Question

Ajeet Singh, a famous singer, enters into a contract with Yash Aditya Music Company agreeing to perform exclusively for them for 2 years and not to perform for any other company during that period. After one year, Ajeet Singh refuses to perform for Yash Aditya Music Company and begins performing for BR Chopra & Company. Yash Aditya Music Company files a suit seeking an injunction restraining Ajeet Singh from performing for BR Chopra & Company. Which of the following statements is correct under the Specific Relief Act, 1963?

• A. The injunction may be granted to enforce the negative covenant.
• B. Only damages can be granted.
• C. The injunction must be refused because contracts of personal service cannot be enforced.
• D. The court must compel Ajeet Singh to sing for Yash Aditya Music Company.

Hint:

Section 42 of the Specific Relief Act is your key here: You can't force someone to work (positive), but you can stop them from working for others (negative) if they agreed to it!

Answer 1

The Correct Option is A

Step 1: Read the facts.
A singer agrees to perform only for Yash Aditya Music Company for 2 years and not to perform for anyone else. After one year he refuses and starts singing for a rival, BR Chopra and Company. The company wants an injunction to stop him.

Step 2: Spot the two promises.
There is a positive promise (to sing for the company) and a negative promise (not to sing for anyone else).

Step 3: Apply the rule on personal service.
Under the Specific Relief Act, 1963, a court cannot force a person to perform a contract of personal service, because that would be like forced labour. So the court will not order the singer to actually sing for the company.

Step 4: Apply the rule on negative covenants.
But the court can enforce the negative promise. It can grant an injunction stopping the singer from performing for a rival. This is the idea behind the famous case Lumley v. Wagner.

Step 5: Reject the wrong options.
Saying only damages can be granted ignores the negative covenant. Saying the injunction must be refused entirely is wrong. The court cannot compel him to sing, so that option is also wrong.

Step 6: State the answer.
The injunction may be granted to enforce the negative covenant.
\[ \boxed{\text{The injunction may be granted to enforce the negative covenant.}} \]