Does the usage of the word “can” instead of “shall” in a contract or statute make a difference?

dhiraj.sharma@justicum.com

July 21, 2026

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Commercial Laws (2)

If a court decree orders me to pay the balance sale consideration within three months, but I miss that deadline, can I still get the property through execution of the decree?

Category: Commercial Laws

Yes, but only if you can prove continuous readiness and willingness to perform your part of the contract. In Habban Shah v. Sheruddin [2026 INSC 451] and Jayamma case [2026 INSC 651], the Supreme Court clarified that missing a deadline or filing late does not automatically bar relief. However, if you fail to show financial capacity and genuine intent at the relevant time, the decree or claim becomes inexecutable.

Tags: Business Laws, Commercial Contracts, Property Sale

What is the difference between a lease and a licence under Indian property law?

Category: Commercial Laws

A lease transfers a legal interest in immovable property and grants exclusive possession for a fixed term with rent, whereas a licence merely gives permission to use property without transferring any interest. The Supreme Court in Associated Hotels of India Ltd. v. R.N. Kapoor (AIR 1959 SC 1262) held that the real test is whether exclusive possession is given: if yes, it is a lease; if not, it is a licence. Similarly, in Rajbir Kaur v. S. Chhokar (AIR 1988 SC 1845), the Court reiterated that substance prevails over labels — even if an agreement is called a “licence,” if it grants exclusive possession, it will be treated as a lease.

Tags: Business Laws, Commercial contract, Lease, License, Property Matters

dhiraj.sharma@justicum.com

CEO & Founder – Justicum Chambers A trusted partner in business strategy, law, and compliance—empowering entrepreneurs with strategic legal insights that strengthen resilience, safeguard growth, and drive sustainable success.

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Does the usage of the word “can” instead of “shall” in a contract or statute make a difference?

If a court decree orders me to pay the balance sale consideration within three months, but I miss that deadline, can I still get the property through execution of the decree?

What is the difference between a lease and a licence under Indian property law?

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