The Specific Relief Act, 1963
ACT NO. 47 OF 1963
An
Act to define and amend the law relating to certain kinds of specific reliefs.
BE it enacted by Parliament
in the Fourteenth Year of the Republic of India as follows:-
PART I
PRELIMINARY
1.
Short title, extent and commencement.- (1) This Act may
be called the Specific Relief
Act, 1963.
(2) It extends to the
whole of India except the State of Jammu and Kashmir.
(3) It shall come into
force on such date as the Central Government may, by notification in the
Official Gazette, appoint.
2. Definitions. -
In this Act, unless the context otherwise
requires,-
(a)
"obligation" includes every duty enforceable by law;
(b)
"settlement" means an
instrument (other than a will or codicil as defined by the Indian Succession
Act,1925 (39 of 1925)) whereby the
destination or devolution of successive interests in movable or immovable
property is disposed of or is agreed to be disposed of;
(c)
"trust" has the same meaning as in section 3 of the Indian Trusts Act, 1882
(2 of 1882), and includes an obligation
in the nature of a trust within the
meaning of Chapter IX of that Act;
(d)
"trustee" includes every person
holding property in trust;
(e) all other words and
expressions used herein but
not defined, and defined in the
Indian Contract Act, 1872 (9 of 1872), have the meanings respectively assigned
to them in that Act.
3.
Savings.- Except as otherwise provided herein,
nothing in this Act shall be deemed- (a) to deprive any person of any
right to relief, other than specific performance, which
he may have
under any contract;
(b) to affect the operation of the Indian Registration
Act,1908 (16 of 1908), on documents.
4.
Specific relief to be granted only for enforcing individual civil rights and not for enforcing penal laws.-
Specific relief can be granted only for the purpose of enforcing individual civil
rights and not for the mere purpose of
enforcing a penal law.
PART II
SPECIFIC RELIEF
CHAPTER I
RECOVERING POSSESSION
OF PROPERTY
5.
Recovery of specific immovable property.- A person
entitled to the possession of specific
immovable property may recover it
in the manner provided by the Code of
Civil Procedure, 1908 (5 of 1908).
6.
Suit by person dispossessed of immovable
property.- (1) If any person is
dispossessed without his consent
of immovable property
otherwise than in due course of law, he or any person claiming
through him may, by suit,
recover possession thereof, notwithstanding any
other title that may be set up in such suit.
(2) No suit under this
section shall be brought-
(a) after the expiry
of six
months from the
date of dispossession; or
(b) against the
Government.
(3) No appeal shall lie
from any order or decree passed in any suit instituted under this section, nor
shall any review of any such order or decree be allowed.
(4) Nothing in
this section shall bar any person from suing to establish his
title to such
property and to recover possession
thereof.
7.
Recovery of specific movable property.-
A person entitled to the possession of specific
movable property may recover it in
the manner provided by the Code
of Civil Procedure, 1908 (5 of 1908).
Explanation 1.-A
trustee may sue under this section for the possession of movable property to
the beneficial interest in which the person for whom he is trustee is
entitled.
Explanation 2.-A
special or temporary right to the present possession of movable property is sufficient to support a suit under this section.
8.
Liability of person in possession, not as owner, to deliver to persons entitled to
immediate possession.-
Any person having
the possession or control of a particular article of movable
property, of which he is not the owner,
may be compelled specifically to deliver it
to the person entitled to its
immediate possession, in any of the
following cases:-
(a) when the thing claimed is held by the defendant as the agent
or trustee of the plaintiff;
(b) when
compensation in money
would not afford
the plaintiff adequate relief
for the loss of the
thing claimed;
(c) when it would
be extremely difficult to ascertain
the actual damage caused by its loss;
(d) when the possession
of the thing claimed has been wrongfully transferred from the plaintiff.
Explanation.-Unless
and until the contrary is proved, the
court shall, in respect of
any article of movable property claimed under clause (b) or clause (c) of this section,
presume-
(a) that
compensation in money
would not afford
the plaintiff adequate relief
for the loss of the
thing claimed, or, as the case may be;
(b) that it would be extremely
difficult to ascertain the actual damage caused by its loss
CHAPTER II
SPECIFIC PERFORMANCE OF
CONTRACTS
9.
