Full Judgment Text
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PETITIONER:
THE CANTONMENT BOARD, AMBALA
Vs.
RESPONDENT:
PYARELAL
DATE OF JUDGMENT:
12/03/1965
BENCH:
WANCHOO, K.N.
BENCH:
WANCHOO, K.N.
MUDHOLKAR, J.R.
SIKRI, S.M.
CITATION:
1966 AIR 108 1965 SCR (3) 341
ACT:
Cantonments Act (2 of 1924), ss. 256, 257 and 259--Scope of.
HEADNOTE:
In 1954, the words "rent on land or buildings" were
added to s. 250 of the Cantonments Act, 1924. After the
amendment, the appellant (Cantonment Board), applied under
the section to the concerned Magistrate, for realisation of
arrears of rent from the respondent, on the basis of a lease
in his favour. The Magistrate issued warrants for attachment
of the movable property of the respondent. The respondent
went in revision to the Sessions Judge. He made a reference
to the High Court and the High Court set aside the
Magistrate’s order. In its appeal to the Supreme Court, the
appellant contended that, upon a correct interpretation of
the section, the Magistrate had the power to order the
recovery of rent due to the appellant.
HELD: (Per Wanchoo and Sikri JJ.)’ The rent was not
claimable by the appellant under the Act or the Rules but
only under the lease in favour of the respondent. Therefore,
s. 259(1), in so far as It refers to recovery of such rent
by application to Magistrate, would not apply.
In view of the provisions of the Act, Cantonment
Property Rules, 1925, and the Cantonment Land Administration
Rules, 1937, a Cantonment Board has power, to manage the
lands or buildings vested in it or entrusted to its
management, to lease them out and to fix rents therefor. But
s. 259 can be utilised for realisation of arrears of rent on
land and buildings, only if such rent is recoverable by a
Board or a Military Estates Officer under the Act or the
Rules made thereunder. The word "recoverable" means
"claimable". Section 257 read with s. 2.56 is an example of
the Board’s power to claim rent from the tenant of an owner.
There may be other such cases, and it is only in those
cases, where the Act or the Rules, in terms, make the rent
on land and buildings claimable by the Board, that the
section will apply. But where the liability arises purely on
the basis of a lease between the Board and the tenant,
nothing in the Act or the Rules, particularly after r. 42
which provided for such recovery had been repealed, makes
such rent claimable by the Board under the Act or the Rules.
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Since. the repeal was in 1940 before the section was
amended, it cannot be argued that the rule was repealed
because of the amendment of the section. [344 F-H; 346 F-H]
The view taken, however, would not affect the right of
the Board to recover by suit, under the general law, rent of
its land and buildings given by it on lease. [347 B]
Per Mudholkar, J. (dissenting): The High Court was in
error in setting aside the order of the Magistrate.
What the expression "recoverable by a Board or a
Military Estates Officer under the Act or the Rules made
thereunder," in s. 259 means is, what the Act or the Rules
permit the Board to recover, or what the Act or the Rules
permit the Military Estates Officer to recover. The words
"recoverable by" and "under this Act of the Rules made
thereunder." are meant to govern "a Board" or "a Military
Estates Officer." Thus under the section the power to
recover money is exercisable by such of these two
authorities as performs the duty or exercises the power by
reason of which the liability of another
342
to pay the tax, rent or any other money arises. Powers are
conferred upon a Board under the Act read with the
Cantonment Land Ad-ministration Rules, 1937. to let out
property vested in it or which is under its management.
Where, in exercise of those powers the Board has let out any
land or buildings, it has the right as well as the duty to
collect the rent from the tenant. Therefore, where the
liability to pay money arises against a person, by reason of
something done by the Board or the Military Estates Officer,
in exercise of a power or the performance of a duty under
the Act, that liability can be enforced by the authority
concerned, either by instituting a suit or by making an
application to a Magistrate. But if the word "rent" is
confined to money due under some express provision of the
Act or Rules, it will lead to the curious result, that, in
respect of land or buildings under the management of the
Board, neither remedy would be available--though the claim
for rent is ultimately traceable to those provisions of the
Act and the Rules which empower the Board to let out the
land or buildings--upon the ground that it cannot be said to
be claimable or recoverable under any express provision of
the Act. [350 C-E; 351F; 351 G-H]
Further, if the meaning of the word "rent" is so
restricted, that word itself would be rendered otiose,
because, there is no provision whatsoever in the Act which
expressly makes rent claimable or recoverable by either of
the two authorities specified therein. What the Board
recovers under ss. 256 and 257 cannot be regarded as rent,
giving the word its dictionary meaning, for, the Board is
not the landlord of the occupier, and what it recovers from
him, is not something which was due to the Board as rent
from him. [352 E-G].
