Delhi High Court judgments

Delhi HC quashed a Single Judge’s order that nullified an arbitral award, reiterating that courts may intervene only under Sections 34/37 of the Arbitration and Conciliation Act and cannot re-appraise evidence or reinterpret the contract. The ruling preserves award finality and curtails judicial overreach for parties challenging awards.

A senior advocate’s claim for unpaid fees against the State of Madhya Pradesh was granted, with the Delhi High Court ordering payment of Rs 78.65 million plus 24% per annum interest. The bench clarified that a writ under Article 226 can be entertained even when the underlying facts are contested, widening the avenue for fee recovery from governments. The decision benefits senior advocates and other professionals seeking redress for outstanding fees from public authorities.

Demotion after maternity leave violates Section 12 of the Maternity Benefit Act, the Delhi High Court found. It reinstated the employee as senior manager, awarded Rs 10 lakh for mental harassment, and directed the Union to issue guidelines for private employers. The ruling expands maternity protection to post-leave career progression for women workers.

The Delhi High Court overturned two district-court possession orders, ruling that an unregistered agreement to sell cannot be invoked to obtain possession under Order XII Rule 6 CPC and does not attract the protection of Section 53A of the Transfer of Property Act. This limits claimants from using informal sale agreements to secure possession of property.

Delhi HC ordered a forensic audit of 17 banks to trace assets hidden to evade a foreign arbitral award, holding that any court-issued undertaking overrides statutory transfer freedoms. It sentenced contempt violators to six months’ imprisonment and attached their assets, signalling that attempts to dissipate award-related property will attract rigorous investigation and severe sanctions.

Delhi High Court ruled that a college cannot offset alleged excess provident-fund credits against retirees’ gratuity, reinforcing statutory protection under the Payment of Gratuity Act. The decision bars any post-retirement PF recovery by adjusting gratuity, safeguarding former employees’ entitlement.

Delhi High Court ruled that the FSSAI cannot seize Enerzal drinks labelled “electrolyte” without first issuing a Section 32 improvement notice, granting a stay on the May 26 notice and related seizures. This obliges regulators to follow the statutory pre-seizure procedure, safeguarding food manufacturers and ensuring due process for state food-safety authorities.

Delhi HC stayed NHAI's debarment of a joint-venture independent engineer because the authority failed to issue the graded warnings required by the contract’s TOR, and a policy circular cannot override the agreement. The ruling obliges NHAI to follow the step-wise warning mechanism in any future debarment, safeguarding consultants from arbitrary exclusion.

Delhi High Court quashed the Sentence Review Board’s denial of premature release, ruling that Rule 1251 obliges a comprehensive appraisal of the inmate’s conduct, rehabilitation progress and socio-economic circumstances. The judgment expands the criteria for early release of life-convicts and directs prison officials to apply a holistic test.

By rejecting the writ, the Delhi High Court clarified that the proper forum for MCA investigations is the place where the substantive corporate dispute arises, reinforcing the nexus test for Article 226 jurisdiction. This guidance applies to companies facing regulatory probes across India.

An oral, temporary settlement among co-owners does not meet the legal definition of a partition, so the Delhi High Court allowed a fresh partition suit despite earlier compromise orders. The decision confirms informal compromises cannot bar new partition actions under Order VII Rule 11 CPC, affecting joint-family property litigants.

Delhi High Court confirmed that a seller may retain only the expressly stipulated earnest-money amount, rejecting forfeiture of the full ₹17.5 million paid. The ruling limits Section 74 ICA to penal clauses and excludes later part-payments, urging parties to define earnest money separately.

By accepting the parties’ admission of signatures, the Delhi HC declared the 1994-95 promissory notes genuine, invoking Section 139 of the Negotiable Instruments Act. The decision confirms that statutory presumption of authenticity trumps handwriting doubts, guiding future forgery challenges.

The Delhi High Court quashed the Registrar’s last-minute appointment of an administrator just before the scheduled co-op housing society elections, deeming it ultra vires. It also ordered that all election documents be kept safe, protecting members’ voting rights.

A Delhi High Court ruled that serving summons through a process server at the defendant’s registered office satisfies CPC requirements, overturning an ex-parte decree. The court granted the defendant a conditional order to file its defence within a stipulated period, underscoring that proper service can revive a litigant’s right to contest a suit.

The Delhi High Court ruled that for industrial disputes the appropriate jurisdiction is where the employee worked and was dismissed, rendering the employer’s Delhi head office irrelevant. This clarifies that labour courts must base jurisdiction on the actual site of employment, affecting workers and employers in multi-state operations.

The Delhi High Court ruled that TDS deductions on interest payments count as acknowledgment of debt, thereby extending the Limitation Act’s three-year period to the date of the last TDS deduction. Consequently, loan-recovery suits remain actionable beyond the usual limitation when TDS is continuously deducted.

The Delhi High Court ruled that an arbitration clause embedded in an invoice, though unsigned, is enforceable if the parties’ subsequent conduct indicates assent, allowing a Section 8 application to refer the dispute to arbitration. This clarifies that a physical signature is not essential for arbitration agreements, benefiting businesses relying on conduct-based acceptance.

The Delhi High Court quashed the framing of conspiracy charges under Sections 120B and 302 IPC, holding that reliance solely on co-accused disclosure statements and untranscribed call-detail records does not meet the prima facie test. The ruling stresses that concrete evidential material, not mere statements, is essential for sustaining conspiracy allegations, benefiting accused persons in similar prosecutions.

A defence struck off for non-payment of costs can be reinstated upon payment of a nominal fee, as the Delhi High Court held that a curable cost default is not a ground for irreversible forfeiture. This safeguards defendants' right to plead in civil proceedings under the CPC.

The Delhi High Court ruled that compensation for an unlawful End-of-Life Vehicle seizure cannot be claimed via a writ petition under Article 226 and must be pursued in a civil suit. This narrows writ jurisdiction and directs vehicle owners to ordinary civil remedies under the Motor Vehicle (Registration and Functions of Vehicle Scrapping Facility) Rules, 2021.

The Division Bench dismissed appeals by the Punjabi Academy and Directorate of Education, ruling that Rule 101(2) creates a statutory entitlement to 50% of regular teachers' salary that cannot be contracted away. Qualifications advertised at appointment fix entitlement, and underpayment violates Articles 14 and 23, reinforcing the State's model employer duty.

The Delhi High Court acquitted three accused, holding the prosecution failed to prove the five-person assembly required under Sections 399/402 IPC. It also deemed the police’s contradictory testimony and the alleged overheard conversation implausible, rendering the evidence inadmissible.

Delhi High Court ruled that a series of 89-day peon contracts cannot be shielded by the Section 2(oo)(bb) exemption of the Industrial Disputes Act. The court set aside the Labour Court's reinstatement award and ordered a lump-sum payment of Rs 3 lakhs per workman, with interest, affecting similarly engaged fixed-term workers.