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1991 Supreme(Guj) 335

Gujarat High Court
Judgename :N.B.Patel
ANISH ACHYUT CHINUBHAI - Appellant
Versus
NANIKRAM SOBHRAJ MILLS PRIVATE LIMITED - Respondent
C.A. 853 of 1986
Decided On : 12/02/1991

Advocates Appeared: J.M.THAKAR, M.R.GEHANI, P.B.MAJUMDAR

Headnote:

Transfer of Property Act, 1882 – Section 106 – Rent Act, 1859 – Section 6 (1), 28 – Lodging House Rates Control Act, 1947 – Four appeals arise out of a common judgment and four separate decrees passed in Special Civil Suit respectively by the learned Judge whereby the learned Judge has dismissed all the four suits without any order as to the costs of the parties aforesaid four suits were filed by different plaintiffs against the same defendant Mills claiming possession of the demised property with mesne profits, etc four plaintiffs are the members of the same family and there is no dispute about the fact that their predecessor-in-title bad, by a lease deed and a supplementary lease deed leased out to the defendant a large piece and parcel of land, with some buildings standing thereon, for use by the lessee "for silk, rayon and cotton weaving, dyeing and printing factory supplementary lease deed only some additional adjoining land was leased out for additional rent to the defendant, but, the purpose of the lease and the other conditions and terms of the lease continued to be the same as in the original lease deed properties left by the predecessor-in-title of the four plaintiffs were partitioned amongst the plaintiffs and each plaintiff got a particular portion out of the demised property and it was therefore that each plaintiff separately filed one suit for possession of the portion which had fallen to his or her share. Possession of the demised property was claimed on the ground of breach of some conditions and arrears of rent –Held, Dominant intention of the parties to the lease was to lease out to the lessee the right to run an existing factory and it was only incidental that the buildings, in which machineries of the factory were situated, were referred to in the lease-deed Court held that the right to run factory leased out in the said case was not "premises" within the ambit and operation of the Rent Act also the question whether the term "business" occurring in Sec. 6 (1) of the Rent Act covers within its ambit manufacturing activities carried out for the purpose of earning profit did not arise for consideration decision is also therefore of no help to the plaintiffs in the present case none of the aforesaid decisions cited by the learned Advocate General deals with the question which arises for determination in the present appeals. As already stated by me above, the word "business" as occurring of the Rent Act has to be interpreted keeping in view the object of the legislature and that object being clearly to prevent exploitation by the landlords taking advantage of the acute scarcity of accommodation, court have no hesitation in concurring with the view taken by the learned Judge that the word "business" must receive sufficiently wider meaning so as to embrace within its sweep manufacturing activity undertaken for the purpose of earning profit concluding, it may be noted that so far as the defendant is concerned, it has all along contended that the lease was for the purpose of carrying on business and it was in the alternative contended that, even assuming that it was for the purpose of manufacturing, in the facts and circumstances of the case, where manufacturing was intended to be undertaken and actually undertaken for the purpose of earning profit, such manufacturing activity would be covered within the meaning of the term "business" as occurring in Sec. 6 (1) of the Rent Act – Appeals are dismissed.

PATEL, J.

( 1 ) ). These four appeals arise out of a common judgment and four separate decrees passed in Special Civil Suit No. 626 of 1984, 627 of 1984. 628 of 1984 and 629 of 1984 respectively by the learned Judge (Court No. 4, City Civil Court, Ahmedabad) whereby the learned Judge has dismissed all the four suits without, however, any order as to the costs of the parties.

( 2 ) ). The aforesaid four suits were filed by different plaintiffs (one in each suit) against the same defendant, viz. , M/s. Nanikram Sobhraj Mills Pvt. Ltd. , claiming possession of the demised property with mesne pvofits, etc. The four plaintiffs are the members of the same family and there is no dispute about the fact that their predecessor-in-title bad, by a lease deed (Ex. 35) dated 8-5-1938 and a supplementary lease deed (Ex. 36) dated 15-12-1939, leased out to the defendant a large piece and parcel of land, with some buildings standing thereon, for use by the lessee "for silk, rayon and cotton weaving, dyeing and printing factory". By the supplementary lease deed (Ex. 36), only some additional adjoining land was leased out for additional rent to the defendant, but, the purpose of the lease and the other conditions and terms of the lease continued to be the same as in the original lease deed (Ex. 35) dated 8-5-1938. The properties left by the predecassor-in-title of the four plaintiffs were partitioned amongst the plaintiffs and each plaintiff got a particular portion out of the demised property and it was, therefore, that each plaintiff separately filed one suit for possession of the portion which had fallen to his or her share. Possession of the demised property was claimed on the ground of breach of some conditions and arrears of rent. We are, however, not concerned with the grounds on which possession was sought from the defendants. The point to be noted is that the suits for recovering possession from the defendant-lessee were filed on the basis that the Bombay Rents, hotel and Lodging House Rates Control Act (i. e. the Rent Act) was not applicable to the facts of the cases. There is no dispute about the position that if the tenancy was governed by the provisions of the Rent Act, the suits ought to have been filed in the Court of Small Causes, Abmedabad, and that the City Civil Court will have no jurisdiction to entertain, hear and decide the suits. Briefly, the contention on behalf of the plaintiffs-landlords was that the lease was created for manufacturing purpose and, therefore, the provisions of Sec. 6 (1) of the Rent Act did not apply to the case and hence the City civil Court had jurisdiction to entertain the suits.

( 3 ) ). The suits were resisted by the defendant, inter alia, on the ground that the provisions of the Rent Act did govern the suits and regular Civil court had no jurisdiction to entertain the suits since Sec. 6 (1) of the Rent act squarely applied to these suits and the suits having not been filed in the Court of Small Causes, Ahmedabad, having exclusive jurisdiction to entertain the suits under the Rant Act, the City Civil Court had no jurisdiction to proceed with the suits and must dismiss them.

( 4 ) ). The learned City Civil Judge raised an issue relating to the jurisdiction of his Court arising from the aforesaid controversy between the parties and having heard that issue as preliminary issue, has recorded a clear finding that the tenancy in question was governed by the provisions of the Rent Act and Sec. 6 (1) of the Rent Act applies to the facts of the case and, therefore, it was only the special Court constituted under the Rent act, i. e. Small Causes Court at Ahmedabad which had jurisdiction to entertain and decide the suits. It is in consequence of this finding recorded by the learned Judge that he has held that his Court had no jurisdiction to proceed with the suits and he has accordingly dismissed the suits.

( 5 ) ). The aforesaid finding of the learned Judge was strenuously contested before this Court by the l


















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