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Civil Property & InheritanceSupreme Court of India

Ram Lal v. Jarnail Singh (Now Deceased) Through Its LRs

Civil Appeal · 2025 INSC 301Decided 25 Feb 2025
C.A. No.-003245-003245 - 2025 (@ SLP (C) No.5638/2023)
Justice J.B. Pardiwala · Justice R. Mahadevan

Background

The appellant had earlier won a suit for specific performance of an agreement to sell agricultural land in Bathinda, Punjab, with a 2012 decree directing execution of the sale deed once he deposited the balance sale consideration; this decree was upheld on first appeal in 2015. The appellant, however, only filed an execution petition in 2017 and deposited the balance amount (Rs. 4,87,000) in 2019, well after delays on his part. The executing court allowed him to deposit the balance and proceed, but the High Court of Punjab and Haryana set that order aside on a revision petition filed by the defendants, prompting this appeal to the Supreme Court.

Decision Breakdown

The Supreme Court held that a decree of specific performance can be executed within 12 years of the decree (or of an appellate court's affirmation of it), and that a decree holder is not automatically barred from execution merely because he deposits the balance sale consideration later than expected, so long as it is within a reasonable time and the appellate court itself did not fix a strict deadline. The Court found the High Court was wrong to interfere with the executing court's order. However, recognising the genuine delay (about 2 years in filing execution and about 4 years in depositing the balance), the Court balanced fairness by directing the appellant to pay the defendants simple interest at 9% per annum on the delayed balance amount, calculated from the appellate court's judgment until the date of deposit. The appeal was allowed and the executing court's order restored, subject to this interest condition.

Lesson Learnt

Delay in executing a specific-performance decree or depositing the balance sale price is not automatically fatal to a buyer's rights. Courts can still allow execution within the statutory limitation period, but may impose interest to compensate the other side fairly for the time lost.

Ram Lal v. Jarnail Singh (Now Deceased) Through Its LRs – Legal Case Shots | LegalAware