The continued occupation of leased property by a public body post-expiration is arbitrary and warrants judicial intervention under Article 226 of the Constitution.

ORDER :

1. Both the writ petitions proceed on a similar set of facts with minor variations and seek the same relief i.e. for a writ of mandamus declaring the action of the respondents/the Indian Oil Corporation Limited (IOCL) and their Retail Sales Heads, respectively, in refusing to vacate the premises belonging to the petitioners, as illegal and arbitrary. The petitioners seek a consequential direction on the said respondents to vacate the premises and stop operation of the IOCL Petroleum Outlets on the petitioners’ properties.

2. The admitted facts which are common to both the writ petitions are stated below:

2.1. The petitioners claim to be the absolute owners of the properties which form the subject matter of the Lease Deeds executed between the petitioners and the IOCL on certain agreed terms including monthly rents. The leases were executed for a period of 20 years - from 30.06.2004 till 30.06.2024 in W.P.No.18813 of 2024 and from 11.08.2004 to 10.08.2024 in W.P.No.25779 of 2024. Both the leases hence expired on 30.06.2024 and 10.08.2024 i.e., before filing of the writ petitions in July, 2024 and September, 2024, respectively.

2.2. The petitioners in W.P.No.18813 of 2024 became the owners of the subject property by virtue of a registered Will dated 15.04.2015. There is no dispute as to the ownership of the subject properties. The petitioners wrote to the respondents on 24.05.2023, 24.07.2023 and 08.02.2024 respectively, conveying that they are not interested to extend the lease and requesting the respondents to vacate the premises after expiry of the lease period. The Divisional Retail Sales Head, Secunderabad Division Office, IOCL (respondent No.3 in W.P.No.18813 of 2024 and respondent No.2 in W.P.No.25779 of 2024) wrote to the petitioners on 04.09.2023 requesting for renewal of the lease for a further period of 19 years and 11 months. The petitioners in W.P.No.18813 of 2024 sent legal notices to the respondents on 21.09.2023 and 04.03.2024 reiterating their intention not to extend the lease and demanding that the premises be vacated and vacant possession be handed over to the petitioners after expiry of the lease period. The leases expired on 30.06.2024 and 10.08.2024 respectively. The respondents however continued to utilize the subject premises and continue to do so as on date.

2.3. There are slight differences in the dates of correspondence between the parties but the effect of the communications exchanged between them remains the same.

2.4 On 30.09.2024, the Petroleum and Explosives Safety Organisation (PESO) suspended the petroleum bunk’s license granted to the respondents for storage and supply of Petrol and High Speed Diesel.

2.5. IOCL filed a Suit (O.S.No.17 of 2024) before the learned District Judge, Medchal-Malkajgiri, on 23.04.2024, for specific performance viz., execution of the lease deed for a further period of 19 years 11 months. The Court is informed that the said Suit is pending as on date.

3. Learned Senior Counsel appearing for the petitioners in both the writ petitions argue in favour of maintainability of the writ petitions on the ground that the action of the respondents in refusing to vacate the subject premises despite expiry of the lease period is arbitrary, illegal and offends Articles 14 and 21 of the Constitution of India. Counsel has placed reliance on several decisions in support of their contentions on the maintainability of the writ petitions.

4. Learned counsel appearing for the respondents/IOCL has argued against the maintainability of the wri