Delhi HC disrupts SpiceJet flights with order to ground 3 engines for default on lease payments

18 Aug 2024

The Delhi High Court has ordered SpiceJet to ground three of its leased engines for failure to pay lease rentals to the lessors.

The court on Friday ordered SpiceJet to ground the three engines by the end of the day and return them to the lessors within 15 days.

The order comes on a petition filed by two French lessors, Team France 01 SAS and Sunbird France 02 SAS, claiming millions of dollars in overdue lease rentals from SpiceJet.

The court also rejected a plea by the airline for an urgent hearing in the case as the HC order to ground the engines would only disrupt its flights and inconvenience passengers, which would, in turn, lead to losses for the carrier.

A bench of Acting Chief Justice Manmohan and Justice Manmeet P S Arora scheduled the hearing in the case for 20 August.

The court stated it was impossible to review the case documents in such a short time and advised SpiceJet to manage its operations with a reduced fleet until Tuesday.

SpiceJet currently operates 21 aircraft, and grounding three engines would mean operating with 18 aircraft.

The court had, earlier, ordered SpiceJet to return the leased engines if it is not capable of servicing the lease.