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—specific-performance-decree-deposit-deadline-section-28-india [2026/07/22 17:47] (current) – created - external edit 127.0.0.1
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 +{{htmlmetatags>metatag-description=(Missed the court date to deposit the price after winning a specific-performance suit? Your decree is not dead. The court can still extend time under Section 28.)&metatag-keywords=(specific performance, Section 28 Specific Relief Act, deposit deadline missed, extension of time, property decree)&metatag-robots=(index,follow)&metatag-og:title=(Missed Deposit Deadline After a Sale Decree?)&metatag-og:description=(Missed the court date to deposit the price after winning a specific-performance suit? Your decree is not dead. The court can still extend time under Section 28.)&metatag-og:type=(article)}}
 +
 +====== Missed Deposit Deadline After a Sale Decree? ======
 +
 +
 +
 +{{ :social:auto:specific-performance-decree-deposit-deadline-section-28-india.png?direct&1200 |Missed Deposit Deadline After a Sale Decree? — RTI Wiki}}
 +
 +<WRAP center round info 95%>
 +**Quick Reply:** Missed the court date to deposit the price after winning a specific-performance suit? Your decree is not dead. The court can still extend time under Section 28.
 +</WRAP>
 +
 +You won your suit for specific performance, the court ordered the seller to execute the sale deed, and you were told to deposit the balance price by a fixed date. Then your home-loan disbursement got delayed and the deadline passed. Now the seller is saying the deal is dead and is threatening to sell the property to someone else. This is a common and frightening situation, and the good news is that the law is on your side.
 +
 +**Direct answer: Missing the court-fixed deposit date does NOT automatically cancel your decree. The same court can extend the time for deposit. Equally, the seller cannot treat the decree as dead and resell on his own.**
 +
 +The Supreme Court settled this clearly in Anand Narayan Shukla v. Jagat Dhari (2026 INSC 463), decided on 8 May 2026 by Justice Manoj Misra and Justice Manmohan. The Court held: "Neither there is an automatic rescission of the contract/ decree for non-payment/ non-deposit within the period stipulated by the decree, nor there is an automatic extension of time by making such deposit."
 +
 +In plain words, two things are NOT automatic. The decree does not die on its own when you miss the date. And you do not get an automatic extension just by depositing late. What happens next is decided by the court using its discretion under Section 28 of the Specific Relief Act, 1963.
 +
 +===== What the court decides next =====
 +
 +When a deposit deadline is missed, the matter goes back before the same court that passed the decree. That court has a choice. It can extend the time for you to deposit the price, or it can rescind the contract and refuse to enforce the sale. This is a judicial decision, not a mechanical one, and it is weighed on equitable considerations and the conduct of both sides.
 +
 +Here is the flow the court generally works through:
 +
 +  - **Has the buyer applied?** The court acts on an application. The buyer who missed the date should approach the same court and ask for an extension and to be allowed to deposit.
 +  - **Why was the deadline missed?** The court looks at the reason for the delay. A genuine, explained cause such as a bank or loan disbursement delay carries weight. Casual neglect or a deliberate wait-and-watch does not.
 +  - **Has the buyer acted in good faith?** Bona fides matter. A buyer who was always ready and willing to pay, and whose delay was beyond his control, stands on strong ground.
 +  - **Can the equities be balanced?** The court can also consider whether any prejudice to the seller can be balanced, including by compensation, so that the overall outcome stays fair.
 +
 +Because nothing is automatic, the seller cannot simply declare the contract rescinded and sell the property to a third party. Rescission must come from the court, after hearing both sides.
 +
 +===== What to do if you missed the deposit deadline =====
 +
 +Move quickly and on the record. The longer you wait, the weaker your bona fides look.
 +
 +  - **Do not panic and do not wait.** The decree is alive until the court says otherwise. Acting promptly is the single strongest signal of good faith.
