Full Judgment Text
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PETITIONER:
VENKATLAL G. PITTIE & ANR
Vs.
RESPONDENT:
BRIGHT BROS. (PVT.) LTD.
DATE OF JUDGMENT21/07/1987
BENCH:
MUKHARJI, SABYASACHI (J)
BENCH:
MUKHARJI, SABYASACHI (J)
NATRAJAN, S. (J)
CITATION:
1987 AIR 1939 1987 SCR (3) 593
1987 SCC (3) 558 JT 1987 (3) 139
1987 SCALE (2)115
CITATOR INFO :
RF 1988 SC 184 (13)
D 1988 SC 293 (12)
RF 1989 SC1642 (36)
ACT:
Constitution of India--Art. 227--Scope of interference
by High Court with regard to findings of facts by lower
courts and inferior tribunals.
Transfer of Property Act, 1882--Cl.(P) of s. 108--The
question whether a structure put up by a tenant is a perma-
nent one or not depends upon the facts of each case and no
hard and fast rule can be laid down.
HEADNOTE:
The appellants, who had let out the premises in question
to the respondent Riled a suit for eviction inter alia on
the ground that the tenant had erected unauthorised struc-
tures of a permanent nature in violation of the provisions
of cl. (p) of s. 108 of the Transfer of Property Act, 1882
and s. 13(1)(b) of the Bombay Rents. Hotel and Lodging House
Rates Control Act, 1974 and was using the premises for
unauthorised purposes. The alleged permanent structures
consisted of lofts and rooms which had been constructed by
sinking pillars and stanchions into the flooring and the
tenant admitted that these had been constructed after it had
taken the premises from the landlord. After discussing the
evidence tendered in detail, including the deposition of the
architect who had prepared the plan of the constructions in
question and who had deposed that the constructions consist-
ed of permanent structures, the Judge of the Court of Small
Causes held that the structures were of a permanent nature
and ordered eviction of the tenant on the ground of perma-
nent construction. The respondent’s appeal was dismissed by
the Appellate Bench of the Court of Small Causes which, on a
detailed reappraisal of the evidence on record, not only
confirmed the decree for eviction on the ground of permanent
construction but granted eviction on the ground of change of
user as well. The respondent went in appeal against the
order of the appellate court. The High Court, dealing with
the matter under Art. 227 of the Constitution, reversed the
concurrent findings of the courts below and allowed the
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respondent’s petition.
Allowing the appeal and restoring the order of the lower
appellate court,
594
HELD: 1. (a) Interference by the High Courts under Art.
227 of the Constitution must be within limits. This question
has been considered by this Court from time to time and
principles laid down. The power under Art. 227 is one of
judicial superintendence and it cannot be exercised to upset
the conclusions of facts, however erroneous these may be. It
is possible that another Court may be able to take a differ-
ent view of the matter by appreciating the evidence in a
different manner, if it determinedly chooses to do so. That
will not be justice administered according to law to which
courts are committed. [605D-E]
(b) In exercise of jurisdiction under Art. 227’ of the
Constitution, the High Court can go into questions of facts
or look into the evidence if justice so requires it. But the
High Court should decline to exercise that jurisdiction to
look into the facts in the absence of clear-cut reasons
where the question depends upon the appreciation of evi-
dence. The High Court should not interfere with a finding
within the jurisdiction of the inferior tribunal or court
except where the finding is perverse in law, in the sense
that no reasonable person properly instructed in law could
have come to such a finding, or there is misdirection in
law, or view of fact has been taken in the teeth of prepon-
derance of evidence, or the finding is not based on any
material evidence or it resulted in manifest injustice.
Except to the extent indicated above the High Court has no
jurisdiction. [606B-D]
Satyanarayan Laxminarayan Hegde & Ors. v. Mallikarjun
Bhavanappa Tirumale, [1960] 1 S.C.R. 890; India Pipe Fitting
Co. v. Fakruddin M.A. Baker & Anr., [1978] 1 S.C.R. 797;
Ganpat Ladha v. Shashikant Vishnu Shinde, [1978] 3 S.C.R.
