Specific Relief Act

Querist : Anonymous (Querist) 20 July 2010 This query is : Resolved
Sirs,
Suppose A is the owner of property X. And he enters into an agreement (unregistered)for sale with B and receives token money of three lakhs. In agreement there was a clause that if A goes back from his promise, he will have to pay double amount of token money and vice versa. Now A is not entering into final agreement and selling his property to B and is ready to pay double amount of token money received. B has sued A for specific performance of contract after the expiry of one month of the date on which deal was to be finalised or Final Agreement was to be entered.

What can be the fate of suit????
Any Judgement in favour of A??? PLEASE let me know

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S. Bharath (Expert) 20 July 2010
When there is express mention in the contract that in default of A, double the advance money has to be repaid by A to B, then the remedy of specific performance goes out. If B had asked for repayment of money as an alternative prayer, it can be sustained. If there is no such prayer, it is better to seek permission to amend the prayer.

Chanchal Nag Chowdhury (Expert) 25 July 2010
I fully agree with Mr.Bharath. When parties have agreed on a liquidated sum as damages,the remedy of specific performance, unless some other term in the contract come to your rescue,goes out.

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