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High Court Of Delhi
D.C.BHATIA - Appellant
Versus
UNION OF INDIA - Respondent
Civil Writ 410 of 1989
Decided On : 02/11/1991
Delhi Rent Control Act, 1958 - Section 3(c) - Constitutional validity - Classification of premises based on rent - Whether reasonable - Whether violative of Article 14 of the Constitution.
Fact of the Case:
The Delhi Rent Control Act, 1958 (Act 59 of 1958) was amended by the Delhi Rent Control Amending Act, 1988 (Act 57 of 1988). Section 3(c) of the amended Act excluded from the purview of the Act any premises, whether residential or not, whose monthly rent exceeded Rs. 3,500. A batch of writ petitions was filed challenging the constitutional validity of Section 3(c) on the ground that it violated Article 14 of the Constitution by making an unreasonable classification of premises based on rent.
Finding of the Court:
The court held that the classification of premises based on rent was reasonable and had a nexus with the objects sought to be achieved by the Act. The court noted that the object of the Act was to protect the weaker sections of the society from unreasonable eviction and unfair rent. The court also noted that the legislature had taken into account the fact that there was a shortage of accommodation in Delhi and that this had led to an escalation of rents. The court held that the classification of premises based on rent was a reasonable way of ensuring that the protection of the Act was extended to those who needed it the most.
Issues: 1. Whether the classification of premises based on rent in Section 3(c) of the Delhi Rent Control Act, 1958 was reasonable? 2. Whether Section 3(c) of the Delhi Rent Control Act, 1958 violated Article 14 of the Constitution?
Ratio Decidendi: The court held that the classification of premises based on rent in Section 3(c) of the Delhi Rent Control Act, 1958 was reasonable and had a nexus with the objects sought to be achieved by the Act. The court noted that the object of the Act was to protect the weaker sections of the society from unreasonable eviction and unfair rent. The court also noted that the legislature had taken into account the fact that there was a shortage of accommodation in Delhi and that this had led to an escalation of rents. The court held that the classification of premises based on rent was a reasonable way of ensuring that the protection of the Act was extended to those who needed it the most.
Final Decision: The court dismissed the writ petitions and upheld the constitutional validity of Section 3(c) of the Delhi Rent Control Act, 1958.
( 1 ) THIS bunch of writ petitions mentioned in the schedule annexed to this judgment (Not printed--Ed.) raises a common question regarding the constitutional validity of Section 3 (c) of the Delhi Rent Control Act, 1958
( 2 ) FOR appreciating the controversy raised in these writ petitions, it would be appropriate that the history of rent control legislation is taken into account. Before enacting the rent control laws, the relations of the landlords and the tenants were governed by the provisions of the Transfer of Property Act. That was the general law applicable to landlors and tenants but on account of scarcity of accommodation i. e. shortage of housing accommodation. Rent control legislation came into being. So far as Delhi is concerned, under rule 21 of the Defence of India Rules, New Delhi House Rent Control Order, 1939 was issued. Its application was extended to Municipality of New Delhi and to the notified area of Civil Station, Delhi, Rule 81 (2) (bb) empowered the Central Government to provide by order.
"for regulating the letting and sub-letting in any area of residential accommodation, whether furnished or unfurnished and whether with or without board, and in particular:-- (1) for controlling the rents for such accommodation either generally or when let to specified persons or clauses of persons or in specified circumstances, (ii) for preventing the unreasonable eviction of tenants and sub-tenants from such accommodation, and (iii) for requiring such accommodation to be let either generally, or to specified persons or classes of persons or in specified circumstances. "
( 3 ) CLAUSE 11-A made a provision for grounds for eviction and further provided that a tenant shall not be evicted whether in execution cf a decree or otherwise and whether before or after the, termination of the tenancy, except in accordance with the provisions of the said clause. Therealter Punjab Urban Rent Restriction Act, 1941 was extended to the province of Delhi and that law was not to apply to any areas in which the New Delhi House Rent Control Order. 1939 was for the time being in force. That Act was also enacted to restrain the increase of rents or certain premises situated in the limits of urban areas in the provrnce of Delhi. Then came the Delhi Rent Control Ordinance, 1944. This ordinance was promulgated in order to make better provisions for the control of rents in (he province of Delhi. It also contained clause-9 relating to eviction of tenants. It is only on certain grounds that a tenant could be evicted from his tenanted premises. Then came the Delhi and Ajmer Merwara Rent Control Act, 1947. The preamble of this Act. was to the effect that the Act was to provide for the control of rents and evictions, and for the lease to Government of premises upon their becoming vacant, in certain areas in the Provinces of Delhi and Ajmer-Merwara. There was a provision contained in Section 9 relating to eviction of tenants which placed restrictions on eviction of tenants. Subsequently, in the year 1952. Delhi and Ajmer Rent Control Act, 1952 was promulgated. Its preamble was also to the same effect. This law dealt with the control of rents and evictions. The earlier laws a so made provisions for fixing standard rents and provisions relatin" to other charges by the landlord. Then came Delhi Tenants ( Temporary Protection) Act, 1956. It provide for temporary protection to certain dosses of tenants in the Union Territory of Delhi from eviction. After this Act. the present law i. e. Delhi Ren Control Act, 1958 (Act no. 59 of 1958) was promulgated. This law was enacted with a view to provide for control of rents and evictions and of rotes of hotels and lodging houses and for the lease of vacant premises to government in certain areas in the Union Territory of. Delhi. It came into force w. e. f. 9th day of February, 1959. Subsequently, it was felt that the provisions of the said Act need amendment. This Act was amended by Delhi Rent Control Amen
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