198; Mrs. Labhkuwar Bhagwani Shah & Ors. v. Janardan Mahadeo
Kalan & Anr., [1982] 3 S.C.C. 514 and Chandavarkar Sita
Ratna Rao v. Ashalata S. Guram, [1986] 4 S.C.C. 447; re-
ferred to.
2. No hard and fast rule can be laid down for determin-
ing the question whether a particular structure put up by
the tenant is a permanent structure for the purpose of cl.
(p) of s. 108 of the Transfer of Property Act. 1882 as it is
dependent on the facts of each case. One must look to the
nature of the structure, the purpose for which it was in-
tended and take a whole perspective as to how it affects the
enjoyment, the durability of the building, etc. and other
relevant factors and come to a conclusion. [601D-E; 602D-E]
Surya Properties Private Ltd. & Ors. v. Bimalendu Nath
Sarkar & Ors., A.I.R. 1964 Calcutta 1 and M/s Surya Proper-
ties Private Ltd.
595
v. Bimalendu Nath Sarkar, A.I.R. 1965 Calcutta 408, ap-
proved.
Khureshi Ibrahim Ahmed v. Ahmed Haji Khanmahomad, A.I.R.
1965 Gujarat 152 and Ramji Virji & Ors. v. Kadarbhai Esufa-
li, A.I.R.1973 Gujarat 110, referred to.
In this case, on an analysis of the evidence the trial
court as well as the appellate court had held that the
structures were permanent. All the relevant factors had been
borne in mind by the learned trial Judge as well as the
Appellate Bench of the Court of Small Causes. The view taken
by them was a possible view. A different view might have
been taken but that is no ground which would justify the
High Court to interfere with the findings. [600F]
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JUDGMENT:
CIVIL APPELLATE JURISDICTION: Civil Appeal No. 195556 of
1980.
From the Judgment and Order dated 3/4th July, 1979 of
the Bombay High Court in Spl. C.A. Nos. 2052 of 1973 and 132
of 1974.
F.S. Nariman, Anil B. Diwan, P.H. Parekh, Ms. Lata
Krishnamurthy and S. Dutt with for the Appellants.
V.M. Tarkunde and H.G. Advani, Hira Advani Kailash
Vasudev, Joel Peres and D.N. Misra for the Respondents.
The Judgment of the Court was delivered by
SABYASACHI MUKHARJI, J. These appeals, by special leave,
by the landlords are directed against the judgment and order
of the High Court of Bombay dated 3/4th July, 1979.
Two questions arise for consideration in these
appeals--(i) whether the structure constructed by the tenant
in the premises in question amounted to permanent structure
leading to the forfeiture of the tenancy of the tenant; (ii)
what is the scope and extent of the jurisdiction of the High
Court under Article 227 of the Constitution on questions of
facts found by the appellate bench of Small Causes Court.
In order to appreciate these questions, it is necessary
to reiterate the relevant facts. The second appellant being
plaintiff no. 2 in the Original Suit leased out the premises
involved herein being a godown measuring 11,500 sq. ft. at
156 A, Tardeo, Bombay-7. The said pre-
596
mises was given by the landlord to the tenant, the respond-
ent herein-M/s Bright Brothers (Pvt.) Ltd. on lease vide the
registered lease dated 14th April, 1947 for a period of ten
years commencing from 1st September, 1946. By 1953, the
respondent company began to fall into arrears in payment of
rent. The respondent-tenant filed an application before the
appropriate Rent Court for fixing the standard rent.
