In a recent judgement, Delhi High Court held that Doctrine of Frustration u/s 56 of Indian Contract Act is not applicable on Lease Agreements.
The High Court judgement in the case Ramanand vs Dr Gireesh Soni is based on the precedent laid down by the Hon’ble Supreme Court in various cases, in which SC held the Doctrine of Frustration under Section 56 will be applicable on ‘executory agreements’ only and not on ‘executory agreements’.
The Hon’ble Delhi High court referred to many cases in this case (Doctrine of Frustration) and wrote a very good judgement. Some referred judgements are-
- Hotel Leela Venture Ltd v Airport Authority of India
- Raja Dhruv Dev Chand v Raja Harmohinder Singh
- Energy Watchdog v CERC & ors.
- Raichurmatham Prabhakar & Anr vs Rawatmal Dugar
The Delhi High Court also observed that this case is not covered under the protective orders given by the Ministry of Home Affairs in this period of lockdown due to Covid-19. As the court intended to protect and help the migrants people, students, and other people who are suffering in this lockdown and are occupying rented houses.
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