2025 Supreme(Ker) 2288
IN THE HIGH COURT OF KERALA AT ERNAKULAM
Easwaran S., J.
Hindustan Petroleum Corporation, Represented By Its Managing Director And Ors. – Petitioners
Versus
Arvind Santwan, S/O.Late Kamala Santwan – Respondent
RSA NO. 315 OF 2016, RSA NO. 785 OF 2016
Decided On : 09-07-2025
Advocate Appeared:
For the Petitioner: Sri.R.Sudhish, Smt.M.Manju
For the Respondent: Sri.G.Sreekumar (Chelur)
Life interest holder cannot confer absolute rights; post-1969 renewal creates a new tenancy outside protection; post-1969 leases are not protected under the Act, and death of the life holder ends the lease.
Headnote:(A) Legislation and sections relevant to the case: "Kerala Land Reforms Act, 1963 - Section 106 (inserted with effect from 17.12.1969)"; "Transfer of Property Act, 1882 - Section 111(c)"; and precedent cited: "Bharat Petroleum Corporation Ltd., Mumbai and others v. T.S.Kalyanaraman and others (2014 (1) KHC 263)". Key excerpt: "Section 106 of the Kerala Land Reforms Act was inserted with effect from 17.12.1969."; "renewal of tenancy" understood as "an agreement for a fresh tenancy following on the termination of the earlier tenancy." (Para. 10).
(B) Legal principles and points of law: "no absolute right title and interest is vested on the mother of the plaintiff. On contrary, what is conferred on her is only a limited interest of life in the property."; "The right of the mother of the plaintiff to execute an agreement of lease or a renewal stems out of the contents of the Will and an order obtained probate."; "after coming into force of the Kerala Land Reforms Act, a fresh tenancy came into existence in the year 1974, which is impermissible under law."; "the lease will come to an end on the death of the life holder"; "initial burden having not been discharged by the defendants, the plaintiff was entitled to succeed".
(C)
Facts of the case:
the mother of the plaintiff held only a limited life interest; Ext.A4 dated 08.08.2002 (renewal) in favour of the first defendant; original lease in 1951-1954 to Caltex (India) Ltd.; Will No. 9/1941; death of testator in 1959; dispute over renewal and protection under Section 106; court below held partial eviction;
(D)
Findings of Court:
"the question that requires consideration of this Court ... entitlement of the mother of the plaintiff to execute Ext.A4"; Ext.A4 dated 08.08.2002; the court held that the 1st defendant is not entitled to protection under Section 106; the judgment in AS 82/2013/OS 282/2010 is reversed; (E)
Issues: (i) whether courts below applied correct principles; (ii) whether legacy is residuary; (iii) whether decree for surrendering 2 cents aligns with testator’s intent; (iv) whether premature termination of lease is sustainable; (F)
Ratio Decidendi: the Will conveys only life interest, no absolute title; renewal after 1969 creates a fresh tenancy contrary to law; post-1969 leases are not protected under Section 106; renewal is essentially a fresh tenancy; the life tenant’s death terminates the lease; the onus to prove protection under Section 106 lay on defendants and was not met; (G)
Result: "the judgment in A.S.No.82/2013 as confirmed in the judgment in O.S.No.282/2010 is reversed and O.S.No.282/2010 is decreed as prayed for. Resultantly, the judgment in A.S.No.28/2013 is confirmed and R.S.A.No.315/2016 is dismissed. The plaintiff will be entitled full cost through out the proceedings."
| Table of Content |
|---|
| 1. case setup and core facts. (Para 1 , 2 , 3 , 4) |
| 2. contentions on section 106 and renewals. (Para 6) |
| 3. renewal invalid; section 106 not applicable. (Para 8 , 9 , 10) |
JUDGMENT :
Easwaran S., J.
These appeals raise a common question and being considered and disposed together.
2. The brief facts necessary for the disposal of the appeal are as follows:-
O.S.No.282/2010 on the files of the Sub Court, Manjeri seeking a declaration that a lease executed by the mother of the plaintiff in favour of the 1st defendant company is invalid and not binding on the plaintiff directing the defendants to vacate and hand over the possession of the plaint schedule property. According to the plaintiff, the property originally belonged to his maternal grand uncle one William Nicholas, who executed a registered Will bearing No.9/1941 of S.R.O, Manjeri, as per which, the right title and interest over the property, came into the plaintiff's hands. In the said Will, the mother of the plaintiff, Mrs.Ruth Kamala Grace also known as Kamala Santwan was given a limited life interest over the property. The mother of the plaintiff filed O.P.No.3/1960 before the District Court, Kozhikode for a letter of administration and by order dated 09.07.1960, the same was granted. Later, the mother of the plaintiff executed an agreement of renewal indenture dated 08.08.2002 for a period of 20 years in favour of the 1st defendant, Hindustan Petroleum Corporation Ltd. According to the the plaintiff, the mother had only limited 'life interest' over the property and therefore, was incompetent to renew the lease deed. The defendants entered appearance and contended that, by lease agreement dated 10.09.1951, M/s.Caltex (India) Ltd was granted a lease for 5 years. Thereafter, the period of lease was extended by another agreement dated 15.03.1954 revising the rent. Later, the testator died on 05.01.1959 and thereafter, the agreement was renewed by the mother of the plaintiff. The renewal agreement also mentions about the renewal of the lease in the year 1974 and therefore, since M/s.Caltex (India) Ltd was continuing in the plaint schedule property on the basis of a commercial lease, the successors in interest, namely the 1st defendant, was entitled to protection under Section 106 of the Kerala Land Reforms Act, 1963 . On behalf of the plaintiff, PW1 was examined and Exts.A1 to A5 were marked. On behalf of the defendants, DW1 was examined and Exts.B1 and B2 were marked. The Trial Court, on the basis of the oral and documentary evidence, framed the following issues:-
1. Whether, the lease of plaint schedule property to the defendants was created in the year 1951 by the father of the plaintiff viz.,William Nicholas as contended by the defendants or whether it was made by the mother of the plaintiff viz., Ruth Kamala Grace as contended by the plaintiff?
2. Whether, the plaintiff's mother got any right to lease out the plaint schedule property or to renew the lease to the defendants?
3. Whether, the lease of the plaint schedule property is invalid and not binding on the plaintiff?
4. Whether, the plaintiff is entitled to get vacant possession of plaint schedule property as prayed for?
5. Whether, the plaintiff is entitled to get the profit of income as prayed for?
6. Reliefs and Costs?”
3. On an appreciation of the oral and documentary evidence, the Trial Court came into the conclusion that the mother of the plaintiff could not have executed a renewal lease for 2 cents. Therefore, the Trial Court held that since the original lease was in respect of 6.89 cents, the plaintiff is not entitled to seek recovery of eviction of the defendants from the entire plaint schedule property and the defendant entitled for the protection under Section 106 of the Kerala Land Reforms Act, 1963 for recovery of possession. Accordingly, the suit was decreed in part by granting a decree in respect of 2 cents. The aforesaid finding was arrived on the basis of the fact that the plaintiff's mother had on