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Smart Summary

Factual and Procedural Background

This revision petition was filed by the landlady after the appellate authority dismissed her application for eviction of the respondent-tenant. The landlady had let the suit premises to the respondent in 1941 at a monthly rent of Rs. 80. The tenancy was originally for residential purposes. The respondent is a doctor and has been carrying on a business in a portion of the premises known as "Scientific Pharmacy." The landlady sought possession on the ground that she required the premises bona fide for her own occupation. The Rent Controller originally found the requirement bona fide and ordered eviction, but the appellate authority reversed that finding and dismissed the application. The landlady then filed this revision petition challenging the appellate order.

Relevant personal and factual context presented in the opinion: the landlady had been living in rented premises in Royapettah, travelled to Bombay for medical treatment on a number of occasions, returned to Madras in January 1962, and also owns a larger house in Triplicane which she did not wish to occupy because it was too spacious and she preferred to live among her community people in a smaller house. The tenant has occupied the premises for more than 15 years and used it for both residential and incidental non-residential (pharmacy) purposes.

Legal Issues Presented

  1. Whether the landlady's application for eviction on the ground that she required the premises bona fide for her own occupation was in fact bona fide.
  2. Whether the incidental conversion of part of an originally residential premises to a business (the tenant's pharmacy) alters the residential character of the building so as to preclude eviction on the ground of the landlord's bona fide personal requirement.

Arguments of the Parties

Landlady's Arguments

  • The landlady required the premises bona fide for her own occupation — she had returned to Madras and sought a smaller house to live in, close to her community people, and did not wish to occupy her larger Triplicane house.
  • The premises were let originally for residential purposes and the tenant's running of a pharmacy in a portion was without the landlady's consent (as stated by her agent).
  • Her past residence in rented premises supports the bona fide nature of her present requirement (citing authority that a landlord living in rented premises can satisfy bona fide requirement).

Respondent-Tenant's Arguments

  • The respondent has been in occupation for more than 15 years and has used the premises for both residential and non-residential purposes; therefore, the landlady cannot seek eviction on the ground of own occupation.
  • The landlady was aware that the respondent was carrying on the business "Scientific Pharmacy," and that awareness (or acquiescence) prevents the landlady from claiming bona fide requirement.

Table of Precedents Cited

Precedent Rule or Principle Cited For Application by the Court
Basantlal v. Chakravarty (1949-50) 54 C.W.N. 20 at 24 (Calcutta High Court) Gross unreasonableness of the landlord might, in proper circumstances, lead the court to conclude that the landlord's requirement was not bona fide; requirement must be judged as at the date of hearing. The court cited this principle to emphasize that bona fides can be tested by examining reasonableness at the time of hearing and that unreasonableness could indicate mala fides; it applied the test to the landlady's stated need and found it reasonable.
Harcoute v. Lowe, 35 T.L.R. 255 (Lush, J.) The relevant time to consider the landlord's requirement is when the court is asked to make the order; the landlord must have a genuine present need for the house. The court used this timing principle to assess whether the landlady had a genuine present need at the hearing and concluded she did.
Burman v. Woods L.R. (1948) 1 K.B. 111 (Somervell L.J.) Altered circumstances must be taken into consideration in moulding the final decree or order. The court relied on this to note that the landlady's possession of other accommodation (Triplicane house) did not automatically defeat a bona fide requirement, and the landlady's personal circumstances could justify her need.
Abdul Kareem v. C.M. Mohamed (1962) 1 M.L.J. 382 (Madras High Court) When a landlord or landlady lives in a rented premises, that fact is sufficient to satisfy the court that a bona fide requirement for eviction exists. The court cited this decision to support the proposition that the landlady's prior living in rented premises supported the bona fide character of her present requirement.
Dakshina Moorthy v. Thulja Bai (1952) 1 M.L.J. 390 (Full Bench) Set out considerations/tests to decide whether a building is residential or non-residential (five-part framework: tenancy instrument, direct evidence, user and acquiescence, structural design/antecedent user/surroundings, and when mixed use the real, main and substantial purpose of letting). The court applied these tests to hold that the premises were originally let for residential purposes and that incidental business use of a small portion did not change the residential character; the real, main and substantial purpose remained residential.
Dr. Gopal Das Varma v. Dr. Bhardwaj (1961) 2 S.C.J. 616 (Supreme Court) Illustrated a factual situation where a tenant used the major part of the premises for professional work and the bona fide requirement of the landlord was not proved where landlord had acquiesced in non-residential use. The court distinguished this decision on the facts: in the present case the non-residential use was a small portion, there was no evidence of the landlady's consent or acquiescence, and the tenant's evidence was weak, so Varma did not control the outcome.

Court's Reasoning and Analysis

The court framed the central question as whether the landlady's application was bona fide. It began by explaining the legal meaning and evidential approach to "bona fide" requirements: bona fides can be proved like other facts and need not be established only by the landlord's testimony. The court summarized and relied on authorities to set out legal principles: (a) gross unreasonableness might show mala fides (Basantlal), (b) the landlord's requirement must be judged at the time the order is sought (Harcoute), and (c) altered circumstances (such as other accommodation) do not automatically defeat a bona fide claim (Burman). The court also relied on a recent Madras decision (Abdul Kareem) holding that a landlord living in rented premises can sufficiently demonstrate bona fide need.