Defences respecting suits for relief based on contract.-
Except as otherwise provided herein, where any relief is claimed under this Chapter in
respect of a contract, the person
against whom the relief is claimed may plead
by way of defence any ground which is available to him under any law relating to
contracts.
CONTRACTS WHICH CAN BE
SPECIFICALLY ENFORCED
10.
Cases in which specific performance
of contract enforceable.- Except as otherwise provided in this Chapter,
the specific performance of any contract
may, in the discretion of the court, be enforced-
(a) when there
exists no standard
for ascertaining the actual damage caused by the non-performance
of the act agreed to be done; or
(b) when the act agreed
to be done is such that compensation in
money for its
non-performance would not
afford adequate relief.
Explanation.-Unless and
until the contrary is proved, the court shall presume-
(i) that the
breach of a contract to
transfer immovable property
cannot be adequately relieved by
compensation in money; and
(ii) that the breach
of a contract to transfer movable property can be so
relieved except in the following cases:-
(a) where 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 obtainable
in the market;
(b) where the property
is held by the defendant as the agent or trustee of the plaintiff.
11.
Cases in which specific performance of contracts connected with trusts enforceable.-
(1) Except as otherwise provided in this Act, specific performance of a contract may,
in the discretion of
the court, be enforced when
the act agreed
to be done
is in the
performance wholly or partly of a trust.
(2) A contract made by
a trustee in excess of his powers or in breach of trust cannot be specifically
enforced.
12.
Specific performance of part of contract.-
(1) Except as otherwise hereinafter
provided in this section, the court shall not direct the specific performance of a part of
a contract.
(2) Where a party to a
contract is unable to perform the whole of his part of it, but the part which
must be left unperformed bears only a small proportion to the whole in value
and admits of compensation in money, the court may, at the suit of either
party, direct the specific performance of so much of the contract as can be
performed, and award compensation in money for the deficiency.
(3) Where a party to a
contract is unable to perform the whole of his part of it, and the part which
must be left unperformed either-
(a) forms a
considerable part of the whole, though admitting of compensation in money;
or
(b) does not admit of
compensation in money; he is not
entitled to obtain a decree for specific performance; but the court
may, at the suit of the
other party, direct the party in
default to perform specifically so much of his part of the contract
as he can perform, if the other
party-
(i) in a case falling
under clause (a), pays or has paid the agreed consideration for the
whole of the contract reduced by the consideration for
the part which must be left unperformed
and in a case falling under
clause
(b), pays or has paid
the consideration for the whole of the contract without any abatement; and
(ii) in either case, relinquishes all claims to the
performance of the remaining part of the contract and all right to
compensation, either for the deficiency or for the loss or
damage sustained by him through the
default of the defendant.
(4) When a part of a
contract which, taken by itself, can and ought to be specifically performed,
stands on a
separate and independent footing from another
part of the same
contract which cannot or ought not to be specifically performed, the
court may direct specific performance of
the former part.
Explanation.-For
the purposes of this section,
a party to a
contract shall be deemed to be unable to perform the whole of his
part of it if a
portion of its subject-matter existing at the date of the contract has ceased to exist at the time of
its performance.
13.
Rights of purchaser or lessee against person with no title or imperfect title:- (1)
Where a person contracts to
sell or let
certain immovable property having no title or only an imperfect title, the purchaser
or lessee (subject to the other provisions
of this Chapter), has the following rights,
namely:-
(a) if the vendor or
lessor has subsequently to the contract acquired any interest in the property,
the purchaser or lessee may compel him to make good the contract out of such
interest;
(b) where the concurrence of other persons is necessary
for validating the title, and they are bound to concur at the request of the
vendor or lessor, the purchaser or lessee may compel him
to procure such
concurrence, and when a
conveyance by other persons is necessary
to validate the title and they are bound to convey at the request the
vendor or lessor, the
purchaser or lessee
may compel him to procure such conveyance;
(c) where the vendor
professes to sell unencumbered property, but
the property is mortgaged for an
amount not exceeding the purchase money
and the vendor has in fact only a
right to redeem it,
the purchaser may compel him to redeem the mortgage and to
obtain a valid discharge, and, where necessary, also a conveyance from the
mortgagee;
(d) where the vendor or
lessor sues for specific performance of the contract and the suit is dismissed
on the ground of his want of title or
imperfect title, the defendant has a
right to a return of his deposit, if any, with interest
thereon, to his costs of
the suit, and to a lien for
such deposit, interest
and costs on the
interest, if any, of the
vendor or lessor
in the property which is the
subject-matter of the contract.
