High Court Of Himachal Pradesh
KAMLESH SHARMA
KRODHU (DECEASED) THROUGH L.R.BIMLA - Appellant
Versus
SODHAN - Respondent
R.S.A. No. 118 of 1991
Decided On : 06/23/1997
LEASE VS LICENCE - TRANSFER OF PROPERTY ACT, 1882 - SECTION 105, 107, 108 - INDIAN EASEMENTS ACT, 1882 - SECTION 52 - DISTINCTION BETWEEN LEASE AND LICENCE - INTERPRETATION OF AGREEMENT - CREATION OF INTEREST IN PROPERTY - EXCLUSIVE POSSESSION COUPLED WITH INTEREST IN PROPERTY - CONSTRUCTION OF AGREEMENT - INTENTION OF PARTIES - SUBSTANTIAL QUESTION OF LAW - ANSWERED.
Fact of the Case:
Smt. Krodhu, the owner of the land in dispute, entered into an agreement with Jai Ram, the predecessor-in-interest of the respondents, on 4-3-1954, whereby Jai Ram was to cultivate the land and provide maintenance to Smt. Krodhu in the form of crops and other benefits. Jai Ram failed to pay the maintenance, leading to multiple civil suits by Smt. Krodhu for recovery. After Jai Ram's death in 1975, Smt. Krodhu filed a suit for declaration of ownership and possession of the land, claiming that the agreement stood abrogated. The respondents, Jai Ram's legal heirs, defended their possession, asserting their tenancy rights inherited from Jai Ram.
Finding of the Court:
The trial court held that Jai Ram was a licensee and his rights terminated upon his death, while the appellate court reversed this finding, holding that Jai Ram was a tenant-at-will and his tenancy rights were inherited by the respondents. The High Court was called upon to determine whether Jai Ram was a licensee or a lessee based on the construction of the agreement dated 4-3-1954.
Issues: 1. Whether the agreement dated 4-3-1954 created a lease or a license? 2. Whether Jai Ram had an interest in the property or merely a right to use it?
Ratio Decidendi: The High Court relied on the distinction between lease and license as defined in the Transfer of Property Act and the Indian Easements Act. It held that a lease transfers an interest in the property, while a license only grants a right to use the property without transferring an interest. The court examined the terms of the agreement and found that Jai Ram had exclusive possession of the land and an interest to cultivate it as he wished, coupled with an obligation to pay maintenance to Smt. Krodhu. The court concluded that Jai Ram was a tenant and not a licensee, and that his tenancy rights were inherited by the respondents upon his death.
Final Decision: The High Court dismissed the appeal, upholding the decision of the appellate court that Jai Ram was a tenant and his tenancy rights were inherited by the respondents. The parties were left to bear their own costs.
Miss Kamlesh Sharma, J.—This Regular Second Appeal is directed against the decree and judgment dated 14-11-1990 passed by the District Judge, Hamirpur, whereby the appeal of the respondents-defendants was accepted and the decree and judgment dated 28-12-1985 of Sub-Judge (II), Hamirpur was set aside. The Sub-Judge had decreed the suit of the original appellant-plaintiff Smt, Krodhu for declaration to the effect that she is owner in possession of the land in dispute and also for possession thereof. The land dispute comprises land measuring 3 Kanals 1 Maria situated in Tika Hatli, Tappa Galore, 2 Kanals 2 Marlas situated in village Lehra Tappa Galore, as detailed in the hearing of the plaint. Smt Krodhu had died during the pendency of the appeal and Smt. Bimla Devi wife of Gian Chand has been substituted in her place as her legal representative.
2. The facts of the case are not in dispute that Smt. Krodhu was the owner of the land in dispute and she had given it to Jai Ram, predecessor in interest of the respondents, for cultivation vide agreement dated 4-3-1954. As per the agreement Jai Ram was to provide maintenance to Spit, Krodhu in the shape of 9 Maunds (Kacha) of Maize and 9 Maunds (Kacha) of Wheat for Kharif and Rabi crops of the year and 40 Bundles of Tanda and 4 Maunds (Kacha) of Wheat Bhusa per year. She was also entitled to cut grass from the land in dispute, if she kept a Buffalo. In case she did not keep any buffalo, Jai Ram was entitled to cut the grass but he was to give 18 Maunds of Corn and 40 Bundles of Tanda and 4 Maunds of Wheat Bhusa per year in lieu thereof to her. One of the stipulations in the agreement was that even if there was no crop in the land, Jai Ram was bound to pay the maintenance in kind as agreed between him and Smt Krodhu. Jai Ram failed to pay the maintenance as per agreement and Smt. Krodhu was compelled to file a number of Civil suit for the recovery thereof which were decreed but her prayer for possession of the land in dispute was rejected. Jai Ram died on 25-11-1975 which gave a cause of action to Smt, Krodhu to initiate the present litigation on the ground that the agreement dated 4-3-1954 stood abrogated with the death of Jai Ram and in the absence of any agreement with the respondents-defendants, they have no right, title and interest to continue in possession of the land in dispute. In their written statement, the respondents-defendants took number of preliminary objections, including that the suit was barred by the principles of res judicata as similar suits for possession of the land in dispute were filed against Jai Ram, their predecessor-in-interest. On merits, their stand was that Jai Ram was tenant of the land in dispute on payment of rent and on his death on 25-11-1975, they have inherited his tenancy rights and are continuing in possession of the land in dispute as tenants on the same terms and conditions as incorporated in the agreement dated 4-3-1954.
3. On the construction of the agreement dated 4-3-1954, the trial Court has held that Jai Ram was only holding licence of the land in dispute which stood terminated on his death and the respondents-defendants cannot claim any right, title and interest in the land in dispute as his legal heirs. The District Judge has reversed these findings. On the interpretation of various stipulations of the Agreement dated 4-3-1954, it has been held that Jai Ram was tenant-at-will of the land in dispute on payment of rent and his tenancy lights were inherited by the respondents-defendants on his death on 25-11-1975 and the suit of Smt. Krodhu was dismissed. Hence the present Regular Second Appeal. This Court has heard the learned Counsel for the parties and gone through the record The only substantial question of law arising in the present appeal is whether on the construction of the Agreement dated 4-3-1954, Jai Ram was licensee or lessee of the land in dispute,. For deciding this question, the distinction between lease and licence
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