On 14th June, 1958, the advocate of the second appellant
sent a notice to the respondent-tenant calling upon them to
pay up the arrears for the period from September, 1956 to
May, 1958 (both months inclusive), as well as for earlier
arrears of rent of Rs.20,850. On 1st December, 1958 a second
notice was issued on behalf of the original plaintiff no. 1
calling upon the respondent to quit and vacate the premises
in question on the grounds, inter alia, (a) unauthorised
construction of permanent nature; (b) obstructing roadways;
and (c) the damage to walls and floor, and further called
upon them to remove the unauthorised construction and re-
store the suit premises to its original condition. Inasmuch
as the main factual controversy in those appeals relate to
the nature of the construction alleged to have been made by
the tenant, it is relevant to set out what was stated in
that letter. It was, inter alia, stated that the tenant had
unauthorisedly committed several breaches of the terms and
conditions of the lease inasmuch as the tenant had erected
unauthorised construction of a permanent nature and carried
out additions to the demised premises without the consent of
the lessor or the receiver. It was further alleged that in
breach of the terms and conditions of the agreement of
tenancy and without the consent of the lessor or the receiv-
er, the tenant had occupied portion of the land not let out
to him by obstructing the lessor and the person entitled to
use the same and had made construction on the roadway by
obstructing and restricting the passage. It was further
alleged that the tenant had unauthorisedly and without
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permission dug up and mutilated the floors of the premises
let out to the tenant and had constructed contrary to the
provisions of section 108(0) of the Transfer of Property
Act, 1882. The tenant was called upon to remove the said
unauthorised structures and restore the property, and it was
further notified that failing which the landlord would be
compelled to take proceedings.
A reply to the said notice issued by the Court Receiver
was sent on 8th December, 1958 from the respondent company’s
advocate saying that the construction complained of had
taken place with the consent and full knowledge of the
appellant and the respondent company had spent thousands of
rupees towards the improvement of the suit
597
premises. Further in reply to the allegation of damage to
the property, the respondent company had alleged that it had
in fact improved the property of the appellant. On or about
20th December, 1958, the advocate for the appellant replied
to the above letter once again calling upon the respondent
company to vacate the demised premises.
In 1959, the standard rent application being R.A. No.
2214 of 1954 mentioned hereinbefore was dismissed. There-
upon, the respondent-tenant filed a civil revision applica-
tion. The appellant filed a suit being suit no. 1450/83 18
of 1959 on or about 31st July, 1959. On or about 8th Decem-
ber, 1965, the appellant made an application for amendment
of the plaint to include change of user as an additional
ground of eviction. The respondent also made an application
for amendment to the effect that permanent structure had
been made with the knowledge and consent of the appellant.
The said amendments were allowed in December, 1965.
On or about 31st March, 1967, the trial court in suit
no. 1450/ 8318 of 1959, ordered eviction of the tenant on
the ground of permanent construction. Mesne profit from the
date of the decree was also ordered. There was an appeal to
the appellate bench before the CoUrt of Small Causes and
cross appeal being appeal nos. 323 and 629 of 1967. By the
judgment delivered on 14th June, 1973, the division bench of
the Court of Small Causes confirmed the decree for eviction
on the ground of permanent construction and granted eviction
on change of user as well in the cross objection filed by
the appellant. It also ordered mesne profit from the date of
the suit and the monetary claims to the extent of arrears.
The High Court on or about 3/4th July, 1979, by judgment
and order of the High Court in SCA 2052 and 174 of 1974
under Articles 226 and 227 of the Constitution reversed the
concurrent findings of the courts below and allowed the
respondent company’s application. Being aggrieved therefrom,
the appellants, the landlords have come up in appeal to this
Court.
It is, first necessary therefore to consider the nature
of the structures made and whether these were permanent or
not. As stated hereinbefore that permanent structures were
constructed was held by the two courts concurrently, namely
the Judge of the Court of Small Causes as well as the Appel-
late Bench of the Small Causes Court; whether by such con-
struction there has been change of user is another question.
On the nature of the construction, it is necessary to refer
to the decision of the trial court.
598
The main question, however, in these appeals is the
jurisdiction of the High Court to interfere with the find-
ings of this nature under Article 227 of the Constitution.