(2) The provisions of
sub-section (1) shall also apply, as far as may be, to contracts for the sale
or hire of movable property.
CONTRACTS WHICH CANNOT
BE SPECIFICALLY ENFORCED
14.
Contracts not specifically enforceable.- (1) The
following contracts cannot be specifically enforced, namely:--
(a) a contract for the
non-performance of which compensation in money is an adequate relief;
(b) a contract which runs into
such minute or numerous details or which
is so dependent
on the personal qualifications or volition of the
parties, or otherwise from its nature is
such, that the court cannot enforce specific performance of its material
terms;
(c) a contract which is
in its nature determinable;
(d) a contract the
performance of which involves the performance
of a continuous duty which the court cannot supervise.
(2) Save as provided by the Arbitration Act, 1940 (10 of 1940),
no contract to refer present or
future differences to arbitration
shall be specifically enforced; but
if any person who has made such a
contract (other than an arbitration agreement to
which the provisions of the
said Act apply) and
has refused to perform it, sues
in respect of any subject which he has
contracted to refer, the existence of such contract shall bar the suit.
(3) Notwithstanding
anything contained in clause (a) or clause (c) or clause (d) of sub-section (1), the court may enforce
specific performance in the following
cases:-
(a) where the suit is
for the enforcement of a contract,-
(i) to execute a mortgage
or furnish any other security for
security for securing the repayment of any loan which the borrower
is not willing to repay
at once:
Provided that where
only a part of the loan has been advanced the lender is willing
to advance the remaining part of the loan in terms of
the contract; or
(ii) to take up
and pay for any debentures of a company;
(b) where the suit is
for,-
(i) the execution of a
formal deed of partnership, the parties
having commenced to carry on the
business of the partnership; or
(ii) the purchase
of a share of a
partner in a firm,
(c) where the suit is
for the enforcement of a contract for the construction of any
building or the execution of any
other work on land:
Provided that the
following conditions are fulfilled, namely:-
(i) the building or
other work is described in the contract in terms sufficiently precise to enable
the court to determine the exact nature of the building or work;
(ii) the plaintiff has a substantial interest
in the performance of the
contract and the interest is of such a nature that compensation in money for non-performance
of the contract is not an adequate relief; and
(iii) the defendant
has, in pursuance of the
contract, obtained possession of the
whole or any part of the land on
which the building is to be constructed or other work is to be executed.
PERSONS FOR OR AGAINST
WHOM CONTRACTS MAY BE SPECIFICALLY ENFORCED
15.
Who may obtain specific performance.- Except as otherwise provided by this Chapter,
the specific performance of a contract may be obtained by-
(a) any party
thereto;
(b) the representative
in interest or the principal, of any party thereto:
Provided that where the
learning, skill, solvency or any personal quality of such party is a material
ingredient in the contract, or where the
contract provides that his interest
shall not be assigned, his representative in interest of his principal
shall not be entitled to
specific performance of the contract, unless such party has already performed his part of the contract, or the performance
thereof by his representative in
interest, or his principal, has been accepted by the other party;
(c) where the contract
is a settlement on marriage, or a compromise of
doubtful rights between members of the same family, any person beneficially entitled there under;
(d) where the contract
has been entered into by a tenant for life in due exercise of a power, the remainder
man;
(e) a reversioner in
possession, where the agreement is a covenant entered into with his predecessor
in title and the reversioner is entitled to the benefit of such covenant;
(f) a reversioner in
remainder, where the agreement is such a covenant, and the reversioner is entitled to the benefit
thereof and will sustain material injury
by reason of its breach;
(g) when a company has
entered into a contract and subsequently becomes amalgamated with another
company, the new company which arises out of the amalgamation;
(h) when the promoters of a company have,
before its incorporation, entered
into a contract for the purpose of the company, and such contract is warranted
by the terms of the incorporation, the company:
Provided, that the
company has accepted the contract and has communicated such acceptance to the
other party to the contract.
