Question:

”A” executed a sale deed in favour of ”B” for the transfer of a piece of land, for the purchase consideration. The contract stipulated that ”A” would pay Rs. 50 lakhs in advance and the remaining Rs. 1 crore within six months. In return, ”B” agreed to transfer the title to the property. However, after receiving the advance payment, ”B” refused to execute the sale deed claiming that she received a better offer from another buyer. ”A” demanded the enforcement of the contract under the Specific Relief Act, 1963, but ”B” denied his claim. ”A” has to file a suit in a court of law.
On the basis of the above problem, select the correct answer.

Updated On: Dec 23, 2024
  • A may file a suit in the criminal court having the powers under the Bhartiya Nagarik Suraksha Sanhita, 2023.
  • A may file a suit in the special court constituted under the Specific Relief Act, 1963.
  • A may file a suit in the civil court having powers under the Civil Procedure Code, 1908.
  • No suit can be brought against "A" as there is no breach of contract.
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The Correct Option is C

Solution and Explanation

In this scenario, ”B” has breached the contract by refusing to execute the sale deed despite receiving the advance payment. ”A” can file a suit for specific performance to compel ”B” to fulfill her contractual obligations. Specific performance is a remedy in contract law where the court orders a party to perform their obligations under the contract. Therefore, ”A” should file a suit for specific performance in the civil court having the powers under the Civil Procedure Code, 1908.

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