Facts
The Appellants (tenants) challenged a common judgment dated 31.07.2023, which decreed two suits for possession, arrears of rent, and mesne profits in favor of the Respondents (landlords) under Order XII Rule 6 of the CPC
Source reference: para 1-2The tenancies involved two properties in Naraina, New Delhi: one room let out in 2008 at Rs. 4,000/month [para 3] and three rooms let out in 2014 at Rs. 17,000/month
Source reference: para 4The Respondents alleged that the Appellants defaulted on rent since January 2018 and failed to vacate despite legal notices and written undertakings dated 01.05.2022 and 19.08.2022
Source reference: para 7-11The Appellants admitted the landlord-tenant relationship and the rate of rent but contended that rent was paid in cash, that they had advanced a friendly loan of Rs. 5,00,000 to the Respondents' family, and that the undertakings were obtained through coercion
Source reference: para 13-20They further argued the suits were commercial and should have been tried under the Commercial Courts Act
Source reference: para 38Issues
1. Whether there were clear and unequivocal admissions by the Appellants to justify a decree for possession and arrears of rent under Order XII Rule 6 CPC
Source reference: para 28, 362. Whether the suits were commercial in nature, rendering them non-maintainable before a regular Civil Court
Source reference: para 38, 46Law Applied
The court applied Order XII Rule 6 of the Code of Civil Procedure, 1908, which allows for judgment on admissions
Source reference: para 26It relied on Payal Vision Ltd. v. Radhika Chaudhary, establishing that in possession suits, one must only prove the landlord-tenant relationship and the termination of tenancy
Source reference: para 27Under Section 106 of the Transfer of Property Act, 1882, the court noted that filing a suit serves as legal notice to vacate, citing M/s Nopany Investments (P) Ltd. v. Santokh Singh
Source reference: para 44Section 116 of the Indian Evidence Act, 1872, was applied to estop the tenant from challenging the landlord’s title
Source reference: para 33The court also referenced Sky Land International Pvt. Ltd. v. Kavit P. Lalwani regarding the expiration of leases by efflux of time
Source reference: para 30Reasoning
The court found that the Appellants had categorically admitted to the landlord-tenant relationship and the combined monthly rent of Rs. 21,000
Source reference: para 39Although the Appellants claimed to have paid rent in cash, the court observed that the issuance of cheques for arrears (which subsequently dishonored) and the written undertakings to pay arrears and vacate the premises corroborated the Respondents' claims of default since 2018
Source reference: para 40-41The court dismissed the plea of coercion regarding the undertakings as a "specious defense" lacking merit
Source reference: para 42Regarding the commercial nature of the suit, the court held that the mere use of one room on the first floor as an office does not transform a residential tenancy into a "commercial transaction" governed by the Commercial Courts Act
Source reference: para 46Since the leases had expired by efflux of time or were terminable month-to-month, the court held that the trial court correctly applied Order XII Rule 6 CPC
Source reference: para 43-45Holding
The High Court dismissed both appeals, affirming the trial court’s decree for possession and arrears of rent
The court held that the admissions regarding the tenancy relationship and rent amount were sufficient for a summary judgment under Order XII Rule 6 CPC
Source reference: para 45It specifically directed the Appellants to pay arrears at the rates of Rs. 4,000 and Rs. 17,000 per month from January 2018 onwards
Source reference: para 34, 45All pending applications were disposed of accordingly
Source reference: para 48Original Court PDF
M/S B.R. Industries And Anr & Anr.vsSmt. Sangeeta Gupta
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