{"id":322707,"date":"2024-05-22T17:45:05","date_gmt":"2024-05-22T12:15:05","guid":{"rendered":"https:\/\/www.scconline.com\/blog\/?p=322707"},"modified":"2024-05-27T13:21:14","modified_gmt":"2024-05-27T07:51:14","slug":"dhc-enforces-uk-court-order-directs-spicejet-to-return-aircrafts-along-with-engines-to-twc-legal-news","status":"publish","type":"post","link":"https:\/\/www.scconline.com\/blog\/post\/2024\/05\/22\/dhc-enforces-uk-court-order-directs-spicejet-to-return-aircrafts-along-with-engines-to-twc-legal-news\/","title":{"rendered":"Delhi High Court orders SpiceJet to return all aircrafts along with engines to TWC"},"content":{"rendered":"<div style=\"text-align: justify; line-height: 150%;\">\n<p style=\"margin-bottom: 3%;\"><span style=\"font-weight: bold;\">Delhi High Court:<\/span> In a suit for declaration filed by TWC Aviation Capital (&#8216;TWC&#8217;) against SpiceJet, the defendant, for enforcement of orders passed by the High Court of Justice in England Wales, Court (Business and Property Courts of England Wales King&#8217;s Bench Division Commercial Court) (&#8216;UK Court&#8217;), <span style=\"font-weight: bold;\">Prathiba M. Singh, J<\/span>., observed that UK Court was a competent Court in terms of the agreement between the parties, and directed SpiceJet to return aircrafts to TWC along with engines.<\/p>\n<p style=\"font-weight: bold;\">Background<\/p>\n<p style=\"margin-bottom: 3%;\">The matter revolves around a dispute between TWC and SpiceJet over the lease of two Boeing aircrafts and their engines.<\/p>\n<p style=\"margin-bottom: 3%;\">TWC is the owner of two Boeing aircrafts and several engines. These were leased to SpiceJet under an agreement, for a term of 12 months with a monthly rent of USD 180,000. Due to payment defaults by SpiceJet, exacerbated by the COVID-19 pandemic, various amendment agreements were made but were also breached.<\/p>\n<p style=\"margin-bottom: 3%;\">TWC issued a notice to SpiceJet demanding certain undertakings, which were not complied with. Consequently, TWC filed a suit in the UK Court, in terms of the jurisdiction clause in the Agreement. The UK Court issued orders, restraining SpiceJet from using or disposing of the aircraft and engines and ordering them to assemble the technical and operational records for handover to TWC.<\/p>\n<p style=\"margin-bottom: 3%;\">Further, in March 2024, the UK Court directed SpiceJet to deliver the aircraft and engines to TWC at specified locations in India. Despite these orders, SpiceJet failed to comply, leading TWC to seek enforcement of these orders in the Delhi High Court.<\/p>\n<p style=\"font-weight: bold;\">Decision and Analysis<\/p>\n<p style=\"margin-bottom: 3%;\">The Court noted that a foreign order or judgment is only unenforceable if any conditions under Section <a href=\"https:\/\/www.scconline.com\/DocumentLink.aspx?q=JTXT-0001523717\" target=\"_blank\" rel=\"noopener\">13<\/a> of the <a href=\"https:\/\/www.scconline.com\/DocumentLink.aspx?q=JTXT-0002726944\" target=\"_blank\" rel=\"noopener\">Civil Procedure Code, 1908<\/a>, (&#8216;CPC&#8217;) are met, and none of these conditions are applied in this case since the UK Court was the competent court as per the parties&#8217; agreement.<\/p>\n<p style=\"margin-bottom: 3%;\">The Court observed that the SpiceJet had fully participated in the proceedings, and there was no reason for the Court to deem the order unenforceable in India. The Court noted that given SpiceJet&#8217;s admitted dues, it was unjustifiable for them to continue using the aircraft and engines without payment.<\/p>\n<p style=\"margin-bottom: 3%;\">The Court observed that in the current situation, there was no evidence to question the validity of the UK Court&#8217;s order or judgment, nor could it be claimed that TWC&#8217;s claims were frivolous or vexatious. The Court noted that it was undisputed that TWC owned the aircraft and engines, and SpiceJet had defaulted on payments and breached the lease agreement.<\/p>\n<p style=\"margin-bottom: 3%;\">The Court observed that if the engines were not returned and serviced properly, it would cause irreparable harm to the Plaintiff and potentially damage the engines beyond repair, thus permanently affecting the Plaintiff&#8217;s ability to monetize them.<\/p>\n<p style=\"margin-bottom: 3%;\">Given the substantial dues owed by SpiceJet to TWC and considering the balance of convenience and potential irreparable harm to TWC, the Court opined that the aircraft and engines should be secured. The Court had previously directed an inspection of the aircraft frames and sought SpiceJet&#8217;s proposal on payment.<\/p>\n<p style=\"margin-bottom: 3%;\">Despite SpiceJet&#8217;s offer to pay USD 500,000 per week, the Court found this insufficient against the total dues of over USD 10 million. The Court, thus, directed SpiceJet to hand over the aircraft, engines, and all relevant records to TWC by 28-05-2024.