JUDGMENT:
CRIMINAL APPELLATE JURISDICTION: Criminal Appeal 151 of
1963.
Appeal by special leave from the judgment and order
dated March 27, 1962 of the Punjab High Court in Criminal
Revision No. 1137 or 1961.
Gopal Singh, for the appellant.
The respondent did not appear.
The Judgment of Wanchoo and Sikri JJ. was delivered by
Wanchoo J. Mudholkar J. delivered a dissenting opinion.
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Wanchoo, J. This appeal by special leave raises the
question of the interpretation of s. 259 of the Cantonments
Act, No. 11 of 1924, (hereinafter referred to as the Act).
The respondent was a tenant of the appellant. An
application was made by the Cantonment Executive Officer,
Ambala, on January 7, 1960, for realisation of a sum of Rs.
649.50 from the respondent under s. 259 of the Act on the
ground that the amount was due as arrears of rent on the
basis of a lease in favour of the respondent. The respondent
apparently questioned the jurisdiction of the magistrate to
realise the amount. The magistrate held that he had
jurisdiction and issued warrants for attachment of the
movable property of the respondent on June 13, 1961.
Thereupon the respondent went in revision to the Sessions
Judge Ambala contending that the magistrate had no
jurisdiction to realise the arrears of rent due under a
lease
343
under s. 259 of the Act and in any case that could not be
done without taking into account the objections of the
respondent. The Sessions Judge following certain earlier
decisions of the Lahore High Court took the view that rent
under a lease could not be recovered under s. 259 of the Act
and made a reference to the High Court under s. 439 of the
Code of Criminal Procedure. The High Court heard the
reference and accepted the view of the Sessions Judge and
set aside the order of the magistrate dated June 13, 1961.
The High Court having refused the certificate, the appellant
obtained special leave from this Court; and that is how the
matter has come up before us.
Two questions have been raised by learned counsel for
the appellant in this appeal. In the first place, he urges
that the magistrate when he is acting under s. 259 of the
Act is a persona designata and therefore his order is not
revisable under ss. 435/439 of the Code of the Criminal
Procedure. The Sessions Judge and the High Court therefore
had no jurisdiction to interfere with that order under ss.
435/439 of the Code of Criminal Procedure. Secondly, it is
urged that the view taken by the High Court that arrears of
rent due under a lease cannot be recovered under s. 259 of
the Act is incorrect.
The question as to the jurisdiction of the Sessions
Judge and High Court was never raised before the appeal in
this Court. Learned counsel, however, relies on the Dargah
Committee,Ajmer v. State of Rajasthan(1) in support of his
contention that the magistrate acting under s. 259 of the
Act acts as a persona designata and therefore his order
under that section is not revisable under ss. 435/439 of
the Code of Criminal Procedure and the Sessions Judge and
the High Court had no jurisdiction under those provisions to
interfere with such an order. The case cited on behalf of
the appellant certainly supports the contention put forward;
but in the circumstances of this case we are not prepared to
allow this contention to be raised at this stage. It is true
that a question of jurisdiction, not depending upon facts to
be investigated, can be allowed to be raised at any stage.
Ordinarily if we were satisfied that the High Court had no
jurisdiction at all to interfere we would have allowed this
question to be raised even at this late stage. But we are of
opinion that though the High Court may not have jurisdiction
to interfere under ss. 435/439 of the Code of Criminal
Procedure it could certainly interfere with the order of the
magistrate under Art. 227 of the Constitution. Now if this
point had been raised before the High Court it may very well
be that the High Court might have considered the reference
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as if it was an application before it under Art. 227 of the
Constitution, in which case the High Court would have
jurisdiction to interfere with the order or the magistrate
if it came to the conclusion that the magistrate had
[1962] 2 S.C.R. 265.
344
no jurisdiction in such circumstances under s. 259 of the
Act. In these circumstances we are not prepared to permit
the appellant to raise this point before us at this late
stage.
