The limitation period for a specific performance suit will run from the date fixed for the performance of the contract but not from the expiry of the validity of the agreement., says the Supreme Court (SC) in Usha Devi & Others v Ram Kumar Singh & Others [2024 INSC 599].
In this case, the sale deed was agreed to be executed within one month from the date of the said agreement i.e., 17.12.1989 and that would be on 16.01.1990. Therefore, the limitation period would be for three years from the that date. That means it would expire on 16.01.1993.
Curiously, the period of validity of the agreement was for five years from the date of execution of the agrement, ie 17-12-1989.
The respondent argued that the validity of the sale agreement would remain valid for five years from the date of the execution of the agreement to sell and the period of limitation of three years shall be counted from the date of expiry of the agreement’s validity.
The SC rejected the Respondent’s contention and opined that the three-year limitation period would be counted from the date fixed for the performance of the contract.
Reference
- Usha Devi & Others v Ram Kumar Singh & Others [2024 INSC 599]
