IN THE HIGH COURT OF DELHI
Suresh Kumar Kait, Saurabh Banerjee, JJ.
Siddhatha Singh - Appellant
Versus
Ajit Singh Bawa - Respondent
RFA(COMM) 40 of 2022 & CM Appls. 26156-158 of 2022
Decided On : 12-07-2022
| Table of Content |
|---|
| 1. formation of lease agreement and tenant obligations. (Para 1 , 2 , 3 , 4) |
| 2. respondent's basis for lease termination. (Para 5 , 6 , 7) |
| 3. appellant's claims challenging court's decision. (Para 9 , 10 , 11) |
| 4. court's reasoning on tenant's obligations under lease. (Para 12 , 14 , 15 , 16) |
| 5. judgment reinforcement and rejection of appeal. (Para 17 , 18) |
| 6. final dismissal of the appeal. (Para 19) |
JUDGMENT
Saurabh Banerjee, J. Appellant-tenant, the original defendant before the learned trial court (hereinafter referred as "Appellant"), has preferred the instant appeal against the impugned judgement dated 19.02.2022, whereby, the learned trial court has allowed the application under Order XIII A of The Code of Civil Procedure, 1908 (hereinafter referred as "CPC") read with Section 151, CPC read with Section 3 of The Commercial Courts Act, 2015 (hereinafter collectively referred as "Order XIII A application") filed by the respondent-landlord, the original plaintiff before the learned trial court (hereinafter referred as "Respondent") and decreed the suit in favour of the respondent and against the appellant.
2. Succinctly put, the respondent instituted a suit for possession, arrears of rent along with mesne profits (hereinafter referred to as "suit") against the appellant, inter alia, claiming the following reliefs:
"3.1. Pass an Order/Judgment/Decree in favour of the Plaintiff and against the Defendant directing the Defendant to vacate the said Property at 19F, Basant Lok, Vasant Vihar, New Delhi 110057; super area ad-measuring 1000 sq. ft. and deliver the peaceful, vacant possession to the Plaintiff;
3.2. Pass an Order/Judgment/Decree in favour of the Plaintiff and against the Defendant directing the Defendant to make a payment of INR 94,215.80/- [Indian Rupees Ninety Four Thousand Two Hundred Fifteen and Eighty Paise Only] as arrears of rent for the period of 23.05.2020 to 08.07.2020;
3.3. Pass an Order/Judgment/Decree in favour of the Plaintiff and against the Defendant directing the Defendant to pay liquidated damages to the Plaintiff for unauthorized occupancy of the Said Property @10000/- [Indian Rupees Ten Thousand Only];
3.4. Pass an Order/Judgment/Decree in favour of the Plaintiff and against the Defendant directing the Defendant to pay all dues (water, electricity, gas, maintenance and service charges) pertaining to the said Property, up till the date of delivering actual, physical and legal possession of the said Property to the Plaintiff;
3.5. Pass an Order/Judgment/Decree in favour of the Plaintiff and against the Defendant thereby restricting the Defendant from transferring/alienating/encumbering/creating third party rights or parting with possession of the Said Property at 19F, Basant Lok, Vasant Vihar, New Delhi 110057."
3. Being the absolute owner of the commercial property bearing No. 19 F, Basant Lok, Vasant Vihar, New Delhi-110 057 (hereinafter referred as "premises"), the respondent had given the said premises on lease to the appellant for it to carry out authorised commercial activity like running a spa or any other activity vide a registered Lease Deed dated 18.12.2010 (hereinafter referred as "Lease Deed") for a period of 15 years, commencing from 15.05.2010 to 14.05.2025 as per the terms and conditions set out therein.
4. It was during the subsistence of the aforesaid Lease Deed, that the unfortunate outbreak and spread of COVID-19 pandemic across India caused suffering to the public, including the appellant, primarily during the then prevailing lockdown period since and from March, 2020 for the ensuing months. This resulted in non payment of rent in compliance of the Lease Deed by the appellant to the respondent which in turn resulted in the respondent issuing legal notice(s) on 20.04.2020, 11.05.2020 and 28.05.2020 to the appellant calling upon him to pay the monthly rent as per the Lease Deed. So much so, in one such legal notice the respondent voluntarily offered to suspend the obl
Temporary non-use of premises does not exempt a tenant from paying rent; contractual obligations under the Lease remain enforceable despite COVID-19 restrictions.
Point of Law : It is a settled law that if a contract contains a clause providing for some sort of waiver and/or suspension of rent, it is only then that tenant could claim same.
Point of Law : It is a settled law that if a contract contains a clause providing for some sort of waiver and/or suspension of rent, it is only then that tenant could claim same.
The jurisdiction under Article 227 does not permit appellate review of findings from lower courts, requiring trials to resolve disputes over lease agreements.
The main legal point established in the judgment is the difficulty in proving valuable consideration for sub-letting and the requirement of reasonable and bona fide need for possession under Section ....
The tenant is not liable to deposit the time-barred arrears of rent, particularly having regard to the requirement in Section 12(1)(a) that the arrears of rent must be legally recoverable from the te....
Landlord can obtain possession of premises upon clear admissions about tenancy relations and formal lease termination, regardless of tenant's claims of extensions based on rent acceptance.
A tenant cannot dictate a landlord's needs; once a tenancy is terminated by notice, the tenant's status may shift to tenant at sufferance, allowing for eviction.
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