On the question of character of the premises, the court applied the five-part framework from the Full Bench in Dakshina Moorthy v. Thulja Bai to determine whether the building was residential or non-residential. The court found:

  • The premises were originally let for residential purposes.
  • Although the tenant, a doctor, carried on a pharmacy in a small portion of the premises, that incidental business use did not change the real, main and substantial purpose of the letting, which remained residential.
  • The tenant's evidence about the extent and nature of the non-residential use was meagre, slender and weak; the tenant did not specify the proportions or whether the landlady had acquiesced from the beginning or later.
  • The landlady's agent gave categorical evidence that the tenancy was for residential purposes only and that the pharmacy was run without the landlady's consent.

On the facts — the landlady's stated preference to live in a smaller house among her community people, her history of living in rented premises and medical visits to Bombay, the original residential letting, the limited and unconsented non-residential use by the tenant, and the weakness of the tenant's evidence — the court concluded the landlady's requirement was bona fide. The court specifically found the appellate authority's reasons (that she was a single person, not permanently resident in Madras, and had other houses) unconvincing in light of the statutory provisions and High Court rulings cited.

Holding and Implications

The revision petition is allowed.

Direct consequences and orders given in the opinion:

  • The court allowed the revision petition and, accordingly, accepted the landlady's claim of bona fide requirement for occupation.
  • Costs: "The parties will bear their own costs throughout."
  • Possession timeline: Because the tenant had been in occupation for more than 15 years and might need time to find alternative accommodation, the court granted the tenant time until 31 July 1966 to hand over vacant possession; the tenant is to vacate on or before that date.

Implications beyond the parties: The opinion does not announce any novel legal principle or broader precedent beyond applying and distinguishing existing authorities; its effect is a direct order granting eviction, subject to the stay period for relocation, and it records the court's view on how established precedents bear on the facts.

    Bathool Bai v. A.S Vaidyakathan

    1. This revision petition is preferred by the landlady whose application for eviction of the respondent-tenant on the ground that she required the premises bona fide for her own occupation was dismissed by the appellate authority.

    2. The landlady let out the suit premises to the respondent on a monthly rent of Rs. 80 from 1941. It is common ground that the respondent is a doctor by profession and is also incidentally carrying on business in a portion of the premises known as Scientific Pharmacy. It is also common ground that the premises was let out to the respondent only for residential purposes. The landlady has been attempting for some years to get possession of the premises by filing applications for eviction of the tenant but she has not been successful. The landlady was originally living in a rented premises in Royapettah. As her only daughter was at Bombay she vacated the rented premises and went to Bombay in order to undergo a major surgical operation in Bombay. She returned to Madras in 1959 and was temporarily staying with a relation of hers. The old complaint again reappeared and she again went to Bombay for further treatment and finally returned to Madras in the month of January, 1962. It is true that she has another house which is bigger one in Triplicane. That being very spacious and she being alone she does not want to occupy that premises. Further she wants to live in the place where her community people live. In those circumstances, she filed the present application, out of which this revision arises, for eviction of the tenant on the ground that she required the premises bona fide for her own occupation. The learned Rent Controller found that the requirement of the landlady was bona fide and ordered eviction. But on appeal, this finding was reversed, and the application was dismissed. It is again this order of dismissal of her application, the landlady has filed the revision petition.

    3. The short question that arises for consideration in this revision petition is whether the application of the landlady is a bona fide one.

    4. The word 'bona fide' has been the subject of judicial interpretation. While cons-truing the word ' bonafide' in the Act, it must be borne in mind that it is the duty of the Court to see that the premises are required both reasonably and bona fide. Bona fides may be proved in an ordinary way like any other fact in issue or a relevant fact. There is no such rule of law that ' bona fides', being a subjective matter, can only be proved by the landlord stepping into the witness box. In Basantlal v. Chakravarty (1949-50) 54 C.W.N. 20 at 24 the Calcutta High Court has occasion to deal with the connotation of the word ' bona fide requirement' of the landlord. It was observed that gross unreasonableness of the landlord might, in proper circumstances, lead the Court to the conclusion that the landlord's requirement was not bona fides, and that how much unreasonableness would be regarded by the Court as evidence of mala fides of the landlord would depend on the facts and circumstances of the case. The requirement of the landlord must be judged as at the date of hearing. In Harcoute v. Lowe 35 T.L.R. 255 Lush, J., observed that the only time which it was necessary to consider in order to apply the provisions of the section was the time when the Court was asked to make the order. The landlord must have a genuine present need for the house for his occupation. The term ' require' implies that it is more under the force of his personal circumstances than under the impulse of a desire that the landlord needs the premises; but the desire in not altogether to be ruled out. Somervell L.J., in Burman v. Woods L.R.(1948) 1 K.B. 111 held that the altered circumstances must be taken into consideration in moulding the final decree or order. The fact that the landlady has an accommodation elsewhere is no reason for holding that the landlady does not reasonably require the premises. Bearing the principles laid down in the cases cited, I have to consider whether the application of the landlady is a bona fide one or not. It cannot be denied that the landlady is now living in a rented house. It has been held by Ramachandra Iyer, Officiating Chief Justice, in a recent decision reported in Abdul Kareem v. C.M. Mohamed (1962) 1 M.L.J. 382 that, when a landlord or landlady lives in a rented premises, it would be enough to satisfy the Court in an application for eviction of the tenant that it is a bona fide requirement of the landlord or landlady.

