Specific Relief Act – Compensation In Lieu Of Specific Performance Can’t Be Granted Unless Specifically Claimed In Plaint: Supreme Court

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Specific Relief Act – Compensation In Lieu Of Specific Performance Can’t Be Granted Unless Specifically Claimed In Plaint

Case: Universal Petro Chemicals Ltd vs BP PLC and others

Coram: Justice L Nageswara Rao and BR Gavai

Case No.: Civil Appeal No. 3127 of 2009

Court Observation: “No compensation shall be awarded under this section unless the plaintiff has claimed such compensation in his plaint: Provided that where the plaintiff has not claimed any such compensation in the plaint, the court shall, at any stage of the proceeding, allow him to amend the plaint on such terms as may be just, for including a claim for such compensation”.

“The scope of Section 21 (4) and (5) was examined by this Court in Shamsu Suhara Beevi v. G. Alex and Another (supra). This Court referred to the Law Commission of India’s recommendation that in no case the compensation should be decreed, unless it is claimed by a proper pleading. However, the Law Commission was of the opinion that it should be open to the plaintiff to seek an amendment to the plaint, at any stage of the proceedings in order to introduce a prayer for compensation, whether in lieu or in addition to specific performance. In the said case no claim for compensation for breach of agreement of sale was claimed either in addition to or in substitution of the performance of the agreement. Admittedly, there was no amendment to the plaint asking for compensation either in addition or in substitution of the performance of an agreement of sale”.

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Keywords

Specific Relief Act, Specific Performance