The Sale of Goods Act, 1930 does not affect the right of parties to recover:

Section 61(1) provides that nothing in the Act affects the right of the seller or buyer "to recover interest or special damages in any case where by law interest or special damages may be recoverable", or to recover money paid where the consideration has failed. It does not create punitive damages, and a contractual penalty is governed by s.74 of the Contract Act, which allows only reasonable compensation.