Content Provider | Supreme Court of India |
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e-ISSN | 30484839 |
Language | English |
Access Restriction | NDLI |
Subject Keyword | Indian Contract Act 1872/ Indian Registration Act Section 17 |
Content Type | Text |
Resource Type | Law Judgement |
Jurisdiction | India |
Case Type | Appeal |
Court | Supreme Court of India |
Disposal Nature | Case Disposed Off |
Headnote | Agreement between Food Corporation and a firm for construction of plinths and handing over to Corporation on monthly rent as per terms of the agreement-Corporation gave notice and vacating plinths before expiry of the period agreed for-Suit for damage for breach of terms-Trial Court awarded damages and decreed the suit In favour of the firm-High Court modified decree by reducing damages-On appeal, Held: Corporation could not back out from the promise held out and thus cannot escape from liability.for breach of the terms of the contract-Agreement deed is not a lease deed in itself-On execution it creates a right/another document in respect of immovable property-Hence an executory agreement-Thus, agreement/lease deed not compulsorily require registration-It could appropriately be classified as monthly lease deed-However, appellant could not make it a ground to escape from its liability for breach of terms of agreement-One who holds out a promise, if backs out, he would have to compensate the other party who acted bonfidely on the basis of promise made-Hence, Food Corporation liable to pay compensation. Limitation Act, Article 55: Plea of limitation-Raising of--Held: it must he raised at least at the appellate stage if not raised earlier-Since suit was filed within three years of vacating the premises, not barred by time. |
Judge | Hon'ble Mr. Justice Brijesh Kumar |
Neutral Citation | 2004 INSC 13 |
Petitioner | Food Corporation Of India And Ors. |
Respondent | M/s. Babulal Agrawal |
SCR | [2004] 1 S.C.R. 129 |
Judgement Date | 2004-01-05 |
Case Number | 3438 |
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