Bombay High Court Allows Tenant's Possession Claim Under Section 17 of Bombay Rent Act After Building Destroyed by Fire — Appellate Court Erred in Dismissing Suit Based on Open Space Finding. Tenancy rights survive destruction of premises; filing suit constitutes notice of intention to occupy under Section 17(C)(2)(b) of Bombay Rents, Hotel and Lodging House Rates Control Act, 1947.

High Court: Bombay High Court Bench: BOMBAY In Favour of Accused
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Case Note & Summary

The petitioners are the legal representatives of the original plaintiff, who filed a suit for possession against the original defendant, the landlord. The plaintiff claimed he was a tenant of a shop premises measuring 6ft X 10ft in a building at Pen, District Raigad, since 1949, paying rent of Rs.7 per month. On 18th June 1981, the building caught fire and was destroyed. The defendant allegedly assured the plaintiff that a new building would be constructed and a shop would be handed over to him. However, on 11th December 1981, the defendant declined to give a shop, leading to the suit. The defendant denied the assurance and disputed the measurement. The trial court decreed the suit, holding that the tenancy rights continued after the fire. The District Court in appeal dismissed the suit, holding that the plaintiff was not entitled to possession under Section 17(C)(2)(b) of the Bombay Rent Act because the suit shop was located in an open space kept by the defendant. The High Court, per Justice A.S. Oka, allowed the writ petition, setting aside the appellate court's judgment and restoring the trial court's decree. The court held that tenancy rights survive destruction of premises, and the filing of the suit itself amounts to notice under Section 17. The open space kept as per rules does not defeat the claim. The court directed that the plaintiff is entitled to possession of a shop of the same measurement in the reconstructed building.

Headnote

A) Rent Control - Tenancy Rights - Destruction of Premises - Section 17 Bombay Rents, Hotel and Lodging House Rates Control Act, 1947 - Tenancy rights do not extinguish upon destruction of the tenanted premises by fire; the tenant retains the right to claim possession in the reconstructed building. The filing of a suit for possession itself constitutes notice to the landlord of the tenant's intention to occupy a premises in the new building. (Paras 1-5)

B) Rent Control - Possession - Open Space - Section 17 Bombay Rents, Hotel and Lodging House Rates Control Act, 1947 - The fact that the landlord kept a portion of land open as per building rules does not by itself defeat the tenant's claim for possession of a shop in the reconstructed building. The Appellate Court erred in dismissing the suit solely on that ground. (Paras 4-5)

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Issue of Consideration

Whether the plaintiff-tenant is entitled to possession of a shop in the reconstructed building under Section 17(C)(2)(b) of the Bombay Rents, Hotel and Lodging House Rates Control Act, 1947 after the original premises were destroyed by fire.

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Final Decision

Writ petition allowed. Judgment of the District Court set aside. Decree of the trial Court restored. The plaintiff is entitled to possession of a shop of the same measurement in the reconstructed building.

Law Points

  • Tenancy rights survive destruction of premises by fire
  • Section 17 Bombay Rent Act applies to reconstructed building
  • Filing suit amounts to notice of intention to occupy
  • Open space kept as per rules does not defeat tenant's claim
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Case Details

2010 LawText (BOM) (01) 455

WRIT PETITION NO.3301 OF 1994

2010-01-14

A.S. Oka

Mr.P.N.Karlekar for the petitioners, Mr.Moholkar h/f Mr.R.P.Mudholkar for respondent Nos.1a and 1b

Kashinath Krishnaji Jadhav (since deceased) by his legal representatives

Chandanmal Kundanmal Jain (since deceased) by his legal representatives

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Nature of Litigation

Civil suit for possession of shop premises after destruction by fire

Remedy Sought

Petitioners (legal representatives of original plaintiff) sought possession of a shop in the reconstructed building

Filing Reason

Defendant declined to give possession of a shop in the new building despite assurances

Previous Decisions

Trial Court decreed suit; District Court in appeal dismissed suit

Issues

Whether tenancy rights survive destruction of premises by fire? Whether the plaintiff is entitled to possession under Section 17(C)(2)(b) of the Bombay Rent Act? Whether the open space kept by the defendant defeats the plaintiff's claim?

Submissions/Arguments

Petitioner: Tenancy rights continue after destruction; filing suit amounts to notice under Section 17; open space kept as per rules does not defeat claim. Respondent: Not explicitly stated in judgment text.

Ratio Decidendi

Tenancy rights do not extinguish upon destruction of the tenanted premises by fire; the tenant retains the right to claim possession in the reconstructed building under Section 17 of the Bombay Rent Act. The filing of a suit for possession constitutes notice to the landlord of the tenant's intention to occupy. The fact that the landlord kept a portion of land open as per building rules does not by itself defeat the tenant's claim.

Judgment Excerpts

The trial Court held that the plaintiff has established that his tenancy rights continued to exist after the suit shop was destroyed due to fire. The learned counsel appearing for the petitioner submitted that as the building in which the suit shop was situated was destroyed in fire, the relationship of landlord and tenant did not come to an end.

Procedural History

Original plaintiff filed suit for possession in trial court. Trial court decreed suit. Defendant appealed to District Court, which dismissed suit. Plaintiff's legal representatives filed writ petition in High Court.

Acts & Sections

  • Bombay Rents, Hotel and Lodging House Rates Control Act, 1947: 17, 17(C)(2)(b)
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