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  • Madras City Tenants Protection Act
  • Section 1, Sub-clause 3, the Act
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Citation Codes
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citation codes
Case Number
Attorney(S)
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Acts
  • Madras City Tenants Protection Act
  • Section 1, Sub-clause 3, the Act
Smart Summary

Factual and Procedural Background

This is an appeal against the decree of the Principal Judge, City Civil Court, which dismissed the appellant's suit seeking ejectment of his tenant (the respondent) and mesne profits.

The respondent and another entered possession of the suit land on 14 July 1921 under Ex. D-1, a registered lease for ten years with rent specified for two five-year periods. According to unrefuted evidence, the respondent alone continued in possession after the lease expired in 1931. The co-lessee died in 1936 and his relatives took no further interest in the sheds erected on the land.

The suit land was sold to the plaintiff on 15 July 1944, and on that date the defendant (respondent) executed a rental agreement, Ex. P-1, in favour of the plaintiff. The principal factual question identified in the opinion is whether, on these facts, the respondent is a "tenant" within the meaning of the Madras City Tenants Protection Act and thus entitled to the Act's protections, which would make the dismissal of the suit correct.

Legal Issues Presented

  1. Whether the respondent is a "tenant" within the meaning of the Madras City Tenants Protection Act (in particular having regard to Section 2(4)'s inclusion of persons who continue in possession after termination of a tenancy) and therefore entitled to the benefits of the Act.
  2. Whether the execution of Ex. P-1 on 15 July 1944 affected the respondent's status so as to exclude him from the protection of the Act (i.e., whether Ex. P-1 created a new tenancy or otherwise altered his rights).

Arguments of the Parties

Appellant's Arguments

  • After the termination of the original lease in 1931 a new tenancy was created because (a) one of the joint tenants ceased to be a tenant and (b) the respondent continued to hold over; consequently the respondent's rights under such a new tenancy were not rights created before the commencement of the Act and so would not attract the Act's protection.
  • Ex. P-1 (the rental agreement executed on 15 July 1944) could show that, after that date, the respondent was no longer a tenant within the meaning of the Act — particularly if Ex. P-1 had been registered and executed by both lessor and lessee.
  • The appellant relied on judicial authority (Ranganatham v. Ethirajulu) as supporting the proposition that Section 2(4) should not include persons in possession under a new lease created after the original tenancy expired.

Table of Precedents Cited

Precedent Rule or Principle Cited For Application by the Court
Ranganatham v. Ethirajulu (1940) 1 M.LJ. 24 : L.R. 67 LA. 25 : I.L.R. (1940) Mad. 172 (P.C Held that Section 2(4) applied only to persons holding under the original tenancy or holding over after the tenancy had come to an end and did not include persons in possession under a new lease created after the expiry of the original lease. The court considered this authority but distinguished it on the grounds that the present respondent's possession was referable to holding over after Ex. D-1 and, in any event, Ex. P-1 had no legal effect because it was unregistered and unsigned by the lessor.
Nayar Varada Pillai v. Ghulam Dastagir (1945) 2 M.L.J. 190 Discussed as a case in which King, J., distinguished Ranganatham v. Ethirajulu on the ground that the leases then before him had substantially the same terms as the original lease. The court noted the distinction drawn by King, J., but stated it was unnecessary to decide how far that distinction was valid in the present case because Ex. P-1 lacked legal effect.

Court's Reasoning and Analysis

The court proceeded by reference to the original lease (Ex. D-1, dated 14 July 1921) and the statutory definition of "tenant" in Section 2(4) of the Madras City Tenants Protection Act, which expressly includes "persons who continue in possession after the termination of the tenancy."

Applying that definition to the unrefuted evidence that the respondent continued in possession and was liable to pay rent from 1921 onward, the court concluded that the respondent fell within the Act's definition of a tenant and was therefore entitled to the Act's privileges.

The court addressed the appellant's contention that a new tenancy was created after 1931. It held that even if a new tenancy had arisen, that fact did not exclude the respondent from the Act's protection because the statute's definition expressly covers persons holding over after termination of a tenancy.

The court further explained the legal position as to joint tenants: when only one joint tenant holds over, that tenant alone is liable to pay the whole rent to the landlord and the landlord cannot claim rent from those who did not hold over. Thus, after 1931 the appellant (landlord) was entitled to claim rent from the respondent alone, and the other tenant or his heirs had no rights by reason of not holding over.

Finally, the court examined Ex. P-1. It observed that if Ex. P-1 had been registered and executed by both lessor and lessee it might have altered the respondent's status; however, Ex. P-1 was unregistered and was not signed by the lessor and therefore had no legal effect. Consequently the respondent's possession was attributable only to holding over after Ex. D-1's termination and not to Ex. P-1.

Holding and Implications

APPEAL DISMISSED WITH COSTS

Direct effect: The appeal fails; the decree of the Principal Judge dismissing the appellant's suit for ejectment and mesne profits is upheld. On the facts found and the statutory definition applied, the respondent is a "tenant" within the meaning of the Madras City Tenants Protection Act and was entitled to the benefits of the Act, which justified dismissal of the ejectment suit.

