# In the matter of ACG Aircraft Leasing Ireland Limited & Ors. vs. Union of India & Ors.

> HC judgment dated 2023-10-12. Citation: TCN-2023-HC-00029. Several petitioners, primarily aircraft lessors, filed writ petitions seeking urgent directions,…

- **Court:** HC
- **Order date:** 12 Oct 2023
- **Citation:** TCN-2023-HC-00029
- **Category:** IBC
- **Source page:** https://caseease.in/cases/ibc/high-courts-new-delhi/acg-aircraft-leasing-ireland-limited-ors-vs-union-of-india-ors-e0cf56dd

## Summary

### Background

Several petitioners, primarily aircraft lessors, filed writ petitions seeking urgent directions, including modification of previous orders, regarding the inspection and maintenance of aircraft leased to Go Air, which is undergoing insolvency proceedings. The lessors raised concerns about the deteriorating condition of the aircraft, removal of parts, and lack of access to necessary documentation. The petitions were consolidated and heard together due to the similarity of issues.

## Facts

Several aircraft lessors filed writ petitions concerning 54 aircraft leased to Go Air. The lessors sought access to aircraft documentation and raised concerns about the deteriorating condition of the aircraft, including corrosion, algae formation, and removal of parts. They alleged that Go Air was not adequately maintaining the aircraft and was cannibalizing parts. Previous court orders had granted inspection rights but were modified by a Division Bench. The lessors argued that superficial inspections were insufficient without access to documentation. The Respondent/RP of Go Air objected, citing the doctrine of merger and arguing that the lessors were forum shopping by filing similar applications before the NCLT. The lease agreements defined 'Aircraft' and 'Aircraft

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## Issues and analysis

### Issue 1: Whether the doctrine of merger applies to the present case, considering the modifications made to …

**Ratio:** The doctrine of merger applies only when a superior court has gone into the merits of the

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**Reasoning:** The court found that the DB Order had clarified that no opinion had been expressed on the

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**Interpretation:** The doctrine of merger prevents a lower court from modifying an order that has

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**Application:** Since the DB Order clarified that it had not expressed any opinion on the

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## Parties

- **Judges:** Tara Vitast…
- **Appellants:** ACG AIRCRAFT…
- **Respondents:** GoAi…; UNION OF INDIA &…
- **Other parties:** Kohi…

## Timeline

- **2023-05-07 — Initial Interim…**: Court passed interim directions regarding access to the Airport(s) where the 30 Aircrafts…
- **2023-07-12 — Division Benc…**: Paragraph 20.1 of the 05.07.2023 Order, was modified by a Division Bench of this Court by…

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