Specific Relief Act Section 20 — Substituted performance of contract
CHAPTER II SPECIFIC PERFORMANCE OF CONTRACTS
General
Summary
When a contract is broken because one side fails to do what they promised, the other side can choose to get the job done themselves or hire someone else to do it. They can then recover the actual expenses and costs they paid or suffered from the party who broke the contract. However, before doing this, the injured party must first send a written notice giving the breaching party at least thirty days to perform the contract, and only if the breaching party refuses or fails to act can the injured party arrange for the work to be done by a third party or on their own. The injured party can only recover those expenses if they actually got the contract performed through a third party or their own agency, and once they do so, they cannot also ask for specific performance of the original contract. This does not stop the injured party from separately claiming compensation for the breach.
Official Text
(1) Without prejudice to the generality of the provisions contained in the Indian Contract Act, 1872 (9 of 1872), and, except as otherwise agreed upon by the parties, where the contract is broken due to non-performance of promise by any party, the party who suffers by such breach shall have the option of substituted performance through a third party or by his own agency, and, recover the expenses and other costs actually incurred, spent or suffered by him, from the party committing such breach.
(2) No substituted performance of contract under sub-section (1) shall be undertaken unless the party who suffers such breach has given a notice in writing, of not less than thirty days, to the party in breach calling upon him to perform the contract within such time as specified in the notice, and on his refusal or failure to do so, he may get the same performed by a third party or by his own agency:
Provided that the party who suffers such breach shall not be entitled to recover the expenses and costs under sub-section (1) unless he has got the contract performed through a third party or by his own agency.
(3) Where the party suffering breach of contract has got the contract performed through a third party or by his own agency after giving notice under sub-section (1), he shall not be entitled to claim relief of specific performance against the party in breach.
(4) Nothing in this section shall prevent the party who has suffered breach of contract from claiming compensation from the party in breach.