Supreme Court Allows Landlord's Appeal in Eviction Case — Concurrent Findings of Lower Courts Restored. Relationship of Landlord and Tenant Established Through Circumstantial Evidence and Tenant's Failure to Prove Adverse Possession.

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Case Note & Summary

The dispute pertains to two shop rooms in Berhampur, Orissa, originally owned by Smt. Ashalata Devi. The plaintiff claimed to be her adopted son and inherited the property after her death. He alleged that the defendant was a tenant since 1974 at a monthly rent of Rs.1,000, but stopped paying rent from July 2001. The plaintiff issued a notice under Section 106 of the Transfer of Property Act, 1882 terminating the tenancy and filed a suit for eviction and arrears. The defendant denied the landlord-tenant relationship and claimed title by adverse possession or oral gift. The trial court decreed the suit in favor of the plaintiff, holding that the plaintiff proved his adoption and ownership, the defendant was a tenant, and the defendant failed to prove adverse possession. The first appellate court affirmed. The High Court in second appeal reversed, holding that the landlord-tenant relationship was not proved and that the suit for eviction arrested adverse possession but the plaintiff should file a fresh suit for title. The Supreme Court allowed the appeal, restoring the concurrent findings. The Court held that the High Court exceeded its jurisdiction under Section 100 CPC by re-appreciating evidence and reversing concurrent findings of fact. The Court found that the defendant's possession was permissive and could not ripen into adverse possession without hostile animus. The plaintiff had validly terminated the tenancy and was entitled to eviction and arrears. The Supreme Court set aside the High Court's judgment and restored the decrees of the lower courts.

Headnote

A) Civil Procedure - Second Appeal - Section 100 CPC - Interference with Concurrent Findings - The High Court in a second appeal under Section 100 CPC cannot interfere with concurrent findings of fact unless they are perverse or based on no evidence. The High Court erred in reversing the well-reasoned findings of the trial court and first appellate court that the defendant was a tenant and had not proved adverse possession. (Paras 2, 3.8, 4)

B) Property Law - Adverse Possession - Permissive Possession - The defendant's possession, having started as permissive (tenant), cannot become adverse unless there is clear evidence of hostile animus to the knowledge of the owner. Mere long possession or payment of electricity dues does not convert permissive possession into adverse possession. (Paras 3.6, 3.7, 4)

C) Property Law - Transfer of Property Act, 1882 - Section 106 - Termination of Tenancy - The plaintiff validly terminated the tenancy by notice under Section 106 of the Transfer of Property Act, 1882, and the defendant's failure to vacate made him liable for eviction and arrears of rent. (Paras 3.4, 3.6)

D) Evidence - Adoption - Proof of Adoption - The plaintiff proved his adoption through oral and documentary evidence, which was accepted by the trial court and first appellate court, and not challenged by the defendant in the second appeal. (Paras 3.2, 3.6, 3.7)

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Issue of Consideration

Whether the High Court was justified in reversing concurrent findings of fact in a second appeal under Section 100 CPC, and whether the tenant had perfected title by adverse possession.

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Final Decision

Appeal allowed. Impugned judgment of the High Court set aside. Judgments and decrees of the Trial Court and First Appellate Court restored. Defendant directed to hand over vacant possession and pay arrears of rent and damages.

Law Points

  • Adverse possession
  • Permissive possession
  • Landlord-tenant relationship
  • Section 106 Transfer of Property Act
  • 1882
  • Section 100 CPC
  • Oral gift
  • Adoption
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Case Details

2025 LawText (SC) (3) 63

Civil Appeal arising out of SLP(C) No. 12345 of 2022

2025-03-06

Sanjay Karol J

RABINDRANATH PANIGRAHI

SURENDRA SAHU

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Nature of Litigation

Civil suit for eviction and recovery of arrears of rent and damages.

Remedy Sought

Plaintiff sought eviction of defendant from suit premises, arrears of rent, and damages for unauthorized use.

Filing Reason

Defendant stopped paying rent from July 2001 and refused to vacate after termination of tenancy.

Previous Decisions

Trial Court decreed suit in favor of plaintiff; First Appellate Court affirmed; High Court reversed in second appeal.

Issues

Whether the High Court was justified in reversing concurrent findings of fact in a second appeal under Section 100 CPC. Whether the defendant had perfected title by adverse possession. Whether the relationship of landlord and tenant was established.

Submissions/Arguments

Plaintiff argued that he is the adopted son and owner, defendant was a tenant who defaulted, and tenancy was validly terminated. Defendant argued that he was not a tenant, had acquired title by adverse possession or oral gift, and plaintiff had no title.

Ratio Decidendi

In a second appeal under Section 100 CPC, the High Court cannot interfere with concurrent findings of fact unless they are perverse or based on no evidence. Permissive possession cannot be converted into adverse possession without hostile animus. A tenant who fails to prove adverse possession is liable to be evicted upon termination of tenancy.

Judgment Excerpts

The High Court, while reversing the concurrent findings of the lower Courts, held that the relationship of landlord and tenant cannot be sustained. Be it ingeminated that if by the date of present suit, the Defendant had already perfected title by adverse possession that would stand on a different footing.

Procedural History

Plaintiff filed suit (C.S.No.276/2003) before Civil Judge (SD), Berhampur, which decreed suit on 12.10.2007. Defendant appealed (RFA No.04/2010) before 1st Addl. District Judge, Berhampur, which dismissed appeal on 29.01.2011. Defendant then filed second appeal (RSA No.131/2011) before Orissa High Court, which allowed appeal on 20.06.2022. Plaintiff appealed to Supreme Court by special leave.

Acts & Sections

  • Transfer of Property Act, 1882: 106
  • Code of Civil Procedure, 1908: 100
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