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Unit V - Specific Relief Act, 1963

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32 views28 pages

Unit V - Specific Relief Act, 1963

Uploaded by

Divya Skater
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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Download as PDF, TXT or read online on Scribd
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Specific Relief Act, 1963

• Specific Relief Act provides for specific relief


• Specific relief means relief of a certain species i.e., an exact or
particular, named, fixed, or determined relief.
• The term is generally understood as providing the relief of a specific
kind rather than the general relief of damages or compensation.
• Specific Relief is granted when there exists no standard for ascertaining
actual damage or where compensation is money will not provide
adequate relief.
• Specific Relief Act provides that specific relief can be granted only for
the purpose of enforcing individual civil rights and not merely for the
purpose of enforcing a penal law.
Recovery of possession
of property (Sec. 5-8)
Specific Performance
(9-25)
Rectification of
Damages Instrument (Sec. 26)
Breach Specific Recission of contract
Relief (Sec 27-30)
Contract (SR Act, 1963)

Cancellation of
Instrument (Sec 31-33)
Declaratory Decree
(Sec 34-35)
Preventive Relief (Sec
36-42)
Preventive Temporary Injunctions
To be
Relief/Injun
breached Permanent Injunctions
ctions
Kinds of Specific Relief or the Remedies provided under the
Specific Relief Act
I. Recovering Possession of Immovable Properties (Sec 5 & 6)
▪ Sections 5 and 6 of the Specific Relief Act, 1963 provide methods for recovery of possession
of certain specific immovable property.
▪ Section 5 provides the manner for recovery of specific immovable property. It reads as, “A
person entitled to the possession of the specific immovable property can recover it in the
manner provided by the Code of Civil Procedure, 1908”.
▪ The person entitled to the possession of the property on the basis of title or on the basis of the
possession.
▪ For ex: When a person who has a title/possession is dispossessed by his neighbor, he can
file a regular suit under the CPC.
▪ The essence of this section is ‘title,’ i.e. the person who has better title is a person entitled to the
possession. The title may be of ownership or possession.
• Section 6 deals with the provisions related to suit by a person dispossessed of
immovable property. It reads as,
• “(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.
• (2) No suit under this section shall be brought-
• After the expiry of six months from the date of dispossession.
• 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 the decree under this section is allowed.
• (4) Nothing in this section shall bar any person from suit to establish his title to such
property and to recover possession thereof.”
• Section 6 is only applicable if the plaintiff proves:

1. That he is in possession of the immovable property in dispute.

2. That he had been dispossessed of without his consent and without due process
of law.

3. That dispossession took place within six months from the date of suit.
Recovering Possession of Movable Properties (Sec 7 & 8)
Section 7 and 8 of the Specific Relief Act, 1963 contains provisions for recovery of
possession of some specific movable property.
- Section 7 of the Act provides that “a person entitled to the possession of the
specific movable property may recover it in the manner provided by the Code of
Civil Procedure, 1908)”.
• Explanation 1: A trustee may sue under this section for possession of the movable
property to the beneficial interest he is entitled.
• Explanation 2: A temporary or special right to the present possession is sufficient
to support a suit under this section.” (Bailee/Pledgee/Finder of lost goods)
• Section 8 of the Specific Relief Act, constitutes the provision related to the Liability of a person in
possession not as owner, to deliver to a person entitled to immediate possession. It reads as;
• “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 the
immediate possession of, 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 adequate relief for the loss of the thing
claimed. (Ex: Idol)
(c) When it would be extremely difficult to ascertain the actual damage caused by its loss (For
ex: Painting by a dead person)
(d) When the possession of the thing claimed has been wrongfully transferred from the plaintiff.
• Explanation- Unless 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 adequate relief for the loss;
(b) That it would be extremely difficult to ascertain the actual damage caused by its loss.”
II. Specific Performance (Sec 9-25)
- Specific performance of a contract means performing the contract as per the terms
and conditions agreed to between the parties to it, rather than payment of
damages or compensation for the non-performance of the contract.
- Sec 9: Defences available under the law of contract can be availed.
▪ The agreement is enforceable by law
▪ The agreement has to be between two parties competent to contract
▪ Free consent
▪ Lawful consideration and lawful object
▪ The agreement shall not be void.
• Sec 10: The Special Relief (Amendment) Act 2018 has substituted the existing section 10:
- Specific performance of a contract shall be enforced by the court subject to the provisions
contained in sub-sections 11 (2), 14, and 16
- Sec 11(2)- cases in with the specific performance of a contract connected with trust
enforceable.
(1)When the act agreed to be done is in the performance of the same shall be granted.
For ex: If the settlor had entered an agreement with the trustee to sell the trust property for
the benefit of the beneficiary.
(2) A contract made by a trustee in excess of his powers on its breach of trust cannot be
specifically enforced.
For ex: If the trustee is authorized to lease property for 5 years., but he entered to
agreement to lease the property to extend the lease period. The lessee cannot ask to
specifically enforce the contract.
• Section 14: Contracts not specifically enforceable
a) Where a party to the contract has obtained substituted performance in
accordance with the provisions of section 20
b) A contract, the performance of which involves the performance of a continuous
duty which the court cannot supervise.
For ex: The construction of a house in a particular way.
c) A contract that is dependent on the personal qualifications of the parties that the
court cannot enforce specific performance of its material terms; and
d) A contract that is in its nature determinable (Put to an end by a party to the
contract).
For ex: A partnership firm had decided to dissolve the partnership at will. One of
the partners files a case before the court to specifically enforce the contract of
partnership
Sec 14 (3): Contracts which are specifically enforceable
- The following kinds of contracts are specifically enforceable:
a) Contract to execute a mortgage or other security for obtaining a loan;
b) The execution of the formal deed of partnership; and
c) Where the suit is for the enforcement of a contract or the contract for the
construction of a building or the execution of other work on land.
Persons for or against whom the contracts may be specifically enforced
(Sec 15-19)
- Sec 15: Who may obtain the specific performance- any party to the
contract or representative in interest/ Beneficiary under the contract.
- Sec 16: Persons cannot claim specific performance
a) A person who has obtained substituted performance of the contract under section 20
b) A person who could not be entitled to recover compensation for the breach of a
contract, cannot specifically enforce that contract.
For ex: an agent, unless otherwise agreed, cannot enforce the contract.
c) Specific performance cannot be claimed in favour of a person in the following
situations:
i. Who becomes incapable of performing the contract that remains to be performed by
him;
ii. Who violates any essential term of the contract that remains to be performed by
him;
iii. Who acts in fraud of the contract;
iv. Who wilfully acts in variance with, or in subversion of the relation intended to be
established by the contract.
d) Where a person fails to 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.
- Section 17: No specific performance by a person transferring
property without title.
- Sec 18: Specific performance with variation (agreement to lend
money to the debtor)
- Sec 19- Relief against parties and persons claiming under them by
subsequent title.
• Power to award compensation in a suit for specific performance
(Sec 21)
- Plaintiff may claim compensation also. (Sec 21 (1))
- Compensation, when specific performance ought not to be
granted. (Delay in filing the suit for SP)- (Sec 21 (2))
- When the specific performance is not enough to satisfy the justice
of the case (Sec 21 (3))
- In determining the amount of the compensation, the court shall be
