Preliminary Punjab Act No. 3 of 1949

An Act to restrict the increase of rent of certain premises situated within the limits of urban areas, and the eviction of tenants therefrom.

It is hereby enacted as follows:-

S.1 Short title, extent and commencement.

(1) This Act may be called the East Punjab Urban Rent Restriction Act, 1949.

(2) It extends to all urban areas in [Punjab] but nothing herein contained shall be deemed to affect the regulation of house accommodation in any Cantonment area.

(3) It shall come into force at once.

S.2 Definitions.

In this Act, unless there is anything repugnant in the subject or context:-

(a)"building" means any building or part of a building let for any purpose whether being actually used for that purpose or not, including any land, godowns, out-houses, or furniture let therewith, but does not include a room in a hotel, hostel or boarding-house;

(b) "Controller" means any person who is appointed by the [State] Government to perform the functions of a Controller under this Act:

(c) "Landlord" means any person for the time being entitled to receive rent in respect of any building or rented land whether on his own account or on behalf, or for the benefit, of any other person, or as a trustee, guardian, receiver, executor or administrator for any other person, and includes a tenant who sublets any building or rented land in the manner hereinafter authorised, and, every person from time to time deriving title under

S.3 Exemptions.

The [State] Government may direct that all or any of the provisions of this Act shall not apply to any particular building or rented land or any class of buildings or rented lands.

S.4 Determination of fair rent.

(1) The Controller shall on application by the tenant or landlord of a building or rented land fix the fair rent for such building or rented land after holding such inquiry as the Controller thinks fit.

(2) In determining the fair rent under this Section, the Controller shall first fix a basic rent taking into consideration -

(a) the prevailing rates of rent in the locality for the same or similar accommodation in similar circumstances during the twelve months prior to the 1st January, 1939; and

(b) the rental value of such building or rented land if entered in property tax assessment register of the municipal, town or notified area committee, cantonment board, as the case may be, relating to the period mentioned in clause (a):

[* * * * *]

(3) In fixing the fair rent of a residential building the Controller may allow, if the basic rent -

S.5 Increase in fair rent in what case admissible.

When the fair rent of a building or rented land has been fixed under Section 4, no further increase in such fair rent shall be permissible except in cases where some addition, improvement or alteration has been carried out at the landlord's expense and if the building or rented land is then in the occupation of a tenant, at his request:

Provided that the fair rent as increased under this Section shall not exceed the fair rent payable under this Act for a similar building or rented land in the same locality with such addition, improvement or alteration and it shall not be chargeable until such addition, improvement or alteration has been completed:

Provided further that any dispute between the landlord and tenant in regard to any increase claimed under this Section shall be decided by the Controller:

Provided further that nothing in this Section shall apply to any periodical increment of rent accruing u

S.6 Landlord not to claim anything in excess of fair rent.

(1) Save as provided in Section 5, when the Controller has fixed the fair rent of a building or rented land under Section 4 -

(a) the landlord shall not claim or receive any premium or other like sum in addition to fair rent or any rent in excess of such fair rent, but the landlord may stipulate for and receive in advance an amount not exceeding one month's rent ;

(b) any agreement for the payment of any sum in addition to rent or of rent in excess of such fair rent shall be null and void.

(2) Nothing in this Section shall apply to the recovery of any rent which became due before the 1st day of January, 1939.

S.7 Fine or premium not to be charged for grant, renewal or continuance of tenancy.

(1) No landlord shall in consideration of the grant, renewal or continuance of a tenancy of any building or rented land require the payment of any fine, premium or any other like sum in addition to the rent.

(2) Nothing in this Section shall apply to any payment under any subsisting agreement entered into before the 1st day of January, 1939.

S.8 Rent which should not have been paid may be recovered.

