MADURAI BENCH OF MADRAS HIGH COURT
G. RAJASURIA, J.
Muthuramalingam
Versus
Raju & Others
C.R.P.(NPD)(MD) No. 139 of 2006
Decided On : 16-11-2012
Wilful Default - Tamil Nadu Buildings (Lease and Rent Control) Act, 1960 - [Section 10(2)(ii), Section 10(3)] - The court discussed the provisions of the Tamil Nadu Buildings (Lease and Rent Control) Act, 1960, specifically focusing on the landlord's retention of a huge advance amount and its impact on the tenant's alleged wilful default in paying rent. The court emphasized that the landlord is expected to adjust the advance amount towards the arrears of rent and that the tenant can raise this plea at any stage, including the revisional stage. The court held that the authorities under the Act should act in strict compliance with the law and refrain from ordering eviction if the landlord is in possession of a significant advance amount, thereby deeming the orders of eviction as perverse and vitiated.
Fact of the Case:
The landlords filed a petition for eviction of the tenant on the grounds of wilful default and owners' occupation. The Rent Controller allowed the petition based on wilful default but dismissed the prayer based on owners' occupation. The tenant appealed against this decision.
Finding of the Court:
The court found that the tenant's alleged wilful default in paying rent was not justified, considering the landlord's retention of a significant advance amount. The court held that the orders of eviction based on wilful default were perverse and vitiated.
Issues: The issues revolved around the landlord's retention of a huge advance amount and its impact on the tenant's alleged wilful default, as well as the legality of the orders of eviction passed by the lower courts.
Ratio Decidendi: The court's decision was based on the interpretation of the Tamil Nadu Buildings (Lease and Rent Control) Act, 1960, specifically emphasizing the landlord's obligation to adjust the advance amount towards the arrears of rent and the authorities' duty to act in strict compliance with the law.
Final Decision: The Civil Revision Petition was allowed, and the orders of eviction passed by the lower courts were set aside, leading to the dismissal of the eviction petition against the tenant.
1. This Civil Revision Petition is focussed to get set aside the order passed in R.C.O.P.No.15 of 2003 dated 30.03.2004 on the file of the Rent Controller (District Munsif Court), Uthamapalayam, as confirmed in R.C.A.No.14 of 2004 on the file of the Rent Control Appellate Authority (Sub Court), Uthamapalayam, dated 25.08.2005.
2. The parties are referred to hereunder as landlords and tenant.
3. The epitome and the long and short of the relevant facts absolutely necessary and germane for the disposal of this Civil Revision Petition, would run thus:
(i) The landlords namely Raju, Ravi, Suresh, Hariharan and Karthikeyan, represented by their Power Agent namely Manickavasagi, filed the R.C.O.P.No.15 of 2003 on the two grounds namely (i) wilful default and (ii) owners' occupation. Up went the enquiry, during which P.W.1 was examined and Exs.P.1 to P.5 were marked on the side of the petitioners. On the side of the respondent, R.W.1 was examined, but no documentary evidence was let in. Ultimately, the Rent Controller, allowed the said petition on the ground of wilful default committed by the tenant and dismissed the prayer based on owners' occupation.
(ii) Being aggrieved by and dissatisfied with the order of the Rent Controller, the tenant preferred the appeal for nothing but to be dismissed.
4. Challenging and impugning the orders of both the Courts below, in ordering eviction on the ground of wilful default, the tenant preferred this Civil Revision Petition on various grounds.
5. The learned Counsel for the tenant would advance his arguments to the effect that there was no wilful default in paying the rent and that the landlords are in retention of huge advance sum of Rs.1,50,000/-(Rupees One Lakh and Fifty Thousand only). Accordingly, he would pray for setting aside the orders of both the Courts below in ordering eviction on the ground of wilful default.
6. Whereas the learned Counsel for the landlords would advance his arguments, the warp and woof of the same, would run thus:
For the first time, the learned Counsel for the tenant would put forth the plea that the landlords are in retention of huge advance sum of Rs.1,50,000/-(Rupees One Lakh and Fifty Thousand only). However, the tenant committed wilful default in paying the rent up to the date of filing of the R.C.O.P.No.15 of 2003 and also subsequently.
7. The points for consideration are:
(i) Whether the plea that a huge advance amount being retained by the landlords, could be pressed into service by the tenant at the time of hearing the Civil Revision Petition even though such plea was not taken earlier?
(ii) Whether there is any perversity or illegality in the orders passed by both the Courts below?
Point Nos.(i) and (ii)
8. At the outset itself, I would like to fumigate my mind with the following decisions:
(i) Modern Hotel v. K.Radhakrishnaiah reported in (1989) 2 Supreme Court Cases 686.
(ii) K.NarasimhaRao v. T.M.Nasimuddin Ahmed reported in (1996) 3 Supreme Court Cases 45.
(iii) Lathav. L.Thangarajreported in 2012 (5) CTC 283.
9. A perusal of the aforesaid precedents would palpably and pellucidly, clearly and glaringly, demonstrate and display that the landlord who is having with him huge advance amount, cannot approach the Rent Controller complaining that the tenant committed wilful default in paying the rent. The law enjoins the landlord to adjust the advance amount towards the arrears of rent.
10. Amere running of the eye over the same would also make the point amply clear that it is not necessary that the tenant should approach the landlord with a request to adjust the arrears towards the part of the advance amount. The landlord is expected to retain only a month's advance. This being the law point, could be raised at any stage including the revisional stage.
11. The factual aspect of the payment of the said advance by the tenant to the landlords, is an admitted one. In such a case, I could see no embargo for the tenant to raise such a plea. No doubt, the C
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