The Specific Relief Act, 1963 (amended 2018) allows courts to order the actual performance of a contract instead of merely awarding monetary compensation.
When Specific Performance Is Granted
- When monetary compensation is not an adequate remedy
- Typically for contracts involving unique property (land, rare goods, art)
- Contracts for personal service are generally NOT specifically enforceable
The 2018 Amendment — A Major Shift
Before 2018, specific performance was the exception. After the amendment, it is the rule.
Courts must now grant specific performance unless:
- The contract cannot be specifically enforced (e.g., personal service)
- The plaintiff has not performed their own obligations
- The contract involves continuous duty the court cannot supervise
Infrastructure Contracts
The 2018 amendment specifically enables specific performance for infrastructure project contracts, addressing India’s massive construction sector needs.
Injunctions
Courts can also issue injunctions to restrain a party from breaching a contract — for example, stopping an actor from performing for a rival studio during an exclusive contract period.