Supreme Court Grants Reprieve to Bengaluru's Iconic Urvashi Cinema, Stays February 15 Eviction
In a significant development, the Supreme Court of India has intervened to provide temporary relief to Bengaluru's historic Urvashi Cinema, staying its scheduled eviction on February 15. The apex court has extended the deadline for Sreenivasa Enterprises, the tenants of the land, to hand over the property and has directed them to deposit 50 percent of the compensation amount as mandated by the Karnataka High Court within six weeks.
Court Proceedings and Key Directives
The Supreme Court bench, comprising Justice Prashant Kumar Mishra and Justice N V Anjaria, was hearing an appeal filed by the tenants against the Karnataka High Court's order dated October 13, 2025. The High Court had previously ordered the eviction of Urvashi Cinema and directed Sreenivasa Enterprises to vacate the premises by February 15.
During the proceedings, the Supreme Court issued a notice on the appeal and stated, "The time granted to the petitioner for handing over the vacant possession of the subject premises is extended till the next date of hearing." This extension offers a crucial breather to the iconic single-screen theatre, which has been a cultural landmark in Bengaluru for decades.
Additionally, the court has set a timeline for the legal process, directing the respondents to file their affidavit within four weeks. The appellants are required to submit their rejoinder within two weeks after the counter affidavit is filed.
Compensation Deposit and Mesne Profits
A pivotal aspect of the Supreme Court's order is the directive for Sreenivasa Enterprises to deposit 50 percent of the mesne profits, as determined by the Karnataka High Court, within six weeks. Mesne profits refer to the compensation for wrongful possession of property, as defined under Section 2 (12) of the Civil Procedure Code.
The Karnataka High Court had fixed the mesne profits at Rs 20,00,000 per month for the entire suit schedule property, effective from April 24, 2018, when the lease period expired. This amount is significantly higher than the Rs 6,25,000 per month initially set by the trial court, highlighting the contentious nature of the compensation calculation.
Legal Grounds of the Appeal
The appeal in the Supreme Court challenges the Karnataka High Court's decision on two primary grounds:
- Revised Mesne Profits: The tenants contest the High Court's fixation of mesne profits at Rs 20 lakh per month, arguing that it is substantially higher than the trial court's assessment of Rs 6.25 lakh per month.
- Lease Renewal Clause: The appeal emphasizes that the original lease agreement, dated January 29, 1970, included a renewal clause for another 45 years. The tenants assert that the landlords are obligated to honor this clause, which the High Court rejected, noting that renewal required the landlords' consent and was not at the tenants' discretion.
The Karnataka High Court had upheld the trial court's order, which rejected the tenants' plea for specific performance of the contract, thereby dismissing their claim for lease renewal.
Background of the Case
The dispute traces back to 1970 when the tenants acquired the land through three lease deeds for a period of 45 years. During this tenure, they constructed Urvashi Cinema and other structures on the property. The theatre screened its first film on April 24, 1976, becoming an integral part of Bengaluru's entertainment landscape.
The lease agreement expired on April 23, 2018, after which the landlords, B K Rajendra Prasad and others, issued an eviction notice seeking vacant possession. The trial court decreed in favor of the landlords on February 15, 2024, leading to appeals in the High Court and now the Supreme Court.
This case underscores the ongoing challenges faced by historic single-screen theatres in urban centers like Bengaluru, where land disputes and redevelopment pressures threaten cultural heritage. The Supreme Court's interim order not only provides legal respite but also keeps alive the hope for preserving this iconic venue, pending further hearings.
