Judgment Summary — P.N. Nag, J.
Factual and Procedural Background
This is a suit by the Managing Trustee (plaintiff) of Arya Vaidyasala, Kittakkal (a charitable trust) for recovery of possession of premises described in the plaint and for damages of Rs. 1,96,000 together with future damages for use and occupation at the rate of Rs. 100 per day from the date of suit until actual possession is regained.
Facts as pleaded: the defendant was appointed as Coordination Officer at the plaintiff's New Delhi branch with effect from 1 May 1982 and, at his request, was allowed to use a room and kitchen on the second floor of the branch premises "as a special case and on a temporary basis" on terms recorded in a letter dated 15-12-1982 (Ex. P-1). The defendant accepted those terms on 20-2-1982.
By resolution No. 14(d) dated 19-1-1986 (Ex. P-8) the Board of Trustees abolished the post of Coordination Officer and terminated the defendant's services w.e.f. 31-1-1986. The defendant was directed to vacate within four weeks (on or before 28-2-1986). The defendant did not accept the cheque tendered in lieu of notice and did not vacate; a legal notice dated 6-5-1986 (Ex. P-2) asked him to quit and to pay damages @ Rs. 100 per day from 1-3-1986.
The defendant filed a written statement raising preliminary objections (including maintainability because the trust is not a legal entity and insufficient authorisation) and denying that the premises were given permanently; he contended they were given to him permanently in consideration of his services and that he had a life interest or permanent right.
The court framed five issues on 7-9-1988 and resolved them after hearing evidence and argument. An interlocutory application (I.A. 6498/89) was allowed on 19-9-1989 to implead all trustees as plaintiffs.
Legal Issues Presented
- Whether the suit is properly valued for the purposes of court fee and jurisdiction?
- Whether the plaint has been signed, verified and the suit instituted by a duly authorised person?
- Whether the suit is maintainable by the plaintiff (in view of trust law and requirement to join all trustees)?
- Whether the premises in suit were given to the defendant on a permanent basis in consideration of his extraordinary services to the plaintiff?
- Whether the plaintiff is entitled to recover damages; if so, at what rate and for what period?
Arguments of the Parties
Plaintiff's Arguments
- The plaintiff (through the Managing Trustee) pleaded and produced Ex. P-1 (letter dated 15-12-1982) recording that the defendant was permitted to use a room and kitchen "as a special case and on a temporary basis" and that the room and kitchen "will be given vacant possession to us as and when he find it necessary." The permission did not confer any claim to residence or H.R.A.
- The Board resolution dated 19-1-1986 (Ex. P-8) abolished the post and terminated the defendant's service w.e.f. 31-1-1986 and directed vacation by 28-2-1986; the plaintiff therefore asserted the licence/permission was withdrawn and the licence was revoked.
- The plaintiff claimed damages for use and occupation at Rs. 100 per day (calculated from the prevailing market rate of Rs. 4 per sq. ft. per month for 750 sq. ft.).
- The plaintiff relied on documentary proof (letters, board proceedings, notice) and witness evidence (including deposition of the Managing Trustee as PW2 and valuation evidence by PW1).
Defendant's Arguments
- The defendant denied that the accommodation was temporary and asserted it was given to him permanently in consideration of his extraordinary and exceptional services to the trust; he claimed a right of permanent residence or life interest and said the premises were not part of any guest house.
- The defendant raised preliminary objections that the suit was not maintainable because the trust is not a legal entity and the plaint was not signed, verified and instituted by a duly authorised person; he argued that in a private trust all trustees must join and a single trustee cannot bind the trust unless the trust instrument so provides.
- The defendant asserted factual matters in support of his claim of permanent grant—alleged services (including securing tax exemption and land allotment) and inter-relatedness of trustees—but did not produce any document proving a permanent grant of the premises.
- The defendant challenged valuation and other technical matters (plea that the suit was not correctly valued for court fee and jurisdiction was raised in the written statement).
Table of Precedents Cited
| Precedent |
Rule or Principle Cited For |
Application by the Court |
| Lala Man Mohan Das v. Janki Prasad and others (AIR 1945 PC 23) |
Illustration of principle that co-trustees form a collective trustee and in general all must act together; concurrence of co‑trustees is usually necessary for transactions affecting trust property. |
Referred to as authority supporting the general rule that all trustees must be joined in suits affecting trust property; used in discussion of maintainability. |
| L. Janakirama Iyer and others v. P.M. Nilakanta Iyer & others (AIR 1962 SC 633) |
Listed among authorities establishing the principle that all co-trustees ordinarily must join in actions concerning trust property. |
Relied upon collectively (with other authorities) to frame the general legal backdrop for the defendant's maintainability objection. |
| Sheikh Abdul Kayum and others v. Mulla Alibhai and others (AIR 1963 SC 309) |
Listed among authorities reiterating the rule that all co-trustees must generally join in transactions affecting trust property. |
Referred to as part of the body of authorities relied upon by the defendant; court considered the line of authority while resolving issues 2 and 3. |
| Birdhi Chand Jain Charitable Trust v. Kanhaiyalal Shamlal (1972 RLR 142) |
Listed as authority on trusteeship and necessity of joining co-trustees in actions involving trust property. |
Referenced in the collective discussion of the rule; formed part of background precedent. |
| Amritlal Nathubhai Shah and others v. Union Government of India and another (AIR 1973 Guj. 117) |
Listed among cases on the principle that concurrence of all trustees is generally necessary. |
Referred to in court's survey of authorities on trusteeship and the requirement to join co-trustees. |
| M/s. Shanti Vijay & Co. etc. v. Princess Fatima Fouzia and others (AIR 1980 SC 17) |
Sets out the general rule: in a private trust where there are multiple trustees all must join in execution of trust; concurrence of all is generally necessary, subject to express directions by the settlor. |
The court quoted this decision at length and treated it as primary authority stating the general rule that all co-trustees must act together; used in analysing the defendant's maintainability objection. |
| Duli Chand v. M/s. Mahabir Pershad Trilok Chand Charitable Trust (AIR 1984 Del. 145) |
Considered the question whether a suit by co-trustees on a resolution authorising one trustee to file suit was maintainable and discussed related procedural issues; observed doubt whether a single trustee could sue without joining others unless instrument permits. |
The court relied on and discussed this decision, noting its observations and using it to compare the trustee situation to co-owners and to examine the exception allowing one co-owner (or trustee in analogous position) to sue a trespasser. |
| Atmaram Ranchhodbhai v. Gulamhusain Gulam Mohiyuddin (AIR 1973 Guj. 113) |
Referred to in the context of decisions indicating that all co-trustees must join unless the trust instrument provides otherwise. |
Used as supporting authority cited in the court's discussion of the unanimity of High Courts on the necessity of joining all trustees. |
| Shri Mahavir Prasad v. Shri Sukhdev Mangia and another (1983 (3) Delhi Lawyer 260—DB) |
Division Bench decision holding that a co-owner can sue a trespasser without impleading other co-owners. |
Cited by the court as an analogous authority supporting the proposition that one co-owner (and by analogy one co‑trustee) can maintain an ejectment action against a trespasser; used to distinguish the authorities urged by defendant. |
Court's Reasoning and Analysis
The court structured its analysis around the issues framed, addressing Issue No. 4 first because the outcome of that issue materially affected the case.
