All NotesCivil LawSpecific Relief Act (SRA)

Specific Relief Act (SRA)

Readiness and Willingness versus Actual Tender

A recurring confusion in specific-performance suits is whether the buyer had to actually tender the price, that is, physically offer or deposit the money, in order to prove that he was ready and willing. He did not. Section 16(c) requires readiness and willingness, but its Explanation makes clear that the plaintiff need not actually tender the money or deposit it in court, except where the court so directs. This note explains each idea in its own right, compares them, and works through an example.

Figure: Readiness and willingness against actual tender, and why tender is evidence, not a condition

1. Readiness and Willingness in Its Own Right

Readiness and willingness is the condition precedent to specific performance under Section 16(c): the plaintiff must plead and prove that he was, and remained, both able and willing to perform his part throughout, from the contract to the hearing. Readiness is the capacity to perform, chiefly the financial ability to pay; willingness is the intention and conduct to perform. It looks to whether the plaintiff could and would have performed, not to whether he had already thrust the money on the defendant.

2. Actual Tender in Its Own Right

Actual tender is the physical offer or production of the money to the other side, or its deposit in court. It is one way of demonstrating readiness, and a powerful one, but it is not a condition of the relief. The Explanation to Section 16(c) provides that the plaintiff need not actually tender the money to the defendant, or deposit it in court, except when the court so directs. So tender, where it happens, is good evidence; but its absence does not defeat the claim, provided the plaintiff shows he had the capacity to pay when required.

When tender or deposit does come in

▪ Where the court directs a deposit. The court may order the plaintiff to deposit the balance in court as proof of readiness and good faith.

▪ Where the contract requires tender. If the contract itself makes tender a step the plaintiff must take, he must comply.

▪ Otherwise, capacity is enough. The plaintiff need only show he could find the money when required; he need not have kept it ready in cash or tendered it.

3. The Two Compared

Basis

Readiness and willingness

Actual tender

What it is

The capacity and the intention to perform one's part

The actual offer or production of the money to the other side

Required?

Yes: a condition precedent under Section 16(c)

Not always: the Explanation to Section 16(c) dispenses with it

What the plaintiff shows

That he was able, and willing, to perform throughout

That he physically offered or deposited the price

Deposit in court

Not necessary unless the court directs it

A deposit may be ordered as proof of readiness

Effect of not tendering

Does not defeat the claim, if capacity is shown

Not fatal; the Explanation says tender is not always necessary

Governing provision

Section 16(c), the condition

The Explanation to Section 16(c)

4. Tender Is Evidence, Not a Condition

The relationship

▪ Section 16(c) requires readiness and willingness. It does not require the plaintiff to have actually tendered the price.

▪ The Explanation makes this express. The plaintiff need not tender the money to the defendant, or deposit it in court, except when the court so directs.

▪ Tender is evidence. Where made, it is good evidence of readiness; but its absence is not fatal if the plaintiff proves he had the capacity to pay when required.

5. A Worked Example

Suppose a buyer sues to enforce an agreement to buy land, and the seller says the buyer never actually offered him the balance, so cannot have been ready and willing. That defence misunderstands the law. The buyer need not have thrust the money on the seller; he proves his readiness by his bank balance and a sanctioned loan showing he could have paid whenever completion was due, and his willingness by his letters pressing for the sale deed. By the Explanation to Section 16(c), his failure to make an actual tender does not defeat him. If the court wishes, it may direct him to deposit the balance in court as proof of good faith, but that is a matter for the court, not a precondition the seller can insist on.

6. Frequently Asked Questions

Q. Must a buyer actually tender the price to prove readiness and willingness?
A.
No. The Explanation to Section 16(c) provides that the plaintiff need not actually tender the money or deposit it in court, except where the court so directs; capacity to pay when required is enough.

Q. What is the difference between readiness and actual tender?
A.
Readiness and willingness is the capacity and intention to perform, a condition precedent under Section 16(c); actual tender is the physical offer of the money, which is evidence of readiness but not required.

Q. When might the court require a deposit?
A.
The court may direct the plaintiff to deposit the balance in court as proof of readiness and good faith, but that is a matter for the court's direction, not an automatic condition.

Q. Does the absence of tender defeat a specific-performance suit?
A.
No, if the plaintiff otherwise proves he had the capacity to pay when required and was willing to perform; tender is not a condition of the relief.

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