This brings us to the interpretation of s. 259 of the
Act as it stood after amendment by Act II of 1954. The
relevant part of the section now reads as follows :-
"Notwithstanding anything elsewhere
contained in this Act, arrears of any tax,
rent on land and buildings and any other money
recoverable by a Board or a Military Estate
Officer under this Act or the rules made
thereunder may be recovered together with the
cost of recovery either by a suit or. on
application to a Magistrate having
jurisdiction in the cantonment or in any place
where the person from whom such tax, rent or
money is recoverable may for the time being be
residing, by the distress and sale of any
movable property of, or standing timber, or
growing crop belonging to such person which is
within the limits of such magistrate’s
jurisdiction, and shall if payable by the
owner of any property as such, be a charge on
the property until paid; provided.
..............................................
(2) .’’
The first question that arises is whether rent on land
and buildings mentioned’ in the section is governed by the
words "recoverable b a Board or a Military Estates Officer
under this Act or the rules made thereunder". There is no
doubt that "any tax" and "any other money" mentioned in the
section are governed by the words "recoverable by a Board
etc." It seems to us that the words "rent on land and
buildings" which appear between the words "any tax" and
"any other money" must equally be governed by the words
"recoverable by a Board etc." Therefore the provisions of s.
259 of the Act can be utilised for realisation of arrears
of rent on land and buildings only if such rent is
recoverable by a Board or a Military Estates Officer under
the Act or the rules made thereunder. The word "recoverable"
in the context obviously means "claimable". for s. 259
itself provides for the manner of recovery. Therefore action
for recovery can be taken under s. 259 with respect to rent
on land and buildings provided such rent is claimable by a
Board under the Act or the rules framed thereunder. This
view was taken by the Lahore High Court in Banarsi Das v.
Cantonment Authority Ambala Cantonment (1) and is in our
opinion correct. It may be added that in 1938. the words
"rent on land’ and buildings" and "under the rules" did not
appear in s. 259. Even so. the Lahore High Court took the
view with respect to the section as it then stood that the
money to be recovered under 8. 259 must be claimable by the
Board under the Act.
(1) A.I.R. 1933 Lah. 517.
345
The next question that arises is whether "rent on land
and buildings" on lease can be said to be claimable by the
Board "under the Act or the rules. made thereunder". It is
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urged on behalf of the appellant that cl. (p) of s. 116 of
the Act provides for "maintaining and developing the value
of property vested in, or entrusted to the management of the
Board", and s. 116-A gives the Board power to manage any
property entrusted to its management by the Central
Government on such terms as to the sharing of rents and
profits accuring from such property as may be determined by
rule. Further reliance is placed on the Cantonment Property
Rules, 1925. Rule 8 thereof provides that immovable
property which vests in and belongs to the Cantonment
Authority may be leased by the Cantonment Authority without
a premium on the condition that a reasonable rent is
reserved and made payable during the whole term of the
lease and that the lease or the agreement for the lease is
not made without the previous sanction of the Cantonment
Authority by resolution at a general meeting, or the Officer
Commanding in Chief of the Command or the Government of
India as the case may be. It is urged that these provisions
of the Act and the Rules show that the Board has the power
to claim rent thereunder in respect of the leased
property. Reliance is further placed on the Cantonment
Land’ Administration Rules 1937 which provide how rents
would be fixed when land is leased out by the Cantonment
Authority. Rule 4 of these Rules provides for classification
of land and r. 8 for standard table of rents; r. 9 (6) vests
the management of class ’C’ land in the Board; r. 26
provides for disposal of land’ by private agreement; r. 28
for execution of leases, rr. 29 and 30 for maintenance of
grants registers of building sites; r. 31 for leases for
special periods and on special terms; r. 32 for agricultural
land leases; r. 34 for record of agricultural leases; r. 35
for execution of agricultural leases; r. 37 for leases for
miscellaneous purposes and r. 41 for special conditions in
leases. It may be mentioned that originally there was a rule
(r.42) in these terms :--
"Recovery of arrears--All arrears of
rent and other payment under these rules
together with interest on such arreas at the
rate of seven and a half per cent per annum
from the date when they become due to the date
of their realisation, shall, on the
application of the person specified in sub-
section (2) of section 259 of the Act, or of
the Military Estates Officers, as the case may
be, recoverable in the manner provided in that
section."
That rule however no longer exists as it was repealed in
1940.
