High Court Of Delhi
WORLD TRADE CENTRE WELFARE SOCIETY - Appellant
Versus
BHARAT HOTELS LIMITED - Respondent
First Appeal (OS) 126 of 1991
Decided On : 11/04/1993
INJUNCTION - MANDATORY - CORRIDOR CLOSURE - SHOPPING COMPLEX - BREACH OF CONTRACT - ESTOPPEL - BALANCE OF CONVENIENCE - FIRE ESCAPE - BUILDING BYE-LAWS - INTERLOCUTORY RELIEF - DISCRETION OF COURT - PRIMA FACIE CASE - IRREPARABLE INJURY - STATUS QUO - COMPLETION PLAN - PROMISSORY ESTOPPEL - DAMAGES - SPECIFIC PERFORMANCE - INJUNCTION ACT, 1972 - SECTION 36(1) - CODE OF CIVIL PROCEDURE, 1908 - ORDER XXXIX RULES 1, 2, 3, 4 - DELHI MUNICIPAL CORPORATION ACT, 1957 - SECTION 348 - DELHI MUNICIPAL CORPORATION BUILDING BYE-LAWS, 1983 - RULE 104 - INDIAN CONTRACT ACT, 1872 - SECTION 65.
Fact of the Case:
Plaintiff, a society of occupants of a commercial complex known as World Trade Centre, filed a suit against the defendants, the developer, a company, and the municipal corporation, seeking various reliefs, including mandatory injunctions to demolish unauthorized constructions and restore the premises to their original position, and to restrain the defendants from making unauthorized alterations and additions to the premises. The plaintiff alleged that the defendants had made major structural changes, converting shops into a hall, and had closed corridors and fire escape routes, in violation of the building bye-laws and the terms of the license agreement.
Finding of the Court:
The court found that the plaintiff had not established a prima facie case for the grant of a mandatory injunction. It noted that the defendant had converted the shops into a hall and closed the corridors before the filing of the suit, and that the plaintiff had not suffered any irreparable injury that could not be compensated by damages. The court also found that the defendant had not violated any building bye-laws or the terms of the license agreement, and that the plaintiff had not proved a case of promissory estoppel.
Issues: 1. Whether the plaintiff had established a prima facie case for the grant of a mandatory injunction. 2. Whether the defendants had violated any building bye-laws or the terms of the license agreement. 3. Whether the plaintiff had suffered any irreparable injury that could not be compensated by damages. 4. Whether the defendant was estopped from making the alterations and additions to the premises.
Ratio Decidendi: 1. The grant of a mandatory injunction is an equitable relief that is granted to restore the status quo and not to establish a new state of things. 2. The court will consider the existence of a prima facie case, the balance of convenience, and the irreparable injury that may be caused to the plaintiff if the injunction is not granted. 3. The court will not grant a mandatory injunction if the plaintiff has an adequate remedy in damages. 4. The court will not grant a mandatory injunction if it would cause irreparable injury to the defendant. 5. The court will not grant a mandatory injunction if the defendant has not violated any legal right of the plaintiff. 6. The court will not grant a mandatory injunction if the plaintiff has not suffered any irreparable injury.
Final Decision: The court dismissed the plaintiff's appeal and upheld the trial court's order vacating the interim injunction.
( 1 ) WORLD Trade Centre Welfare Society appellant/plaintiff filed this appeal, thereby challenging the order dated 26. 6. 1991 ofsatpal, J. vide which the interim stay granted on 18-3-1991 in IA. 2538/min Suit No. 900/91 was vacated.
( 2 ) WORLD Trade Centre Welfare Society is a Society registered underthe Societies Registration Act and was formed by most of the occupantsof the building known as World Trade Centre, situated at Barakhamba Lane,new Delhi. There are 62 members of the plaintiff who have been allotteddifferent spaces/portions in the aforesaid premises as per the detailsmentioned in Schedule a to the plaint. The plaintiff had filed a suit fordeclaration, mandatory injunction, permanent injunction and rendition ofaccount against M/s. Bharat Hotels Limited, a Company incorporatedunder the Indian Companies Act, defendant/respondent No. 1 (hareinafterreferred to as defendant No. . 1), M/s. Jagjit Cotton Textiles Limited, acompany incorporated under the Indian Companies Act, defendant/respondent No. 2 (hereinafter referred to as defendant No. 2) and New Delhimunicipal Committee defendant/respondent No. 3 (hereinafter referred toas defendant No. 3 ). A number of prayers were made in the suit, butsuffice it to refer to the Clause (d), (e), (g) and (i) of Para 18 of the plaint,which reads as under :-D Permanent Injunction thereby restraining the defendant No. 1and defendant No. 2 through its agents, employees, representatives etc. etc. from making any unauthorised additions andalterations in the premises and thereby changing the basicplan of the premises and not to encroach upon the commonareas. E. Mandatory Injunction, thereby directing the defendant No. 3to demolish the unauthorised construction already raised bydefendant Nos. 1 and 2 and restore the premises in theiroriginal position and to keep a check upon the constructionactivities of the defendant Nos. 1 and 2 in future and not toallow them to construct in contravention to the sanctioned andapproved plans. G. Mandatory Injunction, thereby directing the defendant No. 1to restore the fire escape facility to the occupants and membersof the plaintiff society on the ground floor plan which has beenclosed by them. 1. Mandatory Injunction, thereby directing the defendant No. 3to demolish the unauthorised construction already raised bydefendant No. 1 and to restore the premises in their originalposition as per the basic sanctioned plan.
( 3 ) BRIEFLY stated, the averments made in the suit have been that thedefendant No. 1 was allotted a plot of land measuring about 6. 0485 acresapproximately at commercial complex. Barakhamba Lane, New Delhi, onlease for a period of 99 years with effect from 11. 3. 1981 by the defendantno. 3, the Deed of Licence in this regard was, however, executed on22. 4. 1982. A Commercial Complex known as World Trade Centre wasconstructed by defendant No. 1, who, by virtue of Clause 29 of the Licencedeed was empowered to create a Sub-Licence with regard to the offices,shops and show rooms constructed in the said building. The defendantno. 1 had issued a brochure highlighting the various salient features of theproject and giving details of the facilities which were to be made availableto its occupants. A number of advertisements had also been issued in thenewspapers in this regard. Different persons approached the defendantno. 1 and took offices, show-rooms and shops as per their requirementsfrom the defendant No. 1 regarding which Sub-Licence Agreements wereexecuted. Further averments made in the plaint have been that the defendant No. 1 assured the members of the plaintiff society that they would beproviding various services and conveniences and that Clause No. (4) underthe head main Features of the Project in the brochure mentioned that atwo-level parking garage with a total capacity of 700 cars with a directdrop-off entry to the enclosed shopping/office artium would be provided. There was a grievance even with regard to the action of t
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