Madras High Court
ISMAIL,RATNAM
M.Arasan Chettiar - Appellant
Versus
S.P.Narasimhalu Naidus Estate Trust, Coimbatore - Respondent
Decided On : 02/05/1980
TAMIL NADU CITY TENANTS PROTECTION ACT, 1921 - SECTION 9 - INTERPRETATION - "DATE OF THE ORDER" - MEANING.
Fact of the Case:
The question that arises for consideration in all these cases is as to the meaning to be attributed to the expression "the date of the order" occurring in the third sentence in S.9(1)(b) namely, "The price aforesaid shall be the average market value of the three years immediately preceding the date of the order".
Finding of the Court:
The expression "date of the order" occurring in the third sentence in Section 9(1)(b) must mean the date on which the Court decided the minimum extent of the land which may be necessary for the convenient enjoyment by the tenant.
Issues: 1. Whether the expression "date of the order" occurring in the third sentence in Section 9(1)(b) of the Tamil Nadu City Tenants Protection Act, 1921 means the date of the order fixing the price of the land? 2. Whether the date of the order referred to in the third sentence of Section 9(i)(b) is the same as the date of the order referred to in the fourth sentence in Section 9(1)(b)? 3. What is the meaning of the expression "the date of the order" occurring in the third sentence in Section 9(1)(b)?
Ratio Decidendi: 1. The expression "date of the order" occurring in the third sentence in Section 9(1)(b) of the Tamil Nadu City Tenants Protection Act, 1921 does not mean the date of the order fixing the price of the land. 2. The date of the order referred to in the third sentence of Section 9(i)(b) is not the same as the date of the order referred to in the fourth sentence in Section 9(1)(b). 3. The expression "the date of the order" occurring in the third sentence in Section 9(1)(b) means the date on which the Court decided the minimum extent of the land which may be necessary for the convenient enjoyment by the tenant.
Final Decision: The Letters Patent Appeal No. 2 of 1980 is dismissed. The Civil Revision Petitions are allowed. The orders of the Court below are set aside and the matters are remanded to the Court below for passing fresh orders in the light of guidelines indicated by the Court in this judgment.
ISMAIL, C.J. :- In these cases, a common question of law as to the interpretation of certain words occurring in Section 9 of the Tamil Nadu City Tenants, Protection Act, 1921 (Tamil Nadu Act 3 of 1922) as amended by Tamil Nadu Act 13 of 1960, arises, and the said Act will be hereinafter referred to as the Act. The Act was promulgated, as was originally enacted, to give protection to certain classes of tenants in municipal towns and adjoining areas in the State of Tamil Nadu. The preamble to the Act stated :
"Whereas it is necessary to give protection to tenants who in municipal towns and adjoining areas in the State of Madras have constructed buildings on others' lands in the hope that they would not be evicted so long as they pay a fair rent for the land".
This preamble itself was amended subsequently by Tamil Nadu Act IV of 1972, and we are not concerned with that amendment. In Section 2(4) of the Act the expression "Tenant" was defined as :
"'Tenant' in relation to any land - (i) means a person liable to pay rent in respect of such land, under a tenancy agreement express or implied, and (ii) includes -
(a) any such person as is referred to in sub-Cl.(i) who continues in possession of the land after the determination of the tenancy agreement, and
(b) the heirs of any such person as is referred to in sub-Cl.(i) or sub-Cl.(ii)(a);
but does not include sub-tenant or his heirs".
Section 9 of the Act provided :
"Every tenant shall on ejectment be entitled to be paid as compensation the value of any building, which may have been erected by him, by any of his predecessors in interest, or by any person not in occupation at the time of the ejectment who derived title from either of them, and for which compensation has not already been paid. A tenant who is entitled to compensation for the value of any building shall also be paid the value of trees which may have been planted by him on the land and of any improvements which may have been made by him".
Section 9 of this Act conferred an alternative right on the tenant. That Section 9 reads as follows :-
"(1)(a). Any tenant who is entitled to compensation under Section 3 and against whom a suit in ejectment has been instituted or proceedings under S.41 of the Presidency Small Cause Courts Act, 1882 (Central Act XV of 1882) taken by the landlord, may, within one month of the date of the Madras City Tenants' Protection (Amendment) Act, 1955 (Madras Act XIX of 1955) coming into force or of the date with effect from which this Act is extended to the municipal town or village in which the land is situate, or within one month after the service on him of summons, apply to the Court for an order that the landlord shall be directed to sell for a price to be fixed by the Court, the whole or part of, the extent of land specified in the application.
(b) On such application, the Court shall first decide the minimum extent of the land which may be necessary for the convenient enjoyment by the tenant. The Court shall then fix the price of the minimum extent of the land decided as aforesaid, or of the extent of the land specified in the application under Cl.(a), whichever is less. The price aforesaid shall be the average market value of the three years immediately preceding the date of the order. The Court shall order that within a period to be determined by the Court, not being less than three months and not more than three years from the date of the order, the tenant shall pay into Court or otherwise as directed the price so fixed in one or more instalments with or without interest.
(2). In default of payment by the tenant of any one instalment, the application under Cl.(a) of Sub-Section (1) shall stand dismissed, provided that on sufficient cause being shown, the Court may excuse the delay and pass such orders as it may think fit, but not so as to extend the time for payment beyond the three years above mentioned. On the application being dismissed, the Court shall order the amount of the instalment o
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