There is no doubt that in view of the provisions of the
Act, the Property Rules and the Land Administration Rules to
which we have referred above, the Board has the power to
manage lands
(1) A.I.R. 1933 Lab. 517,
346
and Buildings vested in it or entrusted to its management,
lease them out and fix rents therefor. But the right of the
Board to claim the rent on land and buildings does not arise
from these provisions under the Act and the Rules referred
to above. The right of the Board to claim rent only arises
after the execution of the lease. Therefore rent on land and
buildings is not claimable by the Board under the provisions
of the Act or the Property Rules or the Land Administration
Rules but under the lease. It follows therefore that s. 259
(1) cannot be applied to a simple case of money due to the
Board on a contract of lease.
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It is however urged on behalf of the appellant that the
words "rent on land and buildings" which were added by the
1954-Amendment refer to something of that kind which is
recoverable under s. 259 as otherwise the amendment would be
meaningless. That is undoubtedly so. We find however, that
s. 256 provides that in the event of non-compliance with the
terms of any notice, order or requisition issued to any
person under this Act, or any rule or bye-law made
thereunder, requiring such person to execute any work or to
do any act, it shall be lawful for the Cantonment Authority
after giving notice in writing to such person, to take such
action or such steps as may be necessary for the completion
of the act or work required to be done or executed by him,
and all the expenses incurred on such account shall be
recoverable by the Cantonment Authority. Section 257 then
provides that if any such notice as is .referred to in s.
256 has been given to any person in respect of property of
which he is the owner. the Cantonment Authority may require
any occupier of such property or of any part thereof to pay
to it, instead of to the owner, any rent payable by him in
respect of such property, as it fails due, upto the amount
recoverable from the owner under s. 256 and it further
provides that any amount recovered from any occupier instead
of from an owner under sub-s. (1) shall. in the absence of
any contract between the owner and the occupier to the
contrary, be deemed to have been paid to the owner. Here at
any rate we have an example of the Board’s power to claim
rent from a tenant of an owner under s. 257 of the Act read
with s. 256. So it cannot be said that there is no case
where the Act does not provide for claim of rent by the
Board. We may add that there may be other cases like this
either under the Act or under the Rules. In our view it is
in such cases where the Act or the Rules in terms make the
rent on land and buildings claimable by the Board. that s.
259 will apply. But where the liability to pay rent arises
purely on the basis of a lease between the Board and the
tenant, nothing in the Act or the Rules has been brought to
our notice, particularly after r. 42 referred to above has
been repealed, which makes such rent claimable by the Board
under the Act or the Rules. We may add r. 42 was repealed
long before 1954 when the words "rent on land and buildings"
came in s. 259. So it cannot be argued that the omission of
r. 42 was due to the amendment of 1954.
347
It is urged that the section provides for recovery by
suit also and as such it wilI not be possible for the Board
to recover rent of land and buildings let out by it even by
suit if the rent in the section refers only to rent directly
claimable under the Act or the Rules. This is clearly
incorrect. The section does not bar the right of the Board
as an owner or holder of land and buildings to take action
for recovery of rent thereof by suit under the general law
of the land. Further by providing for recovery of rent
of the kind we have indicated above by suit or by
application rent of the kind we have indicated above by suit
or by application to a magistrate the section does not
affect the right of the Board to recover rent of its land
and buildings by suit for such rents are entirely outside
the section and the right of the Board under the general
law of the land is not taken away by the section. It may be
that the section provided for recovery by suit as an
alternative as a matter of abundant caution to avoid an
argument that the application to a magistrate was the only
means open to the Board for recovery of sums covered by the
section. In any case the view we are taking will not affect
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the right of the Board to recover by suit under the
general law rent of its land and buildings given on lease.
In the circumstances we agree with the High Court that
the rent in this case was not claimable by the Board under
the Act or the Rules but only under the lease in favour of
the respondent. Therefore s. 259 (1) insofar as it refers
to recovery of such rent by application to a magistrate will
not apply.
In the circumstances the appeal fails and is hereby
dismissed.
