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KRISHNA RAO
B. P. Poddar Hospital & Medical Research Limited – Appellant
Versus
Union of India – Respondent
JUDGMENT :
(Krishna Rao, J.)
1. The plaintiff has filed the instant application under Chapter XIIIA of the Original Side Rule of this Court praying for summary judgment for a sum of Rs. 5,47,70,672.40/-together with an interest @ of 18% per annum from July 2016 till January 2020.
2. The plaintiff has filed suit against the defendant praying for the following reliefs :
b) Decree for Rs. 3,53,27,170/-on account of interest from July 1, 2016 to January 31, 2020 as pleaded in paragraph 27 hereof;
c) Interest on judgment and other reliefs.”
3. Initially a lease deed was entered between The Model Manufacturing Company Limited and the Income Tax department on 3rd June, 1967 for a period of three years. Even after the expiry of the period of three years, no further lease was entered between the parties but the Income Tax department had continued with the possession of the said premises as a monthly tenant but the monthly rent was not revised. In between 10th July, 1972 and 13th June, 1985, the Central Public Works Department had issued various memorandums
The Court's power to dismiss a suit under Order VII, Rule 11 of the Code of Civil Procedure, 1908 is limited to cases where there is no definite evidence with regard to the quantum of monthly rent.
Writ jurisdiction can address contractual disputes involving the State if no serious factual disputes exist, ensuring the State honors its obligations.
A summary judgment cannot be granted if the defendant raises triable issues, including the status of tenancy and acceptance of rent post-lease expiration.
The court held that the presence of monthly rent obligations under the Bombay Rent Act justified eviction against tenants failing to pay within specified timelines.
Municipal taxes are considered part of the rent under the West Bengal Premises Tenancy Act, 1997, and non-payment leads to eviction.
Municipal tax is distinct from rent in tenancy agreements unless explicitly included; failure to pay municipal tax does not constitute default in rent payments if rent obligations are met.
The CPWD rates, as per the Manual on Infrastructure of CBDT, are merely advisory, but the Chief Commissioner of Income Tax, while fixing the fair rent for the premises lastly, had himself relied on t....
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