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  • provisions of this Act and the provisions of the Cochin Transfer of Property Act, XVII of 1111, or the Cochin Tenancy Act XV of 1113, the provisions of this Act
  • clauses (i) to (vii) of sub-section (1) of Section 3 of Act 1 of 1964.7. Clause (vi) of sub-section (1) of Section 3
  • clauses (i) to (vii) of sub-section (1) of Section 3 of Act 1 of 1964
  • Section 5, sub-section (3) of the Bengal Tenancy Act (8 of 1885).
  • Section 4 of the Cochin Verumpattomdars Act (VIII of 1118)
  • Sections 44 and 45 of the Bengal Tenancy Act (8 of 1885).
  • SECTION 6 TRANSFER OF PROPERTY ACT
  • Section 6, Clause (d) of the Transfer of Property Act,
  • Section 4 of the Cochin Verumpattomdars Act, 1118,
  • Section 111(c) of the Transfer of Property Act.
  • Section 4 of the Cochin Verumpattomdars Act
  • Section 3(1)(i) to (vii) of Act 1 of 1964.
  • Section 44 of the Bengal Tenancy Act
  • sub-section (1) of Section 3 of Act
  • TRANSFER OF PROPERTY ACT
  • Sections 6, 7, 9, 10, 11, 13 and 16
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Citation Codes
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citation codes
Case Number
Attorney(S)
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Acts
  • provisions of this Act and the provisions of the Cochin Transfer of Property Act, XVII of 1111, or the Cochin Tenancy Act XV of 1113, the provisions of this Act
  • clauses (i) to (vii) of sub-section (1) of Section 3 of Act 1 of 1964.7. Clause (vi) of sub-section (1) of Section 3
  • clauses (i) to (vii) of sub-section (1) of Section 3 of Act 1 of 1964
  • Section 5, sub-section (3) of the Bengal Tenancy Act (8 of 1885).
  • Section 4 of the Cochin Verumpattomdars Act (VIII of 1118)
  • Sections 44 and 45 of the Bengal Tenancy Act (8 of 1885).
  • SECTION 6 TRANSFER OF PROPERTY ACT
  • Section 6, Clause (d) of the Transfer of Property Act,
  • Section 4 of the Cochin Verumpattomdars Act, 1118,
  • Section 111(c) of the Transfer of Property Act.
  • Section 4 of the Cochin Verumpattomdars Act
  • Section 3(1)(i) to (vii) of Act 1 of 1964.
  • Section 44 of the Bengal Tenancy Act
  • sub-section (1) of Section 3 of Act
  • TRANSFER OF PROPERTY ACT
  • Sections 6, 7, 9, 10, 11, 13 and 16
Smart Summary

Structured Summary of the Opinion (Krishnamoorthy Iyer, J.)

Factual and Procedural Background

Paramel Ittiachan executed Ext. P1 (a Will) on 19-10-1083 in respect of his properties, which included the plaint items. Ittiachan died in Mithunam 1083. Under Ext. P1 certain schedule items (A schedule items 1–5, 7 and 9–17) were the subject of a dispute over the nature of the right created in favour of his widow Ittianam; other schedule items (6 and 8) were given absolutely to Ittianam.

The plaintiff claims entitlement to possession of the plaint properties under Ext. P1 and instituted a suit for their recovery. The suit was decreed by the courts below. The defendant (who filed the second appeal) contended that his father had obtained the plaint items on lease from Ittiachan (Ext. P3). That plea was found against the defendant by the courts below and was not challenged before the High Court on that point.

Two central questions were formulated in the appeal: (1) whether, under Ext. P1, Ittianam was competent to execute Ext. P3 (a lease dated 22-9-1093) in respect of the plaint properties; and (2) if she was competent, whether the defendant is entitled to the benefit of the proviso to clauses (i)–(vii) of sub-section (1) of Section 3 of Act I of 1964.

