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Unit 4 , Contract

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Unit 4 , Contract

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ishasoni983
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© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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Unit 4 , Specific Relief Act

What is Specific Relief?


1. Meaning
Specific relief means when the court helps someone by:
 Making another person do what they promised in an
agreement, or
 Stopping them from breaking their promise.
Example:
Imagine a builder promises to build a house for you by a certain
date, but later refuses to complete the work.
 In this case, the court can order the builder to finish
building the house instead of just giving you money.
2. Specific Relief Act, 1963
This law gives rules for how courts can provide such help
in civil disputes.
3. In Simple Words
Sometimes, money is not enough to solve a problem.
 For example, if you bought a rare painting and the seller
refuses to give it to you, just getting money back won’t
help because the painting is special.
 Here, the court can order the seller to give you the
painting as promised.
Meaning and Nature of Specific Relief
1. What Does Specific Relief Mean?
Specific relief fixes a problem exactly as it is.
 If someone does not do what they agreed to, the court will
force them to fulfill the promise.
Example:
If you agree to buy a piece of land, and the seller refuses to
give you the land after taking the payment, the court can order
the seller to transfer the land to you.
2. Nature of Specific Relief
Specific relief is about fairness and what is right.
 The court checks the situation and decides what is fair
instead of following strict rules.
Example:
If someone tries to sell the same house to two people, the court
will decide who has the stronger legal right to the house and
order the seller to fulfill the agreement with that person.
Points Covered Under Specific Relief
1. Specific Performance
 The court can order a person to do what they promised
under a contract or legal agreement.
Example:
If you hire a contractor to build your house, and they refuse to
finish the work, the court can order them to complete it.
2. Injunctions
 The court can stop someone from doing a specific act
through an order called an injunction.
Example:
If your neighbor tries to build on your land without permission,
the court can order them to stop.
3. Discretionary Remedy
 This means the court has the choice to give or deny
specific relief based on the situation. It depends on what is
fair in the particular case.
Example:
If you ask the court to force someone to sell you a rare item but
the court finds it unfair, they may refuse the request.
4. Alternative to Damages
 Specific relief is another option instead of giving money as
compensation. It helps restore the situation to how it
should have been.
Example:
If someone agrees to sell you a unique painting but refuses, the
court can order them to give you the painting instead of just
returning your money.
RECOVERING POSSESION OF PROPERTY ( SEC 5 – 8)
What is Recovering Possession of Property?
This is about helping a person get back their immovable
property (like land or a house) if someone has wrongfully
taken it or kept them out of it.
The law under Sections 5 to 8 of the Specific Relief Act, 1963
protects the rightful owners and ensures that their property is
not taken over unfairly.
1. Section 5: Right to Specific Immovable Property
 This section says that a person who has been wrongfully
kept out of their property can file a suit (case) to get it
back.
Example:
If someone illegally takes over your house, you can go to court
to claim back your house.
2. Section 6: Suit by Person Dispossessed
 If someone is forcefully removed (dispossessed) from
their property without consent, they can file a suit to
regain possession.
 Even if they do not own the property fully, they can still
claim possession.
Example:
If you are living on a piece of land, and someone throws you out
without legal permission, you can file a case to return to that
land.
3. Section 7: Actual Possession is Important
 This section states that you can only recover property if:
o You were in actual possession of the property at
the time you were removed.
o Or you have a valid title (legal right) to the property.
Example:
If you rented a house and someone removed you forcefully, you
can ask the court to let you stay there because you were living
in it.
4. Section 8: Specific Restitution of Immovable
Property
 This section gives the court the power to order the return
of property to the rightful owner.
 The person holding the property wrongfully must return it.
Example:
If someone holds on to your land unfairly, the court can order
them to give it back to you.
Purpose of These Rules
 These sections protect the rights of people who own or
possess property.
 They ensure that property is not taken away illegally or
without permission.
 The goal is to restore the property to its rightful owner
or possessor.
Conditions for Recovery of Possession
To successfully recover property in court, you need to:
1. Prove that you were wrongfully removed or kept out of the
property.
