On expiry of the period of license, the possession of the licensee becomes unlawful and the licensees are not entitled to the notice to quit nor protection of injunction.

( 1 ) THE respondents herein were admittedly inducted into possession of the site in the appelleants Bus Station Complex at Tanuku in the month of July, 1978 for running various stalls on deposit of certain amount and on furnishing security. They continued to remain in possession from time to time till July 16, 1985. Thereafter, tenders were called to accord licence to run the stalls, Earlier thereto, it is the case of the appelants that, the respondents-herein have surrendered possession under Exs. B-5 to B-8, and when the appellants were finalising the tenders received pursuant to the notification. , the suit in O. S. No. 80 of 1988 was filed in the court below and interlocutory Application No. 862 of 1988 was also filed, seeking ad-interim injunction under Order 39, rules 1 and 2 and Section 151 C. P. C. , to restrain the appellants from ejecting the respondents or interfering or disturbing their possession and enjoyment thereof except in accordance with law. The court below, by the impugned order dated September 27, 1988 while holding that the respondents-herein are only licensees, issued the ad-interim injunction restraining the appellants-herein from evicting the respondents in terms of the licence deeds, Exs. B-1 to B-4 and thereafter, the Court below made the interim injunction absolute. Assailing the legality thereof, this appeal has been preferred.

( 2 ) THE contention of Sri D. Reddappa Reddy, learned standing Counsel for the appellants-herein is that when once the appellants-herein are found to be the owners of the property in question and that the respondents were inducted as licensees, by efflux of time, after expiry of the period of licence, the respondents have legal right to continue in possession an that therefore, the respondents cannot interdict the action taken by the appellants in granting the licence to others to run the stalls in the premises belonging to the appellants, and that the Court below has committed greivous error in granting an injunction against the appellant herein. The question therefore, is what is the right the respondents have in the stalls to which licences were granted to them in July 1978 ?

( 3 ) THE Court below has noticed relevant clauses in the licence Clause-12 thereof, accords the right to errect stalls at the own costs of the respondents and the respondents cannot make additions or alternations without the prior written approval of the appellants-licensors. Clause-15 prohibits sale of articles except in accordance with the prevailling market rate an exhibiting a price-list of the commodities Clause-17 stipulates that the licence is terminable by giving one months notice on either side during the subsistance of the licence without assigning any reasons. Admittedly, the licence granted in this case was for a period of three years. The appellants have reserved their right to terminate the licence by giving one months notice if the place is required by them. Clause-19 of the licence provides that on expiry of the period of licence or upon its termination, the licensee should deliver vacant possession of the premises, and on their failure to deliver vacant possession, the licensor is entitled to forfeit the security deposit made in the licence. Further, clauses 24 and 25 of the licence provides that the licensee has to maintain the quality of the goods approved by the committee and sale thereof.

( 4 ) THUS, it is clear from the above conditions in the licence granted by the appellants to the respondents, that the respondents were inducted into possession of the stalls, which the respondents have erected at their own expense as licensees and that the period of licence is for three years and that in the interrignum if the licensor or the licensee intends to put an end to ihe licence it can be terminated by issuing one months notice on either side. On expiry of the period of licence, the licensee should deliver vacant possession to the licensor. Section 52 of the India