Shingara Singh vs Daljit Singh

The Supreme Court upheld the High Court's decision to set aside the Trial Court's decree, which had partially allowed the plaintiff's claim for recovery of Rs. 40,000/- but denied specific performance of the agreement dated 17.08.1990 under Section 20 of the Specific Relief Act, 1963. The Court established that a bona fide purchaser's rights cannot be overridden by a prior agreement if the purchaser was unaware of it. The Court affirmed that the plaintiff was entitled to recover the earnest money due to the defendant's failure to perform the contract, while specific performance was denied due to the defendant's ownership of the property.