(1) Where any sum has, whether before or after the commencement of this Act, been paid which sum is by reason of the provisions of this Act irrecoverable, such sum shall, at any time within a period of six months after the date of the payment, or in the case of a payment made before the commencement of this Act, within six months after the commencement thereof, be recoverable by the tenant by whom it was paid or his legal representative from the landlord who received the payment or his legal representative, and may without prejudice to any other method of recovery be deducted by such tenant from any rent payable within such six months by him to such landlord.

(2) In this Section the expression "legal representative" has the same meaning as in the Code of Civil Procedure, 1908, and includes also in the case of joint family property, the joint family of which the deceased person was a member.

S.9 Increase of rent on account of payment of rates, etc., of local authority but rent not to be increased on account of payment of other taxes, etc.

(1) Notwithstanding anything contained in any other provision of this Act a landlord shall be entitled to increase the rent of a building or rented land if after the commencement of this Act a fresh rate, cess or tax is levied in respect of the building or rented land by any local authority, or if there is an increase in the amount of such a rate, cess or tax being levied at the commencement of the Act:

Provided that the increase in rent shall not exceed the amount of any such rate, cess or tax or the amount of the increase in such rate, cess or tax, as the case may be.

(2) Notwithstanding anything contained in any law for the time being in force or any contract, no landlord shall recover from his tenant the amount of any tax or any portion thereof in respect of any building or rented land occupied by such tenant by any increase in the amount of the rent payable or otherwise, save as provided in sub-section (1).

S.10 Landlord not to interfere with amenities enjoyed by the tenant.

(1) No landlord shall, without just or sufficient cause, cut off or withhold any of the amenities enjoyed by the tenant.

(2) A tenant in occupation of a building or rented land may, if the landlord has contravened the provisions of this Section, make an application to the Controller complaining of such contravention.

(3) If the Controller on enquiry finds that the tenant has been in enjoyment of the amenities and that they were cut off or withheld by the landlord without just or sufficient cause, he shall make an order directing the landlord to restore such amenities.

S.11 Conversion of a residential building into a non-residential building.

No person shall convert a residential building into a non-residential building except with the permission in writing of the Controller.

S.12 Failure by landlord to make necessary repairs.

If a landlord fails to make the necessary repairs to a building other then structural alterations, it shall be competent for the Controller to direct on application by the tenant, and after such inquiry as the Controller may think necessary, that such repairs may be made by the tenant, and that the cost thereof may be deducted from the rent which is payable by him.

S.13 Eviction of tenants.

(1) A tenant in possession of a building or rented land shall not be evicted therefrom in execution of a decree passed before or after the commencement of this Act or otherwise and whether before or after the termination of the tenancy, except in accordance with the provisions of this Section, [or in pursuance of an order made under Section 13 of the Punjab Urban Rent Restriction Act, 1947, as subsequently amended].

(2) A landlord who seeks to evict his tenant shall apply to the Controller for a direction in that behalf. If the Controller, after giving the tenant a reasonable opportunity of showing cause against the applicant, is satisfied -

(i) that the tenant has not paid or tendered the rent due by him in respect of the building or rented land within fifteen days after the expiry of the time fixed in the agreement of tenancy with his landlord or in the absence of any such agreement, by the last day of the month next foll

S.13(a) Right to recover immediate possession of residential or scheduled building to accrue to certain persons.]

Where a specified landlord at any time, within one year prior to or within one year after the date of his retirement or after his retirement but within one year of the date of commencement of the East Punjab Urban Rent Restriction (Amendment) Act, 1985, whichever is later, applies to the Controller alongwith a certificate from the authority competent to remove him from service indicating the date of his retirement and his affidavit to the effect that he does not own and possess any other suitable accommodation in the local area in which he intends to reside to recover possession of his residential building or scheduled building, as the case may be, for his own occupation, there shall accrue, on and from the date of such application to such specified landlord, notwithstanding anything contained elsewhere in this Act or in any other law for the time being in force or in any contract (whether expressed or implied), custom or usage to the contrary, a right to recover imm

S.13(b) Right to recover immediate possession of residential building or scheduled building and/or non-residential building to accrue to Non-resident Indian.]

