Specific performance of contract act. Specific Performance of Contract and its enforceability 2019-01-14

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The Definition of a Breach of Contract Lawsuit

specific performance of contract act

A contract might not be specifically enforced if, as a result of superior bargaining power, the plaintiff takes unfair advantage of the defendant who is in a debilitated position. Rectification of such an instrument may become necessary. Liquidated Damage Provisions Some contracts have what are known as liquid damage provisions. Since the application for amendment of the plaint came to be filed after the expiry of there years certainly it changed the cause of action. They average from three to six years for a written contract. Thus, the ingredi­ents which would attract specific performance of the part of the contract are: i If a party to an agreement is unable to perform a part of the contract, he is to be treated as defaulting party to that extent, and ii The other party to an agreement must, in a suit for such specific performance, either pays or has paid the whole of agreed amount, for that part of the contract which is capable of being performed by the defaulting party to that extent, and iii The other party to an agreement must, in a suit for such specific performance, either pays or has paid the whole of the agreed amount, for that part of the contract which is capable of being performed by the defaulting party and also relinquishes his claim in respect of other part of contract which defaulting party is not capable to perform and relinquishes the claim of compensation in respect of loss sustained by him. There is no law that the properties to be sold must be situated at one place.

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Specific Performance and Injunctions: Remedies for Breach of Contract

specific performance of contract act

The interests of justice would be sub-served by setting aside the finding by the Courts below that the suit is barred by limitation, even while upholding the finding that the trial Court had the jurisdiction to try the suit and remanding the suit to the trial Court for a decision of all the issues arising therein, including the issue of limitation, in accordance with law after giving the parties an opportunity to adduce evidence in support of their respective cases. In November 1959, he signed to play football with the Giants. It was known to the parties that the vendor had only life interest in the property and the reversioners were not the parties to the agreement. Applicability of: In case of interim injunction against transfer of suit property on the condition that plaintiff will provide the Bank guarantee, non-compliance of the condition does not disturb the applicability of the rule of lis pendens. . Plaintiff's Conduct A plaintiff seeking specific performance of a contract must have contracted in.

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Specific Performance of Part of Contract

specific performance of contract act

The Giants created the situation by their devious conduct and, therefore, had no right to obtain relief from a court of equity. The court agrees that Andrea can't acquire another comparable piece no matter how much money the court awards her. The contract was held to be determinable and an injunction restraining the respondent from terminating the agreement was denied. They were not parties to the sale agreement and have already by separate release deeds, on accept­ing separate consideration, surrendered their interest in favour of the sub­sequent vendee. Since, amendment was not incorporated by plain­tiff hence no relief on the point of amendment was permitted. This is significant because equity cannot be expected to enforce either an invalid contract or one that is so vague in its terms that equity cannot determine exactly what it must order each party to perform.

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Specific Performance

specific performance of contract act

Answer to this question is that a purchaser from a co-parcener can enforce specific performance of his contract against the other co-parceners. Even subsequent purchaser is entitled to raise objection as to readiness and willingness. If the time was not originally the essence, it was open to the appellant to call upon the other party for performance of his part of the contract and to take conveyance within the time fixed by paying the sale consideration. Consequently, there is the potential for the innocent party to act quite unreasonably in refusing to accept compensation for the breach of contract. Because of this, equitable remedies like specific performance are rare in court.

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Cases in which Specific Performance of Contract Enforceable

specific performance of contract act

A and B both have same understanding of the terms of agreement. Learning Outcome After watching this lesson, you should be able to define and discuss the two main equitable remedies for a breach of contract: specific performance and injunction. Punitive damages involve extra money a court might tack on as a form of punishment if the breach of contract was particularly egregious and intentional. Option exercised only in midst of trial of suit for specific performance. If it is land, money is inadequate because land is traditionally viewed as being unique, in that no two parcels of land are exactly alike. It is available in respect of all contracts except positive contracts of a personal nature e.

