Specific Relief Act, 1877 — section 57

57. Injunction to perform negative agreement. Notwithstanding section 56, clause (f), where a contract comprises an affirmative agreement to do a certain act, coupled with a negative agreement, express or implied, not to do a certain act, the circumstance that the Court is unable to compel specific performance of the affirmative agreement shall not preclude it from granting an injunction to perform the negative agreement: provided that the applicant has not failed to perform the contract so far as it is binding on him. Illustrations

(a)A contracts to sell to B for Rs.1,000 the good-will of a certain business unconnected with business-premises, and further agrees not to carry on that business in 1[Karachi]. B pays A the Rs. 1,000 but A carries on the business in 1 [Karachi]. The Court cannot compel A to send his customers to B, but B may obtain an injunction restraining A from carrying on the business in 1[Karachi]. Subs. by the Federal Laws (Revision and Declaration) Ordinance, 1981 (27 of 1981) s. 3 and 2nd Sch., for “Chittagong” which was subs. by the 1 Central Laws (Statute Reform) Ordinance, 1960 (21 of 1960), s. 3 and 2nd Sch., for “Calcutta” (w.e.f. 14th October, 1955).

(b)A contracts to sell to B the good-will of a business. A then sets up a similar business close by B’s shop and solicits his old customers to deal with him. This is contrary to his implied contract, and B may obtain an injunction to restrain A from soliciting the customers, and from doing any act whereby their good-will may be withdrawn from B.

(c)A contracts with B to sing for twelve months at B’s theatre and not to sing in public elsewhere. B cannot obtain specific performance of the contract to sing, but he is entitled to an injunction restraining A from singing at any other place of public entertainment.

(d)B contracts with A that he will serve him faithfully for twelve months as a clerk. A is not entitled to a decree for specific performance of the contract. But he is entitled to an injunction restraining B from serving a rival house as clerk.

(e)A contracts with B that, in consideration of Rs.l,000 to be paid to him by B on a day fixed, he will not set up a certain business within a specified distance. B fails to pay the money. A cannot be restrained from carrying on the business within the specified distance. SCHEDULE.___ [Enactments Repealed] Rep. by the Repealing and Amending Act, 1891 (XII of 1891).