16.
Personal bars to relief. - Specific performance
of a contract cannot be enforced in favour of a person-
(a) who would not be entitled
to recover compensation for its breach; or
(b) who has become incapable of performing, or
violates any essential term of, the
contract that on
his part remains to be performed,
or acts in fraud
of the contract, or wilfully acts
at variance with, or in subversion of, the relation intended to be established by
the contract; or
(c) who fails to aver
and prove that he has performed or has always been ready and willing to perform the essential terms
of the contract which are to be performed by him, other than terms the performance of which has been prevented or
waived by the defendant.
Explanation.-For the
purposes of clause (c),-
(i) where a contract
involves the payment of money, it
is not essential for the plaintiff to actually tender to the defendant
or to deposit in court any money except when so directed by the court;
(ii) the plaintiff must
aver performance of, or readiness and willingness to perform,
the contract according to its true construction
17.
Contract to sell or let property by one who has no title, not specifically enforceable.-
(1) A contract to sell or let any immovable
property cannot be
specifically enforced in favour of
a vendor or lessor-
(a) who, knowing himself not to have any title to the property, has
contracted to sell or let the property;
(b) who, though he entered into the contract believing
that he had a good title to the property, cannot at the time fixed by the
parties or by the court for the completion of the sale or letting, give the purchaser or lessee
a title free from reasonable doubt.
(2) The provisions of
sub-section (1) shall also apply, as far as may be, to contracts for the sale
or hire of movable property.
18.
Non-enforcement except with variation.-
Where a plaintiff seeks specific
performance of a contract in writing, to which the defendant sets up a variation, the
plaintiff cannot obtain the performance sought, except with the variation so
set up, in the following cases,
namely:-
(a) where, by fraud,
mistake of fact or misrepresentation, the written contract of which performance
is sought is in its terms or effect different from what the parties agreed
to, or does not contain all the terms
agreed to between the parties on the basis of which the defendant entered into
the contract;
(b) where the object of
the parties was to produce a certain legal result which
the contract as framed is not
calculated to produce;
(c) where the parties
have, subsequently to the execution of the
contract, varied its terms.
19.
Relief against parties and persons claiming under them by subsequent title.-
Except as otherwise provided by this
Chapter, specific performance of a contract may be enforced against-
(a) either party
thereto;
(b) any other person claiming
under him by a title arising subsequently to the contract, except a transferee
for value who has paid his money in good
faith and without notice of the original contract;
(c) any person claiming
under a title which, though prior to the contract and known
to the plaintiff, might have been displaced by the defendant;
(d) when a company has entered
into a contract and subsequently
becomes amalgamated with another
company, the new company which arises out of the amalgamation;
(e) when the promoters of a company have, before its incorporation, entered into a contract for the purpose of the company
and such contract is warranted by the terms of the incorporation, the
company:
Provided that the
company has accepted the contract and communicated such acceptance to the other
party to the contract.
DISCRETION AND POWERS
OF COURT
20.
Discretion as to decreeing specific performance.-
(1) The jurisdiction to decree specific performance is discretionary,
and the court is not bound to grant such
relief merely because it is lawful to do so; but the discretion of the court is
not arbitrary but sound and reasonable,
guided by judicial principles and
capable of correction by a court of appeal.
(2) The following are
cases in which the court may properly exercise discretion not to decree
specific performance-
(a) where the terms
of the contract or the conduct of
the parties at the time of entering
into the contract or the other
circumstances under which the
contract was entered into are
such that the contract, though not
voidable, gives the plaintiff an unfair advantage over the defendant; or
(b) where the
performance of the contract would involve some hardship on the defendant which he did not
foresee, whereas its non-performance would
involve no such hardship on the plaintiff;
(c) where the defendant entered into the contract under circumstances which though not rendering the contract voidable,
makes it
inequitable to enforce
specific performance.
