SupremeToday Landscape Ad
Back
Next
Judicial Analysis Court Copy Headnote Facts Arguments Court observation
Listen Audio Icon Pause Audio Icon
judgment-img

2009 Supreme(SC) 1555

Supreme Court of India
THE HONOURABLE MR. JUSTICE TARUN CHATTERJEE & THE HONOURABLE MR. JUSTICE R.M. LODHA
M/s. Commercial Auto Sales (P) Ltd.
Versus
M/s. Auto Sales (Properties)
CIVIL APPEAL NOS.6142-6143 OF 2009 (Arising out of SLP(C) Nos. 1591-1592/2008)
Decided On : 09-09-2009

Advocates Appeared: For the Appellant:Altaf Ahmed, Sr. Advocate, Ms. Meenakshi Arora, Anurag Sharma, Prashant Kumar (for M/s. AP & J Chambers), Advocates. For the Respondent:Jaideep Gupta, Arvind Varma, Sr. Advocates, Pankaj Naqvi, Ms. Pallavi Gupta, Siddharth Dave, T. Mahipal, Sankata Mitra, Ms. Chandni G., Advocates.

Headnote:Property law – Parties related – Earlier members of joint family – Properties settled in family settlement – Portion in question belonging to one being used by the other under the family settlement – MOU of settlement has to be construed to determine whether the arrangement was that of tenant and landlord or lessor and lessee – Also required to be determined whether such lease is determinable or perpetual – Matter remitted back to High Court. (Para 13)

       Facts of the case:

       M/s. Auto Sales (Properties) through Smt. Manju Gupta - respondent - filed a suit for eviction and recovery of arrears of rent against M/s. Commercial Auto Sales (P) Ltd., through its Director Brij Mohan Gupta – appellant, in the Court of Small Causes, Allahabad with regard to portion of premises on the ground floor of building at 18, Kanpur Road, Allahabad.

       The appellant denied the relationship of landlord and tenant between the parties.

       The Small Causes Court decreed the suit for eviction and arrears of rent.

       Revision petition filed by appellant has been dismissed by the High Court.

       Finding of the Court:

       High Court failed to determine crucial issues.

       Result:

       Appeal allowed. Matter remitted back to High Court.

Judgment :-

R.M. Lodha, J.

Leave granted.

2. These two appeals by special leave are directed against the judgment and order dated December 10, 2007 passed by the High Court of Judicature at Allahabad whereby it dismissed revision petition of the present appellant preferred under Section 25 of the Provincial Small Causes Courts Act, 1887 and affirmed the judgment and decree for eviction dated February 5, 2003.

3. M/s. Auto Sales (Properties) through Smt. Manju Gupta - respondent herein filed a suit for eviction and recovery of arrears of rent against M/s. Commercial Auto Sales (P) Ltd., through its Director Brij Mohan Gupta - appellant in the Court of Small Causes, Allahabad with regard to portion of premises on the ground floor of building at 18, Kanpur Road, Allahabad. The respondent averred in the plaint that the subject premises were under the tenancy of the appellant for rent of Rs.11,000/- per month; that tenancy commenced from the first day of every English calendar month and ended on the last day of each month; that vide notice dated March 14, 1997 the balance rent was demanded and tenancy of the appellant was terminated and despite notice of demand and termination of tenancy, the appellant neither paid the rent nor vacated the premises necessitating filing of the suit.

4. The appellant traversed the plaint and denied the relationship of landlord and tenant between the parties. The appellant set up a specific case that the subject premises were not let out to him but in the family settlement dated August 23, 1993 these premises came to the share of the husband of the respondent (Smt. Manju Gupta) but were given to the appellant (Brij Mohan Gupta) to carry on business of M/s. Commercial Auto Sales (P) Ltd. and the appellant was to pay Rs.10,000/-per month by way of compensation for use and occupation of the premises for carrying on business of M/s. Commercial Auto Sales (P) Ltd. although compensation of Rs.10,000/- was designated as rent with increase every three years at the rate of 10%.

5. The Small Causes Court (ADJ-II), Allahabad, after recording evidence and hearing the parties, decreed the suit for eviction and arrears of rent on February, 2003. The Small Causes Court considered the evidence and the family settlement thus :

".........I perused the statement of this witness thoroughly. A Memorandum of Understanding between the parties regarding the property in dispute (Paper No. 68Ga Exhibit-1) has been filed by the defendant in the court. This settlement deed is proved by DW-1 Sanskar Gupta. I perused the statement of DW-1 Sanskar Gupta with respect to settlement deed. This witness for the defendant said in his statement that I am working at the post of Director in Commercial Auto Sales Pvt. Ltd. My mother was partner in M/s. Auto Sales, My mother and father and I were partners in Auto Sales. These, Commercial Auto Sales and M/s. Auto Sales, both are our family firms. The business of these both the firms is being carried on at 18 Kanpur Road. After it a family settlement amongst us was arrived on 23.8.1993. This deed is paper no. 60Ga/1 to 60Ga/7. There are signatures of my father B.M. Gupta, Smt. Madhu Gupta, Sri Anil Gupta, Smt. Manju Gupta and Sanskar Gupta on this deed, Smt. Madhu Gupta and

B.M. Gupta are my mother and father. Sri Anil Gupta and Smt. Manju Gupta are my chacha chachi (Uncle and Auntie). This witness in examination in chief also said that the property was given to Anil Gupta by virtue of this settlement and the business of Commercial Auto Sales was given to Shri Brij Mohan Gupta the business of Auto Sales was given to Anil Gupta. This witness also said in his statement that we are doing business in the aforesaid premises by virtue of the family settlement. No tenancy was created between me and Anil Gupta. We are paying Rs.10,000/- monthly as compensation. It was settled in the family settlement that there will be an enhancement of 10% after three years on this amount of ten thousand. After three y




















Click Here to Read the rest of this document
1
2
3
4
5
6
7
8
9
10
11
SupremeToday Portrait Ad
supreme today icon
logo-black

An indispensable Tool for Legal Professionals, Endorsed by Various High Court and Judicial Officers

Please visit our Training & Support
Center or Contact Us for assistance

qr

Scan Me!

India’s Legal research and Law Firm App, Download now!

For Daily Legal Updates, Join us on :

whatsapp-icon Back to top