Disposed

Md Gouse Pasha v. The State of Telangana and 3 others

Telangana HC2 Sept 2020WP/14120/2020

Case brief

AI extract

What is this about?

The High Court disposed of a writ petition seeking waiver of license fees and revocation of a show-cause notice during the COVID-19 lockdown. The court held that while the license fee is an absolute contractual term, the petitioner was technically premature in approachng this court. The court granted liberty to the petitioner to approach the Regional Manager for a waiver before taking coercive ste

What did the court decide?

Liberty granted to approach Regional Manager for waiver; no coercive steps including license termination to be taken until relief is considered.

Md Gouse Pasha Vs The State of Telangana and 3 others — Service and Employment | Telangana HC (2020)

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HIGH COURT FOR THE S] r.,"",; i 61E,35 l:lflf,i.Yi^{Ar HYDE RABAD}

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WEDNESDAY, THE SECOND DAY OF SEPTEIVBER TWO THOUSAND AND TWENTY

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PRESENT

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THE HONOURABLE SRI JUSTICE K.LAKSHMAN

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Betwee n:

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WRIT PETITION NO: 14120 oF 2020

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!l.d^{Goqqe Pasha. S/o.t,4d Jamaluddin,} Aged about 23 years, Occ. Business, R/o. H. No 501 Btock 30122t3. rajiv Gruhakatpr. o#tr"i"ai] ilr-n"gu?Jdov oirt,i.t, Telanga na State -

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...PETITIONER

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AND

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1 The State^of Telangana, by its principal Secretary Transport, Roads and

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6utt0tngs Department Secretariat, Hvderabad.

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Telangana State Road Tr?lgport Corporation, Having its head office at It4usheerabad, Hyderabad 500020 Rep.by its Regionil tr,4anager, Wirangar Region.

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Regional lVla.lgSer, Warangal Region Telangana State Road Transport Corporation Warangal 506002.

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Corporation Warangal 506002.

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4 Depo Manager, Tetansana State Road Transport Corporation

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ii,lE3?1"r,.?Sl.^lr"

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Petition under Article 226 o'f the Constitution of lndia praying that in the circumstances stated in the affidavit filed therewith, the High Court may be pleased to issue an appropriate Writ, Order or Direction, more particularly one in the nature of Writ of l/andamus, directing the respondents to forthwith revoke the show-cause notrce issued for payment of dues during the lockdown period and to waive-off the amounts to be^paid in^pursuance of the lMinistry of Home Affair^guidelines

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lA NO: 1 OF 2020

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Petition under Section 151 CPC^praying that^{in the circumstances stated in the} affidavit filed in support of the^{petition,the High court maybe pleased to directthe} respondents to not to insist for^payment of^{license fee fromthe petitionerfor the} period from lrilarch 2020 to July 2020,^pending disposal^{of the WritPetition}

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Counsel for the Petitioner:^{SRI UMESH CHANDRAP.V.G.}

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Counsel for the Respondent^{No.1: GP FORTRANSPORT}

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counsel for the Respondent^{Nos.2to 4: SRI B.MAYUR REDDY (S.C.FOR TSRTC)}

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The Court made the^{following:ORDER}

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THE HON'BLE^{SRI JUSTTCEK.LAKSHMAN} WRIT PETITI^{ONNo.l4l20 oF 2020}

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ORAL oRDER:

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This Writ Petition^{is filed seekinga direction to the respondents'} Corporation to^{revoke the show-causenotice issued for paynlent of dues} during the lockdown^{the periodand to waive off the amount to be paid lor} the months of March, 2020^{to Ju|y,2020.}

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Mr. Umesh Chandra P.V.G.,^{leamed counselfor the petitioner,} would submit that the petitioner has participated in the^{tendersissuedby the} respondents' Corporation and stood as successful bidder in respect olStallat Jangaon Bus Station under Jangaon Depot for running a Super Market business. Accordingly, a deed of license was entered into between him ancl the respondents' Corporation on 31.01.2020. The agreement period is tbr tive (05) years commencing from 01.02.2020 to 31.01.2025, and the license lee is Rs.l,l8,l l6l- per month, which excludes electricity and water charges, maintenance charges and GST etc.

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3' He would further submit that due to lockdown restrictions imposed by both the central and State Governments due to covlD-19 pandemic situation, the petitioner could not run his business and, therefbre, he co,ld not pay the license fee to the respondents' corporation frorn March,2020. The Divisional Manager of respondents' corporation has issr.red a shorvcause norice dated i5.07.2020 by invoking Clause 20 (a) of the agreelrenr and directed the petitioner to pay the license ree fbr the period t}om Marclr. 2020 to June,2020 within a period of one week. It is also mentioned in the

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*, ,"- rtr:O "tliii

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show-cause notice that in the event of fairure on the part of petitioner to pay license fee amount, the license would be terminated.

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4' The leamed counser for the petitioner wourd arso submit that the deed of license commenced from or.o1.2ozoand, thereafter,, within a short period i.e., one and half a month, Iockdown was imposed by the Central as well as the State Govemment due to covlD-lg pandemic situation and, therefore, the petitioner courd not run the business and ultimately that Ied to not paying the monthly license fee.

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On the other hand, Mr. B. Mayur Reddy, leamed Standing Counsel for the respondents' corporation would subrnit that the lockdown was imposed in the entire State of Telangana from 22.03.2020 to 17.05.2020, whereas, the petitioner is seeking waiver off license fee for the period from March, 2020 to lu|y,2020. He would further submit that the petitioner has not even paid the license fee for the month of August, 2020. However, he would submit that the petitioner has to approach respondent No.3 for waiver off license fee and the respondents' Corporation has issued only a showcause notice. The petitioner instead of submitting a reply lrepresentation to the said show-cause notice, approached this Court by way of present writ petition and, therefore, the present writ petition is premature. He would further submit that as per Clause - 42 of the Deed of License, the petitioner has to pay license fee in all circumstances including the present situation ol COVID- l9 pandernic, and it is an absolute tetm of contract.^{Thus,he sought} to dismiss the writ petition.