Explanation
1.-Mere inadequacy of consideration, or the
mere fact that the contract
is onerous to the defendant or improvident in its nature, shall not be deemed
to constitute an unfair advantage
within the meaning of clause (a) or
hardship within the meaning of clause
(b).
Explanation 2.-The question whether
the performance of a contract would involve hardship on the
defendant within the meaning of clause
(b) shall, except in cases where the hardship has resulted from any act of
the plaintiff subsequent to the
contract, be determined with
reference to the circumstances existing at
the time of the contract.
(3) The court may
properly exercise discretion to decree specific performance in any case where
the plaintiff has done substantial acts or suffered losses in consequence of a
contract capable of specific performance.
(4) The court shall not refuse to any party specific
performance of a
contract merely on
the ground that
the contract is
not enforceable at the instance
of the other party.
21.
Power to award compensation in certain cases.-
(1) In a suit for specific performance of
a contract, the plaintiff may also claim
compensation for its breach, either in addition to, or in
substitution of, such performance.
(2) If, in any
such suit, the court decides that specific
performance ought not to be
granted, but that there is
a contract between the parties which
has been broken by the defendant, and that the plaintiff
is entitled to compensation for that breach, it shall award him such compensation accordingly.
(3) If, in any
such suit, the
court decides that
specific performance ought to be
granted, but that is
not sufficient to satisfy the justice of the case, and that
some compensation for breach of the contract should also be made to the
plaintiff, it shall award him such compensation accordingly.
(4) In determining the
amount of any compensation awarded under
this section, the court shall be guided by the principles specified in
section 73 of the Indian Contract Act, 1872 (9 of 1872).
(5) No compensation
shall be awarded under this section unless the plaintiff has claimed such
compensation in his plaint:
Provided that where the
plaintiff has not
claimed any such
compensation in the plaint, the court
shall, at any stage of the proceeding, allow him to
amend the plaint on such terms
as may be just, for including a
claim for such compensation.
Explanation.-The circumstance
that the contract
has become incapable of
specific performance does
not preclude the court from
exercising the jurisdiction conferred by this section.
22.
Power to grant relief for possession, partition, refund of earnest
money, etc.- (1)
Notwithstanding anything to
the contrary contained in
the Code of Civil
Procedure, 1908 (5 of 1908), any
person suing for the specific
performance of a contract for the
transfer of immovable property may, in an appropriate case, ask
for-
(a) possession, or
partition and separate possession, of the property, in addition to such
performance; or
(b) any other relief to which he may be entitled,
including the refund of any earnest money
or deposit paid or made
by him, in
case his claim
for specific performance is
refused.
(2) No relief under
clause (a) or clause (b) of sub-section (1) shall be granted by the court
unless it has been specifically claimed:
Provided that where the
plaintiff has not claimed any such relief in the plaint, the court shall, at
any stage of the proceeding, allow him to amend the plaint on such terms as may
be just for including a claim for such relief.
(3) The power of
the court to grant relief under
clause (b) of sub-section (1) shall be
without prejudice to its powers to
award compensation under section
21.
23.
Liquidation of damages not a bar to specific performance.-
(1) A contract, otherwise proper to be
specifically enforced, may be so
enforced, though a sum be named in it as the amount to be paid in
case of its breach and the party in default is willing to
pay the same, if the court, having regard to the
terms of the contract
and other attending circumstances, is satisfied that the sum was named only
for the purpose of securing performance of the contract and not for the purpose of giving to the party in default an
option of paying money in lieu of
specific performance.
(2) When enforcing
specific performance under this section, the court shall not also decree
payment of the sum so named in the contract.
24.
Bar of suit for compensation for breach after dismissal of suit for specific
performance. - The dismissal of a suit for specific
performance of a contract or part thereof shall bar the plaintiff's right to
sue for compensation for the breach of such contract or part, as the
case may be, but shall not bar
his right to sue for any other relief to
which he may be entitled, by reason of such breach.