The principles are well-settled. Their application, however,
in particular cases sometimes present difficulties. But the
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quest for certain amount of certitude must continue in this
field of uncertain minds and imperfect language.
To the facts, therefore, we must now refer to appreciate
the application of law involved in this case. The premises
in question was let out for use exclusively for business of
manufacture of plastic articles, wood work and paints only
and not for any other purpose. it is alleged that it is no
longer used for that purpose but used as an office and
storage.
The trial court in this case was the Court of Small
Causes, Bombay. One of the grounds of ejectment was the
erection of permanent structure and it was the case of the
appellant no. 2 that such erection was against the provi-
sions of section 13(1)(b) of the Bombay Rents, Hotel and
Lodging House Rates Control Act, 1974 (hereinafter called
the ’Rent Act’).
Under clause (p) of section 108 of the Transfer of
Property Act, 1882, a lessee may not without the lessor’s
consent erect on the property and permanent structure except
for agricultural purposes. If he does, then this becomes a
ground for ejectment.
In this case the permanent structures alleged were
constructions of lofts, construction of several rooms and
construction of and laying of a new and permanent flooring
as appears from the plaint filed in the proceedings. It
further appears that the tenant had sunk in pillars and
stanchions into the flooring. it was stated in the deposi-
tion that these pillars and stanchions mentioned in the
plaint were only those which were the posts supporting the
cabins and lofts complained of and none else. These pillars
and stanchions went along with the construction of lofts and
construction of several rooms, that is cabins. The learned
trial court discussed the details and found those cabins
marked A, B, C, D, E, F, G, H, I, J, K, L etc. There were
lofts marked cabins A, B, C, D, E, F, J, K, other lofts
marked as F, G, H and I. The third loft over the cabin at L
and the lofts over the portions M & N. These were, according
to the engineer, an architect, Shri Divecha, who was exam-
ined on behalf of the plaintiff, permanent structures. The
learned judge examined the plan prepared by the said archi-
tect and his deposition. The learned judge was of the view
that it was clear from the
599
architect’s evidence that lofts A, B, C, D, E, J, K. as well
as the lofts over F, G, H and I were meant to carry weight
of over 100 Ibs. per sq. ft. and this statement according to
the learned judge was not challenged in the cross-examina-
tion. The structures over A, B, C, D, E, J. and F.C.H.I
cannot therefore be called only roofs or tops of cabins.
They were nothing but lofts. The structures A, B, C, D, E,
K, J. so also F, G, H, I, L & M were admitted to have been
constructed by the tenant after it had taken the premises
from the landlord. The learned judge in his judgment has
also noted these various facts as to their length and dimen-
sions. He referred extensively to the evidence in the plan
which was marked Ex. MI and the deposition of Shri Divecha.
The learned Judge taking these factors into consideration
came to the conclusion that the cabin lofts and posts sup-
porting the same were attached to the flooring as well as
the walls and columns of the main structures. Under these
circumstances, the learned judge of the Court of Small
Causes was of the opinion that the structures were permanent
in nature. The learned judge, however, held that the land-
lord had failed to prove that the tenant had put up any
permanent flooring at some part of the suit premises as
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alleged. The next allegation was that the tenants had demol-
ished a portion of the wall in between the two rooms and
prepared a door at that opening. After discussing the facts
and the evidence, the learned judge was of the view that
there was no question of any waste of the plaintiff’s
property on account of any demolition. He, however, had held
that so far as cabins, lofts and posts supporting the same
by pillars, these were nothing but permanent structures. So
far as the digging of the flooring was concerned, after
discussing the evidence the learned judge held that the
plaintiffs had failed to prove digging which led to waste of
the property of the landlord. So far as the creation of the
permanent structure is concerned, the same breached the
terms of tenancy. The learned judge noted that on 1st Janu-
ary, 1948 the defendant no. 1 wrote to the plaintiff that
the height of the wooden partition they were erecting, was
specified within the plan sent along with the aforesaid
letter which had already been lying ready for erection. It
was contended by the defendants in their written statements
that they had obtained consent in respect of the wooden
cabins and partitions in the year 1948. So far as section
13(1)(b) of the Bombay Rent Act is concerned, there cannot
be any waiver operating against the plaintiffs. It was the
case that some of the permanent structures were there before
1947. On examination of the evidence, the learned judge
observed that Mr. D’silva had stated that the tenant had
requested Mahindra & Mahindra for a design of a slotted
angle cabin with a loft, that the same was supplied and Mr.
