Contract Law - Specific Performance vs Damages

contract bar_exam intermediate pyq_discussion

Yaar, remember when we studied Anand Balkrishna Bajaj v/s Anand (2005)? In this case, the court said specific performance is awarded if the monetary relief is inadequate for a contract that involves a unique and rare asset like a rare breed of horse. The question that always got me was - 'A contract was entered between X and Y for the purchase of a rare species of tree for Rs 10 lakhs. Before the sale, X backed out. Can the court grant specific performance in this case?'

Sab kuch theek hai, but the catch is - the court will consider the uniqueness of the asset and whether monetary damages would be sufficient to compensate Y for the loss. If the tree was not unique, then damages would be given. But if a particular species of tree can only be found in India and one is destroyed, then maybe specific performance is the only way to save it.

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