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2024 Supreme(Raj) 1325

IN THE HIGH COURT OF RAJASTHAN
VINIT KUMAR MATHUR, J.
Subodh Dhussa - Petitioner
Versus
Indian Oil Corporation Ltd. and ors. - Respondents
S.B. Civil Writ Petition No. 44 of 2024.
Decided on : 18-04-2024

Advocates:
Advocate Appeared:
For the Appellant : Mr. Ankur Mathur, Mr. Harshvardhan Thanvi and Ms. Shrestha Mathur
For the Respondent: Mr. Vinay Kothari, Mr. Mehul Kothari, Mr. Ayush Goyal

The court ruled that upon expiration of the lease term, the lessee is obligated to vacate the property unless a new agreement is established.

Headnote:(A) Lease Agreement - Terms and Conditions - The petitioner leased land to the respondent-Corporation for a period of nineteen years and seven months, which was not extended - The respondent-Corporation is obligated to vacate the land after the lease term expired. (Paras 3, 11, 15, 16)

(B) Sub-Lease - The argument regarding sub-leasing to Sumit Petroleum is rejected as no clause in the lease agreement permits such action. (Paras 13, 14)

(C) Legal Obligations - The court emphasizes that the terms of the lease agreement govern the relationship between the parties, and prior correspondence is irrelevant. (Paras 11, 12)

(D) Final Decision - The writ petition is allowed, directing the respondent-Corporation to vacate the land within six weeks. (Para 16)

ORDER :

Mr. Vinit Kumar Mathur, J. - Heard learned counsel for the parties.

2. The present writ petition has been filed with a prayer that the respondent Nos.1 and 2 may be directed to vacate the land in question at the earliest. A prayer has also been made for directing the respondent-Corporation to clear the dues of the petitioner, if any.

3. Briefly noted the facts of the writ petition are that the petitioner vide a lease agreement dated 26.04.2004 leased out a land situated at Khasra No.260 of Village Shivbari, Tehsil and District Bikaner (hereinafter referred to as 'the land in question') to the respondent-Corporation for a period of nineteen years and seven months. The respondent-Corporation established a Retail Outlet-cum-Petrol Pump on the said land. After expiry of period of nineteen years and seven months, neither fresh agreement was entered between the parties nor the time period mentioned in the lease agreement was extended. The petitioner requested and represented to the authorities of the Corporation to vacate the leased land and handover the peaceful possession of the same to the petitioner. Since the same has not been done, the present writ petition has been filed.

4. Learned counsel for the petitioner, relying upon the terms and conditions of the lease agreement, submits that the land was leased out to the respondent-Corporation for a term of nineteen years and seven months commencing from 21st March, 2004 and since the period has not been extended, therefore, the respondent-Corporation is under an obligation to handover the peaceful possession of the land in question to the petitioner. Learned counsel further submits that as per the term used in Clause (j) of the lease agreement "this lease will be automatically and without any further act of the parties hereto be renewed" has been substituted by subsequent correction deed dated 31.10.2018 by substituting that in sub para (j) of Para I "will be automatically" by "may be" and, therefore, he submits that since no extension has been granted to the respondent-Corporation, therefore, the respondent-Corporation was duty bound to vacate the land in question leased out to them and hand over the peaceful possession of the same to the petitioner. He submits that despite multiple representations submitted to the respondent-Corporation, they have not vacated the land and handed over the peaceful possession of the same to the petitioner. He, therefore, prays that the writ petition may be allowed and the respondent-Corporation may be directed to vacate the lease property and hand over the peaceful possession of the same to the petitioner.

5. Per contra, Shri. Vinay Kothari, learned counsel for the respondent-Corporation vehemently opposed the submissions made by learned counsel for the petitioner and submitted that normally the language used in the lease agreement is such that "it does not exceed a period of 20 years" as any stipulation in the agreement beyond 20 years entails a huge expenditure towards the stamp duty and, therefore, as per the standard language, the lease agreement is formulated in this fashion. Learned counsel for the respondent Corporation, however, very fairly submits that the correction deed was/were entered into between the parties on 31.10.2008 and the necessary corrections as reflected in the correction deed were made. Learned counsel for the respondent Corporation is not in a position to show any document, whereby, the period beyond nineteen years and seven months has been extended by the petitioner in favour of the respondent-Corporation.

6. Learned counsel for the respondent-Corporation submits that as per consent letter signed by the petitioner on 25.06.2003, the petitioner agreed for leasing out the land in question to the respondent-Corporation for a period of thirty years.

7. Learned counsel submits that the Corporation has invested huge amount on building and infrastructure etc. for the purpose of operation of a retail outlet.

8. Learned counsel su

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