(1) Where an owner is a Non-Resident Indian and returns to India and the residential building or scheduled building and/or non-residential building, as the case may be, let out by him or her, is required for his or her use, or for the use of any one ordinarily living with and dependent on him or her, he or she, may apply to the Controller for immediate possession of such building or buildings, as the case may be :

Provided that a right to apply in respect of such a building under this Section, shall be available only after a period of five years from the date of becoming the owner of such a building and shall be available only once during the life time of such an owner.

(2) Where the owner referred to in sub-section (1), has let out more than one residential building or scheduled building and/or non-residential building, it shall be open to him or her to make an application under that sub-section in respect of only one resi

Legal Commentary on Section 13(b) of the East Punjab Urban Rent Restriction Act, 1949

Introduction

Section 13(b) of the East Punjab Urban Rent Restriction Act, 1949, provides a statutory framework for the eviction of tenants based on the landlord's bona fide requirement of the premises. It specifically caters to the rights of certain categories of landlords, notably Non-Resident Indians (NRIs), to recover possession of their properties for personal use or occupation. The section aims to balance the interests of tenants against the legitimate needs of landlords, especially NRIs, within the framework of rent control laws.

What does Section 13(b) Say?

Section 13(b) empowers a landlord, particularly an NRI, to seek eviction of a tenant if the landlord bona fide requires the premises for his own use or occupation. The section stipulates that the landlord must prove:- His status as an NRI,- Ownership of the property for at least five years prior to the filing,- Bona fide requirement for personal use,- That the eviction petition is filed only once during his lifetime (a "one-time" right).

The section also provides procedural safeguards, including the tenant's right to seek leave to contest the eviction and the conditions under which such leave may be granted or refused.

Essential Ingredients

The core ingredients for invoking Section 13(b) are:- NRI status: The landlord must establish that he qualifies as an NRI, which involves proof of his residence outside India and intent to return.- Ownership: The landlord must prove ownership of the property for at least five years before filing.- Bona fide requirement: The requirement must be genuine, not a pretext.- Single exercise of right: The landlord can exercise this right only once in his lifetime.- Proper procedure: The landlord must follow the prescribed legal process, including serving notices and obtaining leave to contest.

Scope of Section

The section applies primarily to:- NRIs seeking eviction for personal use,- Co-owners or co-landlords acting jointly,- Cases where the property is a building or part of a building used for residential or commercial purposes,- Situations where the landlord's bona fide requirement is established and not challenged effectively by the tenant.

It excludes:- Cases where the landlord's claim is not bona fide,- Multiple exercise of the eviction right,- Situations where procedural requirements are not met.

Punishment for Violations

While Section 13(b) itself does not prescribe specific punishments, violations such as false claims of NRI status, misuse of the section, or contempt of court orders can attract penalties under contempt laws or other applicable provisions. Courts have held landlords liable for willful disobedience or falsehoods, including imprisonment or fines in contempt proceedings.

