Full Judgment Text
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PETITIONER:
HAMEEDIA HARDWARE STORES, REPRESENTED BY ITS PARTNER S. PEER
Vs.
RESPONDENT:
B. MOHAN LAL SOWCAR
DATE OF JUDGMENT29/03/1988
BENCH:
VENKATARAMIAH, E.S. (J)
BENCH:
VENKATARAMIAH, E.S. (J)
OJHA, N.D. (J)
CITATION:
1988 AIR 1060 1988 SCR (3) 384
1988 SCC (2) 513 JT 1988 (1) 664
1988 SCALE (1)615
CITATOR INFO :
D 1989 SC 751 (9)
RF 1991 SC2160 (18)
RF 1992 SC2166 (3)
ACT:
Tamil Nadu Buildings (Lease and Rent Control) Act, 1960
Whether it is necessary for a landlord who institutes a
petition under section 10 (3)(a)(iii) thereof to establish
that his requirements is bona fide or not.
HEADNOTE:
%
The respondent’s brother was carrying on his business
in the front portion of the ground floor of the premises in
question, which belonged to the father of the respondent.
The appellant purchased the said running business from the
brother of the respondent. After purchasing the business,
the appellant became a tenant under the father of the
respondent. In the rear portion of the ground floor of the
premises, one Mrs. Janaki Ammal was residing as a tenant.
Mrs. Janaki Ammal vacated the said residential portion and
the appellant took that portion also on rent from the father
of the respondent. The ownership of the premises in question
was transferred in favour of the respondent by his father.
On 9.6.1982, an agreement was entered into in respect of
both the portions specifying that the lease should remain in
force till 8.5.1983. After the expiry of the said period,
the respondent instituted a petition for eviction of the
appellant in the Court of the Controller under section
10(3)(a)(iii) of the Tamil Nadu Buildings (Lease and Rent
Control) Act, 1960, on the ground that the premises in
question were needed by his wife for carrying on her
business which she was carrying on somewhere else. The
appellant contended inter alia that the requirement of the
wife of the respondent was not bona fide. The Controller
dismissed the petition, holding that the tenancy in question
was in respect of both the residential and non-residential
portions and the respondents could not seek eviction of the
appellant as the major portion of the demised premises was
of residential character. Aggrieved by the decision of the
Controller, the respondent preferred an appeal before the
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Appellate Authority. The Appellate Authority dismissed the
appeal. The respondent filed a revision petition before the
High Court. The High Court allowed the revision petition
holding that it was not necessary for the respondent to
establish that his requirement was bona fide as the question
of the bona fides of a landlord’s requirement did not
385
arise in a case under section 10 (3)(a)(iii) of the Act. It,
however, held the claim of the respondent to be bona fide.
Aggrieved by the decision of the High Court, the appellant
filed this appeal before this Court for relief by special
leave.
Allowing the appeal, the Court,
^
HELD: The crucial question which arose for
consideration in this case was whether a landlord, who
sought eviction of a tenant from a non-residential building
(other than a non-residential building used for keeping a
vehicle or adapted for such use) under section 10
(3)(a)(iii) of the Tamil Nadu Buildings (Lease and Rent
Control) Act, 1960 (the Act) was required to prove that he
required the said building for his own use or for the use of
any member of his family bona fide. [390C-D]
The Act was enacted to amend and consolidate the law
relating to the regulation of the letting of residential and
non-residential buildings and the control of the rents of
such buildings and the prevention of unreasonable eviction
of the tenants therefrom in the State of Tamil Nadu. The Act
is an ameliorating piece of legislation. Similar Acts are in
force in almost all the States in India. The provision in
question-section 10(3)(a)(iii)-has to be examined against
this background. [390D;392G]
Having regard to the pattern in which clause (a) of
sub-section (3) of section 10 of the Act is enacted and also
the context, the words "if the landlord required it for his
own use or for the use of any member of his family", found
in sub-clause (ii) of section 10 (3)(a) of the Act, have to
be read also into sub-clause (iii) of section 10 (3)(a) of
the Act. Subclauses (ii) and (iii) both deal with the non-
residential buildings. They could have been enacted as one
sub-clause by adding a conjunction ’and’ between the said
two sub-clauses, in which event the clause would have read
thus: ’in case it is a non-residential building which is
used for the purpose of keeping a vehicle or adapted for
such use, if the landlord required it for his own use or for
the use of any member of his family and if he or any member
of his family is not occupying any such building in the
city, town or village concerned which is his own, and in
case it is any other non-residential building, if the
landlord or any member of his family is not occupying for
purposes of a business which he or any member of his family
is carrying on, a non-residential building in the city, town
or village concerned which is his own.’ If the two sub-
clauses are not so read, it would lead to an absurd result.
