Reviewed case brief
Fateh Chand v Balkishan Dass
AIR 1963 SC 1405
AIR 1963 SC 1405 · Supreme Court of India
- Court
- Supreme Court of India
- Year
- 1963
- Subjects
- Law of Contract I
- Reviewed
- 2026-08-02
Rule established
Section 74 of the Indian Contract Act abolishes the English law distinction between penalty and liquidated damages; a party can recover only reasonable compensation not exceeding the amount named in the contract, and must show loss unless it is impossible to prove.
Facts
Issues
Held
Ratio decidendi
How to use it in an exam
Editorial source
AIR 1963 SC 1405; standard casebook authority for S.74 ICA
Educational summary only. Read the reported judgment or an authorised law report before relying on the case professionally.