Content Provider | Supreme Court of India |
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e-ISSN | 30484839 |
Language | English |
Access Restriction | NDLI |
Subject Keyword | failed to deposit Agreement for purchase of ‘phal kendu leaf Agreement cancelled to deposit additional security Contract: |
Content Type | Text |
Resource Type | Law Judgement |
Jurisdiction | India |
Case Type | Appeal |
Court | Supreme Court of India |
Disposal Nature | Appeal Allowed |
Headnote | Contract: Agreement for purchase of ‘phal kendu leaf’ – As per the agreement the proposed purchaser, apart from provisional security deposit, was required to deposit additional security deposit covering 25% of the purchase price of the lot – The proposed purchaser (respondent) failed to deposit the additional security amount – Agreement cancelled – Fresh tender issued – Writ petition challenging cancellation of agreement and issuance of fresh tender – High Court by its interim order stayed the finalisation of sale, subject to the respondent depositing an amount of Rs.20,00,000/- (Rupees Twenty Lakhs) – However, later the stay on finalisation of sale was vacated – The Writ Petition was disposed of as withdrawn and the High Court directed refund of Rs. twenty lakhs (deposited pursuant to interim order) – Appeal to Supreme Court – Plea of appellants that direction to refund the amount of Rs.20,00,000/- (Rupees Twenty Lakhs) was not justified as the deposit was relatable to additional security amount – Held: The deposit ordered by High Court cannot be classified as additional deposit in terms of the contract, at that stage of the lis – However, even if the deposited amount is not considered as additional security amount in its true spirit, as per terms of the agreement the right of the appellant to proceed in accordance with law to assess the damage suffered and to recover the same from the private respondents, would still remain intact – The amount deposited ought to have been allowed to be retained till the procedure as contemplated in law to recover the damages suffered by the appellant was followed. |
Judge | Hon'ble Mr. Justice Ajjikuttira Somaiah Bopanna |
Neutral Citation | 2019 INSC 1296 |
Petitioner | Odisha Forest Development Corporation Ltd. |
Respondent | M/s Anupam Traders & Anr. |
SCR | [2019] 14 S.C.R. 1030 |
Judgement Date | 2019-11-28 |
Case Number | 9083 |
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