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M/S Artistic Art Forum Pvt. Ltd. v. B. Sita Maha Lakshmi

Civil Appeal · 2018 INSC 800Decided 10 Sept 2018
Civil Appeal No. 9215 of 2018
Justice Kurian Joseph · Justice Sanjay Kishan Kaul

Background

Artistic Art Forum Pvt. Ltd., a tenant/occupant of certain premises, challenged an interim order of the High Court that had vacated an earlier stay on its eviction from the premises. The matter reached the Supreme Court by way of a civil appeal against that interim order, while a separate dispute over the quantum of mesne profits (compensation for wrongful use of the property) remained to be tried.

Decision Breakdown

At the hearing, the appellant's counsel gave an undertaking to the Court that the company would surrender vacant possession of the premises on or before 31 March 2019. The Supreme Court recorded this undertaking and modified the High Court's impugned order accordingly, directing the appellant to continue paying use and occupation charges of Rs. 1.5 lakh per month in the meantime. The Court made clear that this arrangement was without prejudice to either side's contentions in the still-pending mesne profits trial, and disposed of the appeal (along with any pending applications) on this basis, with no order as to costs.

Lesson Learnt

Parties can resolve an appeal over an interim eviction-related order through a recorded undertaking, such as agreeing to a fixed date to vacate and ongoing occupation charges, without that compromise affecting their rights in a separate, still-pending dispute over the final compensation amount.

Official source (sci.gov.in)View Judgment (PDF)

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