Specific Performance of an Agreement to Sell Property

What it is

A suit for specific performance under the Specific Relief Act, 1963 asks the court to compel a seller to complete the sale on the agreed terms, instead of only paying damages.

What the buyer must show

The buyer must prove a valid agreement and that he or she has always been ready and willing to perform, as required by Section 16(c). The suit must be filed within three years of the date fixed for performance, or of the refusal, under Article 54 of the Limitation Act.

After the 2018 amendment

Since the amendment effective from 1 October 2018, specific performance is treated as the general rule rather than a purely discretionary remedy, subject to the statutory exceptions.

Interim relief and alternatives

The buyer can ask for an injunction restraining the seller from selling to a third party, and the court may direct deposit of the balance price. A claim for refund of the advance with interest can be added as an alternative.

Frequently asked questions

Can I get a refund instead of the property?

Yes. Courts allow a claim for refund of the advance with interest as alternative relief.

Is registration of the agreement to sell required?

An unregistered agreement to sell can still be received as evidence in a suit for specific performance.

Is time always of the essence?

Not unless the contract says so or the circumstances show it, but the buyer's readiness throughout is critical.

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