JUDGMENT

Ruma Pal, J.-Leave granted.

2. This appeal has been preferred from the decision of the High Court of Punjab and Haryana affirming the order of the Appellate Authority under Section 4 of the Haryana Urban (Control of Rent and Eviction) Act, 1973 (hereinafter referred to as the Act ) fixing the fair rent of the appellant s shop at Rs. 328/- per month w.e.f. 1989.

3. The shop was constructed in August 1962. The appellant let out the shop to the respondent in 1975 at a monthly rent of Rs. 200/-. In 1989, the appellant filed the application under Section 4 of the Act before the Rent Controller. The Rent Controller considering the evidence of similar premises in the locality, determined the fair rent payable in respect of the shop at Rs.1000/- per month. The respondent preferred an appeal before the Appellate Authority. On the construction of Section 4 of the Act, the Appellate Authority came to the conclusion that the appellant having agreed to accept Rs. 200/- from the respondent, was not entitled to the market rent but to a percentage increase on the agreed rent. The Appellate Authority calculated the percentage of increase under Section 4(3) of the Act and determined the fair