Bombay High Court Dismisses Tenants' Revisions in Ejectment Suit Under Bombay Rent Act Due to Concurrent Findings on Bona Fide Need. Landlords' Need for Premises for Family Vocation Not Limited to Specific Business Pleaded; Environmental Clearance Not Prerequisite for Decree.

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

The judgment disposes two civil revision applications filed by tenants challenging decrees of ejectment passed by the District Court in favour of the respondents, who are landlords of two shop premises in Panchgani. The suits, filed in 1985, sought possession on grounds of arrears of rent and bona fide need to start a flour mill, rice holler, and chilly pounding machine, utilizing the experience of Ramchandra, husband of one of the landladies. The tenants contested, and the trial court held the landlords' need to be bona fide but dismissed the suits on the ground of greater hardship to the tenants. The landlords appealed, and the tenants filed cross-objections. The District Court allowed the appeals, confirming bona fide need and holding that the landlords would suffer greater hardship, and consequently decreed the suits. In revision, the tenants argued that the concurrent findings on bona fide need were perverse, that the need could be satisfied by possession of only one of the two premises, and that the decree should be contingent upon obtaining environmental clearances, as a notification by the Ministry of Environment and Forests had declared the area a heritage zone and the municipality refused permission for the proposed activity. The landlords defended the findings and contended that their need was for providing vocation to their children, not limited to a specific business, and both premises were required for different parts of the business. The High Court, after considering the submissions and the additional documents sought to be introduced, held that the concurrent findings on bona fide need were proper and did not call for interference under revisional jurisdiction. It noted that the need was for the children of the landladies, and delays during litigation or changed avocations did not extinguish the need. The court rejected the contention that the decree should be restricted to one premises, as the landlords required both shops for the proposed composite business. Further, it held that the permissibility of the specific business in light of environmental restrictions was for the authorities to decide, and the decree could not be made conditional; the landlords were free to start any other permissible activity. References were made to Supreme Court decisions confirming that a landlord is not bound to start the exact business pleaded. The court also declined the request for a contingent decree. Consequently, both revision applications were dismissed, and the ejectment decrees were upheld.

Headnote

A) Civil Procedure - Revision - Scope of revisional jurisdiction - Code of Civil Procedure, 1908, Section 115 - The High Court in revision will not interfere with concurrent findings of fact on bona fide need made by lower courts unless they are perverse. In the present case, both the trial court and the appellate court had properly appreciated evidence and concurrently held the landlords' need to be bona fide; the High Court declined to interfere (Paras 7, 13)

B) Rent Control - Bona Fide Requirement - Core need vs. specific business pleaded - Bombay Rents, Hotel and Lodging House Rates Control Act, 1947 - The need of the landlords to provide a vocation to their children is the core concern; mentioning a specific activity is incidental. During protracted litigation, even if children take up other avocations or the specific activity becomes impermissible, the need does not vanish. The landlords may start some other permissible business (Paras 6, 11-12)

C) Rent Control - Eviction - Partial eviction not warranted when entire premises required - Bombay Rents, Hotel and Lodging House Rates Control Act, 1947 - Where the landlords need both tenanted premises for different parts of a proposed business (flour mill, chilly pounder, customer area, rice mill), the court cannot restrict the decree to one premises. Consequently, there is no requirement to balance the comparative hardship of the two tenants inter se (Paras 8-10)

D) Rent Control - Effect of Subsequent Events - Environmental restrictions and contingency decree - Bombay Rents, Hotel and Lodging House Rates Control Act, 1947 - The permissibility of a specific business activity under environmental notifications is a matter for the relevant authorities, not the court deciding eviction. The decree of ejectment cannot be made contingent upon the landlords obtaining necessary clearances, as they may opt for any permissible activity to provide vocation to their children (Paras 11-12)

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Issue of Consideration

Whether the findings of the Courts below on bona fide need of the landlords call for interference in revisional jurisdiction; Whether the decree for ejectment should be restricted to one of the two premises; Whether the decree should be made contingent upon the landlords securing environmental clearance; Whether additional evidence should be permitted regarding permissibility of the proposed activity.

