Introduction
In a landmark property law decision, the Supreme Court of Pakistan upheld the specific performance of an agreement to sell, delivering a crucial verdict that strengthens buyer protections in real estate transactions (Zeeshan Pervez v. Muhammad Nasir, 2025 SCMR 495). This ruling clarifies when courts will enforce contractual performance of sale agreements under Pakistan’s Specific Relief Act.
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*Alt text: “Pakistan Supreme Court ruling on specific performance of sale agreements – 2025 SCMR 495″*
Case Background and Key Issues
1. Property Sale Contract Dispute
The case involved:
- Property: 550 sq. yard plot in DHA Karachi
- Agreement Date: March 26, 2013
- Purchase Price: PKR 25.85 million (with PKR 2.585 million paid upfront)
2. Core Legal Questions
- Could the vendor cancel the agreement unilaterally?
- Did the buyer demonstrate readiness to perform contractual obligations?
- Was time essential to the agreement’s validity?
1. Enforcement of Sale Agreement Upheld
The Court ruled decisively in favor of enforcing the property sale contract, citing:
- Buyer’s deposit of PKR 19.8 million in court
- Vendor’s failure to clear mortgage debts
- Buyer’s consistent willingness to complete the transaction
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Alt text: “Enforcement of property sale agreements through specific performance”
2. Key Legal Principles Affirmed
- Contra Proferentem Rule: Ambiguous terms interpreted against the drafting party
- Time Not Essential: Following Muhammad Iqbal v. Mehboob Alam (2015 SCMR 21)
- Vendor’s Obligations: Must clear encumbrances before demanding payment
Relevant Resources:
Practical Implications
For Property Buyers
- Document all payments and communications
- Demonstrate readiness to perform through bank statements or court deposits
- Seek judicial enforcement of contracts when sellers default
For Property Sellers
- Fulfill all pre-sale obligations (clear mortgages, obtain NOCs)
- Cannot claim forfeiture while in breach of contract
- Understand consequences of unilateral conhttps://pakistancode.gov.pk/english/UY2FqaJw1-apaUY2Fqa-a50%3D-sg-jjjjjjjjjjjjjtract cancellation
Conclusion
The *2025 SCMR 495* judgment establishes crucial precedents for specific performance of sale agreements in Pakistan. By upholding the buyer’s rights in this case, the Supreme Court has reinforced contractual stability in property transactions.
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