
Case Law Analysis
|Allahabad High Court
Rule 58 U.P. Minor Minerals Rules | State’s Delay in Lease Termination Violates Article 14; Royalty Liability Ceases Post-Mining Stoppage : Allahabad HC
Allahabad HC rules that the State’s unjustified delay in terminating a mining lease under Rule 58 of the U.P. Minor Minerals Rules, 1963, renders its action arbitrary and violates Article 14. The court held that royalty liability ceases once mining operations stop, and directed adjustment of ₹70 lakh deposits against earlier installments, setting a precedent for prompt State action in lease terminations.