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1989 Supreme(SC) 307

SUPREME COURT OF INDIA
BEFORE K.N. SINGH, M.H. KANIA AND L.M. SHARMA, JJ.
M/S KESHO RAM AND CO. AND OTHERS ETC.
Versus
UNION OF INDIA AND OTHERS
Advocates appeared :
R. P. Bhat, V. M. Tarkunde, S. D. Sharma, A. K, Ganguli and Kapil Sibal, Senior Advocates (K. G. Bhagat, Ms. Sudha Sharma, Ms. Asha Rani Madan, Mahabir Singh, M. P. Jha, S. K. Jain, A. K. Goel, Nandini Gore, H. K. Puri, Manoj Swarup, Sushil K. Jain, Rishi Kesh, Davendr N. Verma, P. C. Kapur, B. B. Sawhney, N. A. Siddiqui, K. K. Gupta, Parveen Kumar, Arvind Minocha, Harjinder Singh, S. M. Ashri, C. M. Nayar, R. K. Talwar, S. Markandeya, M. C. Dhingra, E. M. S. Anam, Vishal Malik, B. B. Tawakley, M. M. Kashyap, Jitender Kumar Sharma, Randhir Jain, A. D. Sikri, D. D. Gupta, P. N. Puri, R. K. Kapur R. P. Jugga, R. C. Setia, Ms. M. Karanjawala, N. S. Das Behl, Prem Malhotra, Ms. Urmila Kapur, N. D. Garg, B. S. Shant, J. D. Jain, H. Wahi, S. K. Jain, D. M. Nargolka, Ms. Kawaljit Kochar, Prem Malhotra, R. K. Handa, K. K. Lahiri, Pankaj Kalra, A. K. Sanghi, Mahabir Singh, Ms. H. Wahi, K. K. Mohan and P. N. Puri, Advocates, with them), for the appearing parties.

Advocates:
A.D.SIKH, A.K.GANGULY, A.K.GOHIL, A.K.Sanghi, Arvind Minocha, Asha Rani Madan, B.B.Sawhney, B.B.TAVAKLEY, B.S.SHANT, C.M.NAYAR, D.GUTPA, D.M.Nargolkar, Devender Verma, E.M.S.ANAM, H.K.PURI, H.VAHI, H.WAHI, Harjinder Singh, J.D.JAIN, J.K.SHARMA, K.G.Bhagat, K.K.GUPTA, K.K.LAHRI, K.K.Mohan, KAPIL SIBAL, KAVAL JIT KOCHAR, M.C.DHINGRA, M.KARANJAVALA, M.M.KASHYAP, M.P.Jha, Mahabir Singh, MANOJ SVARUP, N.A.SIDDIQUI, N.D.GARG, N.S.DAS BEHL, NANDINI GORE, P.C.KAPUR, P.N.PURI, PANKAJ KAIRA, PARVIN KUMAR, PREM MALHOTRA, R.C.SETHIA, R.K.HANDU, R.K.KAPOOR, R.K.Talwar, R.P.BHATT, R.P.JAGGA, RANDHIR JAIN, RISHI KESH, S.D.SHARMA, S.K.JAIN, S.M.Ashri, S.Markandaya, SUDHA SHARMA, SUSHIL JAIN, URMILA KAPUR, V.M.TARKUNDE, Vishal Malik

Headnote:

