SEZ premises possession is separated from monetary claims, with vacant handover and valuation disputes reserved for arbitration.
Vacant possession of unused SEZ premises is separated from monetary disputes arising under a sub-lease. Where the agreed final deadline for commencing operations was missed and the premises remained unused, the occupant must vacate after supervised inventory and removal of movables, enabling re-sub-lease to another entrepreneur. Claims for rent, maintenance, interest, damages, termination consequences, and infrastructure improvements require arbitral determination, with inventory and valuation assistance where necessary. Statutory questions concerning rent-control and SEZ regimes need not be resolved to release premises from continued non-use.
Issues: (i) Whether the respondent must vacate the unutilised SEZ premises so that the petitioner may take possession and re-sub-lease it. (ii) Whether the parties' monetary claims, including claims relating to improvements and termination, must be resolved in arbitration.
Issue (i): Whether the respondent must vacate the unutilised SEZ premises so that the petitioner may take possession and re-sub-lease it.
Analysis: The supplementary agreement fixed a final deadline for commencing operations, which was not met, and the premises had remained unused for several years. The unresolved statutory questions concerning the applicable rent-control and SEZ regimes were not required to be determined for releasing the premises from continued non-use.
Conclusion: The respondent must vacate the premises after supervised inventory and removal of its movables, following which the petitioner is entitled to take vacant possession and sub-lease the premises to another entrepreneur.
Issue (ii): Whether the parties' monetary claims, including claims relating to improvements and termination, must be resolved in arbitration.
Analysis: Claims for sub-lease rent, maintenance charges, interest, damages, the value of infrastructure improvements, and the consequences of termination require evaluation. An arbitrator was appointed under the Arbitration and Conciliation Act, 1996, with provision for an Advocate Commissioner and an expert evaluator to report on movables and improvements.
Conclusion: The parties' monetary claims, including any claim for damages arising from the termination and improvements, shall be adjudicated in the arbitral proceedings.
Final Conclusion: Possession of the premises is separated from the outstanding monetary disputes, which are reserved for arbitral determination.