Supreme Court Upholds Landlord in Eviction Proceedings Under U.P. (Temporary) Control of Rent and Eviction Act, 1947 — State Government's Post-Decree Revocation of Permission Under Section 7(F) Does Not Render Decree Unenforceable. Decree for Eviction Obtained After Commissioner's Permission Remains Valid As State Government's Power to Revoke is Exhausted Once Suit is Validly Instituted.

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Case Note & Summary

The case involved a dispute between a landlord and a tenant over a shop in Agra under the U.P. (Temporary) Control of Rent and Eviction Act, 1947. The landlord sought permission from the District Magistrate to sue for eviction, which was initially denied. On revision, the Commissioner granted permission on October 16, 1959. The tenant then moved the State Government under Section 7(F) to revoke the permission on November 17, 1959. Meanwhile, the landlord served a notice under Section 106 of the Transfer of Property Act and filed a suit for eviction on February 13, 1960, knowing that the revocation application was pending. The trial court decreed the suit on November 2, 1960. During the tenant's appeal, the State Government revoked the permission on January 27, 1961. The first appellate court, relying on this revocation, set aside the decree on February 9, 1961. However, the High Court in second appeal, following a Full Bench decision in Bashi Ram v. Mantri Lal, restored the decree, holding that a revocation after decree does not affect its enforceability. The tenant appealed to the Supreme Court. The core legal question was whether a decree for eviction obtained after the Commissioner's permission under Section 3(3) becomes unenforceable if the State Government later revokes that permission under Section 7(F) after the decree is passed. The Supreme Court examined the scheme of the Act, noting that while the District Magistrate's order under Section 3(1) is subject to revision by the Commissioner, and the Commissioner's order under Section 3(3) is final but subject to the State Government's power under Section 7(F), there is no provision that a suit validly instituted after permission ceases to be maintainable due to a subsequent revocation. The finality of a decree can only be taken away by clear statutory provision. The Court held that when the Commissioner sets aside the District Magistrate's order and revokes permission before suit, the suit is invalid. However, once a suit is validly instituted, the State Government's power to revoke is exhausted, and any subsequent revocation does not affect the suit or the decree. Accordingly, the Supreme Court dismissed the appeal and upheld the eviction decree.

Headnote

A) Landlord and Tenant - Eviction - Permission to Sue - U.P. (Temporary) Control of Rent and Eviction Act, 1947, Sections 3, 7(F) - A suit for eviction validly instituted after obtaining permission under Section 3 of the Act does not become unenforceable or void if the State Government subsequently revokes the permission under Section 7(F) after the decree is passed. There is no provision in the Act invalidating a decree passed in a validly instituted suit due to such revocation. Held that the finality of a decree is not affected by the subsequent revocation as the State Government's power to revoke is exhausted once the suit is validly instituted.

B) Landlord and Tenant - Eviction - Permission to Sue - U.P. (Temporary) Control of Rent and Eviction Act, 1947, Sections 3(3), 3(4) - If the Commissioner, in revision under Section 3(3), revokes the permission granted by the District Magistrate before the institution of the suit, the suit filed without awaiting the Commissioner's decision is treated as one filed without valid permission and is thus invalid.

C) Landlord and Tenant - Eviction - Permission to Sue - U.P. (Temporary) Control of Rent and Eviction Act, 1947, Sections 3(1), 7(F) - If the State Government revokes the permission under Section 7(F) before the institution of the suit, there is no valid permission to sue, and any suit filed after such revocation is not maintainable.

D) Landlord and Tenant - Eviction - Permission to Sue - U.P. (Temporary) Control of Rent and Eviction Act, 1947, Sections 3, 7(F) - The State Government's power under Section 7(F) to revoke permission granted under Section 3(1) is exhausted once a suit for eviction is validly instituted, and any subsequent revocation does not affect the maintainability of the suit or the enforceability of the decree.

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Issue of Consideration

Whether a decree for eviction obtained after permission of the Commissioner under Section 3(3) of the U.P. (Temporary) Control of Rent and Eviction Act, 1947 becomes unenforceable if the State Government subsequently revokes the permission under Section 7(F) after the decree is passed?

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Final Decision

The Supreme Court dismissed the appeal, holding that a suit validly instituted after obtaining permission does not become unenforceable if the State Government subsequently revokes the permission under Section 7(F) after the decree is passed. The State Government's power to revoke gets exhausted once the suit is validly instituted. The decree for eviction was upheld.

