Bombay High Court Dismisses Landlord's Eviction Petition in Rent Control Case — Tenant's Application for Standard Rent Under Section 11(2) of Bombay Rent Act Protects Against Eviction for Arrears. The court held that a tenant who applies for standard rent before the suit is filed is not in default and cannot be evicted for arrears under Section 12(3)(a) of the Bombay Rent Act, 1947.

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

The case involves a landlord (petitioner) who sought eviction of a tenant (respondent) from an open space admeasuring 6 ft X 6 ft at Survey no.553 at Pen, District Raigad, where the tenant ran a hair cutting saloon in a wooden cabin. The landlord initially claimed the tenant was a licensee paying royalty of Rs.100 per month, but later by notice dated 25 August 1988 accepted the tenant as a monthly tenant at Rs.100 per month and terminated the tenancy on grounds of arrears of rent from November 1986 to July 1988 totaling Rs.2100 and illegal construction of a cement platform. The tenant replied on 3 September 1988, vaguely claiming arrears were sent by money order at Rs.60 per month and refused. On 5 November 1988, the tenant filed an application under Section 11(2) of the Bombay Rent Act for fixation of standard rent. The landlord filed Regular Civil Suit No.39 of 1989 on 6 May 1989 for eviction and possession. The trial court dismissed the suit on 27 March 1992, and the appellate court confirmed the dismissal in Regular Civil Appeal No.48 of 1992 on 13 December 1996. The landlord then filed a writ petition under Article 227 of the Constitution. The High Court held that the tenant's application under Section 11(2) for standard rent, filed before the suit, protected the tenant from eviction for arrears under Section 12(3)(a) of the Act, as the tenant was not in default until standard rent was fixed. Additionally, the tenant had deposited arrears in court during the suit, satisfying Section 12(3)(b). The court dismissed the petition, affirming the concurrent findings of the lower courts.

Headnote

A) Rent Control - Eviction for Arrears - Section 12(3)(a) Bombay Rent Act, 1947 - Tenant's Application for Standard Rent - The tenant filed an application under Section 11(2) for fixation of standard rent after receiving the eviction notice but before the suit was filed. The court held that such application, if pending, protects the tenant from eviction for arrears under Section 12(3)(a), as the tenant is not in default until standard rent is fixed. The landlord's suit for eviction was dismissed. (Paras 1-10)

B) Rent Control - Standard Rent - Section 11(2) Bombay Rent Act, 1947 - Effect of Pending Application - The court held that once a tenant applies for standard rent under Section 11(2), the tenant is not liable to pay rent at the contractual rate until the standard rent is fixed. The tenant's obligation to pay arrears is suspended, and the landlord cannot seek eviction for non-payment of arrears during the pendency of such application. (Paras 5-10)

C) Rent Control - Eviction for Arrears - Section 12(3)(b) Bombay Rent Act, 1947 - Tenant's Deposit of Rent - The court noted that the tenant had deposited the arrears of rent in court during the pendency of the suit, which also protects the tenant from eviction under Section 12(3)(b). The tenant's compliance with deposit requirements further disentitles the landlord to a decree for eviction. (Paras 6-10)

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Issue of Consideration

Whether the tenant's application for fixation of standard rent under Section 11(2) of the Bombay Rent Act, 1947, filed after receipt of eviction notice but before institution of suit, protects the tenant from eviction for arrears of rent under Section 12(3)(a) of the Act.

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Final Decision

The High Court dismissed the writ petition, affirming the concurrent findings of the trial court and appellate court that the tenant was not liable for eviction. The court held that the tenant's application under Section 11(2) for standard rent, filed before the suit, protected the tenant from eviction for arrears under Section 12(3)(a). Additionally, the tenant's deposit of arrears in court satisfied Section 12(3)(b). No order as to costs.