The non-residential building referred to in sub-clause (ii)
is a building used for the purpose of keeping a vehicle or
adapted for such use, and all other non-
386
residential buildings fall under sub-clause (iii). The State
legislature cannot be attributed with the intention that it
required a more stringent proof by insisting upon proof of
bona fides of his requirement or need also when a landlord
is seeking eviction of a tenant from a garage than in the
case of a non-residential building occupied by a large
commercial house for carrying on business. It is no doubt
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true that the Court, while construing a provision should not
easily read into it words not expressly enacted, but having
regard to the context in which a provision appears and the
object of the statute in which the said provision is
enacted, the Court should construe it in a harmonious way to
make it meaningful. [398C-H; 399A]
In the present case, by insisting on the proof of the
bona fide of the requirement of the landlord, the Court is
not doing any violence to the statute nor embarking upon any
legislative action. The Court is only construing the words
of the statute in a reasonable way having regard to the
context. [399E]
By merely proving that the premises in question is a
non-residential building and that the landlord or any member
of his family is not occupying, for the purpose of a
business which he or any member of his family is carrying
on, any residential building in the city,town or village
concerned which is his own, the landlord cannot in the
context in which section 10 (3)(a)(iii) appears, get a
tenant evicted. He must show in view of clause (e) of
section 10 (3) that his claim is bona fide. The word ’claim’
means "a demand for something as due", or "to seek or ask
for on the ground of right", etc. In the context of the Rent
Control Law, which is enacted for the purpose of giving
protection to the tenants against unreasonable evictions and
for the purpose of making equitable distribution of
buildings amongst persons who are in need of them, in order
to prove that his claim is bona fide, a landlord should
establish that he deserves to be put in possession of the
premises which is in the occupation of a tenant. Any
decision on the question whether a landlord deserves to be
put in possession of a premises in the occupation of a
tenant should naturally depend upon the bona fides of the
landlord’s requirement or need. The word ’claim’ in clause
(e) of section 10(3) of the Act should, therefore, be
construed as ’the requirement’ of the landlord or his
deservedness. Since clause (e) of section 10(3) of the Act
is also applicable to a petition filed under sub-clause
(iii) of section 10(3)(a) of the Act, it becomes necessary
to examine whether the requirement of the landlord is bona
fide; otherwise, a landlord will be able to evict a tenant
to satisfy his whim by merely proving the ingredients
mentioned in section 10(3)(a)(iii) of the Act. If the
requirement of "claim" being "bona fide" as contained in
section 10(3)(e) is construed
387
to mean that genuineness of the need of the landlord for the
non-residential building is not to be considered and the
circumstances that the landlord on the date of making the
application is factually carrying on business and has no
non-residential building of his own in his occupation in the
city, town or village concerned, is to be construed
sufficient to make his claim bona fide, the tenancy of no
non-residential building will be secure. It will be
preposterous to attribute such an intention to the
legislature. The need of the landlord should be genuine. The
landlord should bona fide need the premises for his own use
and occupation or for the occupation by any of the members
of his family, as held by this Court in Phiroze Bamanji
Desai v. Chandra Kant M. Patel and Ors., [1974] 3 S.C.R. 267
and Mattulal v. Radhe Lal, [1975] 1 S.C.R. 127. [399F-H;
400A-G]
The High Court was in error in this case in holding
that the landlord need not prove that his requirement was
bona fide but that his claim was bona fide as provided in
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clause (e) of section 10(3) of the Act. The High Court made
a distinction between ’requirement’ and ’claim’ without
there being a difference. [400H; 401A]
The Court was of the view that M/s. Mahalakshmi Metal
Industries v. K. Suseeladevi, [1982] 2 Mad. L.J. 333; M.
Abdul Rahman v. S. Sadasivam, [1984] 1 Mad. L.J. 410 ’and A.
Khan Mohammed v. P. Narayanan Nambiar & Ors., 99 Law Weekly
965, relied upon by the respondent, were wrongly decided and
were liable to be over-ruled. The Court overruled them. A
landlord seeking eviction of a tenant from a non-residential
premises under section 10(3)(a)(iii) of the Act should in
order to succeed in his petition, establish that he bona-
fide requires the premises in addition to proving the other
ingredients referred to therein. The judgment of the High
Court set aside. Since the High Court had approached the
case from a wrong angle, the Court directed the High Court
to decide the case afresh in the light of what the Court had
said in this appeal. Case remanded to the High Court to
decide it afresh. If the High Court found that the case
should be remanded to the Trial Court to enable any of the
parties to lead evidence on the question of bona fide
requirement of the landlord, it might remit the case to the
Trial Court. [401B-D]
Mahalakshmi Metal Industries v. K.Suseeladevi, [1982] 2
Mad. L.J. 333; M. Abdul Rahman v. S. Sadasivam, [1984] 1
Mad. L.J. 410, and A. Khan Mohammed v. P.Narayanan Nambiar
and others, 99 Law Weekly 965, overruled.
388
Moti Ram v. Suraj Bhan and Others, [1960] 2 S.C.R. 896;
Neta Ram v. Jiman Lal, [1962] 2 Supp. S.C.R. 623; Nathala
Sampathu Chetty v. Sha Vajingjee Bapulal, [1967] 1 Mad. L.J.
