Supreme Court Dismisses Appeal Regarding Validity of Rent Deposit Under Rent Act — Tenant's Deposit Upheld.

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Case Note & Summary

The dispute arose between a tenant and landlord regarding the validity of a rent deposit made by the tenant under Section 6A of the Haryana Urban (Control of Rent & Eviction) Act, 1973. The tenant filed an application on 19.5.1988, asserting that the landlord refused to accept rent and issue receipts, leading to the deposit of Rs. 7500 for the period from 12.2.1987 to 11.5.1988. The Rent Controller initially ruled that the deposit was not valid due to the tenant's failure to pay interest and costs, while the appellate authority and High Court disagreed, upholding the tenant's position. The Supreme Court examined the provisions of Section 6A and clarified that there was no requirement for the tenant to pay interest and costs at the time of deposit. The court concluded that the tenant's deposit was valid, and the ejectment application filed by the landlord was improperly allowed. Consequently, the appeal was dismissed, affirming the decisions of the lower courts.

Headnote

A) Rent Control - Validity of Rent Deposit - Tenant's deposit under Section 6A deemed valid despite non-payment of interest and costs - Haryana Urban (Control of Rent & Eviction) Act, 1973, Section 6A - The court held that the requirement of paying interest and costs was not applicable under Section 6A, thus the tenant's deposit was valid and the ejectment application was dismissed. (Paras 1-3)

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Issue of Consideration

Whether the amount deposited by the tenant under Section 6A was a valid tender.

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Final Decision

The Supreme Court dismissed the appeal, affirming the decisions of the appellate authority and High Court that the tenant's deposit was valid under Section 6A of the Act.

Law Points

  • Validity of rent deposit
  • Rent Controller's authority
  • Ejectment application
  • Section 6A of Haryana Urban (Control of Rent & Eviction) Act
  • 1973
  • Requirement of interest and costs
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Case Details

1998 LawText (SC) (08) 67

1998-08-05

A.S. Anand, B.N. Kirpal, V.N. Khare

Brij Bhushan

Kewal Kumar

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Nature of Litigation

Dispute over the validity of a rent deposit made by a tenant.

Remedy Sought

The landlord sought ejectment of the tenant.

Filing Reason

The tenant filed for permission to deposit rent due to the landlord's refusal to accept it.

Previous Decisions

The Rent Controller initially ruled against the tenant, but the appellate authority and High Court reversed this decision.

Issues

Validity of rent deposit under Section 6A Requirement of interest and costs for valid tender

Submissions/Arguments

The tenant argued that the deposit was valid as the landlord refused to accept rent. The landlord contended that the deposit was invalid due to non-payment of interest and costs.

Ratio Decidendi

The court clarified that under Section 6A, there is no requirement for the tenant to pay interest and costs at the time of deposit, thus validating the tenant's actions.

Judgment Excerpts

The only question involved in this appeal by special leave is whether the amount deposited by the tenant/respondent under Section 6A was valid tender. The requirement of deposit of interest and cost is a requirement provided by the proviso to Section 13(2)(i) of the Act.

Procedural History

The tenant filed an application under Section 6A, the Rent Controller ruled against the tenant, the tenant appealed, and the appellate authority and High Court upheld the tenant's position.

Acts & Sections

  • Haryana Urban (Control of Rent & Eviction) Act, 1973: Section 6A, Section 13(2)(i)
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