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Privy Council At Allahabad
Sir George Rankin, Lord Porter , Justice Lord Macmillan, JJ.
Prahladrai Chooreewalla -Appellant
Versus
Commissioners for the Port of Calcutta -Resopndent
Privy Council Appeal No. 52 of 1937; Bengal Appeal No. 40 of 1936
Decided On : 01-12-1938
Land Tenancy - Grierson Road, Howrah - Registration Act of 1908, Sec. 17, T. P. Act, Sec. 106 - The court discussed the terms of the lease agreement, the nature of the tenancy, and the validity of the notice served to terminate the tenancy. The court interpreted the provisions of the Registration Act and T. P. Act to determine the rights and obligations of the parties involved in the dispute.
Fact of the Case:
The appellant entered into an arrangement to purchase structures on certain land and become a tenant. Disputes arose regarding the terms of the lease, possession of the land, and the validity of the notice to terminate the tenancy.
Finding of the Court:
The court found that the appellant had agreed to become a monthly tenant as per the letters exchanged between the parties. The court also held that the notice to terminate the tenancy was validly served on the appellant.
Issues: Dispute over the terms of the lease, nature of the tenancy, and the validity of the notice served to terminate the tenancy.
Ratio Decidendi: The court interpreted the lease agreement and relevant legal provisions to determine the nature of the tenancy and the validity of the notice served for termination.
Final Decision: The appeal was dismissed with costs as the court found that all the points taken by the appellant failed.
Lord Porter:-
The respondents in this case are the owners of certain plots of land at Grierson Road, Howrah. Before September 1932, one Gobardhan Das Deora (hereinafter called Deora) was tenant of the plots on which certain structures had been erected. A draft lease had been sent to him but it was never executed. Deora failed to pay the rent for the land and a large amount became due from him to the respondents. It was accordingly arranged between Deora and the appellant that the appellant should purchase the structures, and between the respondents, Deora and the appellant, that the appellant should become tenant of the land and certain further land at an agreed rent. The terms of the arrangement will be found in a letter from the respondents to the appellant's solicitors dated 21st September 1932.
It was part of the terms agreed between Deora and the appellant that the appellant should take over and pay Deora for the structures on the land. This provision was duly carried out and from the sum so received Deora discharged the rent which was in arrear. The appellant then took possession of the land and a certificate of possession was signed by him and by a representative of the respondents on 12th September 1932, from which it appears that the appellant went into possession on that date under an agreement for a yearly lease beginning on 1st October 1932. The respondents however seem to have thought that the lease was to operate from 1st September 1932 and on 24th October 1932 a draft lease was sent to the appellant's solicitors. This lease was never returned. The appellant nevertheless remained in possession and for a time paid the stipulated rent, but by 13th June 1933 a considerable sum remained unpaid, and a suit for its recovery was pending. In these circumstances a discussion took place between the respondents and the appellant's agents and letters purporting to embody its result were exchanged between them. These letters must be set out in full as their legal effect is in dispute between the parties.
Messrs. Talbot and Co.,
Tower House, Chowringhee Square,
Calcutta.
DEAR SIRS,
With reference to your letter No. WSV/1963, dated 30th June 1933, and your Mr. Basil's conversation with the Assistant Secretary today, I beg to confirm the following arrangements in regard to the land at Grierson Road, Howrah, leased to Babu Pralhadroy Churiwalla :
1. That Babu Prohladroy Churiwalla will pay up before 1st July 1933 :
Rs. as. p. Rent for five months from February to June 1933 ... ... 5822 8 0 Cost of the suit instituted against him... ... ... ... 340 8 0 6162 8 0
2. That Babu Prohladroy Churiwalla will hand over vacant possession of a portion of the land on 1st July 1933.
3. That Babu Prohladroy Churiwalla will be treated as a monthly tenant after 1st July 1933 in respect of the land retained by him from that date. This tenancy will be terminable by either party on 15 days' notice expiring with the end of a calendar month.
Yours faithfully,
(Sd.) S. L. Das,
Offg. Secretary.
On 28th June 1933 Messrs. Talbot and Co. replied as follows:
The Offg. Secretary,
Calcutta Port Commissioners,
Calcutta.
DEAR SIRS,
Re : Land in Grierson Road, Howrah.
We thank you for your letter No. 39921 of yesterday's date and, as arranged with you over the telephone today, have pleasure in sending you herewith our cheque for Rs. 5822-8-0 being the amount of rent paid over to us by Babu Prohladroy Churiwalla for the months of February, March, April, May and June 1933.
As regards the cost of the suit Mr. Churiwalla has requested us to find out whether there is any possibility of saving the stamp-fee by withdrawing the case and in such event he is prepared to pay your out-of-pocket expenses not exceeding Rs. 340. On hearing from (you) we shall take up the matter with him.
The terms of the settlement are that Mr. Churiwalla will give up whatever vacant portion of the land he can and remain as ordinary tenant from 1st July 1933, and subject to the termination by giving you 15 days' not
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