D’silva was the designer who did the work. Analysing all
these evidence, the
600
learned trial judge came to the conclusion that permanent
structures were carried out without the consent in writing
of the landlords or either of them. Such permanent structure
was outside the tenancy and the landlord had not given any
consent.
The matter on this issue went up before the appellate
court and the appellate court dealt with this again and
discussed these allegations. It was pointed out by the
appellate court that the allegations were that the appel-
lants had (a) made an opening by demolishing a part of the
wall dividing the two portions of the demised premises; (b)
constructed lofts in the suit-premises, (c) dug upon the
flooring of the premises at various places, (d) sunk in
pillars and stanchions into the flooring, (e) constructed
several rooms and laid new and permanent floorings in parts
of the demised premises at different levels. So far con-
structing lofts, it was held that these lofts had been
constructed after 1st September, 1946. And in this context
the construction of cabins and putting up of pillars were
considered and the evidence in this respect was taken into
consideration. It was contended that the demised premises in
the lease was described as godown but it was taken in the
nature of several office premises and the change in the
improvement done to the same was merely for the better
enjoyment of demised premises. In the first place the cabins
were made of wooden poles and planks fixed in the floor, and
side walls of the building with nails, screws, nuts and
bolts. The appellate court came to the conclusion that
applying the proper test, the cabins were substantial struc-
tures and substantial improvement to the premises. These
were durable for long and intended to be used permanently.
The appellate court also took the question of digging
and other relevant allegations. As a result of analysis of
these evidence and materials, the appellate court confirmed
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the findings of the trial court that the tenant had erected
permanent structure on the demised premises without the
landlord’s consent and that was a breach of the terms of
tenancy. They also confirmed the finding of the trial court
that the respondents did not waive their rights arising out
of these acts. They also upheld the finding that there was
no renewal of the lease of the landlords and the tenants
were not statutory tenants whose contractual tenancy had
come to an end by efflux of time by the end of the period of
ten years from 1st September, 1946. They upheld the decree
for possession passed by the trial court.
The High Court dealing with this matter under Article
227 of the Constitution had occasion to refer to this as-
pect. The High Court
601
referred to the different authorities on this point. We may
briefly take note of some of these.
In this connection reference may be made to a decision
of the Special Bench of the Calcutta High Court in the case
of Surya Properties Private Ltd. and others v. Bimalendu
Nath Sarkar and others. A.I.R. 1964 Calcutta p. 1 which
dealt with clause (p) of section 108 of the Transfer of
Property Act, 1882 and held that this question was dependent
on the facts of each case and no hard and fast rule can be
laid down with regard to this matter. In the absence of any
relevant materials, therefore, the Full Bench found that no
answer could be given. in a slightly different context,
before Calcutta High Court in the case of M/s Suraya Proper-
ties Private Ltd. v. Bimalendu Nath Sarkar. A.I.R. 1965
Calcutta page 408, Chatterjee, J., one of the judges of the
Division Bench observed that the phrase ’permanent struc-
ture’ for purposes of clause (p) of section 108 of the
Transfer of Property Act meant a structure which was capable
of lasting till the term of the lease and which was con-
structed in the view of being built up as was a building. In
that context the learned judge observed that a reservoir was
not, however, a permanent structure for purposes of clause
(p) of section 108 of the Transfer of Property Act. Sen, J.
of the same Bench was of the view that no hard and fast
tests could be laid down for determining the question wheth-
er a particular structure by the tenant was a permanent
structure for the purpose of clause (p) of section 108 of
the Transfer of Property Act. The answer to the question
depended on the facts of each case. Chatterjee, J., however,
took the view that where the tenant created a permanent
structure in the premises leased to him, as the lease con-
tinued in spite of the disputed structure and the landlord
continued to receive rent till the determining of the lease
by notice to quit or thereafter till the passing of the
decree for eviction and the fact that he accepted rent with
full knowledge of the disputed structure did not disentitle
him to a decree for eviction.
