Specific Relief Act Section 17 — Contract to sell or let property by one who has no title, not specifically enforceable

CHAPTER II SPECIFIC PERFORMANCE OF CONTRACTS

General

Summary

A seller or landlord cannot force a buyer or tenant to complete a deal for property if the seller or landlord knew they had no legal right to the property when they made the agreement. This also applies if the seller or landlord honestly believed they owned the property but, by the agreed completion date, still cannot prove they have a clear and undisputed title. The same rule applies to contracts for selling or hiring movable goods, like vehicles or machinery.

Official Text

(1) A contract to sell or let any immovable property cannot be specifically enforced in favour of a vendor or lessor—

(a) who, knowing himself not to have any title to the property, has contracted to sell or let the property;

(b) who, though he entered into the contract believing that he had a good title to the property, cannot at the time fixed by the parties or by the court for the completion of the sale or letting, give the purchaser or lessee a title free from reasonable doubt.

(2) The provisions of sub-section (1) shall also apply, as far as may be, to contracts for the sale or hire of movable property.