Civil Law  - Agreement of Sale

Specific performance - Respondents entered into agreement of sale with the appellant for sale of the schedule properties - Cancelled the agreement on the ground of default in paying the balance of the sale consideration - Cancellation of agreement was challenged - Dismissed - Appeals - Terms of the contract clearly stated that payment of sale price did not depend on execution of the sale deed - Plaint does not allege any fraud on the part of vendors, in regard to suppression of encumbrances over the property - Neither the entire sale consideration was paid nor possession delivered, the plaintiff was not entitled to seek a permanent injunction to protect her possession - Evidence of the fourth defendant was sufficient to put forth the case of the defendants - Impugned judgment of the Division Bench upheld while modified to the extent that the Respondents 1 to 3 are directed to refund the sum of Rs.3,50,000/- to appellant as directed by High Court, with interest at 12% per annum - Appeals dismissed.

Topic(s)-Agreement of Sale , Specific performance

Important Decision(s)-