Sum To Be Forfeited For Breaking Rules Agreements
In accord with the principles of Section 74, the Supreme Court stated that the applicant has the right to keep only the serious money of 1,000 ru. of 25,000 Rs. that he received and that the sum of 24,000 R.24,000 paid for part of the sale price cannot be considered in the following reasoning: , does not qualify the second condition for decoration by penalty. The term „if the contract contains another penalty provision“ expands the operation of the section to apply to all provisions, namely whether the provision should pay a sum of money or whether it has a different character, such as the recovery of funds already paid.B. There is nothing in the expression that implies that the provision must be a thing to do something after the breach of contract. There is no reason to say that the term „contract contains provisions other than sanction“ is limited to cases where it is an agreement to pay money or deliver goods in the event of a violation, and does not fall within agreements that the amounts paid or goods delivered under the contract or the amounts delivered under the contract may be expressly cancelled or by clear implications by the terms of the contract. , are dilapidated. „Under the terms of the agreements, the amounts deposited by the applicant as a guarantee of the correct performance of the contracts should be lost if the applicant does not fulfil his part of the contract. The High Court found that the deposits made in this way could be considered serious money. But this view cannot be accepted. According to Earl Jowitt in The Dictionary of English Law on page 689: „Giving serious or serious money is a way of serving consent to a sales contract or something like that, by giving the seller a nominal sum (for example.
B a shilling) as a sign that the parties are serious or that they have made their decision. As the Kunwar Justice Commission Chiranjit Singh v. Har Swarup A.I.R.1926 P.C found, money is part of the purchase price if the transaction precedes it: it falls into disrepair if the transaction fails, due to the error or failure of the Vende. „However, there is no arrest warrant for the acceptance of certain high courts in India, as S. 74 applies only to cases where the aggrieved party attempts to obtain a certain amount in the event of a breach of contract and not in cases where an amount collected under the contract is to be withheld. In our judgment, the phrase „the contract contains any other sanction provision“ applies fully to any contract involving a penalty, whether for payment in the event of a violation of property or money in the future or for forfeiture of the right to money or other goods already delivered. The obligation not to enforce the penal clause, but only to provide adequate compensation, is imposed by law on the courts of P. 74.
In all cases where there is a sanction of the nature of the forfeiture of an amount deposited in accordance with the contractual terms expressly providing for forfeiture, the court has jurisdiction to award such an amount only if it deems it appropriate, but does not exceed the amount declared as dilapidated in the contract.