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2026 Supreme(All) 746

HIGH COURT OF JUDICATURE AT ALLAHABAD
Yogendra Kumar Srivastava, J.
Hemant Kumar Garg - Petitioner
Versus
Pulkit Garg – Respondent
Matters Under Article 227 No. - 3816 of 2026
Decided On : 16-04-2026

Advocates Appeared:
For the Petitioner: Rishabh Agarwal, Shashank Singh

The statutory pre-deposit requirement during an appeal against a rent revision order is a continuing, recurring obligation. Appellate authorities may mandate periodic payments of the ongoing liability to balance the parties' interests and ensure compliance with the legislative intent of securing the beneficiary of the impugned order.

Headnote:(A) Rent Control - Statutory Appeal - Pre-deposit - Condition precedent for maintainability - Whether such requirement is exhaustive at the time of filing or continuous - Held, the requirement of depositing fifty percent of the entire amount payable under the impugned order is a mandatory condition that extends to recurring liabilities accruing during the pendency of the appeal. (Paras 7-9, 23.1, 23.4)

(B) Interpretation of Statutes - “Entire amount payable” - Whether confined to a one-time computation - Held, where an order creates a recurring obligation, such as monthly rent, the expression must be construed in a dynamic and ongoing sense to include accruals during the appellate process to avoid rendering the provision redundant. (Paras 14-17, 23.2-23.3)

(C) Appellate Jurisdiction - Interim Protection - Power of the tribunal to order periodic deposits - Whether such orders amount to execution of the impugned order - Held, no; it is a regulatory measure to balance equities and ensure the tenant does not withhold payments while enjoying the benefit of stay proceedings. (Paras 23.7-23.10)

Facts of the case:
A tenant challenged an order revising the rent by way of an appeal. The appellate body, while granting interim protection, ordered the tenant to deposit fifty percent of the monthly revised rent as a condition for the continued stay of the initial order. The tenant contended that the statutory requirement for pre-deposit was satisfied by a one-time payment made at the initiation of the appeal and resisted further periodic deposits.

Findings of Court:
The court found that the legislative intent behind the pre-deposit requirement is to secure the rights of the successful party. Consequently, the deposit mandate is not static but continues to operate for the duration of the appeal regarding recurring financial liabilities.

Issues: The central issues were whether the statutory pre-deposit requirement under the Rent Act is a one-time event or a continuing obligation, and whether an appellate authority possesses the power to direct periodic deposits during the pendency of the proceedings.

Ratio Decidendi: The court held that the phrase “entire amount payable under the impugned order” necessitates a purposive construction. In cases of recurring liabilities like rent, the pre-deposit obligation subsists to balance the right to appeal with the entitlement of the landlord to receive periodic payments, preventing the misuse of the appellate process for delaying tactics.

Result: Petition dismissed.

Table of Content
1. factual context regarding the challenge to a rent enhancement order. (Para 2 , 3 , 4)
2. defining the scope of pre-deposit requirements in statutory appeals. (Para 5 , 6 , 7)
3. strict compliance with mandatory statutory pre-deposit conditions. (Para 8 , 9 , 10 , 11 , 12 , 13)
4. interpretation of 'entire amount payable' as a dynamic, recurring obligation. (Para 14 , 15 , 16 , 17 , 18)
5. balancing appellate rights with protection of the decree holder's interest. (Para 19 , 20 , 21 , 22 , 23)
6. application of pre-deposit principles and conclusion of petition. (Para 24 , 25 , 26 , 27)

JUDGMENT :

YOGENDRA KUMAR SRIVASTAVA, J.

Heard Sri Rishabh Agarwal, learned counsel for the petitioner.

2. The present petition has been filed seeking to assail the order dated 02.01.2026 passed by the Rent Tribunal/Additional District Judge, Court No.26, Agra in Rent Appeal No. 07 of 2026.

3. The brief facts giving rise to the present petition are that the respondent filed an application under Section 10 of the U.P. Regulation of Urban Premises Tenancy Act, 2021 seeking determination and enhancement of rent, asserting that the tenanted premises had been purchased by him and that the petitioner, being a tenant under the previous owner, had defaulted in payment of rent. The petitioner, upon appearance, disputed the relationship of landlord and tenant as well as the respondent’s title and raised objections regarding maintainability.

4. The Rent Authority, Agra, by order dated 24.11.2025, passed in Case No. 1196 of 2024 under Section 10(1) of the U.P. Act No. 16 of 2021, revised the rent payable by the tenant. Aggrieved thereby, the petitioner preferred Rent Appeal No. 07 of 2026. While entertaining the appeal, the Rent Tribunal, by the impugned order dated 02.01.2026, took note of the Munsarim’s report indicating that 50 percent of the amount due under the impugned order had been deposited. The Tribunal thereafter directed the appellant-tenant to continue depositing 50 percent of the revised rent, i.e., Rs. 22,500/- per month (out of Rs. 45,000/-), by the 7th of each succeeding month, and granted interim protection.

5. Assailing the said direction, learned counsel for the petitioner has placed reliance upon the proviso to Section 35(1) of the U.P. Act No. 16 of 2021 to contend that the requirement of deposit stands satisfied once 50 percent of the amount due as on the date of filing of the appeal is deposited, and that no further direction for continuous deposit during pendency of the appeal could have been imposed. It is urged that the direction in effect enforces the impugned order and renders the appeal illusory.

6. The core question that arises for consideration is whether the requirement of pre-deposit under the proviso to Section 35(1) of the U.P. Act No. 16 of 2021 is confined to a one-time deposit calculated up to the date of filing of the appeal, or whether it extends to a continuing obligation covering recurring liabilities accruing during the pendency of the appeal.

7. The submission necessitates consideration of the scope and import of Section 35 of the U.P. Act No. 16 of 2021. Section 35(1) provides for a statutory appeal against an order passed by the Rent Authority. It reads as follows:

35. Appeal.—

(1) Any person aggrieved by an order passed by the Rent Authority may prefer an appeal along with a certified copy of such order to the Rent Tribunal within the local limits of which the premises is situated, within a period of thirty days from the date of that order:

Provided that no appeal shall lie unless the appellant has deposited fifty per cent of the entire payable amount under the impugned order of the rent authority."

8. The proviso, thus, engrafts a clear and mandatory condition precedent for the maintainability of an appeal. The legislative intent is explicit—an appellant seeking to avail the statutory remedy must first comply with the requirement of depositing 50 percent of the “entire amount payable under the impugned orde

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