Harvesting permitted despite license fee arrears to prevent crop destruction and agricultural waste.

The petitioner was granted a license by the respondent-University for sowing and harvesting crops on University land from 01.06.2024 to 31.05.2027

The total license fee was ₹81,23,974/-, payable in five installments

While the first installment was fully paid, the second was partially paid, and the third and fourth remained pending

The petitioner sought "breathing time" to pay the remaining dues after harvesting the current crop, asserting that the University could not prevent harvesting as the license was valid until 2027

The University contended that the total outstanding amount was ₹59,96,155/- excluding the final installment

The petitioner approached the High Court to seek permission to harvest and an extension for payment.

1. Whether the respondent-University can be directed to allow the petitioner to harvest crops despite outstanding license fee installments

2. Whether the outstanding amount claimed by the respondent-University was calculated in accordance with the license agreement

The Court applied the principles of equity and the doctrine of balance of convenience to prevent the wastage of agricultural produce

It further relied on the contractual terms of the license agreement regarding the schedule of installments, late fees, and interest

The Court observed that the University’s claim of ₹59,96,155/- appeared "exorbitant" and "mis-calculated," as it was nearly four times the scheduled IVth and Vth installments of ₹12,18,596/- each

The Court reasoned that if the petitioner were barred from harvesting, the entire crop would be destroyed, which would be prejudicial to both parties and serve no productive interest

Consequently, the Court determined that the petitioner should be granted an extension to settle the dues post-harvest to ensure the recovery of funds and the preservation of the crop

The petitioner was ordered to deposit the IVth and Vth installments, as calculated in the original license fee, by 30th September 2026

The Court clarified that such payment must include late fees and interest as prescribed under the license agreement