#electricity theft

The Delhi High Court ruled that a landlord claiming damages for lost rent must first mitigate the loss and establish the prevailing market rent at the time of breach, failing which the claim under Section 73 of the Indian Contract Act fails. The decision affects landlords seeking compensation for tenant-induced utility theft, emphasizing the evidentiary burden on them.

The Supreme Court set aside the Jharkhand High Court order, reinstating the quash of a Rs 3.23 million provisional assessment and ruling that a Section 135 assessment can proceed only with proven theft and mens rea. This protects consumers from arbitrary disconnections based merely on suspicion.

Madras High Court affirms that electricity distribution boards retain civil jurisdiction to assess liability for electricity theft occurring before the 2007 amendment, even where Special Courts were later empowered. The ruling bars delayed challenges under res judicata and reinforces the Board's authority to recover losses independently of criminal proceedings.

Punjab & Haryana High Court rules that electricity disconnection without prior notice is illegal, violating principles of natural justice. The court further holds that allegations of electricity theft must be backed by documentary evidence-uncorroborated testimony or retaliatory timing alone cannot sustain the utility's claim. Consumers facing arbitrary disconnections can now challenge such actions on grounds of procedural fairness and evidentiary insufficiency.