Bombay High Court Upholds Eviction Order in Leave and Licence Case Under Section 13-A(2) of Bombay Rent Act. Licensee Holding Over After Expiry of Licence Period Is Not a Tenant and Competent Authority Has Jurisdiction to Order Eviction.

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

The case involves a Civil Revision Application filed by Mrs. Poonam V. Matta (the petitioner) against an eviction order passed by the Competent Authority, Konkan Division, Mumbai, in Case No.9/1995. The respondents, Ramesh Daulatram Harjani and Madan Daulatram Harjani, were the landlords of flat no.601/B, located on the 6th floor in Mota Mansion C.H.S. Ltd., Plot No.61, Lokhandwala Complex, Andheri (West), Bombay. The landlords had given the suit premises on leave and licence to the petitioner pursuant to an agreement dated 1.8.1992. The petitioner, along with her family members, was allowed to use and occupy the premises for a period of 11 months on a monthly consideration of Rs.3000/-. The agreement was renewed vide letter dated 26th May 1993 on the same terms and conditions, and the extended period expired on 31st May 1994. The landlords issued an advocate's notice dated 5th March 1995 terminating the licence and calling upon the petitioner to vacate the premises. Since the petitioner did not vacate, the landlords filed an application under Section 13-A(2) of the Bombay Rents, Hotel and Lodging House Rates (Control) Act, 1947 (Bombay Rent Act) before the Competent Authority. The Competent Authority allowed the application and passed an eviction order. The petitioner challenged this order in the High Court. The High Court examined the nature of the agreement and held that it was a leave and licence agreement, not a lease, and therefore the petitioner was not a tenant under the Bombay Rent Act. The court further held that the Competent Authority had jurisdiction under Section 13-A(2) to order eviction of a licensee. The High Court dismissed the Civil Revision Application, upholding the eviction order.

Headnote

A) Rent Control - Leave and Licence - Section 13-A(2) Bombay Rents, Hotel and Lodging House Rates (Control) Act, 1947 - Eviction of Licensee - The landlord filed an application under Section 13-A(2) for eviction of the licensee after expiry of the leave and licence agreement. The Competent Authority allowed the application. The High Court held that the agreement dated 1.8.1992 was a leave and licence agreement, not a lease, and the licensee was not a tenant. The eviction order was upheld. (Paras 1-5)

B) Rent Control - Jurisdiction of Competent Authority - Section 13-A(2) Bombay Rents, Hotel and Lodging House Rates (Control) Act, 1947 - The Competent Authority has jurisdiction to entertain applications for eviction of licensees under Section 13-A(2) of the Bombay Rent Act. The High Court confirmed that the Competent Authority's order was within its jurisdiction. (Paras 1-5)

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Issue of Consideration

Whether the respondent/licensee, after expiry of the leave and licence agreement, can be considered a tenant under the Bombay Rent Act and whether the Competent Authority had jurisdiction to pass an eviction order under Section 13-A(2) of the Bombay Rent Act.

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Final Decision

The High Court dismissed the Civil Revision Application and upheld the eviction order passed by the Competent Authority.

Law Points

  • Leave and licence agreement does not create tenancy
  • Licensee holding over after expiry of licence period is not a tenant
  • Section 13-A(2) of Bombay Rent Act applies to premises let for residence
  • Competent Authority has jurisdiction to order eviction of licensee
  • Licence agreement for 11 months with monthly consideration is not a lease
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Case Details

2005 LawText (BOM) (08) 25

Civil Revision Application No.298 of 1996

2005-08-29

B.H. Marlapalle

Mr. R.S. Apte with Mr. Mandar Limaye i/b. M/s. Chitnis Vaithy & Co. for the petitioner; Mr. Sudarshan S. Shinghrani with Mr. Saraji for the respondents

Mrs. Poonam V. Matta

Ramesh Daulatram Harjani and Madan Daulatram Harjani

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Nature of Litigation

Civil Revision Application against eviction order passed by Competent Authority under Section 13-A(2) of Bombay Rent Act

Remedy Sought

Petitioner sought to set aside the eviction order passed by the Competent Authority

Filing Reason

Petitioner challenged the eviction order on the ground that she was a tenant under the Bombay Rent Act and the Competent Authority had no jurisdiction

Previous Decisions

Competent Authority, Konkan Division, Mumbai, passed eviction order in Case No.9/1995

Issues

Whether the agreement dated 1.8.1992 was a leave and licence agreement or a lease Whether the petitioner became a tenant under the Bombay Rent Act after expiry of the licence period Whether the Competent Authority had jurisdiction under Section 13-A(2) to order eviction

Submissions/Arguments

Petitioner argued that the agreement was a lease and she was a tenant protected under the Bombay Rent Act Respondents argued that the agreement was a leave and licence and the petitioner was a licensee, not a tenant

Ratio Decidendi

The agreement dated 1.8.1992 was a leave and licence agreement, not a lease, and the licensee holding over after expiry of the licence period does not become a tenant under the Bombay Rent Act. The Competent Authority has jurisdiction under Section 13-A(2) to order eviction of a licensee.

Judgment Excerpts

This Civil Revision Application arises from the order of Eviction passed by the Competent Authority, Konkan Division, Mumbai in Case No.9/1995 which was an application filed under Section 13-A(2) of the Bombay Rents, Hotel and Lodging House Rates (Control) Act, 1947. In the said application it was contended by the landlord that flat no.601/B, located on the 6th floor in Mota Mansion C.H.S. Ltd. Plot No.61, Lokhandwala Complex, Andheri was given on leave and licence to the respondent-present petitioner pursuant to an agreement dated 1.8.1992.

Procedural History

The landlords filed an application under Section 13-A(2) of the Bombay Rent Act before the Competent Authority, Konkan Division, Mumbai, which was registered as Case No.9/1995. The Competent Authority allowed the application and passed an eviction order. The petitioner filed a Civil Revision Application No.298 of 1996 before the Bombay High Court challenging the said order.

Acts & Sections

  • Bombay Rents, Hotel and Lodging House Rates (Control) Act, 1947: 13-A(2)
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Related Judgement
High Court Bombay High Court Upholds Eviction Order in Leave and Licence Case Under Section 13-A(2) of Bombay Rent Act. Licensee Holding Over After Expiry of Licence Period Is Not a Tenant and Competent Authority Has Jurisdiction to Order Eviction.
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