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Delhi HC orders tenant to pay Rs 3.27 crore for overstaying expired rent agreement

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The Delhi High Court has directed a tenant, reportedly a bank, to pay Rs 3.27 crore to a landlady for unlawfully occupying premises after their rent agreement expired. The court applied the legal principle of mesne profits, which compensates property owners for unauthorized use of their land or premises. In addition to the principal amount, the court ordered the tenant to pay 6% annual interest on the sum. The ruling reinforces that tenants who continue to occupy properties beyond the agreed tenancy period are liable for financial compensation to the owner.

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