65.
(P&H HC) 15-04-2024
A. Specific Relief Act, 1963 (47 of 1963), Section 20 – Specific performance of contract -- Discretion of court -- Necessary condition is that contract in itself must be legally valid and capable of enforcement, otherwise the Court’s discretion in granting or refusing its specific performance will not arise.
(Para 13)
B. Specific Relief Act, 1963 (47 of 1963), Section 20 – Contract by Guardian on behalf of the minor -- Specific performance of contract -- In order to specifically enforce a contract entered into by a guardian on behalf of the minor, it is necessary that:
(i) contract should be within the competence of the guardian to enter into on his behalf so as to bind him; and
(ii) it is for the benefit of the minor.
If either of these two conditions are not satisfied, the Contract cannot be specifically enforced at all.
(Para 16)
C. Hindu Minority and Guardianship Act, 1956 (32 of 1956), Section 6, 8, 12 – Contract by Guardian on behalf of the minor -- Minor’s undivided share in joint family property -- Permission from Guardianship court to execute sale deed – Permissibility of -- Application u/s 8 of the Guardianship Act for appointment of guardian in itself was not maintainable -- As such, the mother of defendant No.1 was not competent to sell the share of the minor in the joint Hindu family property.
(Para 3, 17-21)
D. Specific Relief Act, 1963 (47 of 1963), Section 20 – Contract by Guardian on behalf of the minor -- Specific performance of contract – Price of property – Consideration of -- Price cannot be a reason to decline specific performance of the contract, but when the interest and benefit of the minor is involved, Court is certainly bound to see as to whether the proposed sale is in the interest and benefit of the minor or not.
(Para 24)
E. Specific Relief Act, 1963 (47 of 1963), Section 20 – Specific performance of contract -- Earnest money of agreement to sell adjusted in another property – Effect of -- Once the entire earnest money stands adjusted towards the sale consideration of part of the property agreed to be sold, the agreement of sale will not survive in respect of the remaining part of the property and will become redundant -- Specific performance of such remaining part cannot be allowed.
(Para 30)
F. Hindu Minority and Guardianship Act, 1956 (32 of 1956), Section 4, 5(b) – Majority Act, 1875 (9 of 1875), Section 3 – Repudiation of contract – Age of majority -- It is an undisputed legal proposition that a minor can repudiate the contract entered into by his guardian, on his attaining majority, as the agreement on behalf of minor is voidable -- In view of Section 5(b) of the Hindu Minority & Guardianship Act, it is held that the age of majority in this case shall be considered to be 18 years, as the contrary provision contained in Indian Majority Act, is inconsistent with Section 4 of Hindu Minority & Guardianship Act -- As such, defendant having repudiated the contract, plaintiffs-appellants cannot pray for enforcement of specific performance.
(Para 33-36)