Case Note & Summary
The dispute centered on a shop admeasuring 15' x 20' ft. out of House No.1270/6 at Gunj Golai, Latur, owned by the late Vishwambhar Kulkarni. After his demise, his legal heirs (the revision applicants) became landlords. The premises were originally leased to Sadhuram Agrawal, who ran a fair price shop. Later, his son Radhesham (respondent no.2) started Ravi Bhandi Stores, subsequently renamed Sachin Bhandi Stores. The rent was increased over time to Rs.1,750 per month, last paid up to November 1992. The tenant defaulted from December 1992 to March 1994. The landlord issued a notice on 15.4.1994 claiming arrears of Rs.28,000 and possession. Upon non-compliance, Rent Application No.10 of 1994 was filed under Section 15 of the Hyderabad Houses (Rent, Eviction and Lease) Control Act, 1954, seeking eviction on grounds of willful default, bona fide requirement for unemployed sons, acquisition of alternate accommodation, and change of use. Simultaneously, Special Civil Suit No.113 of 1994 was filed for recovery of rent arrears. That suit was partly decreed on 21.2.1997, holding the tenant liable to pay at the rate of Rs.1,750 per month, a finding confirmed by the first appellate court and the High Court, and eventually the Supreme Court dismissed the SLP. In the eviction proceeding, the Rent Controller dismissed the petition on 10.7.1998, holding that default was not willful and the alternate accommodation, though existing, was offered to the landlord who refused. The Rent Appeal No.3 of 1998 was also dismissed by the District Judge, Latur, on 30.6.2003, affirming those findings. Aggrieved, the landlords filed this Civil Revision Application No.676 of 2003 before the High Court. Their counsel argued that the civil decree established willful default and res judicata under Section 11 CPC; that the tenant's admission of constructing a shop in Dalda factory area, only 500 meters away, proved acquisition of alternate accommodation; and that the refusal of offer was irrelevant under the Act. The respondent contested on grounds that the agreed rent was Rs.3,730 per annum, not monthly, and that the alternate shop was offered to the landlord but declined. The judgment text is incomplete; the High Court's final decision and reasoning are not recorded in the available text.
Headnote
A) Rent Control and Eviction - Willful Default in Payment of Rent - Section 15, Hyderabad Houses (Rent, Eviction and Lease) Control Act, 1954 - Landlord sought eviction on ground that tenant defaulted in paying rent from December 1992 to March 1994 at Rs.1,750 per month totaling Rs.28,000, and the default was willful as tenant did not pay despite notice and despite a civil decree for arrears which was upheld up to Supreme Court - Lower courts found default but not willful; revision applicant argued that decree conclusively proved default and tenacious refusal to pay constituted willful default - Held: Not mentioned due to incomplete judgment text. B) Rent Control and Eviction - Acquisition of Alternate Accommodation by Tenant - Section 15, Hyderabad Houses (Rent, Eviction and Lease) Control Act, 1954 - Tenant admitted constructing a shop in Dalda factory area, Latur, within 500 meters of tenanted premises; landlord argued this constitutes alternate accommodation under the Act - Rent Controller and District Court held that accommodation was offered to landlord but refused, hence not a ground for eviction; revision applicant contended that such refusal is irrelevant and proved acquisition compels eviction - Held: Not mentioned due to incomplete judgment text. C) Civil Procedure - Res Judicata - Section 11, Code of Civil Procedure, 1908 - Landlord contended that judgment in Special Civil Suit No.113 of 1994 which determined rate of rent and arrears operates as res judicata in eviction proceedings, particularly on issue of default being willful - Lower courts dismissed this plea; revision applicant argued that issue was directly and substantially in issue and finding is binding - Held: Not mentioned due to incomplete judgment text.
Issue of Consideration
Whether the tenant was a willful defaulter; whether the tenant acquired alternate accommodation; whether the eviction petition is barred by res judicata; whether the landlord's requirement was bonafide
Law Points
- Willful default
- alternate accommodation
- res judicata
- eviction under rent control act
- bona fide requirement
