Mere injury to the interest of a third party cannot be a ground for rejecting the relief of Specific Performance- SC

The Supreme Court has today delivered a Judgment by confirming the decision of the High Court in granting specific performance and held that the possibility of injury to the interest of a third party cannot be a ground for rejecting the relief of Specific Performance.  The interest of a third party has to be tested in the circumstances of each and every case. The Court held that “The possibility of injury to the interest of third party does not, by itself, disentitle the plaintiff from specific performance but it depends upon the facts and circumstances of each case which will be considered by the court in the exercise of its discretion. The court may properly exercise discretion to decree specific performance, in any case where the plaintiff has done substantial acts or suffered losses in consequence of a contract capable of specific performance”.

The Supreme Court further reiterated that the relief of Specific Performance cannot be sought for as a matter of right.

Read the Judgment