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IN THE HIGH COURT OF DELHI
Navin Chawla, Asha Menon, JJ.
Delhi Development Authority - Appellant
Versus
Vikas Goyal - Respondent
LPA 191 of 2021 & CM Appls. 18854-55 of 2021
Decided On : 18-06-2021




The court affirmed that claims of non-communication regarding the Letter of Intent were inconsistent with prior communications, impacting the obligations for timely payments.

Headnote:(A) Delhi Development Authority Act - Interim Orders - The appeal challenges an interim order directing a respondent to deposit remaining payment for a plot of land with the authority, while securing their rights until the next date. The court outlined existence of emails indicating the respondent's awareness of the allocation. The court noted the respondent's claims regarding the non-communication of the Letter of Intent (LOI) were inconsistent with these emails. (Paras 2-12)

(B) Discrimination in Extensions - The court dismissed claims of discrimination regarding extensions granted for payment timelines between the initial deposit and subsequent payments, asserting the request for interim relief was not merited at this stage. (Paras 13-15)

Facts of the case:
The appellant contested an interim order allowing the respondent to secure their plot of land amidst the pandemic, with a condition to continue payments. The respondent claimed non-communication of the LOI and requested an extension to make the payment due to financial hardships caused by COVID-19.

Findings of Court:
The court ruled that the respondent's representations did not support their claims and upheld the right of the appellant to continue auction processes.

Issues: The main issues addressed were the validity of the respondent's claims regarding the LOI and whether the extensions granted for payments were equitable.

Ratio Decidendi: The court concluded that the respondent's claims were unsubstantiated and emphasized the need for consistency in payment obligations despite circumstances.

Result: The impugned order was modified allowing the appellant to proceed with the auction process.

Table of Content
1. challenge to interim order details (Para 2 , 3 , 4)
2. arguments about payment extensions and obligations (Para 6 , 10)
3. clarification of communication and obligations (Para 8 , 9 , 11)
4. court's evaluation of argument validity (Para 12 , 13 , 14)
5. modification of prior order and auction process (Para 15 , 16)

JUDGMENT

Navin Chawla, J. (Oral)

This hearing has been held through video conferencing.

CM APPL. 18854/2021 (Exemption)

Allowed, subject to all just exceptions.

LPA 191/2021 & CM APPL. 18855/2021

1. As the learned counsel for the respondent has appeared on an advance notice and has been heard in the appeal, we dispose of this appeal at this stage itself.

2. This appeal has been filed by the appellant challenging the interim order dated 13.05.2021 passed by the learned Single Judge in W.P. (C) No.5138/2021 filed by the respondent herein inter alia directing as under:

"7. The petitioner is ready and willing to pay the remaining amount of Rs.1,63,12,000/- (less Rs.5,25,600/- already paid. Without prejudice to the rights and contentions of the parties, let the said monies be deposited with the DDA by the petitioner within 3 weeks. The petitioner's right and position in the said plot of land shall remain secured till the next date."

3. The learned counsel for the appellant has drawn our reference specifically to the e-mails dated 04.11.2020, 11.12.2020 and 19.12.2020 addressed by the respondent to the appellant, to contend that the plea of the respondent that the Letter of Intent (hereinafter referred to as `LOI') cannot be given effect to for it did not mention the number of the plot allotted to the respondent is, on the face of it, incorrect inasmuch as the respondent was well aware of the plot allotted to him and had in fact been seeking extension of time to make the payment on account of financial difficulties arising out of Covid.

4. On the other hand, the learned counsel for the respondent submits that the fact that the LOI does not mention the exact plot allotted to the respondent is evident from a reading of the said document.

5. He further submits that the Letter of Intent has not been communicated to the respondent and the appellant has not even placed on record the purported e-mail dated 29.04.2020 along with which it claims to have sent the LOI.

6. He submits that while two extensions were granted for the bidders for making payment of the balance 75% of the bid amount, the extension for making the initial deposit of the 25% was granted only once, thereby causing discrimination.

7. The learned counsel for the respondent further submits that in terms of the Impugned Order, the respondent has also issued a cheque qua the amount payable in terms of the said order in favour of the appellant.

8. We are not impressed with the submissions made by the learned counsel for the respondent. The e-mail dated 04.11.2020 of the respondent reads as under:

"I had applied through e-Auction No. Phase VII for INDUSTRIAL PLOT SI. No. 79 Plot No. C-59 Mangolpuri, Ph-I (100 mtr). I was the highest bidder @ INR 1,63,12,000 as on 20th November 2019. The EMD of INR 5,25,600 was paid on 15 November 2019.

I waited for a long time for the letter of intent, and later discovered that the letter of intent No.F.1 (Misc.) IndustrialAction Plots/DDA/2017/614 had been uploaded on the online portal on 29 April 2020. There was no intimation via email or message. Since the letter of Intent was uploaded in the Covid lockdown period, it was not duly communicated to us. Also the time extended by your good self was not sufficient to meet out the payments as there was a cash crunch due to the pandemic.

However, I am interested in purchasing the plot and am in the position to make the necessary payments along with interest, if any. Thus, I want an extension so that I can pay for the plot now. Let me know how to proceed further and allow me to make the payments.

Kindly consider the request in these unprecedented times."

9.

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