SUPREME COURT OF INDIA
J.S. VERMA AND K. JAYACHANDRA REDDY, JJ.
M/s. Bhoolchand and another, Appellants
Versus
M/s. Kay Pee Cee Investments and another, Respondents.
Civil Appeal Nos. 4701 and 4702 of 1985
Decided on 10-10-1990.
Karnataka Rent Control Act, 1961 - Sub-section (1) of Section 21 – and 50 - Executed a registered sale deed - Tenant attorney - Order of eviction - Premises comprise of two shops and a house adjoining shops and belonged earlier to one premises were let out by original lessor to on terms contained in letter - With reference to your letter and your personal conversation about renting out court shops in Commercial Street Bangalore Cantonment it is agreed and confirmed that you are prepared to take two shops at monthly rent of with two years agreement and three months advance and execute the necessary rental deed with option of sub-letting one of shops - As for House adjoining the shops at monthly rent of with one months advance and Eleven Months rental deed - Held, It is therefore clear that written consent of landlord for sub-letting was necessary under the relevant statute applicable on when the sub-letting was made in present case - In this requirement of written consent of landlord was the basis on which both sides argued the case and the main thrust of argument was that such a written consent was to be found in letter of original lessor - Court have earlier, indicated that landlords consent in aforesaid letter was not available on after expiry of the contractual tenancy rest is only a logical corollary to this conclusion leading to the inevitable result that induction of sub-tenant Super Dry Cleaners w.e.f. by tenant was unlawful being made contrary to provision of law then in force which constitutes ground for eviction contained - Appeals dismissed.
JUDGMENT
VERMA, J.:—These appeals by special leave are by the tenant and the sub-tenant against a decree for eviction passed on the grounds of sub-letting and the reasonable and bona fide requirement of the respondent landlord specified in clauses (f) & (h) of the proviso to sub-section (1) of Section 21 of the Karnataka Rent Control Act, 1961 (hereinafter called "the Act"). The Trial Court had rejected the landlords application for an order of eviction on these grounds, but the High Court in a revision under Section 50 of the Act has set aside the Trial Courts order and passed the decree for eviction on these grounds. Hence these appeals.
2. The material facts are undisputed at this stage. The premises comprise of two shops and a house adjoining the shops and belonged earlier to one T.A. Jotindranath Mudaliar. The premises were let out by the original lessor to M/s. Bhoolchand Chandiram (Appellant in Civil Appeal No. 4701 of 1985) on 4-10-1943 on terms contained in the letter dated 4-10-1943 from the original lessor to M/ s. Bhoolchand Chandiram which reads as under:
"T.A. Jotindranath Mudaliar., 933, Laxmipur
Mysore,
4th October 43
To
Messrs. Boolchand Chandirarn,
Silk Merchant,
C/o Messrs. Bhagwandas Shyamsunder & Co.,
112, Commercial Street,
Bangalore Cantt.
Dear Sirs,
With reference to your letter dated 30th Sept. 43 and your personal conversation about renting out my shops in the Commercial Street, Bangalore Cantonment, it is agreed and confirmed that you are prepared to take the two shops at monthly rent of Rs. 430/- (Rs. Four hundred and thirty only) with two years agreement and three months advance and execute the necessary rental deed, with the option of sub-letting one of the shops. As for the House adjoining the shops at monthly rent of Rs. 50/- (Rs. Fifty only) with one months advance and Eleven Months rental deed. You have the option of sub-letting the house also.
Yours sincerely,
Sd/-
T.A. Jotindranath Mudaliar"
3. M/s. Bhoolchand Chandiram continued as a tenant in the premises and sometime in the year 1946 sublet one of the two shops to one Arts Palace. Later, w.e.f. 1-4-1948 the appellant M/ s. Bhoolchand Chandiram inducted another sub-tenant M/s. Super Dry Cleaners (Appellant in Civil Appeal No. 4702 of 1985) in place of Arts Palace in the same shop. In 1960, a partition took place in the Hindu Undivided Family of Mudaliar brothers, the original lessor and the suit premises fell to the share of Narendranath Mudaliar. M/s. Bhoolchand Chandiram continued in the premises as the tenant with Super Dry Cleaners as the sub-tenant in one shop from 1-4-1948. The original lessor (including Narendranath Mudaliar after partition in the HUF of Mudaliar brothers) continued to take rent from the tenant M/ s. Bhoolchand Chandiram of the entire premises i.e. two shops and the house adjoining the shops till May, 1974. On 28-6-1974, the said Narendranath Mudaliar executed a registered sale deed in favour of respondent NO. 11 M/s. Kay Pee Cee Investments, a registered partnership firm comprising of three ladies of one family as partners, for the sale consideration of Rs. 1,40,000/ -. It may be mentioned that in a proceeding for fixation of standard rent between the original lessor and the tenant, monthly rent of Rs. 325 / - was fixed for the entire premises i.e. two shops and the house and the rent due up to May, 1974 was paid by the tenant to the original lessor. After execution of the said sale deed in favour of respondent No. 1, the tenant attorned in favour of respondent No. 1 and paid rent for the entire premises @.Rs. 325 per month to respondent No. 1.
4. The suit premises comprise of shops Nos. 44 and 45 (New Nos. 1 & 2) in Commercial Street, Bangalore Cantt and House No. 250 (New No. 22 Narain Pillai Street Cross). Admittedly, the premises are in a prestigious commercial locality of the city of Bangalore. Respondent No. 1 landlord claims that the entire suit premises are reasonably and bona fide required by the landlord for its own bu
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