ENFORCEMENT OF AWARDS
AND DIRECTIONS TO EXECUTE SETTLEMENTS
25.
Application of preceding sections
to certain awards
and testamentary directions to
execute settlements.- The provisions of this Chapter as to contracts shall apply to awards
to which the Arbitration Act, 1940 (10
of 1940), does not apply and to
directions in a will or codicil to
execute a particular settlement.
CHAPTER III
RECTIFICATION OF
INSTRUMENTS
26.
When instrument may be rectified.-
(1) When, through fraud or a mutual mistake of
the parties, a contract or other instrument in writing (not being the articles of
association of a company to
which the Companies Act, 1956 (1
of 1956), applies) does not express
their real intention, then-
(a) either party
or his representative in interest may
institute a suit to have the instrument rectified; or
(b) the plaintiff may, in any suit in which
any right arising under the instrument
is in issue, claim in his pleading that the instrument be rectified; or
(c) a defendant in any
such suit as is referred to in clause (b), may, in addition to any other defence
open to him, ask for rectification of the instrument.
(2) If, in any suit in
which a contract or other instrument is
sought to be rectified under sub-section (1), the court finds that
the instrument, through fraud or mistake, does
not express the real intention
of the parties, the court may, in
its discretion, direct rectification
of the instrument so as to express that intention, so far as this can be done without prejudice to rights
acquired by third persons in good faith
and for value.
(3) A contract in
writing may first be rectified, and then if the party claiming rectification
has so prayed in his
pleading and the court thinks fit,
may be specifically enforced.
(4) No relief for the rectification of an
instrument shall be granted to any
party under this
section unless it
has been specifically claimed:
Provided that where
a party has not claimed any such relief in his pleading,
the court shall, at any stage of
the proceeding, allow him to amend the
pleading on such terms as may be just for including such claim.
CHAPTER IV
RESCISSION OF CONTRACTS
27.
When rescission may be adjudged
or refused.- (1) Any person interested in
a contract may sue to have
it rescinded, and
such rescission may be adjudged
by the court in any of the following cases,
namely:-
(a) where the
contract is voidable or terminable by the plaintiff;
(b) where the
contract is unlawful for causes not
apparent on its face and the defendant is more to blame than the plaintiff.
(2) Notwithstanding anything
contained in sub-section (1), the court
may refuse to rescind the contract-
(a) where the plaintiff
has expressly or impliedly ratified the contract; or
(b) where, owing to the change of circumstances which
has taken place since the making of the contract (not being due to any act of the defendant himself), the
parties cannot be substantially restored
to the position in which they stood when the contract was
made; or
(c) where third parties have, during the subsistence
of the contract, acquired rights in good faith without notice and for value;
or
(d) where only a part
of the contract is sought to be rescinded and such part is not severable from the rest of
the contract.
Explanation.-In this
section "contract", in relation to the territories to which the
Transfer of Property Act, 1882 (4 of 1882), does not extend, means a contract
in writing.
28.
Rescission in certain circumstances of contracts for the sale or lease
of immovable property, the specific performance of which has been decreed.-
(1) Where in any suit a decree for specific performance of a
contract for the sale or lease
of immovable property has been made and
the purchaser or lessee does not, within the period allowed by the
decree or such further period as
the court may allow, pay the purchase
money or other sum which the court has
ordered him to pay, the vendor or lessor may apply in the same suit in which
the decree is made, to have the contract rescinded and on such application the
court may, by order, rescind the contract either so far as regards
the party in default or altogether, as
the justice of the case may require.
(2) Where a contract is rescinded under
sub-section (1), the court-
(a) shall direct
the purchaser or the lessee, if he has obtained possession of
the property under the contract, to restore such possession to the vendor or
lessor, and
(b) may direct payment to the vendor or lessor of all
the rents and profits which have accrued
in respect of the property from the date
on which possession was so
obtained by the purchaser or lessee until restoration of
possession to the vendor or
lessor, and, if the justice of
the case so requires, the refund of any sum paid by the vendee or lessee
as earnest money or deposit in connection
with the contract.
