The COVID-19 pandemic constituted a force majeure event, and the lockdown was not attributable to the fault of the allottees. Therefore, the DTIDC, being a public corporation, was directed to adopt a reasonable approach in construing the terms of the license agreements, including the grant of a waiver of license fees for the lockdown period and an extension of the license agreements.

JUDGMENT

Prathiba M. Singh, J. (Oral)--This hearing has been done through hybrid mode.

I) Background of the Case:

2. The COVID-19 pandemic (hereinafter "the pandemic") has had a cascading effect not merely on human life but also on various contractual arrangements. The arrangements that are the subject matter of the present petitions relate to shops at various bus terminals in Delhi.

3. In the present cases, the Petitioners are all allottees of various shops at the Maharana Pratap Interstate Bus Terminal (hereinafter as `ISBT') at Kashmere Gate, Vivekanand ISBT at Anand Vihar, and Vir Hakikat Rai ISBT at Sarai Kale Khan. The Petitioners had participated in a bidding process and had after completing the requisite formalities, deposited the advance monthly license fee equivalent for the period of six months, along with security deposits. Some of the Petitioners took possession of their respective shops on different dates. There are also cases where physical possession of the shops was yet to be given when there was an outbreak of the pandemic. In cases where the possession had taken place, hardly a period of around two months had lapsed, between the possession having been taken and the outbreak of the pandemic. Immediately, upon the outbreak of the pandemic, there was a complete lockdown which was announced across the country. The plying of buses, both interstate and intrastate, had come to a complete standstill.

4. The lockdown was slowly eased some time from June, 2020, onwards. However, it is the case of the Petitioners that the interstate bus services did not resume to pre-pandemic levels until much later and the effect of the pandemic on commercial activity at ISBT continues to be felt. The case of the Petitioners, therefore, was that the Respondents are not entitled to collect the monthly license fee and also that the termination of the licenses by the Respondents is invalid and unlawful.

5. The present writ petitions have been filed from time to time by the various allottees of the shops at ISBT. During the hearing of these matters, two periods of lockdowns were imposed.

First lockdown period: From 23rd March, 2020 till 3rd November, 2020, on which date 50% of the inter-state buses had started plying.

Second lock down period: From 19th April, 2021 till 30th May, 2021.

Thus, the total lockdown period during the years 2020 and 2021 was approximately for nine months.

6. Vide order dated 12th November, 2020, this Court had observed that the following issues are raised in the present petitions:

"i. Whether the present petitions are maintainable in view of the arbitration clause in the license agreement?

ii. Whether the present petitions under Article 226 are maintainable in view of the fact that the license agreements are contractual in nature?

iii. Whether licence fee is liable to be paid for the period of complete lockdown?

iv. Whether licence fee is liable to be paid from the period when intrastate bus services commenced with effect from June, 2020?

v. Whether licence fee is liable to be paid from the period when intrastate bus services became operational and whether any amount is payable from the period when interstate bus services resumed at 50% capacity?

vi. Whether the Petitioners are liable to be given any remission/waiver of license fees and other charges during this period and, if so, how much?"

7. On the said date i.e., 12th November 2020, this Court had also issued the following directions to the Petitioners:

"9. All Petitioners who wish to retain possession of the shops are permitted to open their shops and commence business activities, subject to the following conditions:

i. With effect from November, 2020 the concerned Petitioners shall pay full license fee and other charges in terms of the license agreement.

ii. Forfeiture of the security deposit shall be considered at the stage of final adjudication of the writ petition. No further security deposit shall be payable.

iii. The question as to whether any amount w