SPEC ENERGY DMCC vs PAKISTAN PETROLEUM LIMITED O — 2024 CLC 1549 KARACHI-HIGH-COURT-SINDH

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SPEC ENERGY DMCC VS PAKISTAN PETROLEUM LIMITED O.XXXIX, Rr. 1 & 2---Specific Relief act (I of 1877), Ss. 12, 21(a) & 56(f)---Intra Court appeal---Specific performance of agreement---Interim injunction, refusal of---Pecuniary compensation---agreement not enforceable---Effect---appellant / plaintiff company was awarded contract who failed to complete the project---Respondent / defendant company terminated the contract and did not allow appellant / plaintiff company to remove it's equipment from the site---Judge in Chambers of High Court dismissed applications moved by appellant / plaintiff company and restrained it from interfering with completion of works at the site---Validity---Contract had specified and fixed price payable to appellant / plaintiff company for performing works---Stages of payments to appellant / plaintiff company were pinned to milestones which too were identified in the contract---Standard existed in the contract for ascertaining actual damage caused to appellant / plaintiff company by its non-performance so as to attract S.12(b) of Specific Relief act, 1877---appellant / plaintiff company was to design and build a gas processing facility for respondent / defendant---Contract did not award any concession to appellant / plaintiff company so as to raise any issue of operating profits for appellant / plaintiff company---Pecuniary compensation for its non-performance would afford adequate relief so as to attract S.12(c) of Specific Relief act, 1877---appellant / plaintiff company did not plead special circumstances to demonstrate otherwise, as a consequence, the contract was hit by S.21(a) of Specific Relief act, 1877, which stipulated that a contract for non-performance of which compensation in money was an adequate relief, could not be specifically enforced---When subject contract was not specifically enforceable, the relief sought in the suit for incidental injunctions were barred by S. 56(f) of Specific Relief act, 1877, which stipulated that injunction could not be granted to prevent breach of a contract, the performance of which would not be specifically enforced---Division Bench of High Court declined to interfere in orders passed by Judge in Chambers of High Court---Intra Court appeal was dismissed, in circumstances.

SPEC ENERGY DMCC vs PAKISTAN PETROLEUM LIMITED O — 2024 CLC 1549 KARACHI-HIGH-COURT-SINDH

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