Legal Issues Presented

  1. Whether under the terms of Ext. P1 (the Will executed by Ittiachan) Ittianam was competent to execute Ext. P3 (the lease dated 22-9-1093) in respect of the plaint properties.
  2. If Ittianam was competent to execute Ext. P3, whether the defendant (as claimant under Ext. P3) is entitled to the benefit of the proviso to clauses (i) to (vii) of sub-section (1) of Section 3 of Act I of 1964 (i.e., whether any pre-existing right to fixity of tenure is preserved).

Arguments of the Parties

Appellant's (Defendant's) Arguments

  • Even if Ittianam held only a life-interest or other limited interest under Ext. P1, she was competent to execute Ext. P3 in favour of the defendant's father.
  • By virtue of Section 4 of the Cochin Verumpattomdars Act (VIII of 1118), the defendant (who claims under Ext. P3) acquired fixity of tenure in respect of the holding and that right is preserved by the proviso to clauses (i)–(vii) of sub-section (1) of Section 3 of Act I of 1964 (i.e., the proviso protects persons entitled to fixity immediately before 21 January 1961).
  • Relied on decisions such as Binad Lala Pakrashi v. Kalu Pramanik and Atai Rishi v. Lakshmi Narain Ghose in support of the proposition that a tenant inducted in good faith by a limited owner or de facto proprietor may acquire protected status.

Respondent's (Plaintiff's) Arguments

  • Ext. P1 granted Ittianam only a restricted personal right to appropriate the profits (usufruct) of the properties for her maintenance and not a transferable life-estate; therefore she was not competent to execute Ext. P3.
  • The right created in favour of Ittianam is, on the plaintiff's counsel's submission, an interest "restricted in its enjoyment to the owner personally" within the meaning of Section 6(d) of the Transfer of Property Act (making alienation invalid); however, the Transfer of Property Act was not in force in the erstwhile Cochin State at the time of Ext. P3, so Section 6(d) could not be directly applied in this case.
  • The general principle that a limited owner cannot confer a better title than he possesses supports the plaintiff's position that Ext. P3 cannot confer greater rights against paramount title.

Table of Precedents Cited

Precedent Rule or Principle Cited For Application by the Court
Lachhmeshwar v. Moti Rani, AIR 1939 PC 157 Illustration that an interest could be classified as restricted in enjoyment to the owner personally (i.e., within Clause (d) of s.6 of Transfer of Property Act). Cited as authority that it may be possible to hold the interest in favour of Ittianam was restricted to personal enjoyment; but the court held Section 6(d) had no application here (Transfer of Property Act not in force in Cochin then).
Lal Mohan v. Onkar Mall, AIR 1946 Pat 55 Similar to Lachhmeshwar — on characterization of restricted personal interest. Referred to indicate that the interest under Ext. P1 could, on authority, be regarded as restricted in enjoyment; again, s.6(d) was not applicable in the Cochin context of the case.
Mahabir Gope v. Harbans Narain Singh, AIR 1952 SC 205 General rule that a person cannot confer a better title on another than he himself possesses (a mortgagee cannot create an interest that outlasts his own). Adopted as a statement of the controlling principle that a limited owner cannot create a subordinate interest to continue beyond his own interest; used to reject the appellant's broader claim of indefeasible rights derived from a limited owner.
Harihar Prasad v. Deonarain Prasad, AIR 1956 SC 305 Reaffirmation that a person cannot confer on another a right higher than his own; lease by usufructuary mortgagee normally terminates on redemption. Quoted to support the proposition that a limited owner cannot grant a continuing tenancy that survives the limited owner's interest.
Binad Lala Pakrashi v. Kalu Pramanik, (1893) ILR 20 Cal 708 Decision that a tenant put into possession by a person who claimed to be proprietor could be treated as a raiyat under Section 5(3) of the Bengal Tenancy Act (concept of de facto proprietor). Considered but held not to support the defendant's case. The court explained the decision applies to interpretation of the Bengal Tenancy Act and the concept of de facto proprietor under that statute, not to the defendant's claim here.
Peary Mohan Mondal v. Radhika Mohan Hazra, (1904) 8 Cal WN 315 Consideration of the earlier de facto proprietor line of cases. Referred to in the court's discussion of Binad Lala Pakrashi; used to show the foundation of that line of authority.
Krishna Nath v. Mahomed Wafiz, AIR 1916 Cal 598 Further consideration of the de facto proprietor principle under tenancy legislation. Quoted to explain the scope and basis of the earlier Calcutta decisions and to reject their applicability to the present contention.
Atai Rishi v. Lakshmi Narain Ghose, (1909) 10 Cal LJ 55 Interpreted Sections 44 and 45 of the Bengal Tenancy Act; discussed treatment of tenants brought on land by ijaradar with limited interest. Noted that the decision proceeds on Bengal Tenancy Act provisions; court held it did not support the defendant's proposition that fixity against a landlord can defeat a superior title of a third party.
Prabha v. Ramdeo, AIR 1966 SC 1721 Supreme Court decision cited among authorities on tenure/tenancy questions. Observed by the court as not supporting the defendant's contention in the present statutory context.
Mahesh Bhagat v. Ram Baran, AIR 1968 SC 1466 Another Supreme Court authority on related tenancy/transfer issues. Also found not to assist the defendant; court stated these Supreme Court decisions were based on interpretation of provisions of other enactments and were not helpful here.