Mudholkar, J. The question which falls for a
determination in this appeal is whether under s. 259 of the
Cantonment Act, No. II of 1924 ’rent’ on land or buildings
under the management of the Cantonment Board can be
recovered thereunder by a Magistrate. This question was
raised by the respondent in a revision application made by
him before the Sessions Judge under s. 435 of the Code of
Criminal Procedure against the order of the Magistrate, II
Class, made under the aforesaid provision upon an
application made to him by the Executive Officer, Ambala
Cantonment for the recovery of Rs. 649.50 nP being the
arrears of rent alleged to be due from the respondent to the
Cantonment Board. the learned Sessions Judge made a
reference to the High Court under s. 438 of the Code of
Criminal Procedure on the authority of the decisions in
Municipal Committee, Delhi v. Hafiz Abdullah (1) and
Guranditta Mal v. Emperor (2). The High Court, after
referring to these cases and to Banarsi Das v. Cantonment
Authority, Ambala Cantonment (2) accepted the reference and
set aside the order of the Magistrate. By special leave the
Cantonment Board has come up to this Court in appeal.
(1) A.I.R 1994 Lah 699
(2) A.l.R. 938 Lah. 29.
(3) A.l.R. 1933 Lah. 517.
348
Two points were urged by Mr. Gopal Singh appearing for
the appellant. The first is that the proceeding before the
Magistrate was not one under the Code of Criminal Procedure
and, therefore, neither could a reference be made by the
Sessions Judge to the High Court under s. 438. Cr. P.C. nor
could an order be made by the High Court under s. 439. The
second point is that upon a correct interpretation of s. 259
of the Act the Magistrate had the power to recover the rent
due to the appellant in the manner provided for in the
section. We did not allow the first contention to be raised
for two reasons. In the first place the point was not raised
in the High Court and in the second place it would not be
fair to the respondent who is ex parte to have the appeal
decided upon a new ground altogether.
In so far as the second point is concerned it seems to
me that the contention of Mr. Gopal Singh is correct and
that the High Court was in error in setting aside the order
of the Magistrate. The two cases upon which reliance was
placed before the High Court arose under s. 81 of the Punjab
Municipal Act (III of 1911) which runs thus:
"Any arrears of any tax, water-rate, rent,
fee or any other money claimable by a
committee under this Act may be recovered on
an application to a Magistrate."
According to the Lahore High Court the operation of this
section was controlled by the words "claimable by a
committee under this Act" and that it was not any sum that
could be described as rent or fee which could be recovered
under summary provisions of that section. According to that
High Court only a sum that was claimable by the Committee
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under the express provisions of that Act could be recovered
by resort to summary procedure provided by that section. In
Banarsi Das’s case(1) it was similarly held that the
expression "recoverable by the Cantonment Authority under
the Act" did not include money due under an ordinary
contract between the Cantonment Authority and others and
that s. 259 of the Act applied only to such monies as were
recoverable by that authority under express provisions of
the Act. It is this last decision which was relied upon by
the High Court and it pointed out that though the word rent
did not occur in s. 259 of the Act as it stood when Banarsi
Das’s case(1) was decided the introduction of that word had
not altered the position in so far as recovery of rent is
concerned.
Section 259 of the Act as it now stands runs thus:
"Notwithstanding anything elsewhere
contained in this Act, arrears of any tax,
rent on land and buildings and any other money
recoverable by a Board or a Military Estates
Officer under this Act or the rules made
thereunder may be recovered together with the
cost of recovery
(1) A.I.R. 1938 Lah. 517.
349
either by a suit or on application to a
Magistrate having jurisdiction in
the cantonment or in any place where the
person from whom such tax, rent or money is
recoverable may for the time being be
residing, by the distress and sale of any
movable property of, or standing timber or
growing crop belonging to such person which is
within the limits of such magistrate’s
jurisdiction, and shall, if payable by the
owner of any property as such, be a charge on
the property until paid for."
