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2018 Supreme(Del) 1529

IN THE HIGH COURT OF DELHI AT NEW DELHI
PRATHIBA M. SINGH, J.
AIRLINE ALLIED SERVICES LTD - Appellant
Versus
JOHN ARTHUR ANIN - Respondent
RFA 58 of 2013
Decided On : 04-07-2018

Advocates Appeared:
For the Appellant :Mr. Sarojanand Jha, Advocate.
For the Respondent:Mr. Sunil Kumar Agarwal & Mr. Neelam Agarwal, Advocates.

Headnote:

Contract Act, 1872 - Section 56 - Service - Contract - Termination of service - Frustration of a contract - Scope of - Defendant was well aware that the contract had stood extended - One month notice was required to be served upon him for termination - Termination was communicated to the Plaintiff - Contract was valid - Plaintiff continued to be an employee of the Defendant during this period - Visa Agency was trying to obtain the Visa - There was no justification for the non-payment of the salary - A legal notice was got issued by the Plaintiff subsequent to which the termination took place - Contract was not an Agreement to do an impossible act - Services of the Plaintiff could have been utilized even in the USA - Impossibility was only partial in nature

- Held, contract cannot be held to be void - Contract contemplated services beyond flying and - It cannot be said that the services of flying was compulsorily to be rendered in order to be entitled to remuneration - There is no abandonment by the Plaintiff - Trial Court has rightly held that the Plaintiff is entitled to the salary.

Specific Relief Act, 1963 - Section 14 - Contract - Extension - Several contingencies - contract can be terminated - Contract was extended for a further period of one year - Contract is one which operated for a period of one year - It was renewed from time to time - Nature of the Agreement itself is such that there are several contingencies upon which the contract can be terminated - Held, declaration sought for by the Plaintiff cannot be granted.

JUDGMENT :

Prathiba M. Singh, J.

1. The Plaintiff was an airline pilot, employed with Airline Allied Services Ltd. (‘Defendant’) vide Fixed Term Employment Agreement dated 5th May, 2008 for the period from 5th May, 2008 to 4th May, 2009. The contractual salary payable was USD 8,500 per month and vide letter dated 8th July, 2008, the same was increased to USD 9,000 per month. His agreement was extended by a further period of one year commencing from 5th May, 2009 to 4th May, 2010.

2. It is the Plaintiff’s case that while he was stationed in USA on three weeks scheduled leave, for giving training to other Pilots on behalf of the Defendant in Seattle, his contract was extended for a further period of one year from 5th May, 2010 to 4th May, 2011. The Defendant asked the Plaintiff vide e-mail dated 13th April, 2010 to apply for Visa as soon as possible. On 20th April, 2010, the Plaintiff applied for his Visa with the Indian Consulate in Chicago, through a Visa Service Agency and completed all the documentation required for the same by 20th April, 2010. He was scheduled to depart from USA on 4th May, 2010. Despite submission of all the documents, even as on 11th May, 2010, the Visa was not issued and he was informed by the Visa service agency that no further documents had been requested by the Indian Consulate. Thereafter he was informed that the clearance from India was not given to the Consulate and hence the visa was not issued.

3. The contractual salary for the month of 5th May, 2010 to 4th August, 2010 was not paid despite request. He was also not paid three months’ salary in a row and hence the Plaintiff got issued a legal notice dated 20th August, 2010. On 8th September, 2010, he received an email from the Defendant asking the Plaintiff to come to India on a tourist Visa and thereafter on 16th September, 2010, the Defendant terminated the services of the Plaintiff w.e.f. 7th October, 2010 without making payment of the salary from the period 5th May, 2010 to 4th September, 2010.

4. The subject suit was instituted on 23rd September, 2010 when the Plaintiff was still in the service of the Defendant. The Plaintiff sought the following reliefs in the suit.

“(i) Grant a Decree of Declaration in favour of the plaintiff and as against the defendant thereby declaring the termination of service of the plaintiff by the defendant vide its Letter Reference No.AASL/PERS/2010 dated 08/09/2010 as wrongful and null and void and of no effect for all intent and purposes, and

(ii) Grant a decree for USD 36000/- (USD thirty-six thousand) in favour of the plaintiff and as against the defendant along with Pendente lite and future interest at the rate of 12% per annum from the date of institution of the suit till the passing of the decree and thereafter till the date of its realization.

(iii) Award the costs of the suit to the plaintiff as against the defendant.

(iv) Grant any other suitable relief, which this Hon’ble Court may deem just and proper in the circumstances of the case in favour of the plaintiff and against the defendant in the interest of justice.”

5. The suit was filed through his Power of Attorney holder Mr. Praveen Kumar, as the Plaintiff was not in India. In the written statement, the Defendant claimed that the service contract of the Plaintiff was terminable with 30 days notice. It was also claimed that the Plaintiff did not render any service or perform any duty during this period and that he had abandoned his services. The Defendant relied upon the email dated 8th September, 2010 by which it called upon the Plaintiff to apply for a tourist Visa and that he would be serving one-month notice period from the day of his departure from the USA. On 9th March, 2011, two applications i.e. an application under Order XI Rule 14 and an objection taken by the Defendant under Section 35 of the Indian Stamp Act were dealt with. The Trial Court held that all the documents are admitted between the parties and hence there is no requirement by the Defendant












































































































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