Court's Reasoning and Analysis

The court proceeded by first examining the relevant clauses (Clauses 4, 5 and 6) of Ext. P1 (extracted in the record in Malayalam) and concluded these clauses showed the testator intended to confer on Ittianam a restricted right of enjoyment of the usufruct for her maintenance rather than a full life-estate. The Will even permitted encumbrance up to a fixed small amount (Rs. 500) if additional expenditure arose on account of illness, which the court treated as a factual indication that the grant was intended only to provide maintenance from income and not a transferable estate.

The plaintiff's counsel advanced that the interest was within Clause (d) of Section 6 of the Transfer of Property Act (an interest restricted in its enjoyment to the owner personally); however, that statutory provision could not be applied because the Transfer of Property Act was not in force in the erstwhile Cochin State at the time Ext. P3 was executed. The court therefore declined to decide the matter on Section 6(d).

The court then addressed the defendant's contention that even if Ittianam had only a life-interest or a limited interest, the defendant (claiming under Ext. P3) had acquired fixity of tenure under Section 4 of the Cochin Verumpattomdars Act (VIII of 1118), and that the proviso to clauses (i)–(vii) of sub-section (1) of Section 3 of Act I of 1964 preserved his rights as a person entitled to fixity immediately before 21 January 1961.

The court recalled the general legal principle (supported by Supreme Court authorities) that a limited owner cannot confer a subordinate interest that will survive beyond the termination of his own limited interest — a person cannot confer a better title on another than he himself possesses. That principle is also recognised in Section 111(c) of the Transfer of Property Act. The court accepted the principle and observed that the defendant did not dispute it.

The court considered the authorities relied upon by the defendant (including certain Calcutta decisions) and explained that those cases arose under separate statutory schemes (e.g., Bengal Tenancy Act) and depended on the interpretation of specific provisions thereunder (such as inclusion of a de facto proprietor in the word "proprietor" or provisions defining raiyat status). The court concluded those authorities did not support the defendant's wider proposition that statutory fixity against a landlord could give the tenant permanent rights even against a person with paramount title to the landlord.

Turning to the Cochin Verumpattomdars Act, the court examined Section 4 (which confers fixity of tenure on verumpattomdars against eviction) and Section 17 (which provides that in case of conflict with certain Cochin enactments the Verumpattomdars Act shall prevail). The court observed that the Act was enacted to confer fixity of tenure to tenants against their landlords. The terms "holding" and "eviction" are not defined in the Act, and in the absence of inconsistency they carry the meaning given in the Cochin Tenancy Act. Further, various sections of the Act (6, 7, 9, 10, 11, 13 and 16) indicate the protection of Section 4 is available to a tenant only against his landlord.

On this statutory construction and factual matrix the court concluded Section 4 of the Cochin Verumpattomdars Act could not affect the plaintiff's right to recover possession from the defendant. In short, even assuming arguendo that Ittianam had been competent to execute Ext. P3, the defendant could not claim the benefit of the proviso to Section 3(1)(i)–(vii) of Act I of 1964 so as to defeat the plaintiff's claim.