    5. The only contention of the respondent is that he is in occupation of the premises for more than 15 years. He has been using the premises both for residential and non-residential purposes and therefore the landlady cannot seek eviction on the ground of own occupation. He has also contended that the landlady has been aware that he has been carrying on business under the name and style of Scientific Pharmacy, and that therefore the landlady cannot come with an application for eviction on the ground of her own occupation.

    6. There is no dispute that the premises was originally let out for residential purposes. A Full Bench of this Court in Dakshina Moorthy v. Thulja Bai (1952) 1 M.L.J. 390 have laid down the following considerations for deciding the question whether a building is residential or non-residential:

    (1) Where there is an instrument of tenancy specifically and explicitly declaring the purpose of letting as residential or non-residential, no difficulty generally arises. (2) Where there is no such instrument of tenancy, the question Will have to be considered on the basis of direct evidence aliens concerning the purpose of the letting, Which may be adduced in a case. (3) If no such evidence too is forthcoming, the Court can only look at the evidence concerning the user of the premises by the tenant down to the date of the application for eviction, as acquiesced in by the landlord. For, such user and such acquiescence afford a safe basis for an inference of agreement between the parties as to the purpose of the letting. (4) Where there is evidence of such user, but there is no evidence of such acquiescence, the structual design, the antecedent user of the building by the landlord as known to the tenant and other surrounding circumstances, if any will also have to enter into the determination of the question Whether the building is or is not residential. (5) Difficulty may sometimes still remain, i.e, even, after applying the tests above indicated, if the building is found let for both kinds of purposes residential and non-residential, no distinction being made between one part as let for one purpose and the other for the other purpose. In such a case what has to be determined as a question of fact is, What Was the real, main and substantial purpose of the letting ?

    Now in the instant case, originally, the premises was let out for residential purposes to the tenant who is a doctor by profession. Being a doctor, incidentally, he has been carrying on business known as Scientific Pharmacy in a small portion of the building. The real, main and substantial purpose of the letting was for residential purposes. Therefore conversion of a portion of the house for a business would not certainly alter the residential character of the building. No doubt, learned Counsel for the respondent-tenant cited the decision in Dr. Gopal Das Varma v. Dr. Bhardwaj (1961) 2 S.C.J. 616 where a landlord filed an application for eviction of the tenant on the ground that he required the premises for his own occupation.' The tenant contended that the landlord did not require the premises bonafide for his personal use and that he was using the major part of premises for carrying on his medical profession. Both the appellate authority and the High Court found that the tenant was using the building both for his residence and his professional work since the inception of the tenancy without any objection from the landlord and that the bona fide requirement of landlord was not proved. Here the landlady has at no time given her consent to convert a small portion of the building for non residential purposes. The tenant is no doubt a doctor and he will be carrying on his professional activities, but that does not mean that the building has become non-residential in character, so as to prevent the landlady from applying for eviction on the ground of her bona fide requirement. The evidence of the tenant is very meagre, slender and weak in character. All that he says is that he is an allopathic practitioner, residing there and running his pharmacy. He does not say what is the extent of the residential portion and non-residential portion and whether the landlady has acquiesced in his running of the pharmacy from the beginning or at least subsequently. On the other hand, the agent of the landlady has categorically stated that the doctor was let in as a tenant only for residential purposes, and that he is running the pharmacy without the landlady's consent. In such circumstances, I fail to see how the principles laid down in the Supreme Court decision would apply to the facts of the present case. She has further given sufficient reasons why she required this building for her occupation. Under these circumstances, I feel that the requirement of the landlady is a bona fid, one. The reasoning of the appellate authority that the landlady is a single soul, not permanently residing at Madras and is having other houses is not convincing to me. One cannot expect her to live in her daughter's house at Bombay. Further, she, being a single soul, wants to lie in a smaller house and amidst her community people. I therefore find that the reasoning of the appellate authority is not consistent with the provisions of the Act and the rulings of our High Court.

    7. In the result, the revision petition is allowed. The parties will bear their own costs throughout.

    8. However as the tenant has been living in the premises for more than 15 years he may not find it possible to find alternative accommodation immediately. It is therefore just and equitable that sufficient time should be given to him to find alternative accommodation, and I give him time till 31st July, 1966, The tenant will hand over vacant possession on or before that date.

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    Bathool Bai v. A.S Vaidyakathan
    (Jan 28, 1966)