SUPREME COURT OF INDIA
JASWANT SINGH, D.A. DESAI AND A.P. SEN, JJ.
Firm Sardari Lal Vishwa Nath and others, Appellants
Versus
Pritam Singh, Respondents.
Civil Appeal No. 141 of 1969
Decided on 14-8-1978.
Advocate Appeared
Mr. V. C. Mahajan, Sr. Advocate with Mrs. Urmila Kapoor and Miss Kamlesh Bansal, Advocates, for Appellants; Mr. D. N. Gupta, Advocate, for Respondent.
– As held in the case of Firm Sardari Lal Viswa Nath v. Pritam Singh, AIR 1978 SC 1518 = 1978(4) SCC 1 = 1978 UJ (SC) 617, a statutory tenant cannot seek any assistance from the provisions of Section 106 of the Act. Acceptance of rent by the landlord from a statutory tenant, whose lease has already expired, could not be regarded as evidence of a new agreement of tenancy, and it would not be open to such a tenant to urge, by way of defence, in a suit for ejectment brought against him, under the provisions of Rent Restriction Act that by acceptance of rent a fresh tenancy was created which had to be determined by a fresh notice to quit. In Ganga Dutt Murarka v. Kartik Chandra Das, AIR 1961 SC 1067 = 1961(3) SCR 813, this view was affirmed and also followed in Bhawanji Lakhamshi v. Himatlal Jamnadas Dani, AIR 1972 SC 819 = 1972(2) SCR 890. In the case of Mangilal v. Suganchand Rathi, AIR 1965 SC 101 = 1964 (5) SCR 239, no contrary view was expressed, where the contractual tenancy was determined by a notice to quit and the rent was accepted under protest and immediately an action in ejectment was initiated.
If the contract is to be put to an end it has to be terminated by a notice to quit as envisaged under Section 106 of the Act. But it is equally clear as provided under Section 111 of the Act that the lease of immovable property determines by various modes therein prescribed. Now, if the lease of immovable property determines in any one of the modes prescribed under Section 111, the contract of lease comes to an end, and the landlord can exercise his right of re-entry. This right of re-entry is further restricted and fettered by the provisions of the Rent Restriction Act. Nonetheless the contract of lease has expired and the tenant lesseecontinues in possession under the protective wing of the Rent Restriction Act until the lessee loses protection. But there is no question of terminating the contract because the contract comes to an end once the lease determines in any one of the modes prescribed under Section 111. There is, therefore, no question of giving a notice to quit to such a clessee who continued in possession after the determination of the lease, i.e. after the contract came to an end under the protection of the Rent Restriction Act. If the contract one came to an end of Ratanlalv. Vardesh Chander, AIR 1976 SC 588 = 1976(2) SCR 906, it was held that a lease merely stating that it is for a period of less than one year is ex facie for an indefinite period and, as such, cannot expire by efflux of time. Nor, it was convincing that notwithstanding the acceptance of rent for the period of eleven years the landlord not assented to the holding over of the tenancy and that what emerged was a statutory tenancy which did not require notice in law for valid determination. Possibly so, not necessarily.
JUDGMENT
DESAI, J. :— The unsuccessful tenant in this appeal by special leave drawing his sustenance from an apparent but unreal conflict amongst certain decisions of this Court as noticed by the Kerala High Court in Lalitha v. Ayisumma, (1977) 2 Ren CR 690 made a furious attempt to re-open the controversy : whether a statutory tenant is entitled to notice as envisaged by S. 106 of the T. P. Act before an action in ejectment is commenced against him under any of the enabling provisions of the relevant Rent Restriction Act.
2. Mr. V. C. Mahajan, learned counsel for the appellant canvassed two contentions before us : (1) As the respondent landlord had not terminated the tenancy of the appellant by a notice to quit as contemplated by S. 106 of the T. P. Act, an action in ejectment under S. 13 of the East Punjab Rent Restriction Act, 1949 (for short the Act) is not maintainable; (2) Though the landlord sought eviction on the ground that the building was likely to fall down as it was in a dilapidated condition and had become unsafe for human habitation, the very fact that for the last 15 years the building is standing and the tenant is occupying and using it, it would ipso facto negative the case of the landlord that the building has become unsafe and unfit for human habitation.
3. The backdrop of facts is this : the tenant, a firm, under two separate rent notes from two separate landlords having specified shares in the demised premises, took on lease the premises and the tenancy commenced from 1st January 1960 and the demise was for a period of 11 months. On the expiry of the period reserved by the lease, the tenant continued in possession. If the period reserved under the lease was of 11 months, obviously the lease determined by efflux of time limited thereby as provided in S. 111 (a) of the T. P. Act. Section 116 provides for effect of holding over. If a lessee of property remains in possession thereof after the determination of the lease and the lessor accepts rent from the lessee or otherwise assents to his continuing in possession, the lease is, in the absence of an agreement to the contrary, renewed from year to year, or from month to month, according to the purpose for which the property is leased, as specified in S. 106. Ordinarily, acceptance of rent from a lessee whose lease determined by efflux of time, would manifest the assent of the lessor to the lessee continuing in possession and in that event the lease would be renewed from year to year or month to month as the case may be, and the lessee would be a lessee holding over. This position which emerged under the provisions of the T. P. Act underwent a basic change when the Rent Restriction Act was put on the statute book. The lessor, on the introduction of the Rent Restriction Act could not seek to evict the lessee on the only ground that the lease determined by efflux of time. The lessee was clothed with the protection of Rent Restriction Act. In such a situation the lessor, unless he wanted to proceed under the provisions of the Rent Restriction Act, had no option but to accept the rent and, therefore, acceptance of rent from a lessee clothed with the protection of Rent Restriction Act would not manifest the intention of the lessor to renew the lease. Something more than mere payment and acceptance of rent would be necessary to assert that the lessor has assented to the lessee continuing in possession and the lessor intended the renewal of the lease. Except for the acceptance of rent after the lease determined by efflux of time, nothing was pointed out to us to show that the lessor had otherwise assented to the lessee continuing in possession so as the infer the renewal of lease. Therefore, the lessee in this case is indisputably a statutory tenant and cannot seek any assistance from the provisions contained in S. 116 of the T. P. Act. Mr. Mahajan proceeded to make his submission on the footing that the appellant is a statutory tenant.
4. If the tenant is thus a statut
Ganga Dutt Murarka v. Kartik Chandra Das
Vora Abbasbhai Alimahomed v. Haji Gulamnabi Haji Safibhai
explained and distinguished : Mangilal v. Suganchand Rathi
Bhawanji Lakhamshi v. Himatlal Jamnadas Dani
referred to : Raval and Co. v. K. C. Ramachandran
distinguished : Ratan Lal v. Vardesh Chander
explained : Manujendra Dutt v. Purnendu Prosad Roy Chowdhury
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