Holding and Implications

Holding: The second appeal is DISMISSED with costs.

Implications:

  • Direct effect: The defendant is not entitled to enforce any right of fixity of tenure against the plaintiff arising from Ext. P3 through reliance on Section 4 of the Cochin Verumpattomdars Act or the proviso to clauses (i)–(vii) of sub-section (1) of Section 3 of Act I of 1964. The plaintiff's decree for recovery of possession stands.
  • No broader new precedent was announced beyond the court's application of existing principles: the opinion applies established principles (that a limited owner cannot confer a better title than he possesses and that the protections of the Cochin Verumpattomdars Act operate against a landlord) to the facts, and the court explicitly held the authorities and statutory protections invoked by the defendant did not support his claim in this context.

Disposition recorded in the opinion: "Appeal dismissed." (Final line of the judgment.)

    Vareed v. P.C George .

    Krishnamoorthy Iyer, J.:— The two questions that arise for consideration in this appeal are: (1) Whether under the terms of Ext. PI Will executed by Ittiachan in 1083 his widow Iittianam was competent to execute Ext. P3 lease dated 22-9-1093 to the defendant's father, in respect of the plaint properties and (2) If so whether the defendant is entitled to the benefit of the proviso to clauses (i) to (vii) to sub-section (1) of Section 3 of Act I of 1964.

    2. The plaintiff who is entitled to possession of the plaint items under the terms of Ext. P1 instituted the suit for their recovery from the defendant. The suit has been concurrently decreed by the courts below. The second appeal is filed by the defendant against the decrees of the courts below. Paramel Ittiachan executed Ext. PI Will on 19-10-1083 in respect of his properties including the plaint items. Ittiachan died in Mithunam 1083. The plaint properties are A Schedule items 1 and 2 in Ext. P1. It is agreed that A schedule items 6 and 8 in Ext. PI were given absolutely to Ittianam. The dispute between the parties relates to the nature of the right created in favour of Ittianam in respect of A Schedule items 1 to 5, 7 and 9 to 17 in Ext. P1. It is admitted that these items were given to the plaintiffs father subject to the rights created in favour of Ittianam. The plaintiffs father died in 1932 and in the partition in the plaintiffs family evidenced by Ext. P2 dated 26-1-1960 the plaint properties were allotted to the share of the plaintiff. The plaintiff claims recovery of possession of the plaint items from the defendant on the basis of his title.

    3. The plea of the defendant that his father got the plaint items on lease from Ittiachan has been concurrently found against and the said finding was not impeached before us.

    4. The appellate Judge found that since Ext. P1 only authorised Ittianam to take the income from A Schedule items 1 to 5, 7 and 9 to 17 in Ext. P1 for her maintenance she was not competent to execute Ext. P3. This finding was impeached before us by the counsel for the defendant. It is therefore necessary to examine the terms of Ext. P1. We shall extract Clauses 4, 5 and 6 of Ext. P1 which deal with the rights created in favour of Ittianam.

    [Extract in Malyalam Script.]

    5. In view of the above clauses the plaintiffs counsel submitted that the right created in favour of Ittianam is only an interest in the properties restricted in its enjoyment to her personally within the meaning of Section 6, Clause (d) of the Transfer of Property Act, and Ext. P3 executed by her is invalid because of the said provision. It has to be mentioned that at the time of Ext. P3, the Transfer of Property Act was not in force in the erstwhile Cochin State, and the question, therefore, cannot be decided on the basis of Section 6 of the Transfer of Property Act.