Law Points

  • Section 11(2) of the Bombay Rent Act
  • 1947
  • Section 12(3)(a) of the Bombay Rent Act
  • Section 12(3)(b) of the Bombay Rent Act
  • Article 227 of the Constitution of India
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Case Details

2017 LawText (BOM) (07) 77

Writ Petition NO. 1992 OF 1997

2017-07-11

G.S. Kulkarni

Mr.S.S.Patwardhan for the Petitioners, Mr.Sunil Kadam for the Respondent

Smt.Satyabhamabai Jagannath Shelar (since deceased through her heirs and legal representatives: 1.Chandrakant Jagannath Shelar, 2. Sulochana Sopan Waghchore)

Shri.Narayan Pandurang Dhamale

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Nature of Litigation

Civil writ petition under Article 227 of the Constitution challenging concurrent dismissal of landlord's eviction suit.

Remedy Sought

The landlord (petitioner) sought eviction and possession of the suit premises from the tenant (respondent).

Filing Reason

The landlord claimed the tenant was in arrears of rent from November 1986 to July 1988 and had made illegal construction of a cement platform.

Previous Decisions

The trial court (Civil Judge, Junior Division) dismissed Regular Civil Suit No.39 of 1989 on 27 March 1992. The appellate court (District Judge) dismissed Regular Civil Appeal No.48 of 1992 on 13 December 1996, confirming the trial court's judgment.

Issues

Whether the tenant's application under Section 11(2) of the Bombay Rent Act for fixation of standard rent, filed after the eviction notice but before the suit, protects the tenant from eviction for arrears under Section 12(3)(a) of the Act. Whether the tenant's deposit of arrears in court during the suit satisfies Section 12(3)(b) of the Act, further protecting the tenant from eviction.

Submissions/Arguments

The landlord argued that the tenant was a defaulter in payment of rent and had made illegal construction, warranting eviction. The tenant argued that he had applied for standard rent under Section 11(2) before the suit, and thus was not in default; also, he had deposited arrears in court.

Ratio Decidendi

A tenant who files an application under Section 11(2) of the Bombay Rent Act for fixation of standard rent before the institution of an eviction suit is not in default of payment of rent, and the landlord cannot seek eviction under Section 12(3)(a) for arrears accruing prior to the fixation of standard rent. The tenant's obligation to pay rent at the contractual rate is suspended pending the application. Additionally, deposit of arrears in court during the suit protects the tenant under Section 12(3)(b).

Judgment Excerpts

The landlord is before the Court, in this petition under Article 227 of the Constitution, being aggrieved by the dismissal of his eviction and possession suit instituted against the respondent/tenant as confirmed by the learned appellate judge. It is not in dispute that the respondent is the petitioner's tenant in respect of open space admeasuring 6 ft X 6 ft at Survey no.553 at Pen, District Raigad. The respondent by his Advocate's letter dated 3 September 1988 replied to the suit notice. There is vague reference sans details that the arrears of rent were forwarded by a money order at the rate of Rs.60/ per month and that money order was refused by the petitioner. on 5 November 1988 the respondent filed an application before the Civil Court under Section 11(2) of the Bombay Rent Act praying for fixing of the standard rent for the suit premises. Five months thereafter that is on 6 May 1989 the petitioner approached the Court of Civil Judge, Junior Division by instituting the suit in question against the respondent, seeking a decree of eviction and possession of the suit premises.

Procedural History

The landlord issued a notice dated 25 August 1988 terminating tenancy for arrears and illegal construction. The tenant replied on 3 September 1988. On 5 November 1988, the tenant filed an application under Section 11(2) for standard rent. The landlord filed Regular Civil Suit No.39 of 1989 on 6 May 1989 for eviction. The trial court dismissed the suit on 27 March 1992. The landlord appealed in Regular Civil Appeal No.48 of 1992, which was dismissed on 13 December 1996. The landlord then filed Writ Petition No.1992 of 1997 under Article 227, which was dismissed on 11 July 2017.

Acts & Sections

  • Bombay Rents, Hotel and Lodging House Rates Control Act, 1947 (Bombay Rent Act): Section 11(2), Section 12(3)(a), Section 12(3)(b)
  • Constitution of India: Article 227
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