IN THE HIGH COURT OF KERALA
A M SHAFFIQUE, P SOMARAJAN, A M BABU, JJ.
Selvaraj - Appellant
Versus
U Murugadas - Respondent
R.C.R. No. 203 of 2013
Decided on 21-06-2018
Rent Control Act - Section 5(1) - Summary of Acts and Sections
Fact of the Case:
The case involved two Rent Control Revisions arising from the same order passed by the Rent Control Court. The landlord filed for the fixation of rent under Section 5(1) of the Kerala Buildings (Lease and Rent Control) Act, seeking to enhance the rent from Rs. 900 to Rs. 8,000. The Rent Control Court partially allowed the petition and enhanced the rent to Rs. 2,500. Both the tenant and landlord filed appeals against this decision.
Finding of the Court:
The Division Bench of the Court observed that the provisions of Sections 5, 6, and 8 of the Act had been declared unconstitutional and void in a previous judgment. The Court also considered various judgments and observed that the absence of a forum for the fixation of fair rent put litigants to considerable agony. The Court reviewed its earlier judgment and restored Section 5(1) to the statute book, considering the necessity of a forum for resolution of disputes regarding fair rent.
Issues: The main issue was whether the Court had the power to review and restore Section 5(1) of the Rent Control Act, which had been declared unconstitutional in a previous judgment.
Ratio Decidendi: The Court held that it was within its powers to review its earlier view and restore Section 5(1) to the statute book, considering the necessity of a forum for the resolution of fair rent disputes. The Court also considered the lethargic approach of the Government in enacting comprehensive legislation and the plight of the litigants.
Final Decision: The Court held that the judgment in Edger Ferus holds the field, and the reference was answered accordingly. The Court also overruled the decision in Kader Pillai, which directed the restoration of Section 5(5) to the Act.
ORDER :
A M SHAFFIAUE, J.
1. The aforesaid cases have been referred to a Larger Bench on account of the view expressed by a Division Bench of this Court regarding the correctness of the decision in Edger Ferus v. Abraham Ittycheria (2004 (1) KLT 767 reviewing its judgment in Issac Ninan v. State of Kerala 1995 (2) KLT 848 to a limited extent, by which section 5(1) of the Kerala Buildings (Lease and Rent Control) Act, 1965, (hereinafter referred as the Act) has been restored back to the statute book.
2. Both the Rent Control Revisions arise out of the same order passed by the Rent Control Court, Chittur in RCP Mo.14/2010 and the appellate order in RCA No.20/2012. RCP No.14/2010 was filed by the landlord for fixation of rent u/s 5(1) of the Act seeking to enhance the rent from Rs. 900/- to Rs. 8,000/-. The Rent Control Court allowed the petition in part and enhanced the rent at Rs. 2,500/- from the date of filing petition. The appeals were filed by tenant as well as the landlord. However, the appellate authority did not interfere with against which both With the rent fixed by the Rent Control Court these revisions are preferred.
3. The tenant in its revision inter alia contended that S.5(1) of the Act cannot be invoked in so far as the judgment in Eager Ferus (supra) does not lay down the correct law and requires reconsideration.
4. While considering the revisions, a Division Bench of this Court observed that though Sections 5, 6 and 8 of the Act, have been declared to be ultra vires the Constitution of India and void in Issac Ninan (supra), in a review petition filed after 9 years, in Edger Ferus (supra), this Court had restored S.5(1) to the statute. In Edger Ferus (supra), two civil revision petitions and the review petition in Isaac Ninan (supra) were decided as per a common judgment. The civil revision petitions which were the subject matter in Edger Ferus (supra) alone came to be challenged before the Apex Court by filing Civil Appeal Nos.7088 and 7089/2004 and those were dismissed by order dated 4/11/2009 (Edger Ferus v. Abraharm itttycheria 2009 (4) KLT 673 (SC). Another Division Bench in Kadar Pillai v. Govern Travels 2014 (4) KLT 593 again passed an order restoring S.5(5) to the statute book, it is observed that the Division Bench could not have exercised the power of review after 9 years of the provision of law being declared unconstitutional and void and could not have restored the said provision to the statute book. Therefore, it was felt that an authoritative pronouncement of the question as to whether any of the provisions contained in Sections 5, 6 and 8 which had been declared to be ultra vires, unconstitutional and void in Issac Ninan (supra) can be brought back to the statute book by a Court exercising power of review or by a Bench of co-ordinate strength.
5. We heard the learned counsel Sri.P.B.Krishnan appearing for the tenant and Sri.Krishnanunni, learned senior counsel appearing for the landlord.
6. In Issac Ninan (supra), this Court held that the combined operations of Sections 5, 6 and 8 of the Act is a gross invasion on the right of a landlord to carry on business. Paragraphs 26 to 31 are relevant which read as under: -
27. Apart from the fact that the impunged provisions are unjust and unreasonable as they offend Article 14 of the Constitution, we may say that those provisions would offence Article 19(1)(g) also.
28. Legislature cannot deprive a citizen of his fundamental right to carry on any business. The word business in Article 19(1)(g) has received a very pragmatic and realistic construction by the Constitution Bench of the Supreme Court in Sodan Sing v. New Delhi Municipal Committee AIR 1989 SC 1988. The following observations are apposite in this context:
"Business is a very wide term and would include anything which occupies
Edger Ferus v. Abraham Ittycheria 2004 (1) KLT 767
Kadar Pillai v. Govern Travels 2014 (4) KLT 593
Sodan Sing v. New Delhi Municipal Committee AIR 1989 SC 1988
Jan Enterprises v. Aegee Enterprises 2000 (1) KLT 20
Issac Ninan v. State of Kerala 1995 (2) KLT 848
Motor General Traders & Anr. v. State of Andhra Pradesh & Ors. (1984) 1 SCC 222
K.N.Raghavan. V. Habeeb Mohammed (2002) 10 SCC 180
Aboobacker v. Vasu 2003 (3) KLT 1029
George v. State of Kerala 2000 (2) KLT 933
Saghir Ahamed v. State of UP AIR 1954 SC 728
Asir Harneed v. State of J.K. & others AIR 1989 SC 1899
Kamalesh Verrna v. Mayawathi (2013) 8 SCC 320
Moran Mar Basselios Catholicos v. Most Rev. Mar Poulose Athanasius and Ors.
Login now and unlock free premium legal research
Login to SupremeToday AI and access free legal analysis, AI highlights, and smart tools.
Login
now!
India’s Legal research and Law Firm App, Download now!
Copyright © 2023 Vikas Info Solution Pvt Ltd. All Rights Reserved.