2. Show a valid title (legal right) to the property.
3. Follow all the legal procedures as required by the law.
Example:
If someone forcefully occupies your land, you need to prove:
 You own the land (valid title),
 They removed you unfairly, and
 You filed the case correctly under the law.
Discretion of the Court
The court has the power to decide whether or not to give relief
based on:
1. The nature of the property.
2. The behavior of the parties involved.
3. The overall fairness of the case.
Example:
If someone is trying to misuse the law to harass another
person, the court may refuse to give relief.
Limitations and Exceptions
There are certain limits to recovery of possession:
1. If you agreed to give up possession earlier.
2. If special laws or regulations apply to that property.
Example:
If you allowed someone to live on your property and later
changed your mind, you might not get recovery easily.
Remedies Available
If the court agrees to recover possession:
1. The court can order the eviction of the person who is
wrongfully occupying the property.
2. The court can also give damages (money) for any loss or
harm you suffered due to being removed.
Example:
If someone occupies your house illegally, the court can order
them to leave and pay you for any damage caused.
Importance of Sections 5-8
Sections 5-8 of the Specific Relief Act, 1963, are very important
because:
1. They protect people’s property rights.
2. They stop people from taking property unlawfully.
3. They ensure fairness and justice.
Example:
If someone tries to take over your land or home without
permission, these sections ensure you can recover it through
legal action.
SPECIFIC PERFORMANCE OF CONTRACT ( SEC 9 – 14 )
Section 9: Defenses in Contract Cases
 If someone files a case asking for a solution under a
contract, the other party can give legal reasons to defend
themselves.
 This means if there is a contract dispute, the other party
can show why they should not follow what the first party is
asking.
 Example: If one person wants the contract to be
completed, the other person can argue why it should not
happen.
Section 10: Forcing Someone to Complete a Contract
 The court can ask someone to follow the contract and do
what they promised, but only under certain legal rules.
 If one person does not follow the contract, the other
person can ask the court to make them do it.
 Note: The court will allow this only when the law says it’s
okay.
Section 11: Contracts Related to Trusts
 If a contract is part of a trust (a legal arrangement to
manage property or money), the court can ask for the
contract to be followed.
 Example: If someone managing a trust makes a contract,
the court can make sure the contract is completed.
 Exception: If the manager does something beyond their
power or breaks the rules of the trust, that contract cannot
be enforced.
Section 12: Specific Performance of Part of a Contract
The court usually does not force someone to complete only part
of a contract unless:
Small Part Left: If only a small part of the contract is
unfinished, and the unfinished part can be fixed with money,
the court may allow the rest of the contract to be completed
and give money as compensation for the missing part.
Example: A builder builds 9 out of 10 houses promised. If the
last house can’t be built, the court may order the builder to
finish the remaining work and pay money for the incomplete
house.
Major Part Left: If a big part of the contract is unfinished,
even if money can compensate for it, the court may not force
the person to finish the contract.
Example: If 6 out of 10 houses are left incomplete, the court
may decide it’s unfair to force the builder to finish the project.
Work Already Done: If one party has completed part of the
work, the court may allow that part to be recognized and
compensated, and the remaining part can be ignored.
Example: A painter paints half the house. The court may allow
the painter to get paid for the work done, but the rest of the
contract can be canceled.
Independent Part: If part of the contract can be done
separately from the rest, the court may ask for that specific
part to be completed.
Example: A contract involves two projects — building a house
and a shed. If the house cannot be built, but the shed can, the
court may order only the shed to be built.
Section 13: Rights of Buyer or Tenant Against Someone
Without Proper Ownership
 If someone agrees to sell or rent property but does not
fully own it (improper title), the buyer or tenant still has
rights.
What can the buyer/tenant do?
1. Ask the seller to fix the ownership issue and make the
property legally theirs.
Example: If a person agrees to sell land they don’t fully own,
the buyer can ask them to solve the issue and transfer full
ownership.
2. Ask the seller to include other people who are needed to
make the sale or rental valid.
Example: If the property has co-owners (like a family
property), the buyer can ask the seller to involve those co-
owners to complete the deal legally.
Section 14: Contracts That Cannot Be Specifically
Enforced
Some contracts cannot be enforced by the court, and this
section explains when this happens.