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J W.P^{NotJ120ol2A20} ^t

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It^{is not in disputethat the petitionerand the respondents'} Corporation^{enteredinto a Deed of Licensedated31'01'2020 in respect of} Stall at^{Jangaon Bus Station underJangaon Depotfor runninga Super} Market business.^{The agreementperiodis for a periodof five (05) yeas} commencing^{from 01.02.2020 to 31'01'2025'and agreed licenset'eeis} Rs. 1 ,1 8,1 16l-^{per month,whichexcludes electricity and water charges'} maintenance^{chargesand GST etc' The allegationagainstthe petitioneris} thatheisadefaulterinpaymentoflicensefeefromMarch,2020tilldate and, therefore,^{the respondents'corporationhas issuedshow-cause notice} datect 15.07.2020^{invoking Clause 20 (a) of the Deed of License The} petitioner was asked to pay the said license^{fee for the period lromMarch,} 2020 to June, 2020. Lockdown was imposed in the^{entire State of Telangana} w.e.f. 22.03.2020. According to Mr. B. Mayur Reddy, learned Standing Counsel, the lockdown was ended on 17.05.2020 itself. Even then, the petitioner is seeking waiver off license fee for the months of June and July, 2020 which is not permissible.

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According to the petitioner, he has not conducted business in the subject stall due to COVID-19 pandemic situation from March,2020 to July, 2020. Whereas, according to the respondents, Corporation, the lockdown was imposed from 22.03.2020 to 17.05.2020. As per clause 42 of the Dee-d of License dated 31.01.2020 "in case business is not ca*ied out by rhe licensee due to riots / agitations / bundhs / tire / floods / natural calamities / strike / eithe. by internal or extemal factor of for any other reasons, lbr a particular period, or periods, the Licensee shalr have not right to clai, any

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4 tt'P .. N. tat2n ar:0:0ALJ

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remission on license fee Payment or compensatiot , ". !v,, rprr rsau or.l or reimbursement loss

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Mr. B. Malr:r Reddy, reamed standing counser, wourd submit that it is an absorute term of contract and it felr for consideration for the period of 'SAKALA JANULA SAMME,. But, the present situation is different. The State and the centrar Governments have imposed rockdown restrictions in the entire State of Telangana which includes closure of ail the commercial establishments' The respondents' corporation is under obligation not to run its buses. In some States incrudirlg Kamataka State gr.anted some waiver benefits to the licensees, like the petitioner. The leamed Standing counsel would lurther submit that the petitioner has to approach respondent No.3 raising all the contentions which are raised in the present writ petition. In view ol the said submission, without expressing any opinion on merits including the validity of Clause - 42 of the Deed of License dated 31.01 .2020, this Court is of the view that the petitioner should approach respondent No.3 seeking the relief sought for in the present writ petition.

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In view of the aforesaid discussion and the facts and circumstances ol the case, liberty is granted to the petitioner to approach^{respondent No.3-} Regional Manager, Warangal Region,^{TSRTC, Warangal,and submita} representation seeking^waiver off^{licensefee for the period from March,} 2020 to July, 2020 by raising^{all the groundsincluding the grounds raised in} this writ petition, covlD-19^{Pandemicsituation within four (04) weeks} l,rom tlie date of receipt^{of a copyof this order.Thereupon,respondentNo.3} shall consider^{the saidrepresentation withspecific reference to the lockdown}

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KL'J ll.P^{.l'o. t I I 20 ol )t)2t)}

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restrictions^{irnposedby both Centraland State Governments'benetlts} granted by^{otherStates and the Stateof Telanganato the similarlysituated} persons, and^{pass appropriate orderswithin a period of two (02) weeks} thereafter'^{Till the Saidexerciseis completed,the respondents'Corporation} shall not take^{any coercive stepsincluding terminationof deed of Iicense} dated3l.0l.2020.However,itismadeclearthatthepetitionershallpay Iicense fee regularly^{from August,2020 onwards'}

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With the above observation,^{the present Writ Petition is disposed} ol'. However, there shall be no order^as to^costs.

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Miscellaneous petitions, if any, pending in the main writ petition shall

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stand closed.

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SD/. B. SATYAVATHI ASSISTANT REGI TRAR

//TRUE COPY'

SECTION OFFICER

The Principal Secretary, Transport, Roads and Buildings Department, State of Telangana, Secretariat, Hyderabad.

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The Regional Manager, Telangana State Road Transport Corporation, Having its head office at lr/usheerabad, Hyderabad 500020 Warangal Region.

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The Regional Manager, Warangal Region Telangana State Road Transport Corporation Warangal 506002.

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The Depo Manager, Telangana State Road Transport Corporation Jangaon 506167.

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One cc to Sri Umesh Chandra P.V.G., Advocate IOPUC]

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Two CCs to GP for Transport, High Court for the State of Telangana [OUT]

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One cc to Sri B.Mayur Reddy, S.C.for TSRTC (OPUC)

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Two CD Copies

Kj. 1',,

HIGH^COURT

DATED:0210912020

1 H E TA I4:
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ORDER

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WP.No.14120^{of 2020}

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Disposing of^{the Writ Petition} without costs.

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I D
? i tnfut

Md Gouse Pasha v. The State of Telangana and 3 others

Case brief

What is this about?

What did the court decide?

Md Gouse Pasha v. The State of Telangana and 3 others

Case brief

What is this about?

What did the court decide?

What the court decided

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