 +  - **File an application in the same executing court.** Apply by motion or application in the court that passed the decree, asking it to extend the time and permit you to deposit the balance price under Section 28 of the Specific Relief Act, 1963.
 +  - **Show you are ready with the money.** Arrange the full balance amount and, if your court permits, deposit it or tender it along with the application. Demonstrated readiness is powerful evidence of bona fides.
 +  - **Explain the delay with proof.** Attach documents that show why you missed the date, for example a bank or loan-sanction letter showing the disbursement was held up. A documented, genuine reason is what the court weighs.
 +  - **Object if the seller tries to resell.** If the seller is moving to sell to someone else, place on record before the court that no rescission has been ordered and that the contract and decree remain in force.
 +  - **Get legal help early.** A property lawyer can frame the application correctly and present your conduct in the best light. For background on enforcing such decrees, see [[https://righttoinformation.wiki/specific-performance-suit-seller-refuses-sale-deed-india|how a specific-performance suit works when a seller refuses to execute the sale deed]].
 +
 +===== When the court may REFUSE extension =====
 +
 +An extension is discretionary, not a right. The court can rescind the contract and refuse you the property if your conduct does not deserve relief. Be aware that the court may decline to extend time where the buyer sat back without a genuine reason, where the delay is long and unexplained, where the buyer was never really ready and willing to pay, or where granting more time would cause unfair prejudice to the seller that compensation cannot balance. The lesson from Anand Narayan Shukla v. Jagat Dhari (2026 INSC 463) cuts both ways: just as the seller cannot treat the decree as automatically dead, the buyer cannot assume a late deposit automatically revives it. Both sides depend on the court's view of fairness and conduct.
 +
 +===== Frequently asked questions =====
 +
 +==== Does my specific-performance decree die automatically if I miss the deposit date? ====
 +
 +No. The Supreme Court has held that there is no automatic rescission of the contract or decree just because you did not deposit within the time fixed. The decree stays alive until the court decides to extend the time or to rescind. You should apply promptly to the same court for an extension under Section 28 of the Specific Relief Act, 1963.
 +
 +==== Can the seller resell the property because I was late? ====
 +
 +No, not on his own. Rescission of the contract has to be ordered by the court after hearing both sides. The seller cannot treat the decree as automatically cancelled and sell to a third party. If he tries, put the facts on record before the court and point out that no order of rescission has been passed.
 +
 +==== Will the court always extend my time if I deposit late? ====
 +
 +No. There is no automatic extension just by depositing late either. The court uses its discretion under Section 28, looking at why you were delayed, whether you acted in good faith, whether you were ready and willing to pay, and whether the equities between the parties can be balanced. A genuine, documented reason for the delay helps you a great deal.
 +
 +==== Which court do I approach, and how? ====
 +
 +You approach the same court that passed the specific-performance decree, by filing an application or motion in those proceedings asking for an extension of time to deposit and permission to deposit the balance price. Because the relief is discretionary, it helps to come ready with the money and with proof of why the deadline was missed.
 +
 +==== What does the court weigh when deciding? ====
 +
 +The court weighs equitable considerations and the conduct of both parties. That includes your bona fides, the reasons for the delay, whether you were genuinely ready and willing to pay, and whether any prejudice to the seller can be balanced, including by compensation. Honest conduct and prompt action are what tilt the discretion in your favour.
 +
 +===== Next steps =====
 +
 +If you have missed a court-fixed deposit deadline, do not assume your hard-won decree is gone. File an application in the same court without delay, come ready with the balance amount, and explain the delay with documents. Keep a clear record of every step so your good faith is visible. For a deeper walkthrough of how citizens use the law and the right to information to protect their rights, read [[https://righttoinformation.wiki/book|The RTI Playbook]].
 +
 +
 +===== Related guide =====
 +  * [[https://righttoinformation.wiki/specific-performance-readiness-to-pay-proof|Proving readiness and willingness in a specific performance suit]]
 +
 +{{tag>missed deposit deadline sale decree}}