1. Substituted Performance
o If one party does not complete their part of the
contract, the other party can get the work done by
someone else (this is called substituted
performance).
o Once this happens, the court will not enforce the
original contract anymore.
o Example: A agrees to sell his car to B but later
refuses. B buys a similar car from someone else and
recovers the cost from A. Now, the court cannot force
A to sell the car because B already got substituted
performance.
2. Contracts Requiring Continuous Supervision
o If a contract requires ongoing work or supervision
that the court cannot monitor, the court will not
enforce it.
o Example: A promises to teach B a skill over one
year. Since the court cannot monitor if A is actually
teaching B, it cannot force A to fulfill this contract.
3. Contracts Based on Personal Skills or Qualifications
o If a contract depends on a person's unique skills,
qualifications, or abilities, and no one else can do it,
the court cannot force that person to perform.
o Example: A is a special artist who agrees to paint B's
portrait. If A refuses, the court cannot force A
because no one else can paint in A's unique style.
4. Determinable Contracts
o If a contract has terms that allow it to be ended or
canceled under certain conditions, it cannot be
enforced.
o Example: A agrees to lease a property to B for one
year but adds a condition that the lease will end if A
decides to sell the property. If A sells it, the contract
cannot be enforced because it was always meant to
end under such conditions.
Section 14A: Court's Power to Use Experts in a Case
 When can the court use experts?
If the court needs an expert’s opinion to help in a case, it
can hire one or more experts. These experts will give their
opinion or report on the specific issue in the case.
 What can the expert do?
o Experts may have to attend court, give evidence, or
submit documents to support their opinion.
o The court can also ask anyone else to provide
information, documents, or property to help the
expert do their work.
 Use of the Expert’s Report:
o The expert’s opinion or report becomes part of the
court’s record.
o Any party in the case can question the expert in
court about their report, how they formed their
opinion, or the methods they used.
 Who pays the expert?
The expert will be paid a fee decided by the court. This
cost will be shared between the parties in the case as the
court directs.
Summary of Sections 9-14 of the Specific Relief Act,
1963
 These sections explain when and how courts can enforce
contracts and when they cannot.
 They also provide rules about specific performance,
meaning when a court can order someone to fulfill their
contract.
 Key Points:
o Parties can defend themselves in contract disputes.
o Some contracts cannot be enforced, like those
requiring personal skills, continuous supervision, or
that are too uncertain.
o Experts can be involved in cases when needed to
give clarity and help the court make a decision.
PERSONS FOR / AGAINST WHOM CONTRACTS MAY BE
SPECIFICALLY ENFORCED ( SEC 15 – 19 )
Section 15: Who may obtain specific performance?
This section explains who can demand specific
performance of a contract.
1. Any party to the contract:
o The person who made the contract can demand the
other party to fulfill it.
o Example: A agrees to sell his house to B. If A refuses
to sell, B can go to court to enforce the contract.
2. Representative or principal:
o If the party to the contract is unable to act, their
representative (like an agent) can step in.
o Example: If X dies, X's legal heir or representative
can demand the performance of the contract made
by X.
3. When personal qualities matter:
o If the contract depends on the personal skills or
qualities of a person, their representative cannot
claim specific performance.
o Example: If a singer A agrees to perform at an event,
their representative cannot enforce the performance
if A refuses because the skill is unique to A.
4. Special cases:
o Specific performance can also be claimed in some
specific relationships, like:
 Family settlements
 Tenants for life
 Company mergers
Example: A family decides to divide property through a
contract. If one member refuses, others can claim specific
performance to enforce the agreement.
Section 16: When specific performance cannot be
enforced?
This section explains situations where specific performance
cannot be demanded:
1. Substituted performance (Section 20):
o If the person has already accepted an alternative
performance, they cannot later claim specific
performance.
o Example: A contractor fails to build a house, and B
hires another contractor. B cannot later ask the first
contractor to complete the project.
2. Incapable of performance:
o If a person becomes unable to perform their
obligations, specific performance cannot be enforced.
o Example: If A, a painter, becomes injured and cannot
complete a painting, B cannot enforce specific
performance.