Legal Comments

• Bona fide requirement - The section presumes the landlord's requirement to be genuine unless the tenant proves otherwise with strong evidence [Narinder Singh VS Kirpa Singh].
• NRI status - The definition includes persons whose parents or grandparents were born in India and who reside outside India, with proof of permanent return or intention to return [Narinder Singh VS Kirpa Singh].
• Single exercise - The law restricts NRIs to exercise the right under Section 13-B only once in their lifetime, emphasizing the need for careful exercise of this right [Kanwarjit Singh Sandhu VS Kulvinder Kaur].
• Ownership proof - The landlord must prove ownership for at least five years prior to filing; municipal records are not conclusive proof of ownership [Baljit Singh VS Raghubir Singh].
• Proper service - Service of summons on the tenant or his family members at proper addresses is essential; service upon family members residing in the same premises is valid [Rajpal VS Gurdev Singh].
• Leave to contest - The tenant's application for leave to contest must be supported by specific facts and documentary evidence; mere assertions are insufficient [Charan Singh Malhi VS Ram Piari].
• Procedural safeguards - The section mandates that the landlord must follow the prescribed procedure, including filing an affidavit of bona fide requirement and proper service, to prevent abuse [Bhandari General Store VS Makhan Singh Grewal].
• Restriction on multiple evictions - The law restricts the landlord from seeking eviction from the same property more than once, emphasizing the importance of bona fide need [02300049450].
• Role of courts - Courts are to scrutinize the bona fide requirement and the NRI status strictly, but with a presumption in favor of the landlord unless proved otherwise [Bhandari General Store VS Makhan Singh Grewal].
• Amendments and pleadings - Amendments to eviction petitions are permissible to reflect changed circumstances, provided they do not cause undue delay or prejudice the tenant [Harbinder Singh Manku VS Sanjay Kumar].
• Legal fiction of NRI - The legal fiction that a person residing outside India is an NRI is to be applied strictly, and the burden of proof lies on the landlord to establish this status [Mohinder Singh VS Sohan Singh Sethi].
• Burden of proof - The landlord bears the burden to prove his NRI status, ownership, and bona fide requirement; the tenant can rebut with strong evidence [Bhandari General Store VS Makhan Singh Grewal].
• Legal interpretation - The courts have consistently interpreted Section 13-B to favor the landlord's right to evict, provided procedural safeguards are followed [Punjab National Bank VS Ranjit Singh Gill].
• Protection against false claims - Courts have held that landlords cannot misuse Section 13-B for ulterior motives; false claims can lead to contempt proceedings [Sarwan Jangra VS Sukhraj Singh].
• Impact of previous orders - Res judicata does not bar a landlord from filing a fresh petition under Section 13-B if the previous one was dismissed on procedural grounds or due to non-prosecution [Om Parkash Mehta VS Gurdial Mal Sharma].
• Legal validity - The Supreme Court has upheld the constitutional validity of Section 13-B, emphasizing its purpose to protect the rights of NRIs to reclaim their properties .

This concise commentary synthesizes judicial interpretations, procedural safeguards, and legal principles governing Section 13(b), emphasizing the importance of strict adherence to statutory requirements to prevent misuse and protect genuine rights of NRIs.

S.14 Decision which have become final not to be reopened in appeal

The Controller shall summarily reject any application under sub-section (2) or under sub-section (3) of Section 13 which raises substantially the issues as have been finally decided in a former proceeding under this Act.

S.15 Vesting of appellate authority on officers by State Government.

(1)(a) The [State] Government may, by a general or special order, by notification confer on such officers and authorities as they think fit, the powers of appellate authorities for the purposes of this Act, in such area in such classes of cases as may be specified in the order.

(b) Any person aggrieved by an order passed by the Controller may, within fifteen days from the date of such order or such longer period as the appellate authority may allow for reasons to be recorded in writing, prefer an appeal in writing to the appellate authority having jurisdiction. [In computing the period of fifteen days the time taken to obtain a certified copy of the order appealed against shall be excluded.]

(2) On such appeal being preferred, the appellate authority may order stay of further proceedings in the matter pending decision on the appeal.

(3) The appellate authority shall decide the appeal after sending for

S.16 Power to summon and enforce attendance of witnesses.

For the purposes of this Act, an appellate authority or a Controller appointed under the Act shall have the same powers of summoning and enforcing the attendance of witnesses and compelling the production of evidence as are vested in a court under the Code of Civil Procedure, 1908.

S.17 Execution of Orders.

Every order made under Section 10, or Section 13, and every order passed on appeal under Section 15 shall be executed by a civil court having jurisdiction in the area as if it were a decree of that court.

S.17(a) Power to transfer proceedings from one appellate authority or Controller to another.]

