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citation codes
Case Number
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  • Section 13(1)(c) of the Delhi and Ajmer Rent Control Act, 1952.
  • provisions of the new Act. Reading Section 57(2)
  • Section 14. Under Section 14(6) of the 1958 Act
  • provisions of Section 14(6) of the 1958 Act
  • Section 35 of the Rent Control Act 1952
  • Delhi Tenants (Temporary Protection) Act
  • Ajmer Rent Control Act, 1952 (38 of 1952),
  • Act. Section 57(1) repeals the old Act
  • SECTION 6 A GENERAL CLAUSES ACT
  • DELHI RENT CONTROL ACT
  • Section 57(2) of the new Act
  • Section 14(6) of the new Act
  • Sub-clause (2) to Section 57
  • Section 13 of the 1952 Act
  • Section 54 of the new Act
  • Rent Control Act of 1958
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Cites
Cited by
Citation Codes
Equivalent Citations
citation codes
Case Number
Advocates
Judges
Acts
  • Section 13(1)(c) of the Delhi and Ajmer Rent Control Act, 1952.
  • provisions of the new Act. Reading Section 57(2)
  • Section 14. Under Section 14(6) of the 1958 Act
  • provisions of Section 14(6) of the 1958 Act
  • Section 35 of the Rent Control Act 1952
  • Delhi Tenants (Temporary Protection) Act
  • Ajmer Rent Control Act, 1952 (38 of 1952),
  • Act. Section 57(1) repeals the old Act
  • SECTION 6 A GENERAL CLAUSES ACT
  • DELHI RENT CONTROL ACT
  • Section 57(2) of the new Act
  • Section 14(6) of the new Act
  • Sub-clause (2) to Section 57
  • Section 13 of the 1952 Act
  • Section 54 of the new Act
  • Rent Control Act of 1958
Smart Summary

Structured Summary of the Provided Legal Opinion

Factual and Procedural Background

The premises at 2 Todar Mal Lane, New Delhi originally belonged to Lakhmi Chand, who let them to Sri Krishan Aggarwal as a residence at a monthly rent. Lakhmi Chand gifted the premises to his son Satya Dev on 19 June 1956, and the donee (Satya Dev) filed a suit for eviction of the tenant on 27 August 1956, claiming he bona fide required the premises for his own residence and had no other suitable accommodation.

The tenant pleaded, inter alia, (1) that there was no landlord-tenant relationship between the parties and (2) that the plaintiff (Satya Dev) did not bona fide require the premises. The trial court rejected these defenses but made the ejectment decree conditional on the plaintiff filing an affidavit that his marriage would take place within the next three months. The tenant appealed the ejectment decree and the landlord filed cross-objections to remove the condition. The Additional Senior Sub-Judge, Delhi, dismissed the tenant's appeal and accepted the landlord's cross-objections. The tenant then filed the present revision petition under Section 35 of the Rent Control Act, 1952, challenging the lower courts' decisions on both points.

The opinion records facts about a prior family partition (8 December 1954) and that the disputed house was described in the partition deed as the acquired property of Lakhmi Chand (not partitioned). The gift to Satya Dev was accompanied by delivery of possession on 19 June 1956. The lower courts found that Satya Dev became landlord of the premises by operation of law and that he bona fide required the premises because the family's joint house on Panchkuin Road lacked suitable accommodation for the