In Khureshi Ibrahim Ahmed v. Ahmed Haji Khanmahomad.
A.I.R. 1.965 Gujarat, 152, in connection with section
13(1)(b) of the Rent Act, Gujarat High Court held that the
permanent structure must be one which was a lasting struc-
ture and that would depend upon the nature of structure. The
permanent or temporary character of the structure would have
to be determined having regard to the nature of the struc-
ture and the nature of the materials used in the making of
the structure and the manner in which the structure was
erected and not on the basis of how long the tenant intended
to make use of the structure. As a matter of fact, the Court
observed, the nature of the structure
602
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itself would reflect whether the tenant intended that it
should exist and be available for use for a temporary period
or for an indefinite period of time. The test provided by
the Legislature was thus an objective test and not a subjec-
tive one and once it was shown that the structure erected by
the tenant was of such a nature as to be lasting in dura-
tion-lasting of course according to ordinary notions of
mankind--the tenant cannot come forward and say that it was
erected for temporary purpose.
The question was again considered in the case of Ramji
Virji and others v. Kadarbhai Esufali, A.I.R. 1973 Gujarat
110. It was observed that whether the structure was a perma-
nent structure was a mixed question of law and fact. It was
held in that case that alterations made by a tenant like
constructing loft, wooden bathroom, frame and putting up a
new drain being minor alterations which were easily remova-
ble without causing any serious damage to the premises would
not amount to permanent structure leading to the forfeiture.
There are numerous authorities dealing with the question
how the structure is a permanent structure or not should be
judged. It is not necessary to deal with all these. One must
look to the nature of the structure, the purpose for which
it was intended and take a whole perspective as to how it
affects the enjoyment, the durability of the building etc.
and other relevant factors and come to a conclusion.
Judged in the aforesaid light on an analysis of the
evidence the trial court as well as the appellate court had
held that the structures were permanent. The High Court
observed that in judging whether the structures were perma-
nent or not, the following factors should be taken into
consideration referring to an unreported decision of Malvan-
kar J. in special civil application No. 121 of 1968. These
were (1) intention of the party who put up the structure;
(2) this intention was to be gathered from the mode and
degree of annexation; (3) if the structure cannot be removed
without doing irrepairable damage to the demised premises
then that would be certainly one of the circumstances to be
considered while deciding the question of intention. Like-
wise, dimensions of the structure and (4) its removability
had to be taken into consideration. But these were not the
sole tests. (5) the purpose of erecting the structure is
another relevant factor. (6) the nature of the materials
used for the structure and (7) lastly the durability of the
structure. These were the broad tests. The High Court ap-
plied these tests. So had the Trial Court as well as the
appellate bench of Court of Small causes.
603
All the relevant factors had been borne in mind by the
learned trial judge as well as appellate bench of the Court
of Small Causes. Therefore, simply because another view is
possible and on that view a different view is taken, will be
interfering under jurisdiction under Article 227 of the
Constitution which is unwarranted. The High Court was im-
pressed by the fact that having regard to the facts and
circumstances of the case and further more for efficient and
complete enjoyment of the demised premises and for carrying
out the business of manufacturing plastic goods, these
structures had been constructed by the tenant temporarily.