guided by the principles specified in section 73 of the Indian
Contract Act, 1872
- Power to grant relief for possession, partition, refund of earnest
money etc. (Sec 22)
- Liquidation of damages, not a bar to specific performance (Sec 23)-
parties may agree to the payment of liquidated damages.
- Dismissal of suit for specific performance debars another suit for
compensation (Sec 24)
III Rectification of Instrument (Sec 26)
- When on account of fraud or mutual mistake of the parties a contract
or some another instrument in writing does not express the real
intention of the parties, the court is empowered to rectify the
instrument so as to give effect to the real intention of the parties, and
then specifically enforce the rectified instrument.
- Who may claim rectification (Sec 26 (1))- either parties to the
contract or their legal representatives
- Unless the relief of rectification is claimed by the parties, the relief
cannot be granted
IV Rescission of Contract (Sec 27-30)
- Recession means termination or annulment of contract
- When rescission of the contract may be granted?- where the contract is voidable
by the plaintiff; or where the contract is unlawful for causes not apparent on its
face and the defendant is more to blame than the plaintiff.
- Limitation to the right of rescission
a) When the contract has been affirmed or ratified by the plaintiff
b) When the parties cannot be substantially restored to their original position
c) When the third parties have acquired rights
d) Where part of a non-severable contract is sought to be rescinded
• Recission in certain circumstances of contracts for the sale or lease
of immovable property (sec 28)
- Where the court has passed the decree of specific performance and
the purchaser or lessee then fails to pay the purchase money or the
sums which he may have been required to pay, the court may in the
same suit in which the specific performance had been ordered,
thereafter order the rescission or cancellation of the contract.
V Cancellation of Instruments (Sec 31-33)
• Sec 31: When cancellation may be ordered- Any person against whom a written
instrument is void or voidable, and who has a 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 canceled.
• 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.
• What instrument may be partially cancelled (Sec 31)- Where an instrument is evidence
of different rights or obligations, the court may cancel it partly. (For ex: forged
endorsement)
• Power to require benefit to be restored or compensation to be made when an instrument or
is successfully resisted as being void or voidable (sec 33)
VI Declaratory Decrees (Sec 34 & 35)
- Declaratory decree is a decree declaratory of a right which is doubtful
or which requires to be cleared.
- The object of declaratory decrees is to prevent future litigation by
removing the existing cause of the controversy.
- Sec 34 lays down the circumstances under which a declaratory decree
may be passed- where a person is entitled to any legal character or to
any right as to property and may institute a suit against any person
denying the same. The court may in such a case declare that he is so
entitled and the plaintiff need not in such a suit ask for any further
relief.
• Effect of declaration (Sec 35)
- Declaration made under this chapter is binding only:
a) On the parties to the suit;
b) On persons claiming through them respectively (reversioners,
widows, and sons etc.)
c) 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.
VII. Injunctions
- Injunction is an order to restrain the communication or continuance of some
wrongful act of the party informed.
- Preventive relief is granted at the discretion of the court by injunction, temporary
or perpetual- Sec 36
Kinds of Injunction (Sec 37)
a) Temporary injunctions
- 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.
They are regulated by the Code of Civil Procedure.
- Order 39 rules 1 and 2 contain the procedure for granting Temporary Injunctions
- Cases in which temporary injunction may be granted
1. For the protection of interest in property
2. Instructions to restrain repetition or continuance of breach
- Discretionary Relief - The court will grant the temporary injunction:
a) The plaintiff must establish a prima facie case that the property in
dispute is in danger of being wasted, damaged, or alienated by any
party to suit or wrongfully sold in execution of a decree; or
b) An irreparable injury would result if the injunction were refused and
there is no other remedy open to the applicant
c) The balance of convenience requires that the injunction should be
granted.
b) Permanent Injunction
- A perpetual Injunction can only be granted by the decree made at the
hearing and upon the merits of the suit:
- Effect: The defendant is thereby perpetually enjoined from the
assertion of a right, or from the commission of an act, that would be
contrary to the rights of the plaintiff.
- Perpetual injunction can be granted by a decree made at the hearing
and upon the merits of the case.
- When Perpetual injunction can be granted (Sec 38)
1. Perpetual injunction may be granted on the breach of an obligation.
2. Where the defendant invades or threatens to invade the plaintiff’s
right to, or enjoyment of, property, the court may grant a perpetual
injunction:
a) When the defendant is a 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.
3. Prohibitory injunction (Sec 38)
- Prohibitory injunction may be granted to the plaintiff to prevent the
breach of an obligation existing in his favor.
4. Mandatory injunction (Sec 39)
- To prevent a breach of an obligation, it is necessary to compel the
performance of certain acts which the court is capable of enforcing,
the court may grant a mandatory injunction to prevent the breach
complained of and also to compel the performance of the requisite
acts.
- For ex: obstructing light at the plaintiff’s premises.
Thank You!

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