    6. A lease of immovable property being a transfer of a right to enjoy such property, the person granting the lease must possess an interest therein. A lease may be in respect of corporeal hereditaments or in respect of incorporeal hereditaments. The words [Extract in Malyalam Script] in Cl. 4 of Ext. PI make it clear that the testator did not intend to create a life-estate in favour of Ittianam in respect of the properties but he intended to confer on her a restricted right of enjoyment of the usufruct only for her maintenance. The object of the bequest in favour of Ittianam is to provide her maintenance and for this purpose to give her a personal right to appropriate the profits of the properties. It is significant to find a provision in Ext. PI to the effect that if on account of illness Ittianam had to incur any additional expenditure she could encumber the properties to the extent of Rs. 500. This shows that the properties set apart for the maintenance of Ittianam were yielding only an income sufficient for her maintenance. It is no doubt an indication that what was granted was only a right to appropriate the profits of the properties which will not exceed a reasonable maintenance for her. In view of the decisions in Lachhmeshwar v. Moti Rani, AIR 1939 PC 157 and Lal Mohan v. Onkar Mall, AIR 1946 Pat 55 it may be possible to hold that the interest in favour of Ittianam under Ext. P1 was an interest restricted in its enjoyment to the owner personally within the meaning of Clause (d) of Section 6 of the Transfer of Property Act. But this finding will not in any way assist the plaintiff since Sec. 6(d) has no application to the case. It has therefore to be examined whether Ext. P1 created an interest in land in favour of Ittianam. Wo think it unnecessary to decide this question as we are of the view that even assuming that Ittianam was competent to execute Ext. P3, the defendant is not entitled to the benefit of the proviso to Section 3(1)(i) to (vii) of Act 1 of 1964. According to the learned counsel for the defendant though Ittianam got only a life-interest in the plaint properties under Ext. PI, the defendant who claims under Ext. P3 acquired fixity of tenure under Section 4 of the Cochin Verumpattomdars Act (VIII of 1118) and the said right is preserved by the proviso to clauses (i) to (vii) of sub-section (1) of Section 3 of Act 1 of 1964.

    7. Clause (vi) of sub-section (1) of Section 3 exempts tenancies in respect of land or of buildings or of both created by persons having only life-interest or other limited interest in the land or in the buildings or in both from the operation of Chapter II of Act I of 1964 subject to the right of the tenant for fixity of tenure during the period of the life-interest or other limited interest. But the proviso to clauses (i) to (vii) of sub-section (1) of Section 3 of Act 1 of 1964 on which reliance was made on behalf of the defendant reads thus:

    “Provided that nothing in Clauses (i) to (vii) shall affect the rights of persons who were entitled to fixity of tenure immediately before the 21st lanuary, 1961, under any law then in force;”

    8. The plea of the defendant was that though he was the lessee of a limited owner or a person having only a life-interest in the property Section 4 of the Cochin Verumpattomdars Act (VIII of 1118) has conferred on him fixity of tenure on the land which he is enjoying even against the plaintiff. It is therefore necessary to examine the soundness of this contention. The general principle of law is that a limited owner or a person having a limited interest is not entitled to create a subordinate interest to continue after the termination of his own interest in the property. If authorities are necessary for this proposition we will cite the decisions of the Supreme Court in Mahabir Gope v. Harbans Narain Singh, AIR 1952 SC 205 and Harihar Prasad v. Deonarain Prasad, AIR 1956 SC 305. In AIR 1952 SC 205, Chandrasekhara Iyer, J. pointed out:

    “The general rule is that a person cannot by transfer or otherwise confer a better title on another than he himself has. A mortgagee cannot, therefore, create an interest in the mortgaged property which will enure beyond the termination of his interest as mortgagee.”

    9. Venkatarama Ayyar, J. in AIR 1956 SC 305 said:

    “The law is that a person cannot confer on another any right higher than what he himself possesses, and therefore, a lease created by a usufructuary mortgagee would normally terminate on the redemption 4 of the mortgage.”

