Tenancy of new building is exempt under Rent Control Act.

JUDGMENT: These two appeals have been preferred from the common judgment and decree of the learned Additional District Judge, Vellore made in A.S.Nos.180 and 181 of 1989 dated 28.2.1990 setting aside the judgment and decree of the learned Subordinate Judge, Arni made in O.S.Nos.82 and 83 of 1987, dated 28.9.1989.

2. The appellants herein filed two suits in O.S.No.82 and 83/87 against the respondent herein seeking delivery of possession of the plaints schedule properties situated in door Nos.235 and 236 Gandhi Market Road, Arni Town respectively with the following averments. The said schedule mentioned non residential buildings belonged to the plaintiffs. It was a new building. The construction was completed and informed to the local body in March, 1983. The first assessment was also made only in April, 1983. Previously there was an old building which was completely demolished and a new building was reconstructed and thus the building was exempted from the purview of the Rent Control Registration from the purview of the Rent Control Registration and the Civil Court alone has got jurisdiction. The defendant was a tenant under the plaintiffs in respect of the premises situated in door Nos.235 and 236 on a monthly rent of Rs.165 and Rs.44 respectively. The tenancy was oral and as per the English calendar month. It was a month to month tenancy. The respondent agreed to vacate as and when demanded. Since the appellants/ plaintiffs required the building in the occupation of the respondent, they called upon the respondent to deliver possession and have also issued a lawyer’s notice dated 24.11.1985 during terminating the tenancy. The same was served on 26.11.1985. The respondent also sent a reply notice. The respondent/defendant did not deliver possession as demanded and hence the suit.

3. Both the suits were contested by the respondent with the following averments in his written statement and additional written statement. The respondent was a merchant doing essence business and has been a tenant under the plaintiff in respect of the godown Nos.235 and 236 which were adjacent and of one block and the tenancy dated back to about 20 years. Owing to business misunderstanding of the respondent with his near relatives who were close to the plaintiffs, the suit for eviction has been filed and there was no bona fide on the part of the appellants. The appellants represented that they wanted to put up storied buildings over the godown in the occupation of the respondent so that they might rent them remuneratively and therefore they requested that the respondent might continue in a portion of the godown No.236 and continue his business and after the completion of the superstructure, the respondent might occupy the other portion of the godown in the old tenancy. The respondent continued in godown No.236, a part of the godown, while the construction was in progress. Thus the re-occupation of the vacated portion of the godown after the erection of those superstructure would not amount to lease of new building and the appellants could not press into service the exemption clause to take the matter out of the purview of the Rent Control Act. The lease was deemed to be in respect of the old building, situated in door Nos. 235 and 236. Eviction was not maintainable as the lease was subject to the contract that the old tenancy would be continued without interruption. The demand was made for fresh advance of Rs.24,000 without receipt and the higher rent and when the demand was not met, the suit has been filed. Already the respondent has paid an advance of Rs.10,000. The notice of termination was also not void. If the eviction was ordered, it will cause much loss and prejudice to the respondent. The appellants represented that if the respondent could occupy7 a part of the godown in No.236 till the superstructure was completed, the respondent could continue in door Nos.235 and 236 godown on the old tenancy after the completion of the superstructure. The appe

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