Delhi High Court Orders SpiceJet to Ground Three Engines Due to Unpaid Dues
The Delhi High Court has upheld an order directing SpiceJet to ground three of its engines due to unpaid dues to French lessors, Team France 01 SAS and Sunbird France 02 SAS. The court found no reason to interfere with the initial order, which required SpiceJet to return the engines and allow inspection at Delhi Airport.
Background
SpiceJet had moved an appeal challenging the order to ground three engines and return them to their lessors. However, the Division Bench of Justices Rajiv Shakdher and Amit Bansal upheld the initial directive.
Initial Order
On August 14, 2024, Justice Manmeet Pritam Singh Arora directed SpiceJet to ground the engines and return them within a specified timeframe. The court found that the lessors were suffering irreparable loss due to the continued use of the engines by SpiceJet, as engines are depreciating assets.
Financial Distress
The court noted that SpiceJet had no legal or contractual right to continue using the engines without payment, and allowing them to do so would cause financial distress to the lessors. The court directed SpiceJet to ground the engines by August 16 and return them within 15 days. Additionally, SpiceJet was required to allow the lessors to inspect the engines at Delhi Airport within seven days and provide passes to their authorized representatives for the inspection.
Doubts Revealed
Delhi High Court -: The Delhi High Court is a big court in Delhi, India, where important legal cases are decided.
SpiceJet -: SpiceJet is an airline company in India that flies people to different places.
engines -: Engines are the parts of an airplane that make it fly by providing power.
unpaid dues -: Unpaid dues mean money that SpiceJet owes to someone but hasn’t paid yet.
French lessors -: French lessors are companies from France that rent out things like airplane engines to other companies.
Team France 01 SAS and Sunbird France 02 SAS -: These are the names of the French companies that rented the engines to SpiceJet.
inspection -: Inspection means checking something carefully to make sure it is in good condition.
financial loss -: Financial loss means losing money, which happened to the French companies because SpiceJet didn’t pay them.