IMPORTANT POINT
The absence of renewal of the lease period restricts the tenant's liability to pay rent to the agreed amount, and failure to pay enhanced rent does not amount to wilful default.

JUDGMENT :

(Prayer: Civil Revision Petition is filed under Section 25 of the Tamil Nadu Buildings (Lease and Rent Control) Act, (as amended by Act 23 of 1973 and by Act 1 of 1980, praying to allow the above Civil Revision Petition and set aside the Judgment and Decree dated 22.03.2021 passed in R.C.A.No.184 of 2016 by the learned VIII Judge, Court of Small Causes at Chennai, (Rent Controller Appellate Authority) confirming the fair and decreetal order passed in R.C.O.P.No.144 of 2015 by the learned XI Judge, Court of Small Causes at Chennai, (Rent Controller) dated 09.12.2015.)

1. The Civil Revision Petition is filed challenging the order of eviction passed in rent control proceedings.

2. The deceased 1st respondent/landlord filed rent control eviction petition on the ground of wilful default. The Rent Controller ordered eviction and aggrieved by the same, the petitioner preferred an appeal before the Rent Control Appellate Authority. The same was also dismissed and hence, aggrieved by the concurrent findings against her, the tenant is before this Court. Pending civil revision petition, the 1st respondent died and his legal representatives were brought on record as respondents 2 and 3.

3. It is the case of the deceased 1st respondent/landlord that petitioner was a tenant under him on a monthly rent of Rs.45,000/- for a period of 11 months with effect from 01.04.2013. The deceased respondent filed a petition for fixation of fair rent in R.C.O.P.No.1243 of 2010 on the file of XIV Judge, Court of Small Causes, Chennai and the said petition was disposed of based on joint compromise memo filed by both the parties on 29.04.2013. As per the terms of joint compromise memo, both the parties had agreed to pay a rent of Rs.45,000/- per month with effect from 01.04.2013 with an option to renew the lease deed on such other conditions including the increase of 10% rental amount after every 11 months till the continuance of the tenancy. It was specifically averred by the deceased respondent that as per the joint compromise memo, the petitioner did not renew the lease agreement and also did not pay 10% increase of fair rent from February, 2014. It was also stated that inspite of repeated reminders by deceased respondent, the petitioner failed to pay the increased rent of Rs.49,500/- from February, 2014. Thus, claiming that failure to pay rent with 10% increase, as per the terms of joint compromise memo, would amount to wilful default in payment of rent the deceased respondent laid the petition for eviction.

4. The petitioner herein filed a counter statement and contended that she had been paying the agreed fair rent at the rate of Rs.45,000/- per month with effect from 01.04.2013 to till the date of application without any default. It was also stated that petitioner paid Rs.6,00,000/- as advance to the respondent/landlord and the same was also recorded in the compromise memo. It was specifically averred by the petitioner that she did not agree for 10% increase of fair rent and continuance of tenancy after 11 months period. Since there was no mutuality in enhancement of rent, there was no further renewal of lease period after expiry of 11 months. In such circumstances, failure to pay enhanced rent cannot be treated as wilful default. The petitioner also raised a plea that excess advance of Rs.5,55,000/- in the hands of respondent/landlord would wipe out arrears, if any, on the date of eviction petition.

5. The learned Rent Controller came to the conclusion that failure of the petitioner to pay 10% enhanced rent after expiry of every 11 months would amount to wilful default and ordered eviction. Aggrieved by the same, the petitioner preferred an appeal in R.C.A.No.184 of 2016 and the same was dismissed by Appellate Authority. Hence, the petitioner/tenant is before this Court.

6. The learned counsel for the petitioner raised the following two points:-

(a) As per the terms of agreement, after expiry of initial lease period of 11 months, if both the parti