IN THE HIGH COURT OF CHHATTISGARH AT BILASPUR
ARVIND KUMAR VERMA
B.K. Ghosh S/o Tushar Kanti Ghosh – Appellant
Versus
Steel Authority of India through its Chairman, New Delhi – Respondent
ORDER :
1. The instant writ petitions, by the petitioners all of whom are lessees of plots situated in the Bhilai Steel Plant Township. The petitioners’ assail the demands made by the respondent, Steel Authority of India Limited (SAIL), comprising the so-called “applicable Land Premium” on the ground of unilateral demands as well as excessive ground rent and service charges purportedly applicable at the time of lease renewal. The petitioners seek a direction to the respondents to renew their leases strictly in accordance with the original lease deeds and to restrain the respondents from imposing arbitrary charges issued by the Steel Authority of India Limited (SAIL) for renewal of lease deeds executed in favor of the petitioners more than three decades ago. The controversy touching upon contractual sanctity, fairness in administrative action and the interplay between Central undertakings and State policies, warrants a composite adjudication. Thus, these writ petitions, heard analogously, raise common questions of law and fact concerning the legality of the offer/demand letters dated 01.04.2025.
BRIEF FACTS OF THE CASE
2. The undisputed factual matrix is that under the Union of India’s


Mahabir Auto Stores and Others Vs. Indian Oil Corporation and Others
Ashoka Marketing Ltd. Vs. Punjab National Bank
The court emphasized that unilateral alterations to established lease terms infringe upon contractual rights and due process, reaffirming the need for transparency in public sector dealings.
The discretion of a landlord in rent fixation and renewal terms is valid, and tenants must adhere to clearly established lease terms, particularly when challenged during eviction proceedings.
The main legal point established in the judgment is that the Nagpur Municipal Corporation was not permitted to incorporate additional terms and conditions in the lease-deed while renewing it, and the....
The court upheld the significance of adhering to lease terms and natural justice in lease renewal matters, affirming the state's actions in rejecting the renewal request based on documented breaches.
The determination of the lease was based on the lessee's breach of lease conditions, and the pending renewal application was directed to be considered by the appellant within 6 months.
Login now and unlock free premium legal research
Login to SupremeToday AI and access free legal analysis, AI highlights, and smart tools.
Login
now!
India’s Legal research and Law Firm App, Download now!
Copyright © 2023 Vikas Info Solution Pvt Ltd. All Rights Reserved.