QUDRAT ULLAH vs MUNICIPAL BOARD, BARELLY

The Supreme Court held that the contract in question constituted a lease rather than a mere licence, as it involved the transfer of rights to collect dues from shops and sheds, which are subject to the U.P. (Temporary) Control of Rent and Eviction Act, 1947. The Court clarified that the distinction between a lease and a licence depends on the intent of the parties, and in this case, the contractor was granted rights exceeding those of a mere licensee. The High Court's conclusion that the agreement was a mere licence regarding footpaths was overturned, affirming that the bazar dues were benefits arising from immovable property that could be leased out.