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Final Decision

Both civil revision applications are dismissed. The judgments and decrees of the lower appellate court are affirmed.

Law Points

  • concurrent findings on bona fide need not interfered in revision
  • core need for providing vocation to children is not defeated by subsequent events
  • landlord not bound to start specific business pleaded
  • entire premises needed precludes partial eviction
  • mentioning an activity is incidental not core of need
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Case Details

2010 LawText (BOM) (09) 55

Civil Revision Application No.178 of 2007 and Civil Revision Application No.333 of 2007

2010-09-08

R.C. Chavan, J.

Shri Sachin Dhakephalkar, S/Shri A.V. Anturkar with V.S. Talkute, Shri R.A. Thorat

Abdul Rahiman Noormohammed Daruwalle and Bashir Amin Chipade

Smt. Sonabai Sahebrao Bhilare, Smt. Vatsalabai Ramchandra Bhilare, Smt. Leelabai Ramchandra Rajpure

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Nature of Litigation

Civil revision applications challenging decrees of ejectment passed against tenants.

Remedy Sought

Tenants sought reversal of ejectment decrees and remand for reconsideration of comparative hardship or for restricting decree to one premises, or making decree contingent on environmental clearance.

Filing Reason

Appellate court allowed landlords' appeals and decreed suits for possession on the ground of bona fide need, while trial court had refused on comparative hardship.

Previous Decisions

Trial Court held landlords' need bona fide but dismissed suits holding greater hardship to tenants. District Court in appeal confirmed bona fide need and held landlords would suffer greater hardship, decreed suits.

Issues

Whether concurrent findings on bona fide need are perverse and call for interference in revision. Whether the decree for ejectment should be restricted to one of the two tenanted premises when both are claimed for a single business. Whether the decree should be made contingent upon the landlords obtaining necessary environmental/permission for the proposed activity. Whether additional evidence about environmental restrictions should be admitted.

Submissions/Arguments

Tenants argued that the landlords' need was not bona fide; that the need could be satisfied by possession of one shop; that comparative hardship should be assessed inter se the tenants; that the environmental notification prohibited the intended business, so no decree or conditional decree. Landlords argued that the need was for the family children, not tied to a specific business; both premises were required for different parts of the proposed mill and sales area; the courts below had properly found need; the notification did not defeat the need.

Ratio Decidendi

Concurrent findings of fact on bona fide need by lower courts are not to be interfered in revision unless perverse. The core need of the landlord to provide vocation to family members is not defeated by subsequent events like children taking other jobs or specific business becoming impermissible; the landlord is not bound to the exact business pleaded. Where entire tenanted premises are required for a composite business, the court cannot restrict the decree to one unit. Environmental clearances are not prerequisites for passing ejectment decree.

Judgment Excerpts

The judgments of both the Courts below show that after properly appreciating the evidence tendered they have concurrently held that bona fide need is proved. These findings are proper and do not call for any interference in exercise of revisional jurisdiction. (Para 7) Mentioning an activity is only incidental and not the core of need which is considered. (Para 11) even if nature of business is indicated for pleading bona fide need, nobody could bind the landlords to start the same business. (Para 12)

Procedural History

Suits filed in 1985 before trial court. Trial court framed issues, deleted all except bona fide need and comparative hardship. Trial court held need bona fide but dismissed suits on ground of greater hardship to tenants. Landladies appealed to District Court; tenants filed cross-objections. District Court allowed appeals, confirmed bona fide need, held landladies would suffer greater hardship, and decreed suits. Tenants filed civil revision applications in High Court.

Acts & Sections

  • Code of Civil Procedure, 1908: 115
  • Bombay Rents, Hotel and Lodging House Rates Control Act, 1947:
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