Legal Aspects of Business Essay

Facts of the Case1. The plaintiff in error herein Deokabai is an aged widow residing in a element of a h totally with her daughter and grand children. On 18.1.79 she entered into an agreement to sell that portion of the support in her possession with Uttam, the respondent. The total change consideration was fix at Rs. 48,000/- out of which Rs. 5,000/- was paid to her as pricey money. The agreement for sale was reduced to writing. 2. Before registration of the sale execution of the house in Uttams name, permit of the competent authority, Nagpur, was necessary. Therefore, Deokabai shall immediately take steps to go the permission.After the date of getting the permission from the competent authority, when Deokabai would get other suitable house then she would get the sale doing of this house registered in Uttams name. 3. The entire cost of registration of the sale deed of the house shall be borne by Uttam. In courtship there is any(prenominal) complication or difficulty in getting the sale deed of the house registered in Uttams name or in case it flexs legally impossible for Deokabai to get the sale deed of the house registered in Uttams name, then Deokabai shall pay back to Uttam the amount of Rs. 5,000/- with engage thereon. Deokabai shall not put forth any excuse for the same.Legal IssuesSo furthermost as the pre displace agreement for sale was concerned, she took the step of applying for necessary permission to the efficient Authority, Nagpur on March 3, 1979. The requisite permission for selling the house was granted to her in the month of May, 1979. On 9.7.79, a notice was sent by the respondent to the plaintiff in error requiring her to get the sale deed kill and registered in his favour on 9.7.1979 and to remain present in the baron of Registrar at 11 a.m. Since the appellant failed to turn up at the appointed time and place and the respondent allegedly had taken all steps necessary towards completion of the sale deed, like purchase of cachet papers and buying of drafts of money, he filed a suit for specific mental process on July 26, 1979. The respondent firstly prayed for a decree for specific act and possession of the property in dispute, but in the alternative claimed recollect of the earnest money of Rs. 5,000/with interest in case specific implementation was not allowed.Law ApplicableSection 32 provides that contingent contracts to do or not to do anything if an uncertain future event happens cannot be enforced by law unless and until the event has happened. If the event becomes impossible, such contracts become void.Similar CasesThe following cases have cited the above case (Deokabai (Smt) vs Uttam on 27 July, 1993) to give a Judgment. 1. Bhagwan Singh vs Teja Singh Alias Teja Ram on 6 January, 1994 2. Kum. maria Eliza Marques vs Shri Madhukar M. Moraskar & Others on 19 November, 1997 3. Kec International Limited & vs Union Of India & Others on 8 July, 2009 4. Bharat Sanchar Nigam Ltd. & Ors vs Kec I nternational Ltd. & Ors on 15 September, 2009 5. W.P. No. 7513 (W) Of 2011 Smt. vs The State Of West Bengal & Ors on 18 May, 2011ConclusionThe respondent, in the situation, could not straightway ask the appellant to specifically perform the contract unless he initially had put the appellant to notice, to seek and get another suitable appointment within a reasonable time within which it could reasonably be available in the town of Nagpur. Such a notice obviously could be apt(p) only after the grant of permission to sell by the Competent Authority, Nagpur, because in the event of non-grant of permission the search for another suitable try-on would have become unnecessary.Thus we are of the view that in the facts and circumstances, the 2 important contingencies are the appellant getting a suitable accommodation before she could be asked to specifically perform the contract of sale and, in case of a genuine difficulty arising, to opt for returning the earnest money with interest. S he cannot, in the present set of facts, be obliged to assort with her property by effecting a sale. Resultantly, the appeal to grant refund of Rs. 5,000/- with interest at the rate of 8% calculated from 18.1.79 till payment or recovery is allowed.