<\/p>\n<p style=\"margin-bottom: 3%;\">The matter is next listed on 31-05-2024.<\/p>\n<p style=\"margin-bottom: 3%;\">[<span style=\"font-weight: bold; color: #632423;\">TWC Aviation Capital Ltd. v. SpiceJet Ltd., <a href=\"http:\/\/www.scconline.com\/DocumentLink\/fn54G1ai\" target=\"_blank\" rel=\"noopener\">2024 SCC OnLine Del 3663<\/a>, Decided on 15-05-2024<\/span>]<\/p>\n<hr\/>\n<p>Advocates who appeared in this case :<\/p>\n<p style=\"margin-left: 18pt;\">Advocates for the Plaintiff: Ashish Dholakia, Sr. Adv.; Ravi Nath, Ankur Mahindro, Rohan Taneja, Aditya Kapur, Vishali, Ankesh Tripathi, Yashika Arora, Abhijeet Mittal, Siddhant Vyas, Ankush Satija, Mohit Dagar, Rohit Bishnoi, Shubhangi Jain<\/p>\n<p style=\"margin-left: 18pt;\">Advocates for the Defendant: Sandeep Sethi, Sr Adv, K. R Sasiprabhu, Kartikeya<\/p>\n<p style=\"margin-left: 18pt;\">Asthana, Shreya Sethi<\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p style=\"font-style: italic;\">&#8220;If the engines are not returned and properly serviced, TWC Aviation Capital Ltd. would suffer irreparable harm, as this could cause irreversible damage to the engines.&#8221;<\/p>\n","protected":false},"author":67011,"featured_media":314886,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[3,10],"tags":[41100,8331,2543,60937,68989,4511,68988,67562],"class_list":["post-322707","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-casebriefs","category-highcourts","tag-aircraft","tag-civil-procedure-code","tag-Delhi_High_Court","tag-section-13","tag-section-44a","tag-spicejet","tag-twc-aviation","tag-uk-court"],"yoast_head":"<!-- This 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passed by UK Court enforceable in India as per Sections 13, 44-A of CPC\u2019: Delhi HC permits TWC Aviation Capital to inspect aircraft frames leased to SpiceJet","author":"Simranjeet","date":"April 15, 2024","format":false,"excerpt":"Keeping in view the principles of Comity of Courts and that a substantial sum of money is due from SpiceJet Ltd. to TWC Aviation Capital Ltd., the Aircrafts and the engines deserve to be secured.","rel":"","context":"In &quot;Case Briefs&quot;","block_context":{"text":"Case Briefs","link":"https:\/\/www.scconline.com\/blog\/post\/category\/casebriefs\/"},"img":{"alt_text":"Delhi High Court","src":"https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2024\/02\/Delhi-High-Court.webp?resize=350%2C200&ssl=1","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2024\/02\/Delhi-High-Court.webp?resize=350%2C200&ssl=1 1x, 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The interest was worth 242 crore in October 2020, 362 crores in February 2023, and 380 crores in total.","rel":"","context":"In &quot;Case Briefs&quot;","block_context":{"text":"Case Briefs","link":"https:\/\/www.scconline.com\/blog\/post\/category\/casebriefs\/"},"img":{"alt_text":"delhi high court","src":"https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2023\/05\/delhi-high-court.webp?resize=350%2C200&ssl=1","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2023\/05\/delhi-high-court.webp?resize=350%2C200&ssl=1 1x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2023\/05\/delhi-high-court.webp?resize=525%2C300&ssl=1 1.5x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2023\/05\/delhi-high-court.webp?resize=700%2C400&ssl=1 2x"},"classes":[]},{"id":60221,"url":"https:\/\/www.scconline.com\/blog\/post\/2016\/08\/05\/spicejet-directed-to-deposit-rs-579-crores-in-court-share-transfer-dispute-to-be-dicided-by-arbitral-tribunal\/","url_meta":{"origin":322707,"position":2},"title":"Spicejet directed to deposit Rs 579 crores in Court; share transfer dispute to be decided by Arbitral Tribunal","author":"Sucheta","date":"August 5, 2016","format":false,"excerpt":"Delhi High Court: \u00a0Deciding the petitions filed under Section 9 of the Arbitration and Conciliation Act, 1996 to preserve the subject-matter of the disputes arising on failure of the respondents to honour their contractual obligations under the Share Sale and Purchase Agreement dated January 29, 2015, the Court directed the\u2026","rel":"","context":"In &quot;Case Briefs&quot;","block_context":{"text":"Case Briefs","link":"https:\/\/www.scconline.com\/blog\/post\/category\/casebriefs\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2016\/08\/Spicejet-Flight.jpg?resize=350%2C200&ssl=1","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2016\/08\/Spicejet-Flight.jpg?resize=350%2C200&ssl=1 1x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2016\/08\/Spicejet-Flight.jpg?resize=525%2C300&ssl=1 1.5x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2016\/08\/Spicejet-Flight.jpg?resize=700%2C400&ssl=1 2x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2016\/08\/Spicejet-Flight.jpg?resize=1050%2C600&ssl=1 3x"},"classes":[]},{"id":298219,"url":"https:\/\/www.scconline.com\/blog\/post\/2023\/08\/01\/delhi-hc-upholds-arbitral-award-of-rs-270-crores-against-spicejet-legal-news\/","url_meta":{"origin":322707,"position":3},"title":"[SpiceJet v. Kal Airways] Delhi High Court upholds Arbitral Award of Rs. 270 crores; rejects SpiceJet&#8217;s plea","author":"Simranjeet","date":"August 1, 2023","format":false,"excerpt":"\u201cThe Tribunal provided reasons for the findings delivered, and there was no perversity apparent on the face of the record or which goes to the root of the matter. Therefore, the impugned Award could not be said to be patently illegal.