Supreme Court Dismisses Appeal in Cooperative Housing Society Dispute — Jurisdiction of Registrar Affirmed.

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Case Note & Summary

The dispute arose from an eviction claim made by a tenant co-partner member of a Cooperative Housing Society against the appellants, who were permitted to occupy a flat under an agreement for leave and licence. The agreement dated 1st January 1964 allowed the appellants' father to use the flat for 11 months, which was subsequently renewed. The tenant co-partner member later sought eviction under Section 91 of the Maharashtra Cooperative Societies Act, 1960, claiming unauthorized occupation. The appellants contended that the transaction was a lease, thus barring the Registrar's jurisdiction under Section 28 of the Bombay Rent Act. The District Deputy Registrar initially ruled in favor of the appellants, but the Maharashtra State Cooperative Appellate Tribunal remanded the case for a fresh decision on the nature of the disputant's membership. The First Cooperative Court ultimately found that the society was a tenant co-partnership type and that the agreement was for leave and licence, leading to a wrongful possession ruling against the appellants. The Supreme Court upheld these findings, emphasizing that the agreement was not a device to create a tenancy and reaffirmed the jurisdiction of the Registrar under Section 91. The court dismissed the appeal, granting the appellants six months to vacate the premises while ensuring compliance with the court's directives.

Headnote

A) Cooperative Societies Law - Jurisdiction of Registrar - Nature of Agreement - Maharashtra Cooperative Societies Act, 1960, Section 91 - The court held that the agreement was for leave and licence, not lease, affirming the Registrar's jurisdiction to adjudicate the eviction claim under Section 91. The relationship between the parties was determined to be that of licensor and licensee, not landlord and tenant, thus falling within the purview of the Act (Paras 67-68).

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Issue of Consideration

Whether the agreement between the parties constituted a lease or a licence and the jurisdiction of the Registrar under Section 91 of the Maharashtra Cooperative Societies Act, 1960.

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Final Decision

The Supreme Court dismissed the appeal, affirming the lower courts' findings that the agreement was for leave and licence and that the jurisdiction of the Registrar under Section 91 was applicable. The appellants were granted six months to vacate the premises.

Law Points

  • Jurisdiction under Maharashtra Cooperative Societies Act
  • 1960
  • Nature of tenancy vs. licence
  • Eviction proceedings
  • Bye-laws of cooperative societies
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Case Details

1988 LawText (SC) (09) 42

Civil Appeal No. 1945 of 1984

1988-09-19

SEN, A.P. (J), RAY, B.C. (J)

1989 AIR 122, 1988 SCR Supl. (3) 60, 1989 SCC (1) 52, 1988 SCALE (2) 1276

R. Karanjawala, Mrs. Manik Karanjawala, Ejaz Maqbool, T.S. Krishnamurthy, R.N. Keshwani, Dilip Jhangiani, V.K. Punwani, M.K.D. Namboodiri

Smt. Krishna Rajpal Bhatia & Ors.

Miss Leela H. Advani & Ors.

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Nature of Litigation

Eviction proceedings under the Maharashtra Cooperative Societies Act, 1960.

Remedy Sought

Eviction from the flat and mesne profits.

Filing Reason

Claim of unauthorized occupation by the appellants.

Previous Decisions

Initial ruling favored the appellants, but subsequent appeals led to findings against them.

Issues

Whether the agreement constituted a lease or a licence. Whether the jurisdiction of the Registrar under Section 91 was applicable.

Submissions/Arguments

The appellants argued that the agreement was a lease, thus barring the Registrar's jurisdiction under the Bombay Rent Act. The respondent contended that the agreement was for leave and licence, affirming the Registrar's jurisdiction.

Ratio Decidendi

The agreement was determined to be for leave and licence, not lease, affirming the jurisdiction of the Registrar under Section 91 of the Maharashtra Cooperative Societies Act, 1960.

Judgment Excerpts

The agreement between the parties was embodied in the usual standard form of an agreement for leave and licence. The parties being executants thereof are bound by the terms of the agreement.

Procedural History

The case began with an eviction claim under Section 91 of the Maharashtra Cooperative Societies Act, 1960, which was initially ruled in favor of the appellants. The matter was appealed to the Maharashtra State Cooperative Appellate Tribunal, which remanded the case for a fresh decision. The First Cooperative Court ruled against the appellants, leading to further appeals culminating in the Supreme Court.

Acts & Sections

  • Maharashtra Cooperative Societies Act, 1960: Section 91
  • Bombay Rent Act, 1947: Section 28
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