M. MEENAKSHI vs METADIN AGARWAL (D) BY LRS..

The Supreme Court addressed the issue of specific performance of a contract under the Urban Land (Ceiling and Regulation) Act, 1976, particularly focusing on the implications of Section 10 and Section 26 of the Act. The Court held that the agreement to sell was frustrated due to the rejection of permission to sell the land by the competent authority, thus upholding the lower court's decision to deny specific performance but allowing for the refund of the advance and damages. The judgment emphasized that contractual obligations are contingent upon obtaining necessary governmental approvals, which, if denied, can lead to frustration of the contract.