According to the High Court, the nature of the materials
used and the intention of the tenant were relevant and
according to the High Court, these structures could be
removed without doing appreciable damage to the demised
premises and these indicated that these were intended to be
part and parcel of the normal part of the building. The High
Court proceeded on the basis that the trial court as well as
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the appellate bench of the Small Causes Court had relied
wholly on the basis of evidence of the admission of one Mr.
Pittie who had admitted that the landlord had knowledge of
these factors. The other evidence, according to the High
Court,. of the Divecha, D’Silva, Kirtikar and Bhansali were
not at all given proper and due weight. According to the
High Court, the High Court had in such circumstances juris-
diction to deal with this matter and in exercise of the
jurisdiction, as the High Court felt that relevant and
material facts had been ignored, the High Court set aside
the order of the court of Small Causes, and set aside the
landlord’s decree and restored the tenant in possession.
As mentioned hereinbefore it is not necessary for our
present purpose to decide whether plaintiffs’ witnesses were
properly appreciated. We find all the relevant evidence had
been examined by the trial judge as well as by the appellate
bench of the court of Small causes. We find relevant refer-
ence to the evidence of Divecha, and others. We find refer-
ence to the relevant evidence in the deposition at pages 56,
69, 71, 83, 93, to 95 by the trial court as well as in pages
133-36, 152, 167, we find reference to the deposition at p.
56 of the trial court and pages 62 to 63, as well as 65 to
71 and the Appellate Court at pages 134 and 147. Similarly
the evidence of D’silva who was an employee of Mahindra and
Mahindra as also of Shri Kirtikar, were discussed. It is not
necessary to refer in detail to these evidence.
So far as to what extent the factors are structures have
been exhaustively referred to in Surya Properties Private
Ltd. and others v. Bimalendu Nath Barkar and others (supra)
and M/s Surya Properties
604
Private Ltd. v. Bimalendu Nath Sarkar (supra) and in our
opinion these lay down correct position in law. As a matter
of fact the tenant is no longer carrying on any business
there but one Messrs Quality Plastics is carrying on the
business. Therefore the original purpose is gone. In this
connection reference may be made to Annexure IV appearing at
page 428 of the Paper Book which is a letter dated both
July, 1964 written by the Concord of India Insurance Company
Limited to the Secretary. The Insurance Association of India
where it was stated clearly that Bright Brothers Pvt. had
shifted to Bhandup as from 29th April, 1963 and at the
relevant time, they had only their Administrative Officer
there and they were stocking finished goods in the premises
in question. Further, they have recently installed their
Associate Company’s factory in the said block working under
the name of M/,s. Quality Plastics in the premises in ques-
tion.
Therefore, in view of the fact that large sum had been
spent and considering the standard and the nature of the
construction and lack of easy removability and the degree of
an annexation to the enjoyment for the original purpose, we
are of the opinion that the learned judge as well as appel-
late bench of the court of Small Causes had applied the
correct principles and came to a plausible conclusion. About
the removability of the structure, the High Court was bound
by the finding of the appellate authority which appears at
page 341 to 344 of the Paper Book. In a case of this nature,
the High Court found that they had to enter into this ques-
tion to find the real position whether the proper principles
had been correctly borne in mind. It is indisputable that
the finding that has to be arrived at by the court in this
case is a mixed question of law and fact. Therefore, if the
basic factors, for example, there was not proper apprecia-
tion of the evidence, if the assumption that lofts per se
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were not permanent structures then the courts below might be
said to have committed error apparent on record and no court
instructed in law could take such a view. But if all the
relevant factors have been borne in mind and correct legal
principles applied then, right or wrong, if a view has been
taken by the appellate court, in our opinion, interference
under Article 227 of the Constitution was unwarranted.
