This write up deals with the various kinds of disputes that arise in the regular course of any business activity, trade relationship, in the performance, execution of contracts, agreements and other..
WHERE A person, who is entitled to the possession of any specific movable property, by virtue of being a owner of such specific movable property or by virtue of having a special or temporary right to possess such specific movable property, and who is unlawfully refused / denied to the possession of such specific goods / movable property, may by virtue of Section 7 of the Specific Relief Act, 1963, recover the said specific movable property, by filing a Suit for the recovery of said specific goods / movable property. [Movable property will include all kinds of goods, things – valuable and invaluable].
(ii) The Principal may compel the Agent to deliver any movable property, which is held by the Agent on behalf of the Principal; or a person who is holding any movable property as a trustee of another, by virtue of Section 8 of the Specific Relief Act, may be compelled by that another to deliver that movable property, by filing a Civil Suit in this regard.
(iii) Where any movable property is wrongly transferred to some other person, the same may be recovered, by virtue of Section 8 of the Specific Relief Act, by filing a Civil Suit.
(iv) Where a person against whom a Suit is filed, is making frivolous defences / defences untenable in law, he may be stopped / precluded from taking any such defences, by virtue of Section 9 of the Specific Relief Act, 1963.
(v) Where a party to the Contract is evading in performing his part of the Contract, thereby seriously prejudicing the other contracting party, the said other contracting party, by virtue of Sections 10, 12, 14(3), 19, 21, 22, 23, 42 and subject to Sections 14, 16, 17, 18, 20,
24 may by filing a Suit for Specific performance, cause the said defaulting party to perform his part of the contract and may also seek damages in addition to Specific performance, or may seek damages in lieu of Specific performance; and can also seek additional damages for breach of Contract. The party enforcing specific performance of the contract, by virtue of Section 29 of the Specific Relief Act, in the alternative of specific performance, may seek rescission (cancellation) of the contract in case specific performance is refused by the court.
(vi) Where a person, who has purchased goods / movable property, from a person who has no title or has imperfect title to the said goods / movable property, the said purchaser, by virtue of Section 13 of Specific Relief Act, 1963, has a right and he:
(a) May compel the said other person to make good the title where in future the said other person acquired the title to such goods / movable property;
(b) May compel the said other person to procure the concurrence of a person whose concurrence will validate the title of the purchaser;
(c) Where in a case, the Seller had filed the Suit for Specific performance of the contract, and his said Suit is dismissed for want of title or imperfect title, the purchaser in the said Suit, can claim the refund of his amount paid over said goods / movable property and can also recover interest on the said amount paid including costs of the Suit.
(vii) Where the contracting parties find, that, either due to mutual mistake or due to fraud of one of the party, the contract entered into between them, in effect and in scope, does not convey the true purport it was intended and the contract is very different from what they had really agreed to, then, either of the contracting parties, by virtue of Section 26 of the Specific Relief Act, may institute a Suit for rectification of said defective instrument / contract, or the parties may in any existing Suit pray for such rectification.
The court may in its discretion, direct the rectification of the instrument so as to express that intention, so far as this rectification can be done without prejudice to the rights acquired by third party in good faith and for value.
Once the instrument is duly rectified by the Order of the Court, then, the said instrument may be specifically enforced by any of the contracting party.
(viii) Where consent to an agreement is obtained by coercion, fraud or misrepresentation, the agreement is a contract voidable at the option of the party whose consent was so obtained; and where both the parties to an agreement are under a mistake of fact essential to the agreement, the agreement is void. In such situation the defrauded party, by virtue of Section 27(1), subject to Section 27(2), has three remedies open to him, namely –
• He may rescind the contract absolutely and sue to recover the consideration parted with upon the fraudulent contract; or
• He may bring an action to rescind the contract and in that action have full relief; or
• He may retain what he has received and bring an action to recover the damages sustained.
The rescission of contract can also be sought of unlawful and terminable contracts.
(ix) Where written instruments / contracts, partially or wholly, originally valid, becomes inefficacious by subsequent events, such as, by satisfaction or payment, or other causes; and its existence casts either a cloud upon the title of the party or subject him to the danger of some future litigation; under such and like circumstances, the said party, by virtue of Section 31 and 32 of the Specific Relief Act, may file a Suit to declare the said whole or partial of the Written Instrument / contract, as void or voidable and get it cancelled.
(x) Where a person is entitled to a legal character or to any right as to any property and any person is denying or interested to deny the such entitlement, then, by virtue of Section 34 of the Specific Relief Act, the said aggrieved person may file a Suit for declaration by the Court that he is entitled for said legal character or is entitled to that property.
(xi) Where a person who has invaded or is threatening to invade the rights, legal or equitable, of another, the aggrieved person, by virtue of Section 36, 37, and 38 and subject to Section 41, of the Specific Relief Act, may file a Suit for temporary and permanent injunction.
By virtue of Section 40 of the Specific Relief Act, 1963, the aggrieved person, in addition to or in lieu of aforesaid injunction, may seek damages.
Injunction is a form of relief given, to prevent a party from doing which he is under an obligation not to do, or called upon to do a certain ac, which he is under an obligation to do.
(xii) Where to prevent the immediate and imminent breach of an obligation, the obligation whether arising from contract or Statute, and where it is necessary to compel the performance of certain acts, which the court is capable of enforcing its performance, then, by virtue of Section 39 of the Specific Relief Act, a Suit for Mandatory injunction may be filed for the issuance of said injunction.
The readers are clearly advised to obtain guidance of legal experts or of any other person as they think fit, before they act upon the suggestions made in this write up.
About The Author
Advocate Sandeep Ramnarayan Jalan is an active member of the legal community in India. He is also associated with the Bar Council of Maharashtra & Goa since 17-03-2010.