In Brief
A woman's husband won an auction for a liquor retail lease and deposited earnest money of Rs. 94 lakhs. Before he could sign the lease agreement within the required 15-day period, he died on day 15. The State forfeited his earnest money and demanded he pay over Rs. 3 crore for re-auction losses. The High Court partly relieved her but upheld forfeiture. The Supreme Court held that since no lease deed was executed, the right terminated at his death and the earnest money must be refunded with 9% interest, as legal heirs cannot inherit rights that never vested.
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