    10. This principle is also recognised by Section 111(c) of the Transfer of Property Act. The learned counsel for the defendant did not demur to this general principle of law but according to him in view of the conferment of fixity of tenure to the tenants under the Cochin Verumpattomdars Act (VIII of 1118) the defendant who is only a tenant of the holder of a limited interest is entitled to claim immunity from eviction even against the plaintiff. In support of his proposition the learned counsel relied on Binad Lala Pakrashi v. Kalu Pramanik, (1893) ILR 20 Cal 708 and Atai Rishi v. Lakshmi Narain Ghose, (1909) 10 Cal LJ 55. In (1893) ILR 20 Cal 708 a tenant was put into possession by a person who claimed to be the proprietor of the land and though it subsequently turned out that he was not, it was held that the leasing by such a de facto proprietor gave the tenant the status of a raiyat within the meaning of Section 5, sub-section (3) of the Bengal Tenancy Act (8 of 1885). This decision was considered in Peary Mohan Mondal v. Radhika Mohan Hazra, (1904) 8 Cal WN 315 and Krishna Nath v. Mahomed Wafiz, AIR 1916 Cal 598 where it was observed that the basis of the decision in (1893) ILR 20 Cal 708 was that the word “proprietor” in Section 5(3) would include a ‘de facto’ as well as a ‘de jure’ proprietor, and a tenant Who is ‘bona fide’ inducted into possession by a de facto proprietor would have the status of a raiyat. The decision in (1893) ILR 20 Cal 708 does not therefore support the defendant. The decision in (1909) 10 Cal LI 55 also proceeded on the interpretation of Sections 44 and 45 of the Bengal Tenancy Act (8 of 1885). The head-note of that decision is itself sufficient to show this. It reads thus:

    “As a general principle of law, a limited owner is not entitled to create a subordinate interest to continue after the termination of his own interest in the property.

    But when an ijaradar having a limited interest brings a raiyat on the land, the status of such raiyat is defined and his rights are regulated by the Bengal Tenancy Act, and he becomes at least a non-occupancy raiyat, and can be ejected only if one or more of the grounds mentioned in Section 44 of the Bengal Tenancy Act are made out.

    A raiyat who has obtained possession in good faith from even a trespasser is entitled to be treated as a non-occupancy raiyat.”

    11. This decision also does not support the proposition advanced on behalf of the defendant that a tenant in whose favour fixity is granted against his landlord is entitled to claim permanent occupancy rights even against persons having paramount title to his landlord. The decisions of the Supreme Court in AIR 1952 SC 205, AIR 1956 SC 305, Prabha v. Ramdeo, AIR 1966 SC 1721 and Mahesh Bhagat v. Ram Baran, AIR 1968 SC 1466, do not also in our view support the defendant. These decisions were based on an interpretation of the provisions in the several enactments discussed therein and cannot be of any help to us. Section 4 of the Cochin Verumpattomdars Act (VIII of 1118) will not in any way help the defendant to non-suit the plaintiff. The said Act was passed to confer on certain terms and conditions fixity of tenure to verumpattom tenants against their landlords. Section 4 of the said Act reads:

    “Notwithstanding any law, custom or contract to the contrary, every verumpattomdar shall have fixity of tenure in respect of his Holding and shall not be evicted therefrom except as provided in S. 8 of this Act”. The terms “eviction” and “holding” are not defined in the Act. Section 17 of the Act says “where there is any conflict or inconsistency between the provisions of this Act and the provisions of the Cochin Transfer of Property Act, XVII of 1111, or the Cochin Tenancy Act XV of 1113, the provisions of this Act shall prevail.” The scheme of those enactments and also the Cochin Verumpattomdars Act was to grant fixity of tenure to a kanam tenant and to a verumpattomdar against the landlord. Since there is nothing inconsistent in the Cochin Verumpattomdars Act the terms “holding” and “eviction” therein are to carry the same meaning as that given by the definition clause in the Cochin Tenancy Act XV of 1113. Even that apart Sections 6, 7, 9, 10, 11, 13 and 16 indicate without any doubt that the benefit of Section 4 of the Cochin Verumpattomdars Act is available to a tenant only against his landlord. We are of the view that Section 4 of the Cochin Verumpattomdars Act, 1118, cannot in any way affect the right of the plaintiff to recover possession of the properties from the defendant. We therefore hold that the second appeal is without merit and dismiss it with costs.

    12. Appeal dismissed.

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    Comments

    Vareed v. P.C George .
    (Oct 28, 1969)