VIKRAM AGGARWAL, J. (ORAL)

The instant revision petition assails order dated 28.07.2021 (Annexure P-1) passed by the Appellate Authority, Faridabad, dismissing the appeal against order dated 14.02.2019 (Annexure P-5) passed by the Court of Rent Controller, Faridabad, vide which the petition under Section 4 of the Haryana Urban (Control of Rent & Eviction) Act, 1973 (hereinafter referred to as the ‘Rent Act’) for fixation of fair rent was disposed of, fixing the fair rent at Rs.1,03,680/- per month.

2. The petitioner/landlord instituted a petition under Section 4 of the Rent Act against the respondent-tenant. It was claimed that the petitioner was the owner/landlord of an industrial plot No.25 situated at DLF, Industrial Area, Faridabad, measuring 2398 square yards (hereinafter referred to as the ‘suit property’). It was claimed that a lease deed dated 27.11.1982 had been executed between the parties vide which the suit property had been rented out to the respondent along with the building constructed thereupon and the plant and machinery as well. The said lease deed was for a period of 05 years w.e.f. 01.12.1982. The rate of rent was Rs.24,000/- per month for the first three years and Rs.27,000/- per month for the 4th and 5th year.

2.1. It was averred that the said lease deed was renewed from time to time with the mutual consent of the parties and the last lease deed was executed on 07.05.2003 whereafter, the lease was not renewed.

2.2. A suit for specific performance was instituted by the respondent seeking to get the lease deed extended. The said suit was decreed vide judgment and decree dated 25.10.2012. However, the appeal instituted by the petitioner against the said judgment and decree was allowed by the Court of Additional District Judge, Faridabad, vide order dated 20.11.2013 and the suit was dismissed. The respondent, however, continued to remain in possession of the suit property.

2.3. It was averred that no rent had been agreed upon between the parties preceding the date of presentation of the application under Section 4 of the Rent Act. It was averred that the respondent used to send cheques @ Rs.72,000/- per month. They were, however, not presented by the petitioner to his bank. The respondent then started depositing the same with the Rent Controller, Faridabad. Under the circumstances, the petition for determination of fair rent was instituted.

2.4. It was claimed that the fair rent had to be determined at the market rate prevailing for similar buildings in the same locality. It was claimed that the suit property had a very good location and was situated in a planned industrial area, 03 KMs. from the Delhi border. It was averred that the area had connectivity through the Delhi Metro Rail Corporation. It was claimed that the prevailing rent in the same area of a similar property without plant and machinery was Rs.5,00,000/- per month.

3. The petition was opposed by way of a reply. Certain preliminary objections as regards maintainability, locus standi, cause of action etc. were raised. It was averred that a registered lease deed had been executed between the parties in which it had been agreed that in case of renewal of the lease, there would be enhancement of 20% rent on renewal of 05 years. It was averred that a sum of Rs.1,03,680/- per month was being paid as rent.

3.1. On merits, the relationship of landlord and tenant was admitted. It was admitted that the last deed executed was on 07.05.2003. It was averred that the lease deed was deemed to have been renewed thereafter, as the respondent was continuing as a tenant of the petitioner and the petitioner had been receiving monthly rent, the same being deposited with the Court of the Rent Controller. It was averred that the rent being paid was Rs.1,03,680/- per month. Dismissal of the petition was, therefore, prayed for.

4. From the pleadings of the parties, following issues were framed:-

(1) What is the basic rent? OPP

(2) What is the fair (sic pay) rent? OPP

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