3. Acts of fraud or violation of contract:
o If someone cheats or acts against the purpose of the
contract, they lose the right to claim specific
performance.
o Example: A enters a contract to sell a car to B but
secretly sells it to C. A cannot later ask B for specific
performance.
4. Failure to prove readiness to perform:
o If one party fails to show that they are ready to fulfill
their part of the contract, they cannot demand
specific performance.
o Example: If A agrees to buy a house but does not
arrange the payment, A cannot force the seller to
give the house.
Section 17: Contract to sell or let property by someone
without a valid title
This section states that:
1. No valid title, no enforcement:
o If a person agrees to sell or rent property but does
not own the property or cannot provide a proper
title, the contract cannot be enforced.
o Example: A agrees to sell a house to B, but A does
not own the house or cannot prove ownership. In this
case, B cannot demand specific performance.
2. Movable property:
o This rule applies to both immovable property (like
land or houses) and movable property (like cars or
furniture).
o Example: A promises to sell a car to B but later it is
discovered A does not own the car. The contract
cannot be enforced.
Section 18: Non-enforcement except with variation
This section explains that:
1. Changes in contract terms:
o If there is a variation (change) in the contract
terms and the defendant refers to this variation, the
plaintiff can only enforce the modified version of the
contract.
o Example: A agrees to build a house for B at ₹10
lakhs, but later they agree to modify the cost to ₹12
lakhs. If B wants to enforce the contract, it can only
be based on the new ₹12 lakhs agreement.
2. Written vs. verbal terms:
o If the written contract does not match what was
agreed verbally, the contract cannot be enforced
unless the varied terms are clarified.
Section 19: Relief against parties and persons claiming
under them by subsequent title
This section states:
1. Specific performance can be enforced against the
original parties:
o The person who made the contract and anyone
claiming rights under them can be held responsible
for fulfilling it.
o Example: A sells a house to B, but later sells it again
to C. If C bought the house without knowing about
the original sale, B cannot enforce the contract
against C.
2. Good faith exception:
o If someone acquires the property later in good faith
(without knowing about the previous contract), the
contract cannot be enforced against them.
o Example: A sells land to B. Later, A sells the same
land to C, who buys it without knowing about B’s
contract. In this case, C is protected, and B cannot
demand specific performance from C.
Conclusion
These sections clarify:
 A contract cannot be enforced if the seller/lessor does not
have ownership.
 A contract can only be enforced based on the terms both
parties have agreed upon, including any variations.
 Specific performance can be claimed against the original
party or a subsequent party, unless the subsequent party
acquired rights in good faith.
POWER OF THE COURT ( SEC 20 – 24 )
Section 20 – Substituted Performance of Contract
 If one party fails to complete the contract, the other
party can hire someone else (a third party) to finish the
work.
 Example:
A agrees to build a house for B. After completing half of
the work, A stops working. B can hire another builder to
finish the house and recover the extra cost from A.
 The affected party must give a 30-day notice to the
party that failed before hiring someone else.
 If the affected party hires someone else, they cannot
force the defaulting party (A) to finish the work.
 However, the affected party (B) can still claim
compensation for any financial loss from the defaulting
party (A).
Section 20A – Special Provisions for Infrastructure
Projects
 Courts cannot stop (issue injunctions) work on big
infrastructure projects because it would delay or harm the
project.
 Example:
If a company is building a highway and someone files a
case to stop the work, the court cannot allow the work to
stop because it may cause delays and affect the public.
 "Infrastructure projects" include major developments like
highways, airports, railways, etc., listed in the Schedule.
 The Central Government can update the list of projects
as needed.
Section 20B – Special Courts
 Special courts can be set up by the State Government,
with the approval of the Chief Justice of the High Court, to
handle cases related to infrastructure projects.
 Example:
If there is a legal issue about building a bridge, the special
court will handle the case quickly instead of regular
courts, ensuring no delays in the project.
Section 20C – Expeditious Disposal of Suits
 Cases under this law must be completed within 12
months from the date the defendant receives the court
summons.
 The court can extend this deadline for up to 6 more
months if there is a valid reason, but it must be written
clearly in the court's order.
