rest of the part can be