Saturday, July 9, 2011

Specific Performance

  • A court order directing that the contract shall be performed specifically according to its terms . 
  • Section 11 (1) of the Specific Relief Act 1950 provides that specific performance may be granted by the court in the following circumstances : 
(i) When an act agreed to be done is in the performance , wholly or partly , of a trust .

Example : X holds certain stock in trust for Y . X wrongfully disposes the stock . The law creates an obligation on X to restore the same quantity of stock to Y , and Y may enforce specific performance of this obligation .

(ii) When there exists no standard for ascertaining the actual damage caused by the non-performance of the act afreed to be done .

Example : X agrees to buy , and Y agrees to sell , a picture by a dead painter and two rare China vases . X may compel Y specifically to perform this contract for there is no standard for ascertaining the actual damage which would be caused by its non-performance .

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