Supreme Court Upholds Landlord's Eviction Suit Under U.P. Urban Buildings Act Due to Ten-Year Exemption. The Act's Applicability is Limited to Buildings Completed After the Ten-Year Period from Construction.

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Case Note & Summary

The dispute arose from a suit for eviction filed by the landlord in 1977 against the tenant, claiming that the U.P. Urban Buildings (Regulation of Letting, Rent and Eviction) Act, 1972 did not apply to the building constructed in 1968. The tenant contended that the Act was applicable as the building was old and none of the grounds for eviction under Section 20(2) were satisfied. The Trial Court dismissed the suit, ruling that the Act applied. However, the IIIrd Additional District Judge reversed this decision, stating that the Act did not apply until 1.9.1978, and the suit was validly instituted before this date. The High Court later held that the Act applied to all buildings, including those constructed before its commencement, leading to the dismissal of the landlord's suit. The Supreme Court, upon appeal, examined the applicability of the Act, emphasizing that the ten-year exemption period from the date of construction completion was crucial. The court found that since the building was completed in 1968 and the suit was filed in 1977, the Act did not apply, and the suit should be resolved without reference to it. The court also noted that the expiration of the ten-year period during the litigation did not retroactively apply the Act. Ultimately, the Supreme Court allowed the appeal, restoring the decision of the IIIrd Additional District Judge and setting aside the High Court's ruling, with no orders as to costs.

Headnote

A) Landlord and Tenant Law - Applicability of Rent Control Legislation - Ten-Year Exemption - U.P. Urban Buildings (Regulation of Letting, Rent and Eviction) Act, 1972, Section 2(2) - The Act does not apply to buildings for ten years post-construction completion. The court held that since the building was completed in 1968 and the suit was filed in 1977, the Act was not applicable, and the suit should proceed without reference to it (Paras 353-355).

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Issue of Consideration

Whether the U.P. Urban Buildings (Regulation of Letting, Rent and Eviction) Act, 1972 applied to the suit building given the ten-year exemption period and the timing of the suit's institution.

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Final Decision

The Supreme Court allowed the appeal, restoring the decision of the IIIrd Additional District Judge and setting aside the High Court's ruling, concluding that the U.P. Urban Buildings Act did not apply to the building in question as it was constructed prior to the ten-year exemption period.

Law Points

  • Applicability of U.P. Urban Buildings Act
  • 1972
  • Ten-year exemption period
  • Transfer of Property Act
  • 1882
  • Section 106
  • Grounds for eviction
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Case Details

1992 LawText (SC) (01) 30

Civil Appeal No. 1670 of 1982

1992-01-22

B.P. Jeevan Reddy, L.M. Sharma, V. Ramaswami

1992 AIR 1106, 1992 SCR (1) 349, 1992 SCC (1) 751, JT 1992 (1) 356, 1992 SCALE (1) 122

Hari Swarup, Manoj Swarup, Ms. Lalita Kohli, J.P. Goyal, C.P. Lal, M.R. Bidsar

Ramesh Chandra

IIIRD Additional District Judge and Others

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Nature of Litigation

Eviction suit filed by landlord against tenant.

Remedy Sought

Eviction of tenant from the premises.

Filing Reason

Landlord claimed the Act did not apply as the building was constructed in 1968.

Previous Decisions

Trial Court dismissed the suit; IIIrd Additional District Judge allowed the landlord's revision; High Court reversed the decision.

Issues

Applicability of the U.P. Urban Buildings Act to buildings constructed prior to its commencement. Impact of the ten-year exemption period on the eviction suit.

Submissions/Arguments

Landlord argued that the suit was valid as it was filed before the Act became applicable. Tenant contended that the building was old and the Act applied, claiming benefits under Section 39.

Ratio Decidendi

The U.P. Urban Buildings (Regulation of Letting, Rent and Eviction) Act, 1972 does not apply to buildings for ten years after completion of construction, and the expiration of this period during litigation does not retroactively apply the Act.

Judgment Excerpts

The Act would not apply to a building for a period of ten years after the completion of its construction. The mere fact that the statutory period of ten years expires during the pendency of the suit/appeal/revision, does not make the Act applicable.

Procedural History

The landlord filed a suit for eviction in 1977, which was dismissed by the Trial Court. The IIIrd Additional District Judge allowed the landlord's revision, which was later reversed by the High Court. The Supreme Court heard the appeal against the High Court's decision.

Acts & Sections

  • U.P. Urban Buildings (Regulation of Letting, Rent and Eviction) Act: 2(2), 20(2), 39
  • Transfer of Property Act: 106
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