The Bombay High Court defined 'mesne profits' and established criteria for determining claims arising from wrongful possession.
Bombay HC Clarifies Meaning of Mesne Profits
The Bombay High Court recently provided clarity on the legal concept of 'mesne profits,' defining it in the context of claims resulting from wrongful possession of property. The court articulated that mesne profits are essentially compensation owed for the loss of use of property stemming from unjust possession.
The determination of mesne profits is based on what the individual in possession either earned or reasonably could have earned from the property during the period of wrongful retention.
Legal practitioners should familiarize themselves with this definition and the underlying principles to effectively advocate for clients pursuing claims for mesne profits or defending against such allegations.