Then there is a proviso which need not be quoted. The
aforesaid section deals with "Method of recovery". It sets
out two methods: one is institution of a suit and the other
is making of an application to a Magistrate. Therefore,
where rent of land or building under the management of the
Cantonment Authority falls to be recovered. resort could be
had’ either to a suit or to summary proceeding as provided
in the section. But if the expression "rent" is confined to
money due under some express provision of the Act it will
lead to a curious result. Thus in respect of rent of land or
buildings under the management of the Board neither remedy
would be available--though the claim for the rent is
ultimately traceable to those provisions of the Act and’ the
Rules which empower the Board to let out the land or
buildings--upon the ground that it cannot be said to be
claimable or recoverable under any express provision of the
Act. Surely the Legislature could never have meant that even
a suit for recovery of rent would be maintainable at the
instance of the Board only if it was for the purpose of
recovery of rent from a tenant who was liable under an
express provision of the Act or the Rules to pay rent to the
Board. Under ss. 116 and 116A of the Act. read along with
Cantonment Land Administration Rules, 1937, the Cantonment
Board is entrusted with certain duties and is empowered to
do certain acts in relation to the Cantonment property under
its management. It is the duty of the Board, among other
things, to maintain and develop the property vested in or
entrusted to its management. Section 116-A provides as
follows:
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"A Board may, subject to any conditions
imposed by the Central Government, manage any
property entrusted to its management by the
Central Government on such terms as to the
sharing of rents and profits accruing from
such property as may be determined by rules
made under section 280."
The Cantonment Land Administration Rules, 1937 contain
detailed provisions as to the leasing of land,
standardisation of rents, disposal of land by a private
agreement, execution of leases etc. Powers are thus
conferred upon the Board to let out property vested in it or
which is under its management. It would follow from this
that where in exercise of these powers the Board has let out
any land or buildings it has the right as well as the duty
to collect the rent from the tenant. Therefore, though,
strictly speaking, the
350
rent due from the tenant cannot be said to be payable under
any express provision of the Act the tenant’s liability to
pay and the Board’s right to recover it is ultimately
traceable to the Act inasmuch as this liability has arisen
by reason of the exercise of a power exercised or
performance of duty by the Board under express provisions of
the Act and the Rules. Surely the Board cannot be deprived
of the right to recover the rent or be absolved from the
duty to recover it by resort to the normal remedy of suit.
Yet upon the interpretation placed upon s. 259 of the Act by
the Lahore High Court and by the Court below a suit as well
as a proceeding before a Magistrate have to be placed on the
same footing. This will lead to an impossible position and
it cannot for one moment be thought that this is what the
Legislature had intended. What the expression "recoverable
by a Board’ or the Military Estates Officer under this Act
or the rules made thereunder" means is what the Act or the
Rules permit the Board to recover or what the Act or the
Rules permit the Military Estates Officer to recover. To put
it in another way the words "recoverable by" and "under this
Act or the Rules made thereunder" are meant to govern "a
Board" or "a Military Estates Officer". It was necessary to
make this provision because certain duties are imposed and
powers conferred on the Board and certain other duties
imposed and powers conferred upon the Military Estates
Officer and the section makes it clear that the power to
recover money is exercisable by such of these two
authorities as performs the duty or exercises the power by
reason of which the liability of another to pay the tax,
rent or any other money arises.
In support of the view which I have expressed I may
refer to a decision of the Court of Appeal in Tideway
Investment and Property Holdings Ld. v. Wellwood (1). There
one of the questions which had to be considered related to
awarding costs to the successful plaintiffs who were the
landlords of the defendants. The suit was brought in the
High Court and the plaintiffs contended that since the
defendants have committed a breach of the provisions of the
lease they had forfeited it and, therefore, were entitled to
possession on forfeiture as also to damages for breach of
the contract contained in the lease. The defendants claimed
protection of the Rent Acts and Harman J., who heard the
case held that the lease having already expired there could
be no forfeiture and the tenant who was holding over became
a statutory tenant entitled to the protection of the Rent
Acts. Evershed M.R., however, said that the tenant became a
trespasser or a statutory tenant and that the breach of the
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convenant was a continuing one. Therefore, he said, it was
plain that all claims arising out of the breach of the
convenant and consisting primarily of a claim for possession
must be regarded as arising out of or under the Rent
Restriction Act, 1920. Harman J., also held that the claim
must be regarded as
(1) [1952] 1 Ch. 971.
351
claims under the Rent Act and s. 17(2) precluded’ him from
awarding costs to the successful plaintiffs. Section 17(2)
reads thus:
"A county court shall have jurisdiction
to deal with any claim or other proceedings
arising out of this Act or any of the
provisions thereof, notwithstanding that by
reason of the amount of claim or otherwise
the case would not but for this provision be
within the jurisdiction of a county court,
and, if a person takes proceedings under
this Act in the High Court which he could have
taken in the county court, he shall not be
entitled to recover any costs."
