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2025 Supreme(Del) 379

IN THE HIGH COURT OF DELHI AT NEW DELHI
Subramonium Prasad, J.
Onkar Infotech Pvt. Ltd. - Plaintiff
Versus
Delhi International Airport Ltd. & Ors – Defendants
IN THE MATTER OF: CS(COMM) 660 of 2024 & CC(COMM) 1 of 2025, CC(COMM) 2 of 2025, CC(COMM) 3 of 2025, I.A. 41457 of 2024, I.A. 41458 of 2024, I.A. 41459 of 2024, I.A. 46396 of 2024, I.A. 46412 of 2024, I.A. 46413 of 2024, I.A. 46441 of 2024, I.A. 46442 of 2024, I.A. 46443 of 2024 I.A. 46448 of 2024, I.A. 46449 of 2024, I.A. 46450 of 2024, I.A. 46451 of 2024, I.A. 46523 of 2024, I.A. 46524 of 2024, I.A. 46525 of 2024, I.A. 46526 of 2024, I.A. 46527 of 2024, I.A. 398 of 2025
Decided On : 01 -09-2025

Advocates Appeared:
For the Plaintiff :Mr. P. S. Patwalia, Sr. Advocate & Mr. Dayan Krishnan, Sr. Advocate with Mr. Harpreet Singh, Mr. Karan Luthra, Mr. Shreedhar Kale, Mr. Yogesh Malik, Mr. Rohan Dua, Advocates
For the Defendant :Mr. Raj Shekhar Rao, Sr. Advocate with Mr. Amitabh Chaturvedi, Mr. Ankit Monga, Shourya Tomar, Advocates, Mr. Manu Krishnan, Mr. Tejasvi Chaudhry and Ms. Rajshree Jaiswal, Advs., Mr. Anirudh Bakhru, Mr. Manu Krishnan, Mr. Tejasvi Chaudhry and Ms. Rajshree Jaiswal, Advs

An unregistered lease exceeding one year is invalid, thus establishing month-to-month tenancy liable for eviction upon proper notice.

Headnote:(A) Transfer of Property Act, 1882 - Sections 105, 106, and 107 - Registration Act, 1908 - Sections 17 and 49 - Suit for possession and arrears of rent - An unregistered Lease Deed cannot be enforced under law; the Defendants recognized the landlord-tenant relationship with the Plaintiff and accepted the Plaintiff's ownership post-sale - The Defendants were held to be month-to-month tenants prior to termination of the lease and liable for eviction upon issuance of notice. (Paras 20, 24, 32, 52)

(B) Summary Judgment under Order XIII-A of CPC - Summary judgments serve to quickly resolve claims where the Defendant has no real prospect of success, negating the need for protracted trials where facts are clear. (Paras 41, 49)

Facts of the case:
The Plaintiff filed a suit for possession and recovery of rent for a property leased to the Defendants based on an unregistered Lease Deed; the Defendants had acknowledged rent obligations and the relationship of tenancy. The Plaintiff acquired the property via a registered sale after the execution date of the Lease Deed.

Findings of Court:
The Lease Deed could not be admitted as evidence due to its unregistered status, hence the tenancy was deemed to be month-to-month. The Plaintiff terminated the tenancy correctly via notice.

Issues: The court examined whether the unregistered lease impacted enforceability, and the applicability of the DLR Act as claimed by the Defendants.

Ratio Decidendi: The court held unregistered leases of over one year invalid, asserting that the Defendants had no grounds to contest eviction based on provisions of the Transfer of Property Act and the DLR Act.

Result: The Plaintiff is granted possession per the prayer in I.A. 398/2025.

JUDGMENT :

SUBRAMONIUM PRASAD, J.

1. The instant Suit has been filed by the Plaintiff with the following prayers:-

“(a) Pass a decree of possession in favour of the Plaintiff and jointly and severally against the Defendants directing the Defendants to forthwith hand over the vacant and peaceful possession of the. Subject Premises i.e., an area admeasuring 2.45 acres (consisting of one main dwelling building block having built-up area of 30,000 Sq. ft. with lawn) of Property bearing No. D-17, Pushpanjali Farms, Bijwasan, New Delhi - 110037, which is admeasuring a total of 3.8125 acres;

(b) Pass a decree of money in favour of the Plaintiff and jointly and severally against the Defendants directing the Defendants to pay a sum of Rs. 30,90,810/- (Rupees Thirty Lakhs Ninety Thousand Eight Hundred and Ten Only) towards the arrears of rent for a period of 21 days i.e., 01.07.2024 to 21.07.2024 along with interest at the rate of 18% per annum from the due date till the date of actual payment;

(c) Pass a decree in favour of the Plaintiff and jointly and severally against the Defendants directing the Defendants to pay mesne profits and/or damages at the rate of Rs. 1,00,00,000/- (Rupees One Crore only) per month to the Plaintiff, w.e.f 22.07.2024 till the vacant and peaceful possession of the Subject Premises is restored back to the Plaintiff, along with interest at the rate of 18% per annum from the due date till the date of actual payment;

(d)Pass a decree of permanent injunction restraining the Defendants and its employees, associates, agents, representatives and assignees, jointly and severally from selling, alienating, transferring or creating any third-party rights or in any manner interfering with the ingress, egress and peaceful possession of Plaintiff, in respect of D-17, Pushpanjali Farms, Bijwasan, New Delhi - 110037;

(e) Direct the Defendants to pay the costs of present litigation to the Plaintiff;

(f) Pass any such further order(s) as this Hon'ble Court may deem fit and proper in the facts and circumstances of the present case.”

2. The facts of the present Suit are as under:

i) The Property No. D-17, Pushpanjali Farms, Bijwasan, New Delhi-110037 admeasuring a total area of 3.8125 acres (hereinafter referred to as the "Pushpanjali Property"), is divided into:

a. One main dwelling building block having built-up area of 30,000 Sq. ft. with lawn on approximately 2.45 acres of land ("Subject Premises").

b. Independent out house building block on 1.3625 acres of land.

ii) It is stated that for entering the aforesaid two building blocks, there is a common main gate and common passage. On 01.04.2020, the erstwhile owner of the Pushpanjali Property i.e., M/s Indus Sor Urja Pvt. Ltd. and the Defendant Nos. 1 to 3 executed an unregistered agreement titled as "Lease Deed" (hereinafter referred to as the "Lease Deed"), whereby the Defendant Nos. l to 3 were given the Subject Premises on lease for the use of the Defendant Nos. 1 to 3. It is stated that as per Clause 2.1 of the Lease Deed, the rent was fixed at Rs.39,67,500/- per month along with applicable GST to be paid by the Defendant Nos. 1 to 3 in the manner stipulated therein. It is further stated that the current rent being paid by the Defendants was a sum of Rs. 45,62,625/- per month including TDS along with applicable GST.

iii)It is stated that the area of 1.3625 acres of land in the Pushpanjali Property was never leased to the Defendants and the same is currently in exclusive possession of the Plaintiff. The Plaintiff is entitled to use the common main gate and common passage, without any hindrance or restriction, in order to access, use, and enjoy the said area of 1.3625 acres of the Pushpanjali Property. It is stated that the Defendants cannot in any manner restrict or impinge on the said right and thereby, interfere with rights of ingress and egress of the Plaintiff qua the said area of 1.3625 acres of the Pushpanjali Property.

iv)It is further stated that Clause 1 of the aforesaid Lease D

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