BABULALL CHOUKHANI Vs. CALTEX INDIA LTD
LAWS(CAL)-1965-9-7
HIGH COURT OF CALCUTTA
Decided on September 29,1965

BABULALL CHOUKHANI Appellant
VERSUS
CALTEX (INDIA) LTD. Respondents

JUDGEMENT

Bijayesh Mukherji, J. - (1.) By this suit, the plaintiff Babulall Choukhani seeks to recover from the defendant Caltex (India) Ltd., said to be a company incorporated under the Indian Companies Act, the sum of Rs. 25,000 as retention fee at the rate of Rs. 2,500 a month for ten months from August 1, 1963, to May 31, 1964.
(2.) A claim as this rested on a bilateral agreement in the form of a letter dated April 30, 1963, by Caltex to Babulall who by an endorsement at the bottom thereof over his signature dated May 1, 1963, confirmed the terms it embodied. The importance of this document to the fortunes of the present litigation is such that it deserves to be reproduced in full: ---------- | Seal | PETROLEUM | CALTEX | PRODUCTS ---------- CALTEX (INDIA) LIMITED (Incorporated in the Bahama Islands) Liability of the members is limited. United India Life Bldg., 22 Chittaranjan Avenue Post Box 2382, Calcutta-1 Telephone: 235081-89. Telegrams "CALTEX" April 30, 1963. -------------------------- | In reply please refer to | | C Misc.: EMs | -------------------------- Mr. Babulal Chokhani, 24.A, Deshapriya Park Road, CALCUTTA - 26. Dear Sir, Lease of land owned by you at Prince Anwar Shah Road, Tollygunge, Calcutta. We refer to the discussions which took place this morning between our Messrs. E. M. Schmidt, R. Majumdar and K. C. Dutta and yourself regarding the abovementioned subject. We list below the points agreed upon and request that you sign the duplicate copy of this letter as a token of your confirmation and acceptance. It is understood that the conditions listed below are subject to the approval of our General Office and we will confirm the same to you by May 10, 1963 at the latest (1) Subject land is to be leased for the purposes of constructing and maintaining a Service Station. The initial period will be for 10 years with 2 renewal options of 10 years each. (2) The area to be leased will be approximately 144' X 100' -- (one bigha) for which we will pay a rental of Rs. 2500/- per month. (3) The rental will be increased by 10% as each 10 years option is exercised. (4) If we receive all the necessary approvals from the concerned Government authorities the lease will then be finalised and rental payments commenced retrospective from 1 May 1963, (5) For the 3 months period from 1 May to 31 July 1963 we agree to pay a retention fee of Rs. 3750 which will be non-refundable regardless of whether we receive all approvals or not. (6) If we require a further time extention past 31 July in order to receive the necessary approvals we agree to pay Rs. 2500/- per month. This amount will be non-refundable if we are not successful in receiving all the necessary approvals but will be applied against rental ft we do receive them. (7) Necessary ownership documents will be produced by you for review by our lawyers in order to ensure that the subject land is free from al! encumbrances etc. Thanking you and assuring you of our best attention at all times, I confirm the above terms Sd./- Babulall Choukhani ------- 1-5-63. Yours very truly, CALTEX (INDIA) LIMITED, CALCUTTA DISTRICT. By: Illegible.
(3.) This is a document upon which both parties rely. It therefore appears in the admitted brief on documents, exhibit A, as the plaintiff's document No. 1 and the defendant's document No. 1 too at pages 1 and 2 thereof. Presumably, by way of abundant caution, the original letter is marked exhibit M as well.;


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