KAPUR CHAND GODHA vs MIR NAWAB HIMAYATALIKHAN AZAMJAH

The Supreme Court held that under the Indian Contract Act, 1872, specifically Sections 41 and 63, a promisee who accepts performance from a third party cannot subsequently enforce the original promise against the promisor. In this case, the appellants accepted a payment of Rs. 20 lakhs in full satisfaction of their claim, thereby discharging the promissory notes. The Court upheld the Appellate Court's decision that the appellants were not entitled to sue for the balance after accepting the payment as full satisfaction.