Supreme Court Dismisses Appellant in Kerala Land Reforms Act Tenancy Dispute Because Lease Deed Was Collusive and Created to Defeat Co-Owners' Rights. Fixity of Tenure Claim Under Section 7B of Kerala Land Reforms Act, 1963 Fails as Lease by One Co-Assignee Without Others Was Not Valid Against Them.

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Case Note & Summary

The dispute arose from a partition suit concerning land assigned under an assignment deed dated 5.6.1897 by one Nambra Kurup in favour of Rayiru Kurup, Madhavi Amma, and Chiruthayi Amma, who were brother and sisters. Rayiru Kurup executed a registered kuzhikanam (lease) deed dated 25.5.1946 in favour of his son, the appellant, stipulating a rent of Rs. 5 and 50 coconut leaves as purappadu, but without joining his sisters as parties to the deed. The legal heirs of Chiruthayi, respondents 4 to 31, filed Suit No. 642/58 on 26.5.1958 for partition of their one-third share in the suit land with mesne profits, ignoring the lease. The preliminary decree passed on 14.11.1960 expressly rejected the appellant's claim of tenancy rights; his appeal was dismissed on 2.12.1963. A final decree came to be passed on 16.12.1967, against which the appellant preferred A.S. 335/67 before the subordinate court. While that appeal was pending, the Kerala Land Reforms (Amendment) Act, 1969 came into force with effect from 1.1.1970. The appellant sought and obtained leave to file an additional ground based on Sections 7 and 78 of the Kerala Act 1 of 1964 as amended by Act 35 of 1969. However, by judgment dated 22.10.1971, the first appellate court dismissed the appeal on the ground that the lease deed executed by Rayiru Kurup was collusive and purposely created to defeat the right of the plaintiffs and defendants 3 to 17 in the suit, and therefore could not be pressed into service to claim fixity of tenure under Section 7 or 7B. The appellant then preferred Second Appeal No. 1074/71 before the High Court of Kerala. The High Court remanded the matter to the trial court to determine factually whether the appellant, who was the first defendant in the suit, was in possession on 1.1.1970 of the land over which he claimed tenancy rights. After remand, the trial court by judgment dated 17.11.1977 upheld the appellant's claim under Section 7B in respect of plots A, B and C in Ext. C-4 Plan filed in the suit, thereby granting fixity of tenure to the appellant for those plots. The plaintiffs preferred a revision to the Kerala High Court against that order, and the High Court by order dated 28.5.1982 upset the trial court's order and rejected the appellant's claim under Section 7B for plots A, B and C. The appellant then approached the Supreme Court. The Supreme Court examined the judgments of the trial court and the High Court and heard counsel for the parties. It found that Rayiru Kurup, knowing that there were two other co-assignees, deliberately and cunningly executed the lease in 1946 to deprive his sisters of their rights. The High Court, apart from noticing the findings rendered in the suit both by the trial court and the appellate court before remand to the effect that the lease was a collusive document and not valid and binding, independently came to the same conclusion. The Court observed that but for the amendment in 1970, the appellant would not have obtained the right of fixity of tenure. It was also not in dispute that a portion of the plaint schedule land was taken possession of by the heirs of another co-assignee, Madhavi Amma. In all these circumstances, the Supreme Court held that it was not inclined to exercise its jurisdiction under Article 136 of the Constitution to interfere with the order of the High Court which had done substantial justice to the parties. Accordingly, the Supreme Court dismissed the appeal with no order as to costs.

Headnote

A) Property Law - Tenancy and Fixity of Tenure - Collusive Lease by Co-owner - Kerala Land Reforms Act, 1963 (Kerala Act 1 of 1964), as amended by Kerala Land Reforms (Amendment) Act, 1969, Sections 7, 7B, 78 - The appellant, son of one co-assignee, claimed fixity of tenure under Section 7B based on a kuzhikanam deed dated 25.5.1946 executed by his father Rayiru Kurup without joining the other two co-assignees. The courts found the deed collusive and created to defeat the rights of the co-assignees, and therefore not binding. Held that a collusive lease cannot confer fixity of tenure; the High Court's rejection of the claim was upheld (Paras 1-2).

B) Constitutional Law - Article 136 - Exercise of Discretionary Jurisdiction - Constitution of India, Article 136 - The Supreme Court considered whether to interfere with a High Court order that had reversed a trial court's grant of tenancy rights under Section 7B. The Court held that since the lease was collusive and the High Court had done substantial justice, no interference under Article 136 was warranted (Paras 1-2).

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Issue of Consideration

Whether the appellant was entitled to fixity of tenure under Section 7B of Kerala Land Reforms Act, 1963 based on a kuzhikanam deed dated 25.5.1946 executed by only one of three co-assignees without the concurrence of the other co-assignees, especially where the deed was found to be collusive. Whether the Supreme Court should exercise its discretionary jurisdiction under Article 136 of the Constitution to interfere with the High Court's order which had done substantial justice.