Example:
If A files a case against B for breaching a contract, the court
must give a final decision within 12 months. If the court needs
more time due to unavoidable reasons, it can extend the period
by 6 months.
Section 21 – Power to Award Compensation
 If someone files a case for specific performance (forcing
the other party to fulfill the contract), they can also ask for
compensation for the breach of the contract.
 If the court does not allow specific performance, it can still
grant compensation for the breach.
 If specific performance is allowed but becomes
unsatisfactory, the court can grant compensation in
addition to specific performance.
 The court calculates compensation based on Section 73
of the Indian Contract Act, 1872 (rules for awarding
damages).
 The person filing the case (plaintiff) must clearly request
compensation in the complaint. If not, the court may allow
the plaintiff to add it later.
Example:
A agrees to sell land to B but later refuses. B files a case asking
for specific performance (forcing A to transfer the land) and
also compensation for the delay. The court may order A to
transfer the land and pay extra money to B for losses caused
by the delay.
Section 22 – Relief for Possession, Partition, Refund of
Earnest Money
 If someone asks for specific performance of a contract
related to immovable property (like land or buildings),
they can also request additional relief like possession of
the property, partition, or a refund of advance payment
(earnest money).
 The plaintiff must clearly mention these requests in their
complaint.
 The court can allow the plaintiff to amend the complaint to
include these requests.
 The court's power to grant such relief does not affect its
power to award compensation (under Section 21).
Example:
A agrees to sell a plot of land to B, but A refuses after receiving
an advance payment. B can file a case for:
1. Specific performance (forcing A to sell the land).
2. Refund of the advance payment.
3. Possession of the land.
Section 23 – Liquidation of Damages Not a Bar to
Specific Performance
 Even if the contract mentions a fixed amount of
damages to be paid in case of breach, the court can still
enforce specific performance (forcing the contract to be
completed).
 The court will decide whether the fixed amount was meant
to be compensation for failure or just an alternative
option for the defaulting party to pay instead of
performing the contract.
Example:
A agrees to build a house for B. The contract states that if A
fails, A must pay ₹5 lakh as damages. If B wants the house
completed instead of money, B can ask the court for specific
performance, and the court can enforce it.
Section 24 – Bar of Suit for Compensation after
Dismissal of Suit for Specific Performance
 If a case for specific performance (forcing the contract
to be fulfilled) is dismissed (rejected), the person who filed
the case (plaintiff) can still sue for compensation for
the breach of the same contract.
 However, once the case is dismissed, the plaintiff cannot
file another suit for compensation based on the same
breach.
 Other types of relief (like refunds or possession) may still
be allowed.
Example:
A promises to sell land to B but refuses to complete the deal. B
files a case for specific performance, asking the court to force A
to sell the land. If the court dismisses the case, B can still file
a new case to claim compensation (money) for the loss
caused by A’s refusal.
RECTIFICATION AND CANCELLATION OF INSTRUMENTS ( SEC 26
– 33)
What is Rectification of Contracts?
Sometimes, when two people make a written agreement, there
can be a mistake, or someone may have been tricked (fraud).
Because of this, the written agreement does not show what
they actually agreed on.
Section 26 allows the court to correct such mistakes in the
agreement. This correction is called rectification.
Key Points:
1. Who Can Ask for a Correction?
o Anyone involved in the agreement (or their legal
representative) can ask the court to fix the mistake.
o Even a person who is defending a case can ask for
the correction.
2. Court’s Role:
o If the court sees that there was a mistake or fraud
and the agreement does not show the real intention,
the court can correct it.
o But this correction should not harm other people who
acted in good faith, like a third person who bought
property thinking everything was fine.
3. When Can You Ask?
o You must clearly tell the court you want rectification.
o If you forgot to ask earlier, the court can allow you to
add this request later.
Example:
Rahul and Priya agreed to sell a plot of land for ₹10 lakh.
However, by mistake, the written contract says ₹1 lakh instead
of ₹10 lakh.
 Rahul (the seller) can go to court and ask for rectification
of the contract.
 The court, after seeing the evidence that both agreed on
₹10 lakh, can order the contract to be corrected to show
the correct amount.
