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2011 Supreme(SC) 533

2011 (4) Supreme 205
SUPREME COURT OF INDIA
Dalveer Bhandari and Deepak Verma, JJ.
Mohammad Ahmad & Anr. — Appellants
versus
Atma Ram Chauhan & Ors. — Respondents
Civil Appeal No. 4422 of 2011
[Arising out of S.L.P. (C) No.6319 of 2007]
Decided on : 13-5-2011

IMPORTANT POINT
Guidelines for fixation/enhancement/payment of rent and liabilities of landlord/ tenant issued.

Headnote:(a) Rent Laws – Rent enhanced by the High Court with the consent of the parties – Cannot be assailed. (Para 15)

        Civil Appeal No. 316 of 2009; Civil Appeal No. 14 of 2008; Civil Appeal No. 6171 of 2008 – Distinguished

        (b) Rent Laws – Enhancement of rent – Any enhancement in rent will not ipso facto be deemed to be unreasonable and exorbitant, unless the party aggrieved is able to give cogent reasons for the same. (Para 17)

        (2005)1 SCC 705 – Relied upon

        (c) Rent Laws – Fixation/enhancement of rent – Guidelines issued. (Para 21)

       Facts of the case:

        This case presents another example of tenant-landlord dispute on the amount of rent and resulting litigations.

       Finding of the Court:

        Rent fixed by the High Court is not only reasonable but also just and proper.

       Result : Appeals dismissed with cost.

       

JUDGMENT

Deepak Verma, J. —

1. Leave granted.

2. One half of the lis between landlord and tenant would not reach courts, if tenant agrees to pay the present prevalent market rate of rent of the tenanted premises to the landlord. In that case landlord would also be satisfied that he is getting adequate, just and proper return on the property. But the trend in the litigation between landlord and tenant shows otherwise. Tenant is happy in paying the meagre amount of rent fixed years ago and landlord continues to find out various grounds under the Rent Acts, to evict him some how or the other. This case appears to be another classic example of the aforesaid scenario.

3. Thumb nail sketch of the facts of the case are mentioned hereinbelow:-

Appellants herein are the tenants of two shops admeasuring 10x12 feet each, equivalent to 240 sq. ft., situated at National Highway Chakrata Saharanpur (U.P.). The map attached alongwith counter affidavit of the Respondent Nos. 1 to 3 (which is not disputed by the Appellants) shows that these shops are part of the building known as Jaitpur Sadan, now coming under commercial area. As per the sketch on record, it is bounded by 110 ft. wide National Highway to the east, a 90 ft. wide Town Hall Road to the west, a 20 ft. by lane to the south, and nothing is shown and no construction appears to be there in the north. In all, Jaitpur Sadan has five shops of the same size facing east and four shops of the same size and one adjoining mini-store (which is probably another smaller shop) and staircase for reaching first floor, facing west.

4. Earlier when the abovementioned Jaitpur Sadan was constructed, it appears that the same was about 20 Kms. away from the city of Saharanpur. Now with the passage of time, the outer limits of the city have grown and have come to include the said building. Thus, it can be called a commercial area.

5. Respondent No. 1 who was working as the Medical Officer at Zila Parishad, Saharanpur retired on 31.07.1992. For his personal bonafide need he needed these two small shops, i.e. an east-facing room (for consultation and setting up medical equipment) and an adjoining west-facing room (to serve as a waiting room for patients). The sketch map shows that one of the shops facing western side is already in his occupation. He had requested both Appellant No.1 and Respondent No.4, Shri Md. Ahmad Iqbal, respectively, for release of any one pair of shops, but neither of the two acceded to his request.

6. Thus, he filed an application under Section 21(1)(a) of the U.P. Act No. 13 of 1972 (hereinafter shall be referred to as the ‘Act’) against the Appellants/Tenants as well as the Respondent No.4 praying for release of any one pair of the said two pairs of shops in his favour. At that time the Appellants were paying rent at Rs. 40 and Rs. 20/- (total Rs. 60/- per month) for the pair of shops in their possession.

7. The matter was contested by the Appellants before the Prescribed Authority/IV Additional Civil Judge, Saharanpur, whereby and whereunder the said authority allowed the application of Respondents Nos.1 to 3 - landlords and on a comparative assessment of facts and circumstances, released the property (shown as Item A in the Map annexed) in which Respondent No.4 was a tenant, in their favour.

8. Feeling aggrieved thereof Rent Control Appeals were preferred by both the parties, i.e., Respondent Nos.1 to 3 - landlords and Respondent No.4 before Additional District Judge, Saharanpur. Vide judgment and order dated 24.08.2004, the Appellate Court upheld the decree of the IV Additional Civil Judge, Saharanpur but modified it, to the extent that the pair of shops in tenancy of present Appellants be released (shown as Item B in the Map annexed), instead of the pair of shops in the possession of Respondent No.4 as decreed by the Trial Court, and furthermore, they were directed to deliver peaceful and vacant possession thereof to the Respondent Nos. 1 to 3, within one month from the date


























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