Interference by the High Court under Article 227 of the
Constitution must be within limits. This question has been
considered by this Court from time to time and principles
laid down. This Court in Ganpat Ladha v. Sashikant Vishnu
Shinde, [1978] 3 SCR 198 expressed the view that the High
Court commits a gross error in interfering with what was a
just and proper exercise of discretion by the Court of
605
Small Causes, in exercise of its power under Article 227 of
the Constitution. This was unwarranted. The High Court under
Article 227 has a limited jurisdiction. It was held in that
case that a finding as to whether circumstances justified
the exercise of discretion or not, unless clearly perverse
and patently unreasonale, was, after all a finding of fact
and it could not be interfered with either under Article 226
or 227 of the Constitution. If a proper court has come to
the conclusion on the examination of the nature of the
structure, the nature of the duration of structure, the
annexation and other relevant factors that the structures
were permanent in nature which were violative of section
13(1)(b) of the Rent Act as well as section 108 clause (p)
of Transfer of Property Act and such a finding, is possible,
it cannot be considered to be perverse. In such a situation,
the High Court could not have and should not have inter-
fered.
In India Pipe Fitting Co. v. Fakruddin M.A. Bakar and
Anr., [1978] 1 SCR 797, this Court reiterated that the
limitation of the Court while exercising power under Article
227 of the Constitution is well settled. Power under Article
227 is one of judicial superintendence and cannot be exer-
cised to upset the conclusions of facts, however., erroneous
these may be. It is possible that another Court may be able
to take a different view of the matter by appreciating the
evidence in a different manner, if it determinedly chooses
to do so. That will not be justice administered according to
law to which Courts are committed notwithstanding disserta-
tion in season and out of season, about philosophies. In
that case, the Court found that the High Court had arrogated
to itself the powers of the appellate court.
As early in 1959, in Satyanarayan Laxminarayan Hegde and
Others v. Millikarjun Bhavanappa Tirumale, [1960] 1 SCR 890,
this Court found that in that case on the materials avail-
able before it that the High Court was wrong in thinking
that the alleged error in the judgment of the Bombay Revenue
Tribunal was one apparent on the face of the record so as to
be capable of being corrected by a writ of certiorari and an
error which had to be established by a long drawn process of
reasoning on points where there may conveivably be two
opinions cannot be said to be an error apparent on the face
of the record. There might have been error in the judgment
of the appellate bench of the Court of Small Causes but it
is not an error palpable and apparent, right or wrong they
had come to that conclusion. That was possible or plausible
conclusion.
In Mrs. Labhkuwar Bhagwani Shah and Others v. Janardhan
606
Mahadeo Kalan and Another, [1982] 3 SCC 5 14, this Court
reiterated that concurrent finding of facts whether relating
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to jurisdictional issue or otherwise were not open to inter-
ference by the High Court under Article 227 of the Constitu-
tion.
This Court in Chandavarkar Sita Ratna Rao v. Ashalata S.
Guram, [1986] 4 SCC p. 447 held that in exercise of juris-
diction under Article 227 of the Constitution, the High
Court can go into the questions of facts or look into the
evidence if justice so requires it. But the High Court
should decline to exercise its jurisdiction under Article
226 and 227 of the Constitution to look into the facts in
the absence of clear cut-down reasons where the question
depends upon the appreciation of evidence. The High Court
should not interfere with a finding within the jurisdiction
of the inferior tribunal or court except where the finding
is perverse in law in the sense that no reasonable person
properly instructed in law could have come to such a finding
or there is misdirection in law or view of fact has been
taken in the teeth of preponderance of evidence or the
finding is not based on any material evidence or it resulted
in manifest injustice. Except to the limited extent indicat-
ed above, the High Court has no jurisdiction.
In this instant case the tests laid down have not been
transgressed by the court of Small Causes both trial court
as well as the appellate bench. The view it took was a
possible view. A different view might have been taken out
that is no ground which would justify the High Court to
interfere with the findings.
In that view of the matter, we allow the appeals, set
aside the judgment and order of the High Court and restore
the order of the appellate bench of Court of Small Causes
dated 4th June, 1973. There will be an order for possession
and mesne profits as directed by the Court of Small Causes.
The respondents will pay the cost of these appeals.
H.L.C. Appeals
allowed.
607