Janardan Das vs Durga Prasad Agarwalla 2024 INSC 778 – Specific Performance – Agency

Specific Relief Act, 1963 -Section 16(c) – A plaintiff seeking specific performance of a contract must aver and prove that they have performed or have always been ready and willing to perform the essential terms of the contract which are to be performed by them. This requirement is a condition precedent and must be established by the plaintiff throughout the proceedings. The readiness and willingness of the plaintiff are to be determined from their conduct prior to and subsequent to the filing of the suit, as well as from the terms of the agreement and surrounding circumstances. The rationale behind this provision is to ensure that a party seeking equitable relief has acted equitably themselves. Specific performance is a discretionary relief, and the plaintiff must come to the court with clean hands, demonstrating sincerity and earnestness in fulfilling their contractual obligations. Any laxity, indifference, or failure to perform their part of the contract can be a ground to deny such relief. (Para 8) -The plaintiffs’ failure to comply with the essential terms of the agreement and to take necessary steps within the stipulated time demonstrates a lack of readiness and willingness, which is fatal to their claim for specific performance. (Para 13) – Section 20 (pre-2018 amendment) -The relief of specific performance under the Specific Relief Act, 1963, is discretionary in nature. Section 20 of the Act explicitly stated that the court is not bound to grant such relief merely because it is lawful to do so. The discretion must be exercised judiciously and based on sound principles, ensuring that granting specific performance is just and equitable in the circumstances of the case. (Para 19)

Agency– While it is legally permissible for an agent to bind a principal even if the agency relationship is not disclosed, this principle applies when the agent has valid and subsisting authority. (Para 16) – An agent’s authority must be explicit, and any limitations or revocations thereof must be given due consideration. (Para 17) –

Leave a Comment

Your email address will not be published. Required fields are marked *