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Law is a Force for Justice, Not Absurdity: Supreme Court on Rent Arrears Eviction Case

9Feb

By The Legal ChamberNo Comments

Supreme Court

Law is a Force for Justice, Not Absurdity: Supreme Court on Rent Arrears Eviction Case

The Supreme Court held that in appeals challenging eviction orders under Section 12(3) of the Kerala Buildings Act, the Appellate Authority is not required to mandatorily re-initiate the entire Section 12 procedure. The deposit of admitted arrears, as determined by the Rent Controller, is a precondition to contest the appeal, unless supervening events warrant a fresh application. Facts Of The Case: The appellants are landlords who filed eviction petitions against the respondent-tenant for two shops in Kochi, alleging non-payment of rent since early 2020. The Rent Controller, relying on a prior money decree for arrears, passed orders under Section 12(1) of the Kerala Buildings Act, directing the tenant to pay substantial outstanding and future rents. Upon the tenant's failure to comply, e...

Supreme Court: Arbitrator Cannot Rewrite Contracts, Upholds IRCTC’s Catering Policy

The Supreme Court held that an arbitral award which contravenes binding government policy circulars—incorporated into the parties' contracts—is patently illegal and in conflict with the public policy of India under Section 34(2A) of the Arbitration and Conciliation Act, 1996. An arbitrator cannot rewrite contractual terms that reflect such policy. Facts Of The Case: The case arose from contracts for catering services on premium Indian Railways trains (Rajdhani, Shatabdi, Duronto). The Railway Board initially increased meal tariffs in 2013 but simultaneously introduced a cheaper "combo meal" to replace the second regular meal on long journeys. This combo meal was swiftly discontinued days later, and caterers were directed to serve a second regular meal instead, but were to be reimbu...

Supreme Court Sets Aside Mining Tender: “Previous Year” Means Year Before Bid

The Supreme Court emphasized that judicial review in tender matters ensures fairness and non-arbitrariness under Article 14. It held that misinterpretation of a tender condition, which wrongly excludes the highest bidder and deprives the state of revenue, vitiates the decision-making process. The court underscored the state's duty to maximize public value in natural resource auctions. Facts Of The Case: The case involved a public auction for a five-year sand quarry lease in Odisha. The appellant, M/s Shanti Construction Pvt. Ltd., was the highest bidder but its bid was rejected by the Tender Committee for allegedly failing to comply with Rule 27(4)(iv) of the Odisha Minor Mineral Concession Rules, 2016. The rule required submission of an Income Tax Return for the "previous Financial Year...