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1970 Supreme(MP) 130

High Court Of Madhya Pradesh
Bishambhar Dayal, C. J. and G. P. Singh, J.
SHYAMACHARAN RAGHUBAR PRASAD TIWARI - Appellant
Versus
SHEOJEE BHAI JAIRAM CHATTRI - Respondents
First Appeal 37 Of 1967
Decided On : 11/04/1970

Headnote:(1) Civil P.C., 1908 - S.2 (12) - mesne profits-decree for-purpose of -controlled rent-object of-correct rate of mesne profits-Accommodation Control Act, 1961 (M.P.)-S. 7.

       (2) Mesne profit - purpose of the decree-controlled rent-is not the basis of mesne profits-Accommodation Control Act, 1961 (M.P.)-S. 7.

       (3) Accommodation Control Act, 1961 (M.P.) - S.7 - controlled rent and mesne profits-no basis for determining controlled rent market rental value may be decreed as mesne profits.

       The purpose of a decree for mesne profits is to dislodge the trespasser of the illegal gain derived by him and to secure the same to the owner who was entitled to be in possession. The correct rate of mesne profits is, therefore, the market rental value, which, in an open market best represents in terms of money, the value of the right to possess.

       The controlled rents are for the benefit of a lawful tenant and it would be wrong to allow only that rate against unlawful possession. The owner is not bound to let it out and he might have used the property himself and derived the full benefit of its use. [Para 17

       Section 7 of the M. P. Accommodation Control Act, 1961, provides for determination of the standard rent. Where in a case no reasonable rent was determined under sub-section (1), there was no evidence of the rent which the building was fetching on 1st January, 1940, and there was no evidence about the municipal assessment of the rent in that year, there is nothing to determine the controlled rent for the property. In such a case there is no other alternative but to accept the market rental value of the property on the proper rate for decreeing the mesne profits. AIR 1963 SC 1405 relied on. AIR 1966 SC 735, AIR 1955 Nag. 234, AIR 1956 All 187, AIR1963 All. 248 & AIR 1953 Nag. 186 referred to. [Paras 21 & 22

       (4) Court fees Act, 1870 - S.11 – Court fees on mesne profits-is payable on the amount decreed-amount paid to the plaintiff through Court prior to the decree-no Court fee is payable.

       In a suit for mesne profits, Court fee is payable under section 11 of the court-fees Act on the amount decreed before the decree is executed. Upto the stage when no decree is passed determining the amount due to the plaintiff, there is no question of demanding court fee from the plaintiff. If the defendent pays any amount to the plaintiff during the pendency of the suit it has to be given credit when passing the ultimate decree and court fee will be payable only on the amount which is ultimately decreed and for which the plaintiff has to file an execution application against the defendant. [Para 23

BISHAMBHAR DAYAL, C. J.

( 1 ) THIS first appeal filed by defendant No. 1 arises out of a suit filed by the plaintiff sheojee Bhai for ejectment of the two defendants from a building used as a cinema house, and for mesne profits.

( 2 ) THE case had a chequered career which will be shortly stated. But at present the main question for consideration in this appeal is about the rate at which the plaintiff is entitled to set mesne profits from the date when the lease came to an end up to the date of delivery of possession. There are certain other minor points also which will be dealt with at the proper place.

( 3 ) ON 18th August 1951 the plaintiff Sheojee Bhai executed a registered lease of the premises, including the electric fittings and furniture, in favour of the defendants Shyamacharan and D. B. Jadav for ten years at the rate of Rupees 1,600/- per month. This lease was to start from 22nd May 1950 and was to end on 21st May 1960. On 22nd May 1960 the plaintiff demanded possession by a telegraphic notice. The defendant No. 1 replied that there had been an agreement to renew the lease for two years. On 25th June 1960 the present suit was filed.

( 4 ) APART from reciting other facts in the plaint, the plaintiff claimed that the defendants were in arrears of Rs. 16,353/-as rent. In paragraph 5 of the plaint it was also alleged that the defendants were liable to pay damages for use and occupation at the rate of Rs. 6,000/- per month from 22nd May 1960 till the date of delivery of possession.

( 5 ) IT appears that the defendant No. 2 D. B. Jadav had separated from the business and only defendant No. 1 contested the suit. He filed a written statement alleging, among others, that there was a verbal agreement for extending the lease for two years and that under the Madhya Pradesh Accommodation Control Act the defendant could not be ejected. It may be noted here that this plea regarding protection under the Madhya Pradesh Accommodation Control Act has not been pressed before us, as it is conceded that the Act as it was then in force did not apply to cinema buildings. We, therefore, need not mention this plea any more.

( 6 ) ON 5th July 1961 the plaintiff filed an application for appointment of a Receiver. This application was rejected by the trial Court. Against that order the plaintiff filed an appeal in the High Court which was Miscellaneous Appeal No. 81 of 1961. That appeal was decided by a learned Single Judge of this Court on 13th October 1961 according to a compromise entered into between the parties and according to the statements made by their learned counsel. The defendant agreed to pay to the plaintiff a sum of Rs. 24,000/-and to give a solvent security for the realisation of the amount that may be ultimately decreed against him. He also agreed to deposit rs. 1,600/- in Court every month from 1st October 1961. On account of this compromise the application for appointment of a Receiver was not pressed. It is admitted between the parties that ever-since the defendant has kept the promise and has made the payments mentioned in the compromise.

( 7 ) ON 4th August 1962 the plaintiff filed an application under Order 12, R. 6, Civil procedure Code, for a decree for delivery of possession, only, on the ground that now even the two years for which the defendant claimed an extension of the lease had expired and the plaintiff was entitled to possession on the own admission of the defendant. This application was dismissed by the trial Court. Against that order there was a revision in this Court which was allowed on 26th October 1962 and the trial Court was directed to pass a decree for ejectment forthwith. In pursuance of that order the trial Court passed a decree for ejectment on 3rd November 1962. Against that decree First Appeal No. 40 of 1962 was filed by the defendant in this court which was dismissed on 26th February 1964. Against that decision of the high Court the defendant went to the Supreme Court. The Supreme Court also dismis




















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