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2016 Supreme(Ker) 825

IN THE HIGH COURT OF KERALA
P.N. Rabindran, K. Ramakrishnan, JJ.
Velayudhan Nair - Appellant
Vs.
Young Men's Christian Association, Kollam - Respondent
R.C.R. Nos. 234, 284, 285 of 2013, 315 of 2012 and 339 of 2013
Decided On : 28-01-2016

Advocates Appeared:
For the Appellant :P.C. Chacko and Asha P. Kuriakose, Advocates
For the Respondent:T. Krishnan Unni (Sr.), Saju S.A. and Jamsheed Hafiz, Advocates

The judgment establishes the criteria for determining the landlord-tenant relationship and the genuine need for eviction under Section 11(7) of the Kerala Buildings (Lease and Rent Control) Act.

Headnote:

Landlord-Tenant Relationship - Kerala Buildings (Lease and Rent Control) Act - Section 11(7)

Fact of the Case:

The case involved tenants in a building owned by a religious charitable institution seeking eviction under Section 11(7) of the Kerala Buildings (Lease and Rent Control) Act for the purpose of starting an internet cafe, health club, gymnasium, library, and reading room.

Finding of the Court:

The Rent Control Court found that despite the agreement being styled as a license agreement, it constituted a lease agreement, and there was a genuine need for eviction under sections 11(7) and 11(3) of the Act. The Rent Control Appellate Authority upheld the eviction orders.

Issues: The main issue was whether the relationship between the parties was that of landlord and tenant or licensor and licensee, and whether the need alleged by the landlord was genuine.

Ratio Decidendi: The court relied on the nature of possession, exclusive control, and conduct of business by the tenants to determine the landlord-tenant relationship. It also considered previous judgments and legal provisions to establish the genuine need for eviction under section 11(7) of the Act.

Final Decision: The revision petitions were dismissed, and the tenants were given six months to vacate the premises, subject to certain conditions.

ORDER :

K. Ramakrishnan, J.

Tenants in R.C.(OP)No.29 of 2010, R.C.(OP)No.34 of 2010, R.C. (OP)No.31 of 2010, R.C.(OP)No.30 of 2010 and R.C.(OP)No.33 of 2010 on the file of the Rent Control Court, Kollam, are the revision petitioners herein. Though independent rent control petitions have been filed by the landlord to evict the tenants in possession of different rooms in the same building, it is for a common cause of starting an internet cafe, shifting their mess to establish health club and gymnasium, public library cum reading room, reception cum launge etc., and the claim was made under Section 11(7) of the Kerala Buildings (Lease and Rent Control) Act (hereinafter referred to as 'the Act'). The common allegation in all these cases was that the landlord is a religious charitable institution registered under the Travancore Cochin Literarary Scientific and Charitable Societies Act, 1955 and affiliated to National Council of YMCA's. The society formed principally for noble objects as its objects to open libraries and reading rooms and provide for conducting indoor and outdoor recreation games, sports and entertainments. They are competent to acquire and hold and transfer movable and immovable properties to start restaurants and community centres, construct and maintain buildings. The society was formed in the year 1924 and has got considerable growth with 350 members now. There is no open space for construction of any new building within the premises. The society constructed a golden jubilee building by the side of YMCA road and agreed to let out its portion on rent.

2. The tenant in R.C.P. No. 29/2010 was granted a room as per agreement dated 01.03.2009 for a period of 11 months with effect from 15.03.2009 with liability to pay rent of Rs. 2,480/- with an increase of 5% every 12 months. Though it was termed as a license agreement, it was intended as a lease agreement and the relationship between them is that of landlord and tenant. The Board of Association has decided in its meeting held on 19.01.2010 resolved to have all the shops functioning in the golden jubilee building for utilising the area for its purpose like reception cum launge, travel desk, shifting of YMCA mess and for starting a multi gymnasium cum health club and a library cum reading room etc. There are altogether five shop rooms, including one in the occupation of the tenant in this case.

3. In RC(OP)No.34/2010, the building was let out as per agreement dated 01.08.2009 for a rent of 6,165/- with an increase of 5% every 11 months. The present rent is Rs. 6,794/- per month. In R.C.(OP)No.31/2010, the building was entrusted having an extent of 1245 squire feet for conducting a book stall as per agreement dated 17.09.2007 for a period of three years with effect from 20.04.2007 with an increase of 5% on every 12 months. In R.C.(OP)No.30/2010, it was let out to the tenant for conducting a showroom of handicraft items as per agreement dated 20.09.2005 for a period of five years with effect from 01.06.2005, (though it was wrongly mentioned in the judgment as book stall as per agreement dated 17.09.2007 for the period of three years with effect from 20.04.2007). In R.C.(OP) No.33/2010, the building was let out for the purpose of book stall as per agreement dated 17.09.2007 with effect from 20.04.2007 the rent was Rs. 4,783/- with an increase of 5% and the present rent is Rs. 5,811/-. Though notices have been issued to the tenants to vacate the premises and surrender possession, they did not surrender possession. So they have no option except to file these petitions for eviction under Section 11(3) and 11(7) of the Act is the allegation in the petitions.

4. In all these cases Except in RC(OP) Nos. 29/2010 and 31/2010, the respondents have taken up the contention that the landlord has no right to file an application for eviction under this Act as the relationship between them is not that of landlord and tenant but only that of licensor and licensee. As per the agreement, it wa

















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