Judgement

MATHEW, J.:- In this appeal by special leave, the question for consideration is whether the High Court was right in dismissing a revision petition filed by the appellants and thereby upholding the judgment of the learned District Judge, Jamnagar, decreeing the suit filed by respondent No.1 for possession of the suit premises.

2. The suit premises consisted of a building known as Abdul Rahman Manzil and it belonged to one Haji Mohamad, Haji Dada Wakf (Trust). The building was leased to Osman Jamal and Company under a rent note dated January 15, 1947. In or about the year 1951, the firm of Osman Jamal and Company was wound up and the appellants took the premises on rent on a monthly rent of Rs.320/-. The respondent, the landlord, purported to terminate this tenancy by a notice dated February 12, 1964 on the ground that the appellants (tenants) had defaulted in the payment of rent and had sub-let the premises. At the trial of the suit, the plea that the appellants committed default in payment of rent was given up and, therefore, the sole issue before the Court was whether the appellants had sub-let the premises. The contention of the appellants was that under the contract of lease, they had the right to sub-let the premises and, therefore, the respondent was not entitled to recover possession of the premises.

3. The trial Court held that the contract of tenancy contained no prohibition against the tenant sub-letting the premises and so, the respondent was not entitled to recover possession of the premises for the reason that the appellants had sub-let the premises and dismissed the suit.

4. The respondent filed an appeal against this decree before the District Judge. He held that S.15 of the Saurashtra Rent Control Act, 1951 (hereinafter referred to as "the Saurashtra Act") which prohibited a tenant from sub-letting the premises superseded the contract of tenancy between the parties as that section was not subject to any contract to the contrary and, therefore, the landlord obtained the right to recover possession of the premises by virtue of S.13 (1) (e) of the Saurashtra Act. He further held that the repeal of the Saurashtra Act by the Bombay Rents, Hotel and Lodging House Rates Control Act,1947 (hereinafter referred to as "The Bombay Act") on December 31, 1963, did not affect the rights, privileges, obligations or liability acquired accrued or incurred under the former Act and, therefore, the liability of the appellants to ejectment under Section 13(1)(e) of the Saurashtra Act on the ground of sub-letting could be enforced by a suit, notwithstanding the repeal of that Act. The District Judge, therefore, allowed the appeal and decreed the suit.

5. Against the judgment, the appellants filed a revision before the High Court of Gujarat. When the application for revision came up for hearing before a learned single judge of the High Court, he referred it to a Division Bench. The question before the Division Bench was:

"Whether the landlord is entitled to maintain a suit for recovery of possession from the tenant, on the ground of sub-letting under Section 13(1)(e) of the Bombay Rent Act (No.57 of 1947), as applied to Gujarat State on 31 December, 1963), where the sub-letting was made during the pendency of the Saurashtra Rent Control Act and neither the notice to terminate the contract was given nor the suit was filed before the date on which the Saurashtra Rent Control Act was repealed?" The Division Bench; by its judgment, held that the suit to recover possession of the premises was competent under Section 13 (1)(e) of the Saurashtra Act notwithstanding the repeal of that Act as the respondent had an accured right within the meaning of S.51, proviso (2) of the Bombay Act and confirmed the decree for ejectment. It is from this judgment that the present appeal has been filed.

6. As already stated, the Saurashtra Act was repealed on December 31, 1963; the Bombay Act was made applicable to the area in question on January 1, 1964. T