Law Points

  • Legal points not extracted
  • A suit validly instituted after obtaining permission under Section 3 of the U.P. (Temporary) Control of Rent and Eviction Act
  • 1947 does not become unenforceable if the State Government subsequently revokes the permission under Section 7(F) after decree is passed
  • State Government's power to revoke permission gets exhausted once suit is validly instituted
  • permission revoked by Commissioner before suit renders suit invalid
  • permission revoked by State Government before suit renders suit not maintainable.
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Case Details

1968 LawText (SC) (09) 22

Civil Appeal No. 1617 of 1968

1968-09-27

K.S. Hegde, S.M. Sikri, R.S. Bachawat

Citation not available, 1970 AIR 971, 1969 SCR (2) 297

I.P. Goyal, A.G. Ratnaparkhi, C.B. Agarwala, R. Mahalingier

Bhagwan Das

Paras Nath

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Nature of Litigation

Dispute over eviction of tenant from shop under U.P. (Temporary) Control of Rent and Eviction Act, 1947.

Remedy Sought

The appellant (tenant) sought to set aside the decree of eviction and the High Court's judgment, arguing that the suit decree became unenforceable due to State Government's revocation of permission after the decree.

Filing Reason

The appellant (tenant) challenged the High Court's decision which upheld the eviction decree despite the State Government's post-decree revocation of permission under Section 7(F).

Previous Decisions

The District Magistrate initially rejected the landlord's permission application. The Commissioner in revision granted permission. The trial court (Munsiff) decreed the eviction suit. The Civil Judge (first appellate court) set aside the decree, relying on the State Government's revocation order. The High Court in second appeal restored the decree following the Full Bench decision in Bashi Ram v. Mantri Lal.

Issues

Whether a decree for eviction obtained after permission of the Commissioner under Section 3(3) of the U.P. (Temporary) Control of Rent and Eviction Act, 1947 becomes unenforceable if the State Government subsequently revokes the permission under Section 7(F) after the decree is passed? Whether a suit filed without awaiting the Commissioner's decision on revision becomes invalid if the Commissioner later revokes the permission granted by the District Magistrate? Whether the State Government's power under Section 7(F) to revoke permission survives after a valid institution of the suit?

Submissions/Arguments

The appellant (tenant) contended that the Act restricts the landlord's right to evict, and the permission granted is conditional and not final; therefore, the subsequent revocation by the State Government renders the decree unenforceable. The respondent (landlord) argued that once a suit is validly instituted after obtaining permission, any subsequent revocation does not affect the maintainability of the suit or the decree, as the State Government's power under Section 7(F) is exhausted upon institution of the suit.

Ratio Decidendi

A decree passed in a suit validly instituted after obtaining permission under Section 3 of the U.P. (Temporary) Control of Rent and Eviction Act, 1947 does not become unenforceable if the State Government subsequently revokes the permission under Section 7(F) after the decree is passed, as the State Government's power to revoke is exhausted once the suit is validly instituted.

Judgment Excerpts

The order of the District Magistrate is by s.3(1) specifically made subject to the order of the Commissioner in revision under s.3(3), but the Commissioner’s order according to s.3(4) is final though subject to the order of the State Government under s.7(F). There is no provision in the Act providing that a suit validly instituted after getting the required permission under s.3(1) ceases to be maintainable because of any order made by the State Government under s.7(F). the State Government’s power to revoke the permission granted under s.3(1) gets exhausted once the suit is validity instituted.

Procedural History

The landlord applied to the District Magistrate under Section 3(1) for permission to sue for eviction; the District Magistrate rejected the application on July 9, 1959. The landlord filed a revision before the Commissioner under Section 3(3), who granted permission on October 16, 1959. The tenant then moved the State Government under Section 7(F) on November 17, 1959. The landlord served a notice under Section 106 of the Transfer of Property Act on January 1, 1960, and filed Suit No. 115 of 1960 on February 13, 1960. The trial court (Munsiff, Agra) decreed the suit on November 2, 1960. The tenant appealed to the Civil Judge, Agra. During the pendency of the appeal, on January 27, 1961, the State Government revoked the permission granted by the Commissioner. The Civil Judge allowed the appeal and set aside the decree on February 9, 1961. The landlord filed a second appeal before the High Court of Allahabad, which, by its judgment dated March 19, 1968, following the Full Bench decision in Bashi Ram v. Mantri Lal, allowed the appeal and restored the decree. The tenant then appealed by special leave to the Supreme Court.

Acts & Sections

  • U.P. (Temporary) Control of Rent and Eviction Act, 1947: 3, 7(F)
  • Transfer of Property Act, 1882: 106
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