The Master of the Rolls, with whom the other Lords Justices
agreed, took the same view as Harman J. It may be mentioned
that the suit was not instituted under any specific
provision of the Rent Acts and the claim for possession was
based on the breach of a covenant in the lease which the
Court of Appeal treated as a continuing one and yet was
treated as one under the Rent Restriction Act, 1922 because
of the defence raised. This case thus illustrates that an
expression such as the one found in s. 259 of the Act must
be construed liberally and not narrowly. In Stroud’s
Judicial Dictionary, Vol. I, an Australian case, Winstone v.
Wurlitzer Automatic Phonograph Co. of Australia Pty Ltd. C)
on which could not lay my hands is cited. There it was held
that ’authorise’ should be read in its ordinary sense of
sanction, approve or countenance. I do not think that there
is any substantial difference between "Authorised by the
Act" and "under the Act".
It would, therefore, be not right to construe the
section in the way it was construed by the court below. On
the other hand it must be held that where the liability to
pay money arises against a person by reason of something
done by the Board or the Military Estates Officer in
exercise of a power or the performance of a duty under the
Act that liability can be enforced by the authority
concerned either by instituting the suit or by making an
application to a Magistrate.
Further, if the word ’rent’ in s. 259 of the Act were to
be given a restricted meaning that word itself would be
rendered otiose because there is no provision whatsoever in
the Act which expressly makes rent claimable or recoverable
by either of the two authorities specified therein. Our
attention was drawn to s. 257(1) which with.out its proviso
reads thus:
"If any such notice as is referred to in
section 256 has been given to any person in
respect of property of which he is the owner,
the Board may require any occupier of such
property or of any part thereof to pay to it,
instead of to the owner, any rent payable by
him in respect of
[1946] A.L.R. 422.
352
such property, as it falls due, up to the
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amount recoverable from the owner under
section 256."
It cannot, however, be said that what the Legislature had in
contemplation when it am.ended s. 259 by adding the word
"rent" therein was "rent" to which reference is made in s.
257(1). Section 257 is complementary to s. 256. What s. 256
provides is as follows:
"In the event of non-compliance with the
terms of any notice, order or requisition
issued to any person under this Act, or any
rule or bye-law made thereunder, requiring
such person to execute any work or to do any
act, it shall be lawful for the Board, whether
or not the person in default is liable to
punishment for such default or has been
prosecuted or sentenced to any punishment
therefor, after giving notice in writing to
such person, to take such action or such steps
as may be necessary for the completion of the
act or work required to be done or executed by
him, and all the expenses incurred on such
account shall be recoverable by the Board."
Therefore, what the Board has the power to recover from
the person is the expenses which it has incurred. One of the
modes is to proceed against the occupier of any
property belonging to the owner thereof and require
that occupier to pay to the Board instead of to the
owner the rent payable by him to the owner. What the Board
thus recovers from the person cannot obviously be regarded
as rent in so far as the Board is concerned. For, the Board
is not the landlord of the occupier and what it recovers
from his is not something which was due to the Board as rent
from him. ’Rent’ as commonly understood and as defined in
Jowitt’s Dictionary of English Law’ is a sum of money
payable periodically by a tenant to a landlord as
compensation for occupation of a building or land belonging
to the landlord. It cannot thus include money payable by one
person to another when they do not stand in the relationship
of tenant and landlord. It is the Dictionary meaning which
has to be given to the word ’rent’ in s. 259. Giving it this
meaning it would be clear that what is referred to in s.
257(1) as rent was not intended to be included in that
expression in s. 259.
Apart from s. 257 no other provision has come to our
notice which can support the view of the High Court as to
the interpretation of s. 259. It may be mentioned that
before the year 1940 there was r. 42 in the Cantonment Land
Administration Rules, 1937 which expressly authorised the
Board to recover all arrears of rent and "other payments"
under the Rules by resorting to s. 259 of the Act. But that
rule was repealed in 1940. It was represented to us by Mr.
Gopal Singh that this was repealed because in view of the
wide language of s. 259 there was no need felt for the
retention of the rule. Whatever that may be. the position
;,s, if I may repeat.
353
that if the word rent is given a restricted meaning as has
been done by the High Court, that word would become
purposeless. On the other hand if the expression is
interpreted in the way suggested here it will serve a
purpose for which it was intended.
For these reasons I am of the view that the appeal
should be allowed.
ORDER BY COURT
In accordance with opinion of the majority the appeal is
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dismissed.
354