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Smart Summary

Factual and Procedural Background

The writ petitioner was awarded a contract for the lease of one metric tonne space in a parcel van in Train No. 13111, running from Kolkata to Delhi, pursuant to an agreement executed on 10th March 2014, which was to subsist for three years. Subsequently, the original train (Kolkata-Delhi Lalquila Express) was merged with Train No. 13039/13040 (Howrah Delhi Janata Express), resulting in a new train numbered 13131/13132 running between Kolkata and Anand Vihar, known as Kolkata Anand Vihar Lalquila Janata Express. Due to this merger, the petitioner's subsisting lease contract was terminated effective 1st July 2014.

The petitioner challenged this termination, relying on Clause 17.1 of the lease agreement, arguing that the contract does not extinguish upon the merger of the train. The petitioner also referenced an interim order passed by the Hon'ble Delhi High Court in a similar case concerning the same train (Suresh Kumar v. Union of India), which stayed the operation of the termination order and permitted loading and unloading of goods as an interim measure. This order was annexed to the writ petition. The matter was scheduled for further hearing on 24 November 2014.

Legal Issues Presented

  1. Whether the lease contract for space in the parcel van is extinguished by the merger of the original train into a new train with a different number and route.
  2. Whether the petitioner is entitled to continue loading and unloading goods under the lease agreement despite the termination order issued by the Railways.
  3. Whether the interim order passed by the Hon'ble Delhi High Court in a similar matter should be given effect to by this Court.

Arguments of the Parties

Petitioner's Arguments

  • The contract for lease does not get extinguished on merging of the train, as per Clause 17.1 of the lease agreement.
  • Reliance on an interim order of the Hon'ble Delhi High Court in a similar case (Suresh Kumar v. Union of India) which stayed the termination and allowed interim loading and unloading rights.

Railways' Arguments

  • No appeal was preferred against the interim order of the Delhi High Court.
  • Argued that the Railways involved in the Delhi High Court case belonged to a different zone.
  • Contended that the petitioner should not be permitted to load goods in an entirely new train formed after merger.

Table of Precedents Cited

Precedent Rule or Principle Cited For Application by the Court
Suresh Kumar v. Union of India Interim stay of termination order and permission to load/unload goods under lease contract. The court relied on the interim order passed by the Delhi High Court as a basis to grant a similar interim relief to the petitioner, invoking the doctrine of comity of courts.

Court's Reasoning and Analysis

The court examined the contractual terms, particularly Clause 17.1 of the lease agreement, and found prima facie that the contract was not extinguished by the merger of the train. The court also considered the interim order passed by the Hon'ble Delhi High Court in a similar matter, noting that no appeal had been filed against that order. Applying the doctrine of comity of courts, the court held that the termination order should not be given effect to until 17 November 2014. On this basis, the court granted an interim order permitting the petitioner to continue loading and unloading goods on the newly numbered train 13131 from Kolkata to Anand Vihar until that date. Additionally, the court ordered that no fresh tender for space in the train should be issued during the subsistence of the interim order.

Holding and Implications

Interim relief granted: The termination of the petitioner's lease contract is stayed until 17 November 2014, and the petitioner is permitted to load and unload goods on Train No. 13131 during this period.

Implications: The decision preserves the petitioner's rights under the lease agreement temporarily, maintaining the status quo pending further hearing. No fresh tender for the train space will be issued during this interim period. The court’s order does not set a new precedent but respects the interim order of the Delhi High Court and the contractual provisions invoked by the petitioner.

    Rintu Choubey v. Union Of India & Ors.

    Aniruddha Bose, J.:— The writ petitioner was awarded contract for lease of one metric tonne space in a parcel van in Train No. 13111, from Kolkata to Delhi. An agreement to that effect was executed on 10th March, 2014. The agreement was to subsist for a period of 3 years.

    Subsequently, the said train, which was earlier known as Kolkata-Delhi Lalquila Express stood merged with Train No. 13039/13040 (Howrah Delhi Janata Express) and the said train was to run between Kolkata and Anand Vihar with a new Train Number 13131/13132, which became known as Kolkata Anand Vihar Lalquila Janata Express. Because of this reason, the subsisting leasing contract of the petitioner was terminated with effect from 1st July, 2014. Submission of the learned counsel on behalf of the petitioner is that on merging of the train, the original contract does not get extinguished. In this regard, he has placed reliance on Clause 17.1 of the lease agreement. It is also submitted on behalf of the petitioner that in a similar case, concerning the same train, the Hon'ble High Court of Delhi has been pleased to pass an interim order in W.P (C) 4735/2014 and CM No. 9433/2014 (Suresh Kumar v. Union of India) on 11 August, 2014. By that order, the operation of the order passed by the Sr. Divisional Commercial Manager/Fr. Delhi Division was directed to remain stayed till the next date of hearing. The petitioner in that proceeding was permitted to load and off load goods in the train as an interim measure. A copy of the order of the Hon'ble Delhi High Court has been made Annexure “P-5” to the writ petition. This matter had been directed to be listed on 24 November, 2014.

    I wanted to ascertain from the learned counsel who appeared on behalf of the Railways on 18 September, 2014 and 22nd September, 2014 as to whether the said interim order of the Delhi High Court was still subsisting or not. This query was specifically raised in my order passed on 18 September, 2014. On 22 September, 2014, when the matter was called on, the learned counsel for the Railways could not apprise this Court as regards the present position. Today when the matter is called on, learned counsel for the Railways submitted that no appeal has been preferred against the said order of the Hon'ble Delhi High Court. He sought to argue that in that case, Railways of a different zone was involved, and the petitioner could not be permitted to carry on loading in an entirely new train.

    In such circumstances, I am of the view that following the doctrine of comity of Courts, the impugned order of termination ought not to be given effect to till 17 November, 2014. On merit also, I am prima facie satisfied that Clause 17.1 of the lease agreement would apply in favour of the petitioner.

    In such circumstances, there shall be an interim order in the same manner as passed by Hon'ble Delhi High Court to the effect that the petitioner ought to be permitted to load and unload goods on and from the train in question bearing no. 13131 from Kolkata to Anand Vihar till 17 November, 2014.

    This matter shall be listed on 3rd November, 2014 under the heading ‘urgent motion’. So far as the space for the petitioner is concerned, there shall be no fresh tender for Train No. 13131 during subsistence of the interim order.

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    Comments

    Rintu Choubey v. Union Of India & Ors.
    (Sep 24, 2014)