Issue No. 4 (permanency of grant): The court examined Ex. P-1 (letter dated 15-12-1982) which expressly permitted the defendant to use "one room and the kitchen on the second floor" as "a special case and on a temporary basis" and stated that the room and kitchen "will be given vacant possession to us as and when he find it necessary" and that the permission did not give any claim for residence or H.R.A. The defendant's acceptance of these terms was recorded on the letter (acceptance dated 20-2-1982). The plaintiff also produced Ex. P-2 (legal notice dated 6-5-1986), Ex. P-8 (resolution No. 14(d) dated 19-1-1986 terminating post and directing vacation), and board proceedings (Ex. P-4 to P-7) showing appointment and probation of the defendant.
The court found no documentary evidence produced by the defendant to show a permanent grant or a life interest in the premises. The court observed that while the defendant asserted exceptional services and familial/connection-based considerations, there was no document proving a permanent allotment. On the basis of the documentary record and PW2's deposition, the court concluded the occupancy was temporary and revocable; Issue No. 4 was therefore decided in favour of the plaintiff.
Issue No. 1 (valuation): PW1 produced a valuation report (prepared around February 1987) and no successful challenge in cross-examination was made. The plaint valued damages collectively at Rs. 1,96,000 for the purposes of court fee and jurisdiction. The court accepted the valuation and held the suit properly valued.
Issues Nos. 2 and 3 (signature/authorisation and maintainability): The defendant argued, relying on a line of authorities, that a private trust with multiple trustees requires all trustees to join in transactions affecting trust property and in suits concerning trust property; a single trustee cannot bind the trust unless the trust instrument provides otherwise. The court reviewed the authorities (including the Supreme Court's decision in M/s Shanti Vijay & Co.) which state the general rule requiring concurrence of co-trustees.
Procedurally, the court noted that I.A. 6498/89 had been allowed on 19-9-1989 and all trustees were impleaded as plaintiffs, which removed much of the force of the maintainability objection. The court nevertheless examined whether a suit by one trustee against a mere trespasser could be maintained: relying on the analogy to co-owners (and authorities such as Duli Chand and Shri Mahavir Prasad), the court accepted the exception that one co-owner (or one trustee similarly situated) can maintain an ejectment action against a trespasser without joining other co-owners. The court held that the Managing Trustee (who had signed and instituted the suit and who had authorisation) could maintain the suit; the plaint was signed, verified and instituted by a duly authorised person. Issues 2 and 3 were decided in favour of the plaintiffs.
Issue No. 5 (damages): PW1 testified that the disputed area was 750 sq. ft. and that the prevalent rate was Rs. 4 per sq. ft. per month, equating to Rs. 3,000 per month or Rs. 100 per day. No effective cross-examination undermined this evidence. The court accepted the rate and held the plaintiffs entitled to damages at Rs. 100 per day; Issue No. 5 was decided for the plaintiffs.
Final decree: Having decided the issues in favour of the plaintiffs, the court entered a decree for possession and awarded Rs. 1,96,000 as damages for use and occupation up to the date of the suit, and future damages at Rs. 100 per day from the date of filing the suit until the plaintiffs obtained actual possession. Costs were also awarded to the plaintiffs.
Holding and Implications
Core Ruling: The suit is decreed in favour of the plaintiffs.
Direct effects and orders entered by the court:
- Decree for recovery of possession of the premises in dispute in favour of the plaintiffs and against the defendant.
- Award of Rs. 1,96,000 as damages for use and occupation up to the date of the suit.
- Future damages awarded at Rs. 100 per day from the date of filing of the suit until the plaintiffs obtain actual possession.
- Costs awarded to the plaintiffs.
Broader implications: The court applied established principles about co-trustees and maintainability (including the general rule that all trustees should join in suits affecting trust property), but it recognized and applied the exception—by analogy to co-owners—that one trustee (or co-owner) may sue a trespasser without joining others. The opinion did not purport to lay down a novel legal principle; it applied existing authorities to the facts before it. No new precedent was expressly declared in this judgment beyond applying established law to the circumstances at hand.
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