Broader implications: The opinion confines its decision to the statutory definition and the facts of the case. It does not purport to lay down a new broad precedent beyond the application of Section 2(4) to a person holding over; the court expressly declined to decide the full scope of the distinction drawn in prior authorities because Ex. P-1 lacked legal effect in this case.

    R. Ramaswami Chettiar v. Sriperumbudur M. Ramaswami Pillai.

    1. This is an appeal against the decree of the Principal Judge, City Civil Court, dismissing the appellant's suit for ejectment of his tenant (the respondent) and for mesne profits.

    2. The respondent and another entered into possession of the suit land on the 14th July, 1921, by Ex. D-1, which was a registered lease for a term of ten years, agreeing to pay Rs. 12 per month for the first five years and Rs. 15 per month for the second period of five years. According to the evidence of the respondent, which has not been refuted, the respondent alone continued in possession after the expiry of the lease in 1931. The other lessee is said to have died in 1936, where-upon his relatives took away his cows and took no further interest in the sheds which had been erected on the suit land after the execution of the lease in 1921. On the 15th July, 1944, after the suit land had been sold to the plaintiff by Bala-sundara Achari, son of Gangadhara Achari (the lessor under Ex. D-1) the defendant executed a rental agreement, Ex. P-1, in favour of the plaintiff. The question is whether on these facts the respondent is a tenant within the meaning of the Madras City Tenants Protection Act and is entitled to the benefit of those provisions. If he is, then the suit was rightly dismissed : if he was not then the plaintiff is entitled to succeed in his suit for ejectment.

    3. In Section 1, Sub-clause 3, the Act is said to apply to tenancies of land created before the commencement of the Act. The only tenancy prior to the Act with which we are concerned is Ex. D-1, dated the 14th July, 1921, which expired after the coming into force of the Act. Under Section 2(4) "tenant" is defined as " tenant of land liable to pay rent on it... and includes persons who continue in possession after the termination of the tenancy." The respondent was liable to pay rent on the land from 1921 onwards and he continued in possession after the termination of the tenancy. So, under the clear wording of this sub-section, he is a tenant within the meaning of the Act entitled to the privileges conferred by the Act.

    4. It is argued that after the termination of the lease a new tenancy was created, not only because one of the joint tenants ceased to be a tenant, but also because the respondent continued to hold over afterwards, and that therefore his rights under the new tenancy were not created before the commencement of the Act. With regard to the second point, it is true that the original tenancy came to an end an 1931; and it may be that the respondent continued under a new tenancy. That does not mean that he is not a tenant within the, meaning of the Act, entitled to the benefits of the Act; because the very definition of a tenant, as already pointed out, includes a person holding over after the termination of the tenancy.

    5. When there are joint tenants and only one of them holds over, the tenant holding over is liable to pay the whole of the rent, to the landlord, who is not entitled to claim from the tenants who do not hold over, any portion of the rent: nor is the landlord entitled to look to any person other than the tenant holding over for the rent. So that after 1931 the appellant was entitled to claim the rent from the respondent; and the respondent alone was entitled to remain in possession and pay the rent. The other tenant and his heirs had no rights at all after 1931, when the tenancy came to an end; for they did not hold over.

    6. There remains for consideration the effect of Ex. P-1 If Ex. P-1 had been registered and had been executed by the lessor as well as the lessee, it might have been, arguable that after 15th July, 1944, the respondent was no longer a tenant within the meaning of the Act. In that connection, the learned advocate for the appellant has referred us to Ranganatham v. Ethirajulu (1940) 1 M.LJ. 24 : L.R. 67 LA. 25 : I.L.R. (1940) Mad. 172 (P.C), in which a lease was created in very different terms sometime after the expiry of the original lease, which was created before the commencement of the Act. Their Lordships held that Section 2(4) applied only to persons holding under the original tenancy or holding over after the tenancy had come to an end and did not include persons in possession under a new lease. A case somewhat similar to the present case came before King, J., in Nayar Varada Pillai v. Ghulam Dastagir (1945) 2 M.L.J. 190, in which the learned Judge distinguished the case before him from that before their Lordships in Ranganadham v. Ethirajulu (1940) 1 M.LJ. 24 : L.R. 67 LA. 25 : I.L.R. (1940) Mad. 172 (P.C) on the ground that in the leases that he was considering, the terms were substantially the same. It is not necessary for us to consider how far this distinction drawn by King, J., was valid, because Ex. P-1 had no legal effect, as it was unregistered and was not signed by the lessor. That being so, the possession of the respondent is referable only to his holding over after the termination of Ex. D-1, and not to the execution of Ex. P-1.

    7. The appeal fails and is dismissed with costs.

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    Comments

    R. Ramaswami Chettiar v. Sriperumbudur M. Ramaswami Pillai.
    (Dec 10, 1947)