Option (1) is incorrect: Section 38 of the Specific Relief Act deals with perpetual injunction when granted.
Option (2) is incorrect: Section 39 of the Specific Relief Act deals with mandatory injunctions.
Option (3) is correct: Section 40 of the Specific Relief Act deals with damages in lieu of or in addition to injunction.
Option (4) is incorrect: Section 37 of the Specific Relief Act deals with temporary and perpetual injunctions.