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High Court for State of TelanganaWP/23923/2017disposed of no costs

M/S. The City Of Destiny Clubs And Resorts v. The State Of Andhra Pradesh, Rep By Its Principal Secretary,

2017-07-26B.Siva Sankara Rao3 pages

HON'BLE DR. JUSTICE B. SIVA SANKARA RAO WRIT PETITION No.23923 of 2017 ORDER:

Heard learned counsel for the petitioner and learned Government Pleader for Tourism on behalf of respondents and perused the prayer in the writ petition with the supporting affidavit and the impugned notice dated 10.07.2017 in letter No.9773/PMU/EO/2003 issued to the petitioner by the 2nd respondent and it also refers to the earlier notice dated 27.07.2015 covered by reference No.10.

The prayer in the writ petition reads as follows: "To issue a writ, order or direction, more particularly one in the nature of writ of mandamus, declaring the action of the 2nd respondent in issuing the impugned termination notice letter No.9773/PMU/EO/2003 dated 10.07.2017 by terminating the petitioner firm lease agreement dated 08.02.2011 straight away passed orders dated 10.07.2017 wherein mentioned that the lease agreement terminated on the same day of issuance of notice i.e., 10.07.2017 even without giving any opportunity nor show cause notice to explain or mention the reasons for termination and even violation of the condition No.6.2 (b) of the Lease agreement dated 08.02.2011 it is illegal and in violation of law and procedure and against the principles of natural justice and also violation of Articles 14, 19, 21 and 300-A of Constitution of India and consequently set aside the impugned termination order dt.10.07.2017 in the interest of justice and to pass such other order or orders."

It is the contention of the learned counsel for the petitioner in support of the prayer from the affidavit that as per the terms of lease agreement, particularly, Clause 6.2 (a) & (b), minimum 60 days notice from the date of service required to terminate the agreement and either in the notice dated 27.07.2015 or in the present impugned notice dated 10.07.2017 there is no any 60

Dr. SSRB,J days time contemplated by the mutual agreement and the very notice itself speaks of termination without opportunity and show cause notice contemplated by Clause 6 of the agreement supra and same is liable to be quashed as contrary to the agreement terms and violation of principles of natural justice. It is the submission of the learned Government Pleader that the notice issued in way back on 27.07.2015 by referring a preliminary notice for termination and there is no compliance with the same and thereby the final termination notice is issued now and as per the notice of 2015 supra, there was an arrear of Rs.27,89,322/-, leave about any liquidated damages of Rs.2,00,000/- as per Clause 7.2 (c) of the agreement and thereby there is nothing to interfere with the impugned notice. Undisputedly either from the notice dated 27.07.2015 or from the present impugned notice dated 10.07.2017, there is no mention as contemplated with the terms of Clause 6 of the agreement of giving 60 days notice by showing cause before issuing any proceedings for termination.

Having regard to the above and in the result, the Writ Petition is disposed of by treating the preliminary notice for termination dated 27.07.2015 as preliminary notice by granting 15 days time from today to submit any explanation to the said show cause notice as of now it is more than 60 days expired from 27.07.2015 and if there is any such submission of the explanation, to pass appropriate orders if at all to terminate, else to continue as the case may be and needless to say without

Dr. SSRB,J passing final order of termination by virtue of this order, the petitioner cannot be dispossessed.

Consequently, miscellaneous petitions, if any, shall stand closed. No costs.

_____________________________________ JUSTICE Dr. B.SIVA SANKARA RAO Date: 26.07.2017 ska