\u201d","rel":"","context":"In &quot;Case Briefs&quot;","block_context":{"text":"Case Briefs","link":"https:\/\/www.scconline.com\/blog\/post\/category\/casebriefs\/"},"img":{"alt_text":"delhi high court","src":"https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2023\/04\/delhi-high-court.webp?resize=350%2C200&ssl=1","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2023\/04\/delhi-high-court.webp?resize=350%2C200&ssl=1 1x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2023\/04\/delhi-high-court.webp?resize=525%2C300&ssl=1 1.5x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2023\/04\/delhi-high-court.webp?resize=700%2C400&ssl=1 2x"},"classes":[]},{"id":33141,"url":"https:\/\/www.scconline.com\/blog\/post\/2016\/01\/19\/spicejet-airlines-directed-to-compensate-for-lost-luggage-of-passenger\/","url_meta":{"origin":322707,"position":4},"title":"SpiceJet Airlines directed to compensate for lost luggage of passenger","author":"Sucheta","date":"January 19, 2016","format":false,"excerpt":"National Consumer Disputes Redressal Commission (NCDRC): While observing that the compensation granted by the State Commission in a case of loss of luggage of a passenger in one of the flights of SpiceJet Airlines, is on the lower side, NCDRC imposed an additional costs of Rs 10,000 upon the Airlines\u2026","rel":"","context":"In &quot;Case Briefs&quot;","block_context":{"text":"Case Briefs","link":"https:\/\/www.scconline.com\/blog\/post\/category\/casebriefs\/"},"img":{"alt_text":"National Consumer Disputes Redressal Commission","src":"https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2018\/08\/NCDRC_.jpg?resize=350%2C200&ssl=1","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2018\/08\/NCDRC_.jpg?resize=350%2C200&ssl=1 1x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2018\/08\/NCDRC_.jpg?resize=525%2C300&ssl=1 1.5x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2018\/08\/NCDRC_.jpg?resize=700%2C400&ssl=1 2x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2018\/08\/NCDRC_.jpg?resize=1050%2C600&ssl=1 3x"},"classes":[]},{"id":322942,"url":"https:\/\/www.scconline.com\/blog\/post\/2024\/05\/26\/high-court-weekly-roundup-may-2024-legal-news-3\/","url_meta":{"origin":322707,"position":5},"title":"HIGH COURT MAY 2024 WEEKLY ROUNDUP| Stories on Electro Homeopathy; Right to Education; Universal Studios; Custodial Torture, and more","author":"Editor","date":"May 26, 2024","format":false,"excerpt":"A quick legal roundup to cover important stories from all High Courts this week.","rel":"","context":"In &quot;High Court Round Up&quot;","block_context":{"text":"High Court Round Up","link":"https:\/\/www.scconline.com\/blog\/post\/category\/columns-for-roundup\/high-court-round-up\/"},"img":{"alt_text":"High Court weekly Roundup","src":"https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2024\/05\/high-round.webp?resize=350%2C200&ssl=1","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2024\/05\/high-round.webp?resize=350%2C200&ssl=1 1x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2024\/05\/high-round.webp?resize=525%2C300&ssl=1 1.5x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2024\/05\/high-round.webp?resize=700%2C400&ssl=1 2x"},"classes":[]}],"amp_enabled":true,"_links":{"self":[{"href":"https:\/\/www.scconline.com\/blog\/wp-json\/wp\/v2\/posts\/322707","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.scconline.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.scconline.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.scconline.com\/blog\/wp-json\/wp\/v2\/users\/67011"}],"replies":[{"embeddable":true,"href":"https:\/\/www.scconline.com\/blog\/wp-json\/wp\/v2\/comments?post=322707"}],"version-history":[{"count":0,"href":"https:\/\/www.scconline.com\/blog\/wp-json\/wp\/v2\/posts\/322707\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.scconline.com\/blog\/wp-json\/wp\/v2\/media\/314886"}],"wp:attachment":[{"href":"https:\/\/www.scconline.com\/blog\/wp-json\/wp\/v2\/media?parent=322707"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.scconline.com\/blog\/wp-json\/wp\/v2\/categories?post=322707"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.scconline.com\/blog\/wp-json\/wp\/v2\/tags?post=322707"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}