Madras High Court Hears Intra-Court Appeal Against Single Judge Order in Cooperative Society Land Dispute; Appeal Concerns Unauthorized Subletting and Orders of Cooperative Authorities; Judgment Text Incomplete, Outcome Not Available

High Court: Madras High Court Bench: Principal
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Case Note & Summary

The matter arises from an intra-court appeal filed by the appellant, Dr. K. Rajeshkumar, against the order of a single judge dated 18.10.2024 in W.P. No. 12416 of 2024. The dispute concerns a commercial shop site allotted to the appellant by the Madras Secretariat Cooperative Building Society Limited (the Society). The Society had been assigned the land by the Revenue Department, Government of Tamil Nadu, in G.O.Ms.No.2874 dated 20.07.1956 for providing house sites to its members. Out of the total extent, the Society, by resolution dated 12.01.2010, allotted Shop No.19, admeasuring 900 sq.ft., in Secretariat Colony, Kellys, Chennai, to the appellant. A rental agreement was entered into on 01.10.2010 for a monthly rent of Rs.1,000/-, for a period of 11 months. The property was vacant land, and one of the conditions of the agreement was that the lessee shall not sublease any portion without prior written permission of the Society. The appellant subsequently constructed shops on the land and leased them out to third parties, claiming that a resolution of the Society had granted permission to construct shops. However, the rental agreement was not extended beyond the initial 11 months and expired in 2011. Despite this, the appellant and the sub-lessees continued in occupation without any lease agreement, and the appellant collected rents from the sub-lessees. The Society initiated action for eviction, which the appellant challenged before the Deputy Registrar of Cooperative Societies (Housing), who conducted an enquiry and passed an order. The appellant then approached the High Court by way of a writ petition, which was dismissed by the single judge on 18.10.2024. Aggrieved, the appellant filed the present writ appeal. The text of the judgment provided is incomplete, breaking off after the narration of initial facts. No final decision, ratio, or operative directions are available. The main legal questions likely revolved around the validity of subletting without permission and the right to remain in possession after expiry of the lease. The appeal was argued before a division bench comprising Justices S.M. Subramaniam and K. Rajasekar, and the judgment was delivered on 10.02.2025, but the outcome remains unknown from the excerpt.

Headnote

A) Cooperative Societies - Allotment of Land - Subletting Without Permission - Tamil Nadu Cooperative Societies Act - Society allotted commercial shop site to member under 11-month rental agreement; condition prohibited subletting without prior written consent - Appellant constructed shops and sublet to third parties; lease expired in 2011 and was not renewed; Society initiated eviction action - Appellant challenged orders of Deputy Registrar and Registrar before High Court (Paras 2-5).

B) Property Law - Lease and License - Expiry and Unauthorised Occupation - Transfer of Property Act - After expiry of lease, lessee became unauthorised occupant; continued possession without valid agreement is illegal - Appellant collected rents from sub-lessees despite having no subsisting lease - Principle that no right accrues from unauthorised possession cited (Paras 4-5).

C) Writ Jurisdiction - Challenge to Cooperative Authorities - Tamil Nadu Cooperative Societies Act, 1983 - Appellant filed writ petition challenging orders of Deputy Registrar and Registrar of Cooperative Societies - Single Judge dismissed writ petition on 18.10.2024 - Intra-court appeal filed under Clause 15 of Letters Patent (Para 1).

D) Procedural Law - Intra-Court Appeal - Madras High Court Letters Patent - Appeal filed against order of single judge in writ petition - Division bench hears appeal; judgment reserved/pronounced - Exact outcome not ascertainable from available text (Paras 1, 2).

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Issue of Consideration

Whether the appellant, after expiry of the lease agreement and despite the condition prohibiting subletting, is entitled to continue in possession of the commercial shop site; Whether the orders passed by the Deputy Registrar of Cooperative Societies and the Registrar are valid and sustainable

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Law Points

  • Subletting without prior written consent of the Society is prohibited under the lease agreement
  • Unauthorised occupation after expiry of rental agreement is illegal
  • Cooperative Society has power to initiate action for eviction after lease expiry
  • Resolution of Society granting permission to construct shops does not override express condition against subletting
  • Delay in taking action does not confer legal right to continue possession
  • Orders of Registrar/Deputy Registrar under cooperative law are binding unless set aside
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Case Details

2025 LawText (MAD) (02) 40

W.A.No.73 of 2025

2025-02-10

Justice S.M. Subramaniam, Justice K. Rajasekar

2025:MHC:371

Mr. P.V. Balasubramanian (Senior Counsel for Mr. S. Shujath Hussain) for appellant; Mr. M. Sureshkumar (Additional Advocate General assisted by Mr. M. Rajendiran, Additional Government Pleader) for R1 to R3; Mr. V. Karthikeyan (for Mr. S. Sivasubramani) for R4

Dr. K. Rajeshkumar

The Registrar of Cooperative Societies (Housing), Tamil Nadu Cooperative Housing Federation; The Deputy Registrar of Cooperative Societies (Housing), Chennai Region; Madras Secretariat Cooperative Building Society Ltd.; S. Amulraj

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Nature of Litigation

Intra-court appeal against the order of a single judge who dismissed a writ petition challenging orders of the Registrar/Deputy Registrar of Cooperative Societies regarding eviction from a commercial shop site.

Remedy Sought

The appellant sought to set aside the orders of the cooperative authorities and the single judge, and to continue in possession of the shop site.

Filing Reason

The Society initiated eviction proceedings after the rental agreement expired and the appellant sublet the premises without permission.

Previous Decisions

The single judge of the High Court dismissed W.P.No.12416 of 2024 on 18.10.2024; the order of the Deputy Registrar of Cooperative Societies and the appellate order of the Registrar are the subject matter of challenge.

Issues

Whether the subletting by the appellant was in violation of the lease conditions Whether the appellant had any right to continue in possession after expiry of the lease in 2011 Whether the orders passed by the cooperative authorities were legal and valid

Submissions/Arguments

Appellant contended that a resolution of the Society granted permission to construct shops, and that he had sublet the shops with implied permission.

Judgment Excerpts

One of the conditions stipulates that the lessee shall not sublease either whole or any portion of the property to anyone without the prior consent and permission of the Society in writing. Admittedly, the rental lease agreement was not extended beyond eleven months. The rental agreement expired in the year 2011 itself. Both the writ appellant and the sub-lessees continued to be in occupation unauthorisedly without any lease agreement from the Society.

Procedural History

The appellant was allotted a shop site by the Society in 2010 with a lease for 11 months. He constructed shops and sublet them. After expiry of the lease in 2011, he continued in possession. The Society initiated action; the appellant challenged it before the Deputy Registrar, who passed an order. He then appealed to the Registrar. After adverse orders, he filed W.P.No.12416 of 2024 before the Madras High Court, which was dismissed by a single judge on 18.10.2024. He filed the present intra-court appeal under Clause 15 of the Letters Patent.

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High Court Madras High Court Hears Intra-Court Appeal Against Single Judge Order in Cooperative Society Land Dispute; Appeal Concerns Unauthorized Subletting and Orders of Cooperative Authorities; Judgment Text Incomplete, Outcome Not Available
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