(3) If the purchaser
or lessee pays the purchase money or other sum which
he is ordered to pay under
the decree within the period referred to
in sub-section (1), the court may, on application made in the same suit, award the purchaser or lessee
such further relief as he may be entitled to, including in appropriate cases
all or any of the following reliefs, namely:-
(a) the execution
of a proper conveyance or lease by the vendor or lessor;
(b) the delivery of possession,
or partition and separate possession,
of the property on the
execution of such conveyance or lease.
(4) No separate suit in
respect of any relief which may be claimed under this section shall lie at
the instance of a vendor, purchaser, lessor or lessee, as the
case may be.
(5) The costs of any
proceedings under this section shall be in the discretion of the court
29.
Alternative prayer for rescission in suit for specific performance.-
A plaintiff instituting a suit for the
specific performance of a contract in writing may pray in the alternative that,
if the contract cannot be specifically enforced, it may be rescinded and delivered
up to be cancelled; and the court, if
it refuses to enforce the contract specifically, may direct it to be rescinded and delivered up accordingly.
30.
Court may require
parties rescinding to
do equity.-
On
adjudging the rescission of a
contract, the court may require the
party to whom such relief is granted to restore, so far as may be, any
benefit which he may have received from
the other party and to make any
compensation to him which justice may require.
CHAPTER V
CANCELLATION OF
INSTRUMENTS
31.
When cancellation may be ordered.- (1) Any person against
whom a written instrument is void or voidable,
and who
has reasonable apprehension that such instrument, if left outstanding may cause him serious
injury, may sue to have it adjudged void or voidable; and the court may,
in its discretion, so adjudge it
and order it
to be delivered up and cancelled.
(2) If the instrument has
been registered under
the Indian Registration Act, 1908 (16 of 1908), the court
shall also send a copy of its decree to the officer in whose office the
instrument has been so registered; and
such officer shall note on the copy of the
instrument contained in his books the fact of its cancellation.
32.
What instruments may
be partially cancelled.-
Where an instrument is evidence of different
rights or different obligations, the court
may, in a proper case,
cancel it in part and allow it to stand for the residue.
33.
Power to require benefit to be restored or compensation to be made when
instrument is cancelled or is successfully resisted as being void or
voidable.- (1) On adjudging the cancellation of an
instrument, the court may require
the party to whom such relief is granted, to restore, so far as
may be any benefit which he may have received from the other
party and to make any compensation to him which justice may require.
(2) Where a defendant
successfully resists any suit on the ground-
(a) that the instrument
sought to be enforced against him in the suit
is voidable, the court may if the defendant has received any benefit under the instrument from the other
party, require him to restore, so far as
may be, such benefit to that party or to
make compensation for it;
(b) that the agreement sought to be enforced against
him in the suit is void by reason
of his not having
been competent to contract
under section 11 of the Indian Contract Act, 1872 (9 of 1872), the court may, if the defendant has received any benefit under the agreement from
the other party, require him to restore, so far as may be, such benefit
to that party, to the extent to which
he or his estate has benefited thereby.
CHAPTER VI
DECLARATORY DECREES
34.
Discretion of court as to declaration of status or right.- Any person entitled to any
legal character, or to any
right as to any property, may
institute a suit against
any person denying, or
interested to deny, his title to
such character or right, and
the court may in its
discretion make therein a declaration that he is so entitled, and
the plaintiff need not in such suit ask for any further relief:
Provided that no court shall make any such declaration
where the plaintiff, being able to seek further relief than a mere declaration of
title, omits to do so.
Explanation.-A trustee
of property is a "person interested to deny" a
title adverse to the title
of someone who
is not in
existence, and for whom, if in existence, he would be a trustee.
35.
Effect of declaration.- A declaration made under this
Chapter is binding only on
the parties to the suit, persons claiming through them respectively, and, where any of the parties are trustees,
on the persons for whom, if in existence at the date of the declaration,
such parties would be trustees.
PART III
PREVENTIVE RELIEF
CHAPTER VII
INJUNCTIONS GENERALLY
36.
