Delhi HC dismisses petition challenging container freight station charges during Covid-19 citing binding precedent

Delhi HC dismissed petition challenging ground rent, demurrage and detention charges levied by container freight stations during Covid-19 pandemic. Court held the issue was squarely covered by precedent in Polytech Trade Foundation v. Union of India where Division Bench rejected similar prayer for not charging these fees. Since identical issues were already adjudicated and petitioner failed to appear, petition was dismissed with precedent judgment applying mutatis mutandis to present case.

---

---

Issues:
- Transfer of proceedings from the High Court of Gujarat to the High Court of Delhi
- Charging of ground rent, demurrage, and container detention charges during the Covid-19 pandemic

Transfer of Proceedings:
The judgment involved the transfer of proceedings from the High Court of Gujarat to the High Court of Delhi. The Supreme Court, in a Transfer Petition, directed the transfer of Special Civil Application No. 9046 of 2020 from Gujarat to Delhi. This decision was made in the interest of justice, and the transfer was duly executed.

Charging of Ground Rent, Demurrage, and Detention Charges:
The main issue in the case was the charging of ground rent, demurrage, and container detention charges during the Covid-19 pandemic. The petitioners argued against these charges, citing various Government advisories issued during the pandemic. However, the Division Bench of the Delhi High Court, in a related case, had already addressed identical issues. The Bench rejected the prayer for not charging these fees, emphasizing that the situation involved contractual rights between private individuals and regulation by statutory authorities. The Court found that the petitioners' request for across-the-board amnesty from penal charges was not feasible. It noted that some importers managed to clear their consignments during the lockdown, indicating that the inability to do so was not inherent. The Court also highlighted that directing no penal charges would disincentivize importers and exporters, leading to clogging of facilities and going against the objective of establishing container freight stations. Consequently, the Delhi High Court dismissed the present petition, as the issues raised were already addressed in the prior judgment.

In conclusion, the judgment dealt with the transfer of proceedings and the charging of ground rent, demurrage, and container detention charges during the Covid-19 pandemic. The decision was based on the prior judgment by the Division Bench of the Delhi High Court, which had already addressed and rejected similar claims.

---