Constitution of India,1950 – Article 32 and 226 - East Punjab Urban Rent Restriction Act, 1949 – Section 3 and 13 - Suits for eviction – Suit for premises - Appellants in appeals as well as petitioners in special leave petitions and petitions under Article 32 of Constitution, are tenants of buildings situate within Union Territory of Chandigarh - Buildings occupied by appellants/petitioners as tenants were exempted from operation of East Punjab Urban Rent Restriction Act, 1949 for a period of five years under the impugned Notification - Landlords of these buildings filed suits for eviction in civil court, against tenants - During pendency of suits five years period expired, tenants raised objection that suits could not be decreed in view of provisions of Section 13 of the Act - Some of tenants filed writ petitions under Article 226 of Constitution before the High Court challenging jurisdiction of civil court to proceed with suits or to pass decree of eviction against them on ground that on expiry of five years period of exemption Section 13 of Act became applicable and the civil court ceased to have jurisdiction - Whether such decrees were or are passed during the period of exemption or at any time thereafter – Held, It was then urged that impugned notification practised discrimination between two classes of tenants in the Union Territory of Chandigarh - Two classes of tenants are : (i) tenants of old buildings which were never exempted from the provisions of the Act, tenants of the buildings entitled to protection of Act, and (ii) the tenants of newly constructed buildings exempted from protection of the Act, who are liable to be evicted at any time at the mercy of the landlord. In Mohinder Kumar v. State of Haryana{(1985) 4 SCC 221}, this Court considering a similar challenge to the validity of Section 13 of the Haryana Urban (Control of Rent and Eviction) Act, 1973 held that classification of buildings with reference to the date of completion for the purposes of regulating the rent and eviction of tenants from such buildings has a rational basis and has a clear nexus with the object to be achieved - Classification is founded on intelligible differentia which has a rational nexus with the object of the Act - It does not practice any invidious discrimination between two classes of tenants, classification is reasonable and it does not violate Article 14 of the Constitution of India - In view of the above discussion court hold that Section 3 as well as the impugned notification are valid and the same do not suffer from any constitutional or legal infirmity - Court further hold that civil court has jurisdiction to pass decree even after expiry of period of exemption, in suits instituted during period of exemption, and to execute the same notwithstanding the provisions of Section 13 of Ac - In the result the civil appeals, special leave petitions, and writ petitions fail and are accordingly dismissed with costs and all interim orders stand discharged.

JUDGMENT

SINGH, J.— In this batch of civil appeals, special leave petitions and writ petitions, under Article 32 of the Constitution, validity of Section 3 of the East Punjab Urban Rent Restriction Act, 1949 and the Notification No. 3205-LD-74/3614 dated September 24, 1974 issued thereunder by the Chief Commissioner, Union Territory of Chandigarh, granting exemption from Section 13 of the Act to buildings constructed in the urban area of Chandigarh for a period of five years have been challenged.

2. The appellants in the appeals as well as the petitioners in the special leave petitions and petitions under Article 32 of the Constitution, are tenants of buildings situate within the Union Territory of Chandigarh. The buildings occupied by the appellants/petitioners as tenants were exempted from the operation of the East Punjab Urban Rent Restriction Act, 1949 (hereinafter referred to as the Act) for a period of five years under the impugned Notification dated September 24, 1974. The landlords of these buildings filed suits for eviction in the civil court, against the tenants. During the pendency of suits five years period expired, thereupon, the tenants raised objection that the suits could not be decreed in view of the provisions of Section 13 of the Act. Some of the tenants filed writ petitions under Article 226 of the Constitution before the High Court challenging the jurisdiction of the civil court to proceed with the suits or to pass decree of eviction against them on the ground that on expiry of five years period of exemption Section 13 of the Act became applicable and the civil court ceased to have jurisdiction. The High Court repelled the tenants contentions and dismissed their petitions. The tenants filed civil appeals, special leave petitions in this Court challenging the correctness of the order of the High Court. Some of the tenants against whom suit is pending before the trial court approached this Court by means of petitions under Article 32 of the Constitution challenging the validity of the proceedings taken by the landlords for their eviction. Since all these cases involve common questions the same are being disposed of by a common order.

3. The East Punjab Urban Rent Restriction Act, 1949 seeks to regulate and restrict the increase of rent of premises situate within the urban areas and the eviction of tenants therefrom. No landlord of a building situate in an urban area to which the provisions of the Act apply is free to charge rent from the tenants according to his sweet will, or to evict a tenant by filing suit by terminating tenancy, in view of the provisions of the Act placing restrictions on the landlords rights. The provisions of the Act were applied and extended to the urban area of the Union Territory of Chandigarh by the East Punjab Urban Rent Restriction (Extension to Chandigarh) Act, 1974. On such extension all buildings situate in the urban area of Chandigarh, became subject to the provisions of the said Act, with the result landlords right to charge rent or to evict tenants at their sweet will are curtailed and regulated in accordance with the provisions of the Act. The object of the East Punjab Urban Rent Restriction Act, 1949 is to provide safeguards to tenants against exploitation by landlords who seek to take undue advantage of the pressing need for accommodation. The provisions of the Act provide for fixation of fair rent and prevention of unreasonable eviction of tenants. Sections 4 to 9 provide for fixation of rent, its recovery, enhancement and other allied matters relating to rent. Section 10 enjoins the landlords not to interfere with the amenities enjoyed by the tenants. Section 11 prohibits conversion of a residential building into a non-residential building except with the written permission of the Controller appointed under the Act. Section 12 mandates a landlord to make necessary repairs in the building let out to a tenant, and on his failure, it is open to the tenant to carry out repai



























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