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2022 (2) TMI 1218 - DELHI HIGH COURTSeeking direction to appellant to deposit the amount equivalent to the arrears of lease rentals in respect of the premises leased to the appellant - HELD THAT:- The fact that it is not disputed that the appellant had taken on lease the premises from the respondents and is continuing to occupy the same is sufficient ground for the Arbitral Tribunal to have directed the respondents to deposit the arrears of rent payable in terms of the leases (which as stated earlier are not disputed). There is no denying the fact that the business of the appellant may have been adversely impacted due to the outbreak of Covid-19, however, that may not absolve the appellant from its contractual obligations to pay the lease rent. The respondents are not in the business of running a restaurant and therefore it is doubtful whether they can be mulcted with the risks attendant to running that business. This Court concurs with the prima facie finding returned by the Arbitral Tribunal that the financial commitments of appellant may not be dependent on the business operated by the appellant. The security deposit furnished by the appellant to the respondents in terms of the lease agreements is required to be dealt with in terms of the agreements. Thus the contention that the same may be adjusted from the arrears of rent cannot be accepted - Appeal dismissed.
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