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Specific Performance of Contract and its enforceability

specific performance of contract act

Tenor of several letters between the parties showed that sale consideration was not finalised in their meeting. Injunctions are used when the object of the contract might be lost, destroyed, or otherwise made unavailable to the innocent party. The High Court was, therefore, fully justified in reversing the order of the civil Court and coming to the conclu­sion that the arbitration could not have been revived. The agreement is silent as to specific performance. However, because they had intended to delay announcing the contract to avoid league rules, their request was denied because they did not have clean hands when acquiring their equity. Kapil Chandna Advocate Practicing in The Supreme Court of India 9911218741.

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The Definition of a Breach of Contract Lawsuit

specific performance of contract act

In the event of sale of such undivided share, the vendee would be required to file a suit for partition to work out his right in the property. A rare stamp collection is a unique chattel for purposes of specific performance, whereas stock listed on the New York or American Stock Exchange is not unique. In the absence of partition be­tween them, the two brothers together had undivided share in the property and they could not have agreed for sale of the entire property. But in order the seek the relief of specific performance of the contract especially in cases of immovable property because of the exceptional rise in the prices of the immovable property with the passage of time false fresh cases are being filed on the basis of the forged documents and the petitioner seeking the enforcement of specific performance of contract without application of thoughtful mind and by merely making the false and forged document or copy of the money receipt fails to see the far reaching consequences of their wrong decision by take the advice of ……………… The courts with the passage of time and seeing the rise in the number of false cases for specific performance of contract and that too coming after the lapse of many years could sense that if the document relied was genuine and valid, then why the petitioner took so many years to come before the court which is also a defence being taken by the defendant , the petitioner not ready and willing to perform the part of his contract etc. Therefore reversal of decree in second appeal held to be improper.


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specific performance determinable contracts

specific performance of contract act

Difficulty quantifying damages Although the courts do regularly overcome hurdles in quantification when awarding , there are cases which suggest that there are circumstances in which they will order specific performance. The claim that an object has sentimental value to the plaintiff is not, in and of itself, sufficient to justify specific performance. In such a case, whether the court can direct specific performance by the vendor? There is also uncertainty arising from empirical research whether specific performance provides greater value to promisees than money damages, given the difficulties of enforcement. Moreover, there is the impracticality of compelling people who have lost trust in each other to work together. Any intentional act concerning the that violates the standards of fairness and justice is sufficient to prohibit the granting of equitable relief.

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Specific Performance of Part of Contract

specific performance of contract act

Enforceability of contract: Where the clause requiring obtaining of sanction was to protect interest of both the parties and when the sanction could not be obtained for reasons beyond the control of the parties, the contract cannot be directed to be specifically enforced. Great Yarmouth Borough Council 1981 Q. It would be unjust for a court to compel the performance of a contract according to ambiguous terms interpreted by the court, since the court might erroneously order what the parties never intended or contemplated. A Sells land to a railway-company who contracts t execute certain works for his convenience. In my view, irrespective execution of written contract, when the vendor and vendee both have same understanding of the terms of agreement, Vendor cannot conted that there is no contract between them because even oral contract is valid. An attempt to enforce a building repair contract is more problematic for the court.

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Specific Performance

specific performance of contract act

Damages are adequate since the item could be easily repurchased on the open market and the buyer would be compensated for the amount he was compelled to spend in excess of the original contract price. When the plaintiff claims specific performance of a particular agreement, the suit could be decreed for specific performance of only that agreement, and not any other. Economists, generally, take the view that specific performance should be reserved to exceptional settings, because it is costly to administer and may deter promisors from engaging in. In that view of the matter, 1 find that rejection of the relief of specific performance is fully justified. Defenses A contract that is unenforceable because it has not complied with the an old , adopted in the United States, that requires certain contracts to be in writing cannot be enforced through specific performance. Enforcement of contract: Actually, a small portion of land was also due to the first respondent which he gave up.

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