 However, if Priya had already sold the land to someone
else who didn’t know about the mistake, the court cannot
harm that new buyer’s rights.
Purpose of Section 26:
This law helps people correct mistakes in written contracts so
that the document matches what was truly agreed. This
ensures fairness and stops fraud or errors from causing harm.
Section 27
What is Rescission of a Contract?
Rescission means cancelling or undoing a contract when it
is no longer fair or valid to enforce it.
When Can a Contract Be Cancelled (Grounds for
Rescission)?
1. The contract is voidable or terminable:
If one party has the right to end the contract (for example,
due to fraud, misrepresentation, or undue influence), they
can ask the court to cancel it.
2. The contract is unlawful:
If the contract is illegal for reasons not obvious at first,
and the other party is more at fault, it can be cancelled.
When Can the Court Refuse to Cancel a Contract?
The court may refuse to cancel a contract in these situations:
1. The plaintiff accepted the contract:
If the person who wants to cancel has already agreed to
the contract (explicitly or indirectly).
2. Circumstances changed:
If it is impossible to return the parties to their original
positions after the contract was made.
3. Third parties have rights:
If someone else acted in good faith and gained rights
under the contract.
4. Partial contracts:
If only a small part of the contract is unfair, but it cannot
be separated from the rest of the contract.
Section 28 – Rescission in Sale or Lease of Property
If a court orders specific performance (forcing the contract to
be completed) and:
 The buyer or lessee fails to pay the agreed amount on
time,
 The seller or lessor can ask for the contract to be
cancelled either fully or partially.
Court’s Role:
 The court can also order the return of property or money
to the original owner.
 If the buyer or lessee later pays the amount, the court
may still grant additional relief, like delivering the property
or lease.
Section 29 – Alternative Relief
If specific performance (forcing the contract to be completed) is
not possible, a party can ask the court to cancel the contract
as an alternative remedy.

Example:
Suppose A agrees to sell a house to B for ₹20 lakh. Later, B fails
to pay the amount within the agreed time.
 A can go to court and ask to cancel the contract
(rescission).
 If B pays the money later, the court may still allow the
house to be delivered to B.
Purpose: These sections ensure fairness by allowing
cancellation of contracts that are voidable, unlawful, or not
performed properly. It also protects parties who acted in good
faith.
Section 30
What Does Section 30 Say?
Section 30 gives the court the power to:
1. Restore benefits:
o When a contract is cancelled (rescinded), the party
receiving any benefits from the other party must
return them.
o This ensures fairness so no one keeps an unfair
advantage.
2. Order compensation:
o The court can also order one party to pay money
(compensation) if it thinks it is fair and just.
Purpose of Section 30:
 It ensures that when a contract is cancelled, both parties
are treated fairly.
 It helps restore both parties to their original position, as if
the contract never happened.
Example:
Imagine A and B signed a contract where A paid ₹1 lakh to B for
land, but B failed to transfer the land.
 If the court cancels the contract, B must return ₹1 lakh to
A.
 If A suffered a loss because of B's failure, the court can
also ask B to pay extra compensation to A.
Section 31
What is Cancellation of Instruments?
Cancellation means declaring a written document (like
contracts or agreements) as void or invalid. This happens
when the document could cause harm if it remains valid.
1. Section 31 – Grounds for Cancellation:
If a person believes a document is void (legally invalid) or
voidable (can be made invalid), and it may harm them, they
can go to court.
The court can decide whether the document is invalid and order
its cancellation.
Example: If a contract was made by fraud, the party who is
harmed can ask the court to cancel it.
Effect on Registered Documents:
If the document has been registered under the law (like
property deeds), the court will inform the registration office.
The registration office will note that the document has been
cancelled.
Section 32 – Partial Cancellation:
If a document has multiple parts, some valid and some invalid,
the court can cancel only the invalid parts while keeping the
rest valid.
Example: If a contract has two clauses and one is unlawful, the
court can cancel just the unlawful part.
Section 33 – Restoration of Benefits and Compensation:
If the court cancels a document, the person who benefited from
it may have to return those benefits or pay compensation.
