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1979 Supreme(Guj) 58

Gujarat High Court
Judgename :B.K.MEHTA, S.B.MAJMUDAR
BHABHUTMAL RIKHBAJI SHARMA - Appellant
Versus
MANUBHAI MADHAVJI PATEL - Respondent
Civil Revision 133 of 1976
Decided On : 04/24/1979

Advocates Appeared: D.D.Vyas, G.N.DESAI, MAHENDRA A.PATEL

Headnote:

Bombay Rent Hotel and Lodging House Rates Control Act 1947 - Section 13 - Rent Act - Section 13 (1) - (c) - Tenant against decree of eviction - Whether the conviction of a person residing with a tenant of business premises for use of premises for illegal purposes would expose tenant to eviction decree - Original defendant Sharma was a tenant of shop premises bearing Municipal in Ward in City on terms and conditions contained in Rent Note of November which has been determined by affix of time on expiry of period of 11 months for which the Rent note was executed – Held, Supreme Court was concerned with question of what should be standard rent and therefore reasonable return on total investment of a cinema theatre speaking in court stated as - What rate of return in respect of landed property may be regarded as reasonable in determining standard rent section 11 of Act depends upon certain variable factors - Normal-expected yield from immovable property in locality return from alternative investments municipal and other charges use to which property is to be put its condition repairs it needs to keep it in tenantable condition and a host of other related must enter into determination - It is therefore a question of fact depending on different factors enumerated by Supreme Court No evidence has been led on behalf of landlord to show that return was inadequate - Application allowed

B. K. MEHTA, J.

( 1 ) BROADLY three substantial questions of law of general importance arise in these two civil revision applications one at the instance of the original defendant-tenant against decree of eviction and another at the instance of the original plaintiffs-landlord against the fixation of standard rent-referred to us by P. D. Desai J. The questions as formulated by us are as under :- (1) Whether the restrictive covenants of the contractual tenancy would continue to operate to the prejudice of the tenant on determination of the contractual tenancy ? (2) Whether breach of conditions of tenancy prohibiting the change of the purpose of the user of the premises even partly would expose the tenant to a decree of eviction de hors sec. 13 of the Bombay Rent Hotel and Lodging House Rates Control Act 1947 (hereinafter known as the Rent Act) ? (3) Whether the conviction of a person residing with a tenant of business premises for the use of the premises for illegal purposes would expose the tenant to eviction decree under sec. 13 (1) (c) of the Rent Act. These questions arise under the following circumstances:-

( 2 ) THE original defendant no. 1 Bhabhutmal Sharma was a tenant of the shop premises bearing Municipal No. 109-14 in Ward No. 10 in City of Navsari on terms and conditions contained in the Rent Note of November 28 1967 which has been determined by affix of time on expiry of period of 11 months for which the Rent note was executed. The original plaintiff-landlord Manubhai Madhavji Patel who died during the pendency of the appeal before the learned Assistant Judge filed two suits against the defendant-tenant Bhabhutmal Sharma in the Court of Civil Judge (Mr. Division) Navsari being Regular Civil Suit No. 212/70 and No. 292/70. Regular Civil Suit No. 212/70 was filed against defendant-tenant Bhabhutmal Rikhabaji Sharma only for permanent injunction restraining him from putting up wooden partition on the demised premises and therefore for preventing him from putting a permanent structure in the premises Regular Civil Suit No. 292/70 was filed against three persons namely 1 tenant Bhabhutmal Sharma 2 his son Kishorkumar Bhabhutmal Sharma and 3. Kishorkumar Sohanlal Sharma for recovery of the vacant possession of the premises on as many as six grounds. Shortly stated the grounds on which the eviction was prayed for were:- 1 The defendant-tenant being in arrears of rent for more than prescribed period. 2 Unlawful sub-letting by the tenant. 3 Breach of condition of the contractual tenancy prohibiting the change of user. 4 Conviction of Kishorkumar Bhabhutmal Sharma for storage of stolen property. 5 Erection of permanent structure; and 6 Defendants being guilty of conduct amounting to nuisance and annoyance. Tenant Bhabhutmal had made an application in the Court of the Civil Judge (J. D.) Navsari being Misc. Civil Application No. 90/70 for fixation of the standard rent. Both the suit were principally resisted by the defendant-tenant. The learned Civil Judge on appreciation of the evidenceoral as well as documentary-adduced by the parties upheld i. e. claim of the landlord for vacant possession of the premises on four grounds:- 1 Unlawful sub-letting of the premises by the defendant not to defendant nos. 2 and 3. Breach of the condition of the tenancy prohibiting change of user. Conviction of Kishorkumar original defendant No. 3 under sec. 124 of the Bombay Police Act; and conduct of the defendants amounting to nuisance or annoyance to the adjoining neighbours. The learned Civil Judge however did not find the tenant to be a defaulting tenant in arrears of rent which render him liable to eviction. He also disagreed with the plaintiffs-landlord that any permanent structures have been put up on the premises. He found the contractual rate of the rent at Rs. 125/per month as standard rent. He therefore granted a decree for eviction directing the defendants-tenants to hand over vacant and quiet possession of the premises by his judgmen




















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