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As per case facts, landlords filed an HRP suit for eviction against the lessee (Bharat Petroleum) and sub-lessee (Mahendra Motors) from demised land, alleging breach of lease terms including unauthorized
...sub-subletting, conducting non-allied businesses like car repair, and erecting permanent structures. The lease allowed subletting but expired without renewal due to lack of mutual agreement. The trial court and appellate court ruled in favor of the landlords, prompting the lessee and sub-lessee to file revisions in the High Court. The question arose whether the lease was validly renewed, if sub-subletting and non-allied businesses constituted a breach, if permanent construction was permissible, and if the subsequent purchaser, Nirma Limited, could execute the eviction decree. Finally, the High Court held that the lease was not renewed due to lack of mutual consent, making the lessee a statutory tenant. Sub-subletting by the sub-lessee and engaging in businesses unrelated to petroleum products were found to be clear breaches of tenancy terms, as was the unauthorized permanent construction. The court affirmed Nirma Limited's right to execute the decree as the property and decree had been assigned to them.
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