In Brief
The State of Kerala leased 246 acres of reserve forest land to K.K. Joseph (later represented by partnership M/s. Joseph & Company) under a 1979 lease deed. The lessee sold 50 acres to a third party without the lessor's written consent in 1983. The State later terminated the entire lease for breach of the anti-assignment clause. The High Court allowed the lessee's appeal, setting aside the termination on the ground that the State had failed to provide notice and opportunity to remedy the default as required by the lease. The Supreme Court allowed the State's appeal, holding that the clause permitting notice and remedy applies only to remediable defaults regarding forest maintenance, not to irreversible breaches like absolute sales. Since the lessee executed an unlawful sale deed of a portion of government property held under lease, the State was entitled to forfeit the entire lease without providing an opportunity to remedy, and the acceptance of lease rentals did not constitute waiver of the forfeiture right.",
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