Case Law Analysis
|Calcutta High Court
Condition Precedent | Vendor's Failure to Transfer Shares & Reconstitute Board Relieves Purchaser of Payment Obligation; Refund Upheld Under Section 65 Contract Act : Calcutta HC
The Division Bench held that the vendor's obligation to transfer 51% shares and reconstitute the board was a condition precedent, so its non-performance discharged the purchaser's payment duty. The purchaser's SMS communication avoiding the contract was lawful, and the vendor's Rs. 5.51 crore damages claim failed for want of proof. The purchaser's Rs. 1 crore advance was refunded under Section 65 of the Contract Act.