(1) The High Court may, on an application made to it or otherwise, by order transfer any proceeding pending before any appellate authority to another appellate authority and appellate authority to whom the proceeding is so transferred may, subject to any special direction in the order of transfer, dispose of the proceeding.

(2) An appellate authority may on an application made to it or otherwise, by order transfer any proceeding pending before any Controller to another Controller within its jurisdiction and the Controller to whom the proceeding is so transferred may, subject to any direction in the order of transfer, dispose of the proceeding.

S.18 Landlord and tenant to furnish particulars.

Every landlord and every tenant of a building or rented land shall be bound to furnish to the Controller, or any person authorised by him in that behalf, such particulars in respect of such building or rented land as may be prescribed.

S.18(a) Special procedure for disposal of applications under Section 13-A or Section 13-B.]

(1) Every application under [section 13-A or section 13-B] shall be dealt with in accordance with the procedure specified in this section.

(2) After an application under [section 13-A or section 13-B] is received, the Controller shall issue summons for service on the tenant in the form specified in Schedule II.

(3) (a) The summons issued under sub-section (2) shall be served on the tenant as far as may be in accordance with the provisions of Order V of the First Schedule to the Code of Civil Procedure, 1908. The Controller shall in addition direct that a copy of the summons be also simultaneously sent by registered post acknowledgement due addressed to the tenant or his agent empowered to accept the service at the place where the tenant or his agent actually and voluntarily resides or carries on business or personally works for gain and that another copy of the summons be affixed at some conspicuous part of the building in

S.18(b) Section 18-A to have over-riding effect.]

Section 18-A or any rule made for the purpose thereof shall have effect notwithstanding anything inconsistent therewith contained elsewhere in this Act or in any other law for time being in force.

S.19 Penalties.

(1) If any person contravenes any of the provisions of sub- section (2) of Section 9, sub-section (1) of Section 10, Section 11 or Section 18, he shall be punishable with fine which may extend to one thousand rupees.

(2) If any person contravenes any of the provisions of clause (a) of sub- section (1) of Section 6 or sub-Section (1) of Section 7 he shall be punishable with imprisonment which may extend to two years and with fine.

[(2-A). The specified landlord or the widow, widower, child, grandchild or the widowed daughter-in-law of such landlord, as the case may be, who having evicted a tenant from a residential building or a scheduled building in pursuance of an order made under section 13-A does not occupy it for a continuous period of three months from the date of such eviction, or lets out the whole or any part of such building from which the tenant was evicted to any person other than the tenant in contravention of t

S.20 Power to make rules.

The State Government may by notification, make rules for the purpose of carrying out all or any of the provisions of this Act.

S.21 Repeal of Punjab Act No. VI of 1947 and East Punjab Act No. XXI of 1948.

The Punjab Urban Rent Restriction Act, 1947, and the Punjab Urban Rent Restriction (East Punjab Amendment) Act, 1948 are hereby repealed.

Schedule.1 [Schedule 1]

1. Lawyers.

2. Architects.

3. Dentists.

4. Engineers.

5. Veterinary Surgeons.

6. Medical Pracatitioners, including practitioners of indigenous systems of medicine.

Schedule.II [Schedule II]

(Schedule II inserted w.e.f. 16-11-1985 by Punjab Act 2 of 1984 and adapted by U.T. Chandigarh vide Notification No. GSR 1287(E), dated 15-12-86, Published in Chandigarh Admn. Gazette dated 29-12-1986.)

[See sub-section (2) of Section 18-A]

Form of summons in a case where recovery of possession of [residential building or scheduled and/or non-residential building] is prayed for under [section 13-A or section 13-B] of the East Punjab Urban Rent Restriction Act, 1949.

(Name, description and place of residence of the tenant)

Whereas Shri------------------------------------------has filed an application (a copy of which is annexed for your eviction from----------------(here insert the particulars of the residential building or scheduled building) under [section 13-A or section 13-B] of the East Punjab Urban Rent Restriction Act, 1949.

Now, therefore, you are here