If someone successfully proves that a document is void and
avoids its enforcement, the court can still ask them to return
any benefits received.
Example: If A gives B ₹5 lakh based on a void contract, the
court can ask B to return the money when the contract is
cancelled.
Purpose of These Sections:
These sections ensure fairness by allowing:
1. Cancellation of harmful documents that are void or
voidable.
2. Partial cancellation when some parts are valid.
3. Restoration of benefits or compensation so no one gains
unfair advantage.
INJUNCTIONS ( SEC 36 – 42)
What is an Injunction?
An injunction is an order given by the court to stop a person
from doing something or to make a person do something.
It is a form of preventive relief given to protect someone’s
legal rights.
Types of Injunctions:
1. Temporary Injunction
o This type of injunction is granted for a specific
period or until further court orders.
o It can be granted at any stage of a suit.
o It is governed by the Code of Civil Procedure,
1908.
2. Perpetual Injunction
o This is a permanent injunction.
o It is granted after the final hearing of the case.
o The defendant is permanently restrained from
doing something that infringes upon the
plaintiff’s rights.
When Can Perpetual Injunctions Be Granted?
1. To prevent breach of an obligation that exists in favor
of the plaintiff.
2. Contract-related cases: The court will follow Chapter II
rules of the Specific Relief Act.
3. Property disputes: If someone invades or threatens
to invade another’s property rights.
4. When:
o The defendant is a trustee of the property for the
plaintiff.
o The damage cannot be determined or
compensated monetarily.
o Monetary relief will not be enough to provide
justice.
o It is needed to prevent multiple legal
proceedings.
Mandatory Injunctions
If the court thinks it is necessary to stop a breach of an
obligation, it can compel someone to perform a specific
act.
Case Law: K.K. Verma v. Union of India (1954 AIR 1092)
Facts:
 In this case, the plaintiff had rented out a property.
 The defendant used the property in violation of the rental
agreement and began activities that the plaintiff objected
to.
Issue:
The plaintiff sought an injunction to stop the defendant from
misusing the property.
Court’s Decision:
The court granted a perpetual injunction, restraining the
defendant from continuing the misuse of the property. The
court held that violating property agreements can lead to
perpetual injunctions to protect the rights of the plaintiff.
In Simple Words:
If someone tries to harm your rights, like violating a contract or
misusing your property, the court can issue an injunction. A
temporary injunction can stop the harm temporarily, while a
perpetual injunction stops it permanently after the case is
heard. Mandatory injunctions make someone perform a
specific act.
Damages in Addition to or Instead of an Injunction
Under Section 40 of the Specific Relief Act, the court can
award damages either in addition to or instead of granting an
injunction. This applies to cases where perpetual or mandatory
injunctions are sought, and the plaintiff has specifically claimed
damages. The court has the discretion to decide if monetary
relief is appropriate along with the injunction.
Grounds for Refusing an Injunction
Under Section 41, the court can refuse to grant an
injunction under certain circumstances:
1. If it restrains someone from pursuing a pending judicial
proceeding, except to prevent multiple cases.
2. If it stops proceedings in a court that is not subordinate.
3. If it interferes with legislative actions.
4. If it restrains criminal proceedings.
5. If the breach of contract cannot be clearly enforced.
6. If it is based on an alleged nuisance without clear proof.
7. If other legal remedies exist, except in cases of breach of
trust.
8. If it delays infrastructure projects or disrupts public
services.
9. If the plaintiff or their agents have acted unfairly or in bad
faith.
10. If the plaintiff has no personal interest in the matter.
These rules ensure injunctions are not misused or cause
unnecessary harm.
Enforcement of Negative Agreements
Under Section 42, the court can issue an injunction to enforce
a negative agreement in a contract. A negative agreement
refers to a promise "not to do something." If a party violates
this agreement, the court can restrain them from continuing
the breach. However, this applies only when the plaintiff has
not failed to fulfill their part of the contract.
For example, if an employee agrees not to work for a
competitor but violates this agreement, the court can issue an
injunction to enforce the promise.
These provisions under the Specific Relief Act ensure that
injunctions are granted responsibly, balancing legal fairness
with practical considerations.

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