Preventive relief how granted.- Preventive relief is
granted at the discretion of the court
by injunction, temporary or perpetual.
37. Temporary
and perpetual injunctions.- (1)
Temporary injunctions are such as
are to continue until a specified time, or until the
further order of the court, and
they may be granted at any stage of a suit,
and are regulated by the Code of Civil Procedure, 1908 (5 of 1908).
(2) A perpetual
injunction can only be granted by the decree made at the
hearing and upon the merits of
the suit; the defendant is
thereby perpetually enjoined
from the assertion of a right, or from the commission of an act, which would be
contrary to the rights of the plaintiff
CHAPTER VIII
PERPETUAL
INJUNCTIONS
38.
Perpetual injunction when granted.-
(1) Subject to the other provisions
contained in or referred to
by this Chapter, a perpetual
injunction may be granted to the plaintiff to prevent the breach of
an obligation existing in
his favour, whether
expressly or by implication.
(2) When any such obligation arises from
contract, the court shall be guided by the rules and provisions contained in
Chapter II.
(3) When the defendant invades or threatens to
invade the plaintiff's right to, or enjoyment of,
property, the court may grant a
perpetual injunction in the following cases, namely:-
(a) where the
defendant is trustee of the property for
the plaintiff;
(b) where there exists
no standard for ascertaining the actual damage caused, or likely to
be caused, by the invasion;
(c) where the invasion
is such that compensation in money would not afford adequate relief;
(d) where the
injunction is necessary to prevent a multiplicity of judicial
proceedings.
39.
Mandatory injunctions.- When, to prevent the breach
of an obligation, it is necessary to compel the performance of
certain acts which the court is
capable of enforcing,
the court may in its discretion grant
an injunction to prevent the breach complained of, and also to compel performance of the requisite
acts.
40.
Damages in lieu of, or in addition to, injunction.-
(1) The plaintiff in a suit for perpetual
injunction under section 38, or
mandatory injunction under section
39, may claim damages either in
addition to, or in substitution for, such injunction and the court
may, if it thinks fit, award such damages.
(2) No relief for
damages shall be granted under this section unless the plaintiff has claimed
such relief in his plaint:
Provided that where no
such damages have been claimed in
the plaint, the court shall,
at any stage of the proceedings,
allow the plaintiff to amend the
plaint on such terms as
may be just
for including such claim.
(3) The dismissal
of a suit
to prevent the
breach of an
obligation existing in favour of
the plaintiff shall bar his right to sue
for damages for such breach
41.
Injunction when refused.- An injunction cannot be
granted-
(a) to restrain any
person from prosecuting
a judicial proceeding
pending at the institution of the suit in which the injunction is sought, unless
such restraint is necessary to prevent a multiplicity of
proceedings;
(b) to restrain any person from instituting or prosecuting any
proceeding in a court not subordinate to
that from which the injunction is sought;
(c) to restrain any
person from applying to any legislative body;
(d) to restrain any person from instituting or prosecuting any
proceeding in a criminal matter;
(e) to prevent the breach of a contract the performance of which
would not be specifically enforced;
(f) to prevent, on the ground of nuisance, an act of which it is
not reasonably clear that it will be a nuisance;
(g) to prevent a continuing breach in which the plaintiff has acquiesced;
(h) when
equally efficacious relief
can certainly be obtained by any other
usual mode of proceeding except in case of breach of trust;
(i) when the conduct of
the plaintiff or his agents has been such as
to disentitle him to the assistance of the
court;
(j) when the
plaintiff has no personal
interest in the matter.
42.
Injunction to perform negative
agreement.- Notwithstanding anything contained in clause
(e) of section 41, where
a contract comprises an affirmative agreement to do a
certain act, coupled with a negative
agreement, express or implied, not to do a certain act, the circumstance that the court
is unable to compel specific performance
of the affirmative agreement shall not
preclude it from granting an
injunction to perform the negative agreement:
Provided that
the plaintiff has
not failed to
perform the contract so far as it is binding on him.
43. [Repealed.]
44. [Repealed.]
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