INDERJEET SINGH SIAL AND ANR. vs M/S. KARAM CHAND THAPAR AND ORS.

The Supreme Court interpreted the term 'royalty' in the context of a mining lease and assignment deed, clarifying that it encompasses both the payment to the State for mining rights under the relevant mining laws and the payment from the assignee to the assignor as part of the consideration for the assignment. The Court held that the State's right to receive royalty is preserved in all subsequent transfers of mining rights, affirming the legal obligations of the parties involved. The judgment emphasizes the dual nature of royalty in mining agreements, distinguishing between statutory obligations and contractual considerations.