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PART II SPECIFIC RELIEF · CHAPTER II SPECIFIC PERFORMANCE OF CONTRACTS · PERSONS FOR OR AGAINST WHOM CONTRACTS MAY BE SPECIFICALLY ENFORCED · Substituted performance of contracts, etc

Section 20: Substituted performance of contract

The Specific Relief Act, 1963

1[(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.

Footnotes in the official text

  1. 1.Subs. by s. 10, ibid., for section 20 (w.e.f. 1-10-2018).

Questions on this section

4 questions in 17 of our papers cite Section 20. Try these from the free papers:

  1. 1. A contracts with B to build a boundary wall around A's factory. B does not begin the work. A gives B the written notice required by Section 20(2) of the Specific Relief Act, 1963, and on B's failure to perform gets the wall built by C, paying C for it. A then sues B for specific performance of the original contract. Under the Act:

  2. 2. With reference to substituted performance under Section 20 of the Specific Relief Act, 1963, consider the following statements: 1. Substituted performance may be obtained through a third party or by the aggrieved party's own agency. 2. The option of substituted performance is available even where the parties have agreed otherwise in the contract. 3. A party who has obtained substituted performance is not prevented by Section 20 from claiming compensation from the party in breach. Which of the statements given above is/are correct?

  3. 3. Under Section 20(2) of the Specific Relief Act, 1963, substituted performance of a contract cannot be undertaken unless the party suffering the breach has given the party in breach a notice in writing of not less than:

Practise questions on Specific Relief Act