289; Madras District Central Co-operative Bank Limited,
Mylapore Branch, Madras-4 v. A. Venkatesh, 99 Law Weekly
714; M/s. Thilagaraj Match Works, through its partner S.
Chidambaram v. C. Sundresan, [1985] 1 Mad, Law J. 106; P.
Thanneer-Malai Chettiar v. S.J. Dhanraj and another, [1986]
Mad. L.J. 115; Seaford Court Estates Ltd. v. Asher, [1949] 2
All. E.R. 155 at 164; M. Pentiah and Ors. v. Muddala
Veeramallappa and Ors., [1961] 2 S.C.R. 255 at 314;
Bangalore Water Supply & Sewerage Board, etc. v. R. Rajappa
JUDGMENT:
Chandrakant M. Patel & Ors., [1974] 3 S.C.R.267 and Mattulal
v. Radhe Lal, [1975] 1 S.C.R.127,referred to.
&
CIVIL APPELLATE JURISDICTION: Civil Appeal No.1014 of
1988.
From the Judgment and Order dated 25.1.1988 of the
Madras High Court in C.P.P. No. 215 of 1986.
Mrs. Nalini Chidambaram, Ms. Setia Vaidalingam, N.
Thiagarajan and Ms. Radha for the Appellant.
S. Srinivasan for the Respondent.
The Judgment of the Court was delivered by
VENKATARAMIAH, J. The question which arises for
consideration in this case is whether a landlord who seeks
eviction of a tenant from a non-residential building (other
than a non-residential building which is used for keeping a
vehicle or adapted for such use) under section 10(3)(a)(iii)
of the Tamil Nadu Buildings (Lease and Rent Control) Act,
1960 (hereinafter referred to as ’the Act’) is required to
prove that he requires the said building for his own use or
for the use of any member of his family bona fide in the
proceedings instituted before the Controller.
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The appellant is a partnership firm represented by its
partner, 5. Peer Mohammed. The respondent’s brother was
carrying on business in hardware in the front portion of the
ground floor of the premises bearing No. 157, Kutcheri Road,
Mylapore, Madras-4. The appellant purchased the said running
business from the brother of the respon-dent on 5.7.1974.
The said building, however, belonged to the father
389
of the respondent. After purchasing the business, the
appellant became a tenant under the father of the respondent
by paying an advance of Rs.1,500 and agreeing to pay a rent
at the rate of Rs.450 per month for the portion in which it
commenced to carry on the business. In the rear portion of
the ground floor of the premises one Mrs. Janaki Ammal was
residing as a tenant. Mrs. Janaki Ammal vacated the said
residential portion in October, 1974. With effect from
5.10.1974 the appellant took the portion vacated by Mrs.
Janaki Ammal also on rent from the father of the respondent
by paying Rs.525 as advance and agreeing to pay a monthly
rent of Rs.175. The rent of this portion was increased
subsequently to Rs.315 per month. On 25.11.1980 the
appellant received a notice from an advocate, who was acting
on behalf of the father of the respondent terminating the
tenancy of the appellant in respect of both the portions
with effect from 31.12.1980 and requiring the appellant to
deliver possession of the two portions of the ground floor
of the premises in question to the father of the respondent
on the ground that he needed the premises for the occupation
of his son. The appellant sent a reply denying the right of
the respondent’s father to evict the appellant from the
premises. Thereafter it is stated that the ownership of the
premises in question was transferred in favour of the
respondent by his father. Thereafter the respondent asked
the appellant to increase the rent payable for the premises.
In order to avoid litigation, the appellant agreed to pay a
consolidated amount of Rs.1,000 per month by way of rent for
both the portions in the year 1981 and also paid a sum of
Rs.7,500 as advance. On 9.6.1982 an agreement was entered
into in respect of both the portions specifying that the
lease should remain in force till 8.5.1983. After the expiry
of the said period, it is stated, the respondent again
demanded enhanced rent. On the appellant not complying with
the said demand the respondent instituted a petition for
eviction of the appellant in the Court of the Controller at
Madras under section 10(3)(a)(iii) of the Act on the ground
that the premises in question were needed by his wife for
carrying on pawn broker business which she was carrying on
elsewhere. The appellant resisted the petition. It was inter
alia contended by the appellant that the requirement of the
wife of the respondent was not bona fide and the petition
was liable to be dismissed. After trial, the Controller
dismissed the petition holding that the tenancy in question
was in respect of both the residential and non-residential
portions and that the respondent could not seek eviction of
the appellant as the major portion of the demised premises
was of residential character. Aggrieved by the decision of
the Controller the respondent preferred an appeal before the
Appellate Authority. The Appellate Authority dismissed the
appeal. Thereupon the respon-
390
dent preferred a revision petition before the High Court of
Madras inCivil Revision Petition No. 215 of 1986. That
petition was allowed by the High Court holding that it was
not necessary for the respondent to establish that his
requirement was bona fide as the question of bona fides of a
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landlord’s requirement did not arise for consideration at
all in case falling under secti10 10(3)(a)(iii) of the Act.