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Final Decision

The Supreme Court dismissed the appeal and affirmed the Kerala High Court order dated 28.5.1982 rejecting the appellant's claim of fixity of tenure under Section 7B of the Kerala Land Reforms Act. No order as to costs.

Law Points

  • A collusive lease deed executed by one co-owner without the consent of other co-owners is not valid and binding
  • and cannot confer fixity of tenure under Section 7B of the Kerala Land Reforms Act
  • 1963
  • as amended by Kerala Land Reforms (Amendment) Act
  • 1969. The Supreme Court may decline to exercise jurisdiction under Article 136 where the High Court has done substantial justice. A claim of tenancy rights under a collusive document cannot be sustained merely because a subsequent amendment came into force.
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Case Details

1996 LawText (SC) (11) 11

1996-11-01

M.M. Punchhi, K. Venkataswami

Thirumangalath Kunhirattan Appu Kurup

Koiloth Kamath Janaki & Ors

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Nature of Litigation

Civil appeal arising from a partition suit and subsequent proceedings concerning fixity of tenure under the Kerala Land Reforms Act, 1963.

Remedy Sought

Appellant sought to uphold fixity of tenure under Section 7B of Kerala Land Reforms Act in respect of plots A, B and C in Ext. C-4 Plan, based on a lease deed dated 25.5.1946 executed by his father Rayiru Kurup.

Filing Reason

Appellant challenged the Kerala High Court order dated 28.5.1982 rejecting his tenancy claim under Section 7B after the trial court had upheld it on remand.

Previous Decisions

Preliminary decree in Suit No. 642/58 dated 14.11.1960 rejected tenancy claim; appeal dismissed on 2.12.1963; final decree passed on 16.12.1967; first appellate court dismissed appeal on 22.10.1971 holding lease collusive; High Court remanded matter; trial court on 17.11.1977 upheld Section 7B claim for plots A, B, C; Kerala High Court by order dated 28.5.1982 reversed trial court and rejected claim.

Issues

Whether the appellant was entitled to fixity of tenure under Section 7B of Kerala Land Reforms Act, 1963 based on the kuzhikanam deed dated 25.5.1946 when the lease was executed by only one of three co-assignees without the consent of the others and was found collusive. Whether the Supreme Court should exercise its jurisdiction under Article 136 of the Constitution to interfere with the High Court's order which had done substantial justice in the facts and circumstances of the case.

Submissions/Arguments

Appellant contended that the Kerala Land Reforms (Amendment) Act, 1969, effective from 1.1.1970, conferred fixity of tenure under Sections 7 and 7B and that he was in possession on 1.1.1970 of the plots claimed. Respondents contended that the kuzhikanam deed was a collusive document executed by Rayiru Kurup to deprive his sisters, the co-assignees, of their share and therefore could not confer tenancy rights or fixity of tenure.

Ratio Decidendi

A lease deed executed by a co-owner without the concurrence of the other co-owners, and which is collusively created to defeat their rights, is not valid and binding on the other co-assignees. Such a collusive document cannot be relied upon to claim fixity of tenure under Section 7B of Kerala Land Reforms Act, 1963. The Supreme Court will not interfere under Article 136 of the Constitution where the High Court has done substantial justice in the facts and circumstances of the case.

Judgment Excerpts

the lease deed executed by Rayiru Kurup was a collusive one and purposely created to defeat the right of the plaintiffs and defendants Nos 3 to 17 in the suit. Rayiru Kurup knowing that there are two other co-assignees, has deliberately and in order to deprive his sisters (co-assignees) of their right in the suit land cunningly executed the said lease in the year 1946. we are not inclined to exercise our jurisdiction under Article 136 of the Constitution to interfere with the order to the High court which has done substantial justice to the parties in the facts and circumstances of the case.

Procedural History

Suit No. 642/58 filed on 26.5.1958 for partition by legal heirs of Chiruthayi; preliminary decree passed on 14.11.1960 rejecting tenancy claim; appeal dismissed on 2.12.1963; final decree passed on 16.12.1967; appellant filed A.S. 335/67 before subordinate court; while appeal pending, Kerala Land Reforms (Amendment) Act, 1969 came into force on 1.1.1970; appellant allowed to file additional ground under Sections 7 and 78; first appellate court dismissed appeal on 22.10.1971 holding lease collusive; appellant filed Second Appeal No. 1074/71 before Kerala High Court; High Court remanded to trial court to determine possession on 1.1.1970; trial court by judgment dated 17.11.1977 upheld Section 7B claim for plots A, B, C; respondents preferred revision to Kerala High Court; High Court by order dated 28.5.1982 upset trial court's order and rejected claim; appellant preferred present appeal to Supreme Court.

Acts & Sections

  • Kerala Land Reforms Act, 1963 (Kerala Act 1 of 1964): 7, 7B, 78
  • Kerala Land Reforms (Amendment) Act, 1969 (Act 35 of 1969):
  • Constitution of India: Article 136
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