1955 (2) TMI 31 - HC - Indian Laws

Summary

Issues:
Appeal against judgment and decree for damages for breach of contract for sale of property in Karol Bagh, Delhi.

Analysis:
1. The case involved a dispute over an agreement of sale for a plot of land in Karol Bagh, Delhi, where the defendants Amba Lal and Sri Narain owned the property. The agreement was entered into on 4-12-1946, with earnest money paid and the balance to be paid within a month. The plaintiff, Wazir Chand, was to remit the balance and a draft of power-of-attorney. Correspondence ensued regarding the transaction, including letters and telegrams.

2. A notice was issued by an advocate for completion of the sale, leading to a suit for specific performance or damages. The defendants' defense included contentions that Wazir Chand was a broker, the plaintiffs were not ready to perform, and there was no contract with one of the plaintiffs. The Court found the breach by the defendants, absolved Sri Narain, and awarded damages at a specified rate per square yard along with interest for the delayed payment.

3. The appellant contended that time was of the essence due to rising land prices, but the Court held that unless explicitly stated, time is not essential in property sale contracts. It was also argued that the plaintiffs were not ready to perform, but the Court disagreed, noting that the breach was on the defendants' part. Additionally, the issue of undisclosed principal and the right to sue for damages were addressed, with legal precedents supporting the plaintiff's entitlement to bring the suit.

4. The Court analyzed the quantum of damages, considering evidence of price fluctuations provided by witnesses. The awarded damages per square yard were deemed fair based on the evidence presented. Interest was also awarded for the delayed payment draft. Ultimately, the appeal was dismissed, and costs were awarded to the respondents.

In conclusion, the judgment upheld the decree for damages due to the breach of the contract for the sale of the property in Karol Bagh, Delhi, and provided a detailed analysis of the various contentions raised by the parties, ultimately ruling in favor of the respondents and dismissing the appeal.