It, however, held that the claim of the respondent was bona
fide. Accordingly, the High Court allowed the revision
petition and directed the appellant to quit and deliver
vacant possession of the premises in question to the
respondent. This appeal by special leave is filed against
the judgment of the High Court of Madras.
The crucial question which arises for consideration in
this case is whether it is necessary for a landlord, who
institutes a petition under section 10(3)(a)(iii) of the
Act, to establish that his requirement is bona fide or not.
As can be seen from the long title of the Act it was enacted
by the State Legislature to amend and consolidate the law
relating to the regulation of the letting of residential and
non-residential buildings and the control of rents of such
buildings and the prevention of unreasonable eviction of
tenants therefrom in the State of Tamil Nadu. Section 10 of
the Act provides that a tenant shall not be evicted whether
in execution of a decree or otherwise except in accordance
with the provisions of section 10 or sections 14 to 16 of
the Act. The material portion of sub-section 3(a) of section
10 of the Act, which is relevant for purposes of this case
reads thus:
"10(3)(a). A landlord may, subject to the
provisions of clause (d), apply to the Controller
for an order directing the tenant to put the
landlord in possession of the building.
(i) in case it is a residential building, if the
landlord required it for his own occupation or for
the occupation of any member of his family and if
he or any member of his family is not occupying a
residential building of his own in the city, town
or village concerned;
(ii) in case it is a non-residential building
which is used for the purpose of keeping a vehicle
or adapted for such use, if the landlord required
it for his own use or for the use of any member of
his family and if he or any member of his family
is not occupying any such building in the city,
town or village concerned which is his own;
391
(iii) in case it is any other non-residential
building, if the landlord or any member of his
family is not occupying for purposes of a business
which he or any member of his family is carrying
on, a non-residential building in the city, town
or village concerned which is his own;
.............................................
(e) The Controller shall, if he is satisfied that
the claim of the landlord is bona fide, make an
order directing the tenant to put the landlord in
possession of the building on such date as may be
specified by the Controller and if the Controller
is not so satisfied he shall make an order
rejecting the application."
For purposes of sub-section (3) of section 10 of the
Act the buildings are classified into two categories by the
Act, namely, residential buildings and non-residential
buildings. Sub-clause (i) of clause (a) of sub-section (3)
of section 10 of the Act provides that a landlord may
subject to the provisions of clause (d) apply to the
Controller for an order directing the tenant to put the
landlord in possession of a residential building, if the
landlord required it for his own occupation or for the
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occupation of any member of his family and if he or any
member of his family is not occupying a residential building
of his own in the city, town or village concerned. Sub-
clause (ii) of clause (a) of sub-section (3) of section 10
of the Act relates to eviction from a non-residential
building which is used for the purpose of keeping a vehicle
or adapted for such use. If the landlord required such a
building for his own use or for the use of any member of his
family and if he or any member of his family is not
occupying any such building in the city, town or village
concerned which is his own he can apply for the eviction of
the tenant therefrom. Sub-clause (iii) of clause (a) of sub-
section (3) of section 10 of the Act deals with other kinds
of non-residential buildings. If the landlord or any member
of his family is not occupying for purposes of a business
which he or any member of his family is carrying on, a non-
residential building in the city, town or village concerned
which is his own, a landlord may, subject to the provisions
of clause (d), apply to the Controller for an order
directing the tenant to put the landlord in possession of
such a building. It may be stated here that the words ’if
the landlord required it for his own use or for the use of
any member of his family’ are not to be found in sub-clause
(iii) of section 10(3)(a) of the Act. Clause (e) of section
10(3) of the Act, however, provides that the Controller
shall, if he is
392
satisfied that the claim of the landlord is bona fide make
an order directing the tenant to put the landlord in
possession of the building on such date as may be specified
by the Controller and if the Controller is not so satisfied
he shall make an order rejecting the application. Clause (e)
of section 10(3) applies to all cases of eviction falling
under section 10(3) of the Act. The decision in this case
depends upon the effect of the omission of the words ’if the
landlord required it for his own use or for the use of any
member of his family’ in sub-clause (iii) of section
10(3)(a) of the Act. It is argued on behalf of the appellant
that reading sub-clause (ii) and (iii) of section 10(3)(a)
of the Act together, which relate to the eviction from non-
residential buildings, the words ’if the landlord required
it for his own use or for the use of any member of his
family’ which are found in sub-clause (ii) of section
10(3)(a) should be read into sub-clause (iii) of section
10(3)(a) also and that a landlord should establish in order
to succeed in a petition for eviction filed under section
10(3)(a)(iii) of the Act that his requirement or the
requirement of a member of his family is bona fide. It is
also argued in the alternative that the word ’claim’ in the
words ’that the claim of the landlord is bona fide’ in
clause (e) of section 10(3) of the Act refers only to the
requirement of the landlord and to nothing else. On the
other hand it is urged on behalf of the respondent relying
upon three decisions of the High Court of Madras in (i) M/s.
Mahalakshmi Metal Industries v. K. Suseeladevi, [1982] 2
Mad. L.J. 333; (ii) M. Abdul Rahman v. S. Sadasivam, [1984]
1 Mad. L.J. 410 and (iii) A. Khan Mohammed v. P. Narayanan
Nambiar & Others, 99 Law Weekly 966 that there was no need
for a landlord to establish the bona fides of his
requirement or the requirement of a member of his family
when a petition is filed under section 10(3)(a)(iii) of the
Act and it is enough if his claim is proved to be bona fide.
The High Court has upheld the said plea of the respondent
relying upon the said three decisions. The correctness of
these three decisions is questioned before us by the
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appellant.
We have already noticed that the object of the Act was
to prevent unreasonable evictions of tenants from buildings.
The Act is an ameliorating piece of legislation. Similar
acts are in force in almost all the States in India. The
provision in question has to be construed against this
background. The Act has been in force from 1960.
In Moti Ram v. Suraj Bhan & Other, [1960] 2 S.C.R. 896
this Court was required to construe section 13(3)(a)(iii) of
the East Punjab Urban Rent Restriction Act, 1949 which at
the relevant time provided that a landlord might apply to
the Controller for directing a tenant to
393
put the landlord in possession of the building in question
if he required it for the re-construction of that building
or for its replacement by another building or for the
erection of other buildings. In that case the Rent
Controller and the Appellate Authority had rejected the
claim of the landlord on the ground that the landlord had
not established that the premises in question were required
by him bona fide. The High Court while accepting that the
requirement in question must be shown to be bona fide held
that on the evidence the findings of the Courts below that
the landlord’s requirement was not bona fide were not
correct. The High Court accordingly directed the eviction of
the tenant in question. This Court while affirming the
decision of the High Court held that the landlord had, in
fact, made out that he required the premises bona fide for
purposes of re-construction. Thus it is seen that in the
context of a law enacted for preventing unreasonable
evictions this Court read into a ground on which a landlord
could seek the eviction of his tenant that the landlord
should establish that his requirement was bona fide. A mere
desire on the part of the landlord to re-construct a
building was not sufficient to evict a tenant from the
premises. He had to establish that he needed the premises
bona fide for re-construction it. In a later case, i.e.,
Neta Ram v. Jiwan Lal, [1962] 2 Supp. S.C.R. 623 which arose
under the provisions of the Patiala and East Punjab States
Union Urban Rent Restriction Ordinance, one of the grounds
on which the landlord sought the eviction of the tenants in
occupation of the premises involved in that case was that
the premises were in a state of disrepair and were
dilapidated and, therefore, the landlord wished to rebuild
on the premises after dismantling the structure. On the said
issue the Rent Controller held that in deciding whether the
tenant should be ordered to hand over the possession to the
landlord the Courts must have regard to the bona fide
requirement of the landlord which meant that the desire to
rebuild the premises should be honestly held by the landlord
but that the condition of the building also played an
important part in determining whether the landlord had the
intention genuinely and the landlord was not using the said
excuse as a device to get rid of the tenants. In that
connection the Rent Controller observed that the state of
the building, the means of the landlord and the possibility
of the better yield by way of rent should be kept in mind.
The Controller, holding that the claim of the landlord was
not bona fide, decided the said issue against him. On appeal
the Appellate Authority held that the shops and chobaras
were in good condition and that the landlord was not, in
good faith, wanting to replace the building, when he had no
means to build it. The High Court, however, allowed the
revision petition filed before it holding that upon the
evidence on record it had been established
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394
beyond doubt that the landlord genuinely and bona fide
required the premises for re-building. On appeal by special
leave to this Court, this Court observed that the very
purpose of the Rent Restriction Act would be defeated if the
landlords were to come forward and to get tenants turned
out, on the bare plea that they wanted to reconstruct the
house without first establishing, that the plea was bona
fide with regard to all circumstances, viz. that the houses
needed reconstruction or that they had means to reconstruct
them. Accordingly, the judgment of the High Court was
reversed and the petitions for eviction were dismissed.
Following the observations made in the above decisions in
Nathella Sampathu Chetty v. Sha Vajingjee Bapulal, [1967] 1
Mad. L.J. 289 a Division Bench of the High Court of Madras
construed section 10(3)(a)(iii) of the Act thus:
"Section 10 of the Madras Buildings (Lease and
Rent Control) Act, 1960, provides for eviction of
tenants in certain circumstances. Sub-section
3(a)(iii) of the section allows a landlord to
apply to the Controller for an order directing a
tenant to put him in possession of the building if
the landlord is not occupying for purposes of
business which he is carrying on, a non-
residential building in the city, town or village
concerned which is his own. The second proviso to
this clause is to the effect that where a landlord
has already obtained possession of a building
under this provision, he shall not be entitled to
apply again for possession of another non-
residential building of his own. If the conditions
of these provisions are satisfied, the Controller
may make an order as asked for by the landlord
provided he is further satisfied that the claim of
the landlord is bona fide.
(underlining by us)
In the Madras District Central Co-operative Bank
Limited, Mylapore Branch, Madras-4 v. A. Venkatesh, 99 Law
weekly 714 a single Judge of the High Court disagreed with
the views expressed by another single Judge in Abdul
Rahman’s case (supra) and observed thus:
"The question now is whether an order
directing the tenant to put the landlord in
possession should be made. It is pointed out by
the learned counsel for the respondent landlord
following a ruling of this Court in Abdul Rahman
v. S. Sadasivam, that there is no jurisdiction for
the Rent Controller to go into the question of
bona fide requirement
395
in a claim under s. 10(3)(a)(iii) of the Act.
Ramanujam, J. took the view that a distinction has
to be made between the two sections, s.
10(3)(a)(i) and s. 10(3)(a)(iii) in view of the
word ’require’, occurring in s. 10(3)(a)(i) and in
the absence of that word, in s. 10(3)(a)(iii) in
other words, what the learned Judge points out is
that the Rent Controller has no jurisdiction to go
into the question whether the requirement of the
landlord is bona fide, as the Rent Controller has
to pass an order of eviction in case the landlord
is not occupying for the purpose of business which
he is carrying on, any non-residential building in
the city which is his own. The learned Judge
further pointed out that when the provisions of s.
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10(3)(a)(i) and s. 10(3)(a)(iii) use different
expressions, it should be taken that the
Legislature intended these provisions to have
different operations. With respect to the learned
Judge, I may point out that the mere absence of
the word ’require’ in s. 10(3)(a)(iii) would not
necessarily lead to the inference that the
Legislature did not intend that the Rent
Controller should go into the question of bona
fides of the requirement of the landlord in
respect of the requirement of a non-residential
premises under s. 10(3)(a)(iii) of the Act. My
reasons for holding so are as follows: S. 10
enumerates certain grounds for the eviction of the
tenant. In other words eviction under the Rent
Control Act can be effected only on the grounds
mentioned in s. 10. The landlord may have a right
to evict the tenant under the general law. S.
10(3)(a) says that the landlord may, subject to
the provisions of Cl. (d), apply to the Controller
for an order directing the tenant to put the
landlord in possession of the buildings. S.
10(3)(a)(i) deals with residential buildings. S.
10(3)(a)(ii) deals with non-residential buildings
used for purpose of keeping vehicles. S.
10(3)(a)(iii) is in respect of non-residential
buildings. S. 10(3)(b) gives a right to religious,
charitable, educational or other public
institutions, to institute proceedings before the
Controller if the institution requires the
building. S. 10(3)(c) is for additional
accommodation. S. 10(3)(d) speaks of tenancy for
specified period agreed between the landlord and
the tenant and it prohibits the landlord from
applying, before the expiry of such period. Now
after these sections, S. 10(3)(e) runs thus:
’The Controller shall, if he is satisfied
that the claim
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of the landlord is bona fide make an order
directing the tenant to put the landlord in
possession of the building on such date as may be
specified by the Controller and if the Controller
is not so satisfied he shall make an order
rejecting the application.’
I find in the judgment of Ramanujam, J. this
S. 10(3)(e) has not been adverted to. S. 10(3)(e)
applies to Ss. 10(3)(a)(i), 10(3)(a)(ii) and
10(3)(a)(iii) and also to Ss. 10(3)(b) and
10(3)(c). If the Legislature intended that the
provisions of S. 10(3)(a)(i) and S. 10(3)(a)(iii)
to have different operations, the Legislature
would not have stated in S. 10(3)(e) that the
Controller should be satisfied that the claim of
the landlord is bona fide, before he makes an
order directing the tenant to put the landlord in
possession, and the further words ’if the
Controller is not so satisfied, he shall make an
order rejecting the application’ very clearly show
that the Controller should, before passing an
order for eviction, be satisfied with the bona
fide of the claim, or else he should dismiss it."
The main ground on which the learned Judge who decided
the above case disagreed with the decision in Abdul Rahman’s
case (supra) is that in Abdul Rahman’s case (supra) section
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10(3)(e) of the Act, which applied to all the three sub-
clauses, namely (i), (ii) and (iii) in section 10(3)(a) of
the Act had not been adverted to. The learned Judge also
held that the mere absence of the word ’require’ in section
10(3)(a)(iii) of the Act did not necessarily lead to the
inference that the Legislature did not intend that the
Controller should not go into the question of bona fides of
the requirement of the landlord in a petition for eviction
filed under that provision. Another learned Judge of the
Madras High Court has taken the same view in M/s. Thilagaraj
Match Works, through its partner S. Chidambaram v. C.
Sundaresan, [1985] 1 Mad. Law J. 106. It is observed in that
case thus:
"In the present case, the Appellate Authority
has not adverted to these features at all and in
one place he observes that the bona fide of the
claim of the landlord is extraneous and it should
not be tested too severely. This exposes his wrong
approach to the question of bona fide which is a
relevant one. The very ingredient of section
10(3)(e) of the Act requires that the question of
bona fide has got to be tested and it has got a
due place while
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adjudicating a petition for eviction by the
landlord under the concerned provisions. It is not
the desire of the landlord, but there must be an
element of need for the landlord before it could
be stated that he requires the premises for his
own occupation. The features referred to above,
cannot be eschewed as irrelevant, for after all
bona fide will have to be proved in an ordinary
manner like any other fact in issue, and the
entire gamut of facts and circumstances has to be
adverted to on this question. As already stated, I
am not expressing any opinion over these features
on merits, and it is for the Appellate Authority
to advert to them and adjudicate upon the question
afresh one way or the other. The discussions above
oblige me to interfere in revision and accordingly
the revision is allowed and the matter stands
remitted to the Appellate Authority for him to
consider it afresh taking note of all the relevant
features and factors of the case on the question
of bona fides, and pass appropriate orders. Both
the counsel represent that for the purpose of
comprehensive adjudication of the matter, further
evidence has to be adduced. I take note of the
request of both the counsel and I direct that the
Appellate Authority will permit the parties to
place further evidence and he will decide the
matter afresh after such evidence is placed, the
Appellate Authority will do well to dispose of the
matter expeditiously and in any event within a
period of three months from the date of receipt of
the copy of this order."
In P. Thanneermalai Chettiar v. S.J. Dhanraj, [1986]
Mad. L.J. 115 another learned Judge of the High Court of
Madras has construed section 10(3)(e) of the Act thus:
"It is not disputed that section 10(3)(e) of
Act 18 of 1960 is applicable to the case of
residential building as well as non-residential
building and it is provided therein that if the
Controller is satisfied that the claim of the
landlord is bona fide, he shall make an order
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directing the tenant to put the landlord in
possession of the building; otherwise, he has to
reject the application. In the instant case,
considering the various circumstances and also the
fact that the petitioner was residing in a house
of his own at Devakottai where he has got vast
extent of properties and was carrying on business
along with other members of his family, the
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claim of the petitioner that he required the
premises for his own use and occupation is not
proved and in any event there is no bona fide in
the same"
The main ground on which the learned Judge who decided
Abdul Rahman’s case (supra) held that it was not necessary
to establish the bona fide equipment of the landlord when he
made an application for eviction under section 13(3)(a)(iii)
of the Act was that, the word ’require’ was not to be found
in section 10(3)(a)(iii) of the Act. We are of the view that
having regard to the pattern in which clause (a) of sub-
section (3) of section 10 of the Act is enacted and also the
context, the words ’if the landlord required it for his own
use or for the use of his any member of the family’ which
are found in sub-clause (ii) of section 10(3)(a) of the Act
have to be read also into sub-clause (iii) of section
10(3)(a) of the Act. Sub-clause (ii) and (iii) both deal
with the non-residential buildings. They could have been
enacted as one sub-clause by adding a conjunction ’and’
between the said two sub-clause, in which event the clause
would have read thus: ’in case it is a non-residential
building which is used for the purpose of keeping a vehicle
or adapted for such use, if the landlord required it for his
own use or for the use of any member of his family and if he
or any member of his family is not occupying any such
building in the city, town or village concerned which is his
own; and in case it is any other non-residential building,
if the landlord or any member of his family is not occupying
for purposes of a business which he or any member of his
family is carrying on, a non-residential building in the
city, town or village concerned which is his own.’ If the
two sub-clauses are not so read, it would lead to an absurd
result. The non-residential building referred to in sub-
clause (ii) is a building which is used for the purpose of
keeping a vehicle or adapted for such use and all other non-
residential buildings fall under sub-clause (iii). The State
Legislature cannot be attributed with the intention that it
required a more stringent proof by insisting upon proof of
bona fides of his requirement or need also when a landlord
is seeking eviction of a tenant from a garage than in the
case of a non-residential building which is occupied by
large commercial house for carrying on business. The learned
counsel for the respondent was not able to explain as to why
the State Legislature gave greater protection to tenants
occupying premises used for keeping vehicles or adapted for
such use than to tenants occupying other types of non-
residential buildings. It is no doubt true that the Court
while construing a provision should not easily read into it
words which have not been expressly enacted but having
regard to the context in which a provision appears and the
object of the statute in which the said provision is
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enacted the court should construe it in a harmoneous way to
make it meaningful.
In Seaford Court Estates Ltd. v. Asher, [1949] 2 All.
E.R. 155 at 164. Lord Denning L.J. said:
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"When a defect appears, a judge cannot simply
fold his hands and blame the draftsman. He must
set to work on the constructive task of finding
the intention of Parliament ..... and then he must
supplement the written word so as to give ’force
and life’ to the intention of the legislature
..... A judge should ask himself the question how,
if the makers of the Act had themselves come
across this ruck in the texture of it, they should
have straightened it out? He must then do as they
would have done. A judge must not alter the
material of which the Act is woven but he can and
should iron out the creases."
This rule of construction is quoted with approval by
this Court in M. Pentiah and Ors. v. Muddala Veeramallappa
and Ors., [1961] 2 S.C.R. 295 at 314 and it is also referred
to by Beg, C.J. in Bangalore Water-Supply & Sewerage Board,
etc. v. R. Rajappa & Ors., [1978] 3 S.C.R. 207. In the
present case by insisting on the proof of the bona fides of
the requirement of the landlord, the Court is not doing any
violence to the statute nor embarking upon any legislative
action. The Court is only construing the words of the
statute in a reasonable way having regard to the context.
We are of the view that by merely proving that the
premises in question is a non-residential building and that
the landlord or any member of his family is not occupying
for the purpose of a business which he or any member of his
family is carrying on any residential building in the city,
town or village concerned which is his own, the landlord
cannot in the context in which section 10(3)(a)(iii) appears
get a tenant evicted. He must show in view of clause (e) of
section 10(3) that his claim is bona fide. The word ’claim’
means "a demand for something as due" or "to seek or ask or
for on the ground of right" etc. In the context of Rent
Control Law which is enacted for the purpose of giving
protection to tenants against unreasonable evictions and for
the purpose of making equitable distribution of buildings
amongst persons who are in need of them in order to prove
that his claim is bona fide a landlord should establish that
he deserves to be put in possession of the premises which is
in the occupation of a tenant. Any decision on
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the question whether a landlord deserves to be put in
possession of a premises in the occupation of a tenant
should naturally depend upon the bona fides of the
landlord’s requirement or need. The word ’claim’ in clause
(e) of section 10(3) of the Act should, therefore, he
construed as ’the requirement’ of the landlord or his
deservedness. ’Deserve’ means ’to have a rightful claim’ or
’a just claim’. Since clause (e) of section 10(3) of the Act
is also applicable to a petition filed under sub-clause
(iii) of section 10(3)(a) of the Act it becomes necessary to
examine whether the requirement of the landlord is bona
fide. Otherwise a landlord will be able to evict a tenant to
satisfy his whim by merely proving the ingredients mentioned
in section 10(3)(a)(iii) of the Act. Take a case where a
landlord for some oblique reason wishes to get rid of his
tenant from a non-residential building of the category
mentioned in section 10(3)(a)(iii) and to achieve his aim
fakes to start money-lending business (for which indeed no
specified separate portion in a building may be needed) in a
building not belonging to him and to create evidence even
actually lends money to some of his friends or relatives and
a week thereafter applies for eviction of the tenant on the
ground that he is carrying on business and has no non-
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residential building of his own in his occupation in the
city, town or village concerned. Apparently, the conditions
prescribed in the aforesaid sub-clause (iii) are fulfilled.
If the requirement of "claim" being "bona fide" as contained
in section 10(3)(e) is construed to mean that genuineness of
the need of the landlord for the non-residential building is
not to be considered and the circumstances that the landlord
on the date of making the application is factually carrying
on business and has no non-residential building of his own
in his occupation in the city, town or village concerned is
to be construed sufficient to make his claim bona fide, the
tenancy of no non-residential building will be secure. It
will be preposterous to attribute such an intention to the
legislature. Such a contingency should be avoided as it
would be against the very object of the Act itself. The need
of the landlord should be genuine. That is the object of
enacting clause (e) of section 10(3) of the Act. When once
we reach the above conclusion it is not enough that the
landlord should merely desire to use or occupy the premises.
What is necessary is that he should bona fide need them for
his own use and occupation or for occupation by any of the
members of his family as held by this Court in Phiroze
Bamanji Desai v. Chandrakant M. Patel & Ors., [1974] 3
S.C.R. 267 and Mattulal v. Radhe Lal, [1975] 1 S.C.R. 127.
The learned Judge who decided the case out of which this
appeal arises was, therefore, in error in holding that the
landlord need not prove that his requirement was bona fide
but that his claim was bona fide as provided in clause (e)
of section 10(3) of the
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Act. The learned Judge has made a distinction between
‘requirement’ and ‘claim’ in the present case without there
being a difference.
In the circumstances we are of the view that M/s.
Mahalakshmi’s case (supra), M. Abdul Rahman’s case (supra)
and A. Khan Mohammed’s case (supra) have been wrongly
decided. They are liable to be overruled. We accordingly
overrule them. We hold that a landlord seeking eviction of a
tenant from a non-residential premises under section
10(3)(a)(iii) of the Act in order to succeed in his petition
should establish that he bona fide requires the premises in
addition to proving the other ingredients referred to
therein. The judgment of the High Court which has proceeded
on a wrong basis has, therefore, to be set aside. Since the
High Court while allowing the revision petition has
approached the case from a wrong angle, it is necessary to
direct the High Court to decide it afresh in the light of
what we have stated above. We, therefore, set aside the
judgment of the High Court and remand it to the High Court
again to decide it afresh. If the High Court finds that the
case should be remanded to the Trial Court to enable any of
the parties to lead evidence on the question of the bona
fide requirement of the landlord it may remit the case to
the Trial Court.
The appeal is accordingly allowed. There shall be no
order as to costs.
S.L. Appeal allowed.
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