Aman contracts to sell to Bharat, 50 bighas of land situated in his village, for ₹ 1,00,000. It, however, turned out that only 25 bighas of land belonged to Aman. Here 25 bighas are substantial part of the contract. The
CS Executive · Jurisprudence, Interpretation and General Laws · PYQS · June 2025
Aman contracts to sell to Bharat, 50 bighas of land situated in his village, for ₹ 1,00,000. It, however, turned out that only 25 bighas of land belonged to Aman. Here 25 bighas are substantial part of the contract. The general principle under Section 12 of the Specific Relief Act, 1963 is that, except as otherwise hereinafter provided in this section, the Court shall not direct the specific performance, then what are the reliefs available to the parties of this contract ? Discuss.
Answer & Explanation:
Section 12 of the Specific Relief Act, 1963 deals with specific performance of a part of a contract. Section 12(1) lays down the general principle that except as otherwise hereinafter provided in this section, the Court shall not direct the specific performance of a part of a contract. Sections 12(2) to 12(4) lay down the exceptions to this general rule. Section 12(3) lays down that 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: forms a considerable part of the whole, though admitting of compensation in money; or 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 party: 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 in either case, relinquishes all claims to the performance of the remaining part of the contract and all rights to compensation, either for the deficiency or for the loss or damage sustained by him through the default of the defendant. For the purposes of this section, a party to the 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. In the given situation, since Aman owns only 25 bighas out of the agreed 50 bighas, he is unable to perform the whole contract. As 25 bighas is a substantial part of the total land, Bharat, being the non-defaulting party, may seek specific performance of the part Aman can perform - i.e., the 25 bighas, provided he is willing to: (i) accept that portion without abatement in price or claim for compensation, and (ii) waive all rights to the remaining portion. If Bharat agrees to these conditions, the Court may, under Section 12(3), direct Aman to specifically perform the contract to the extent of the 25 bighas." If Bharat refuses, the whole contract may be rescinded, and he can claim compensation. Thus, the relief depends on Bharat's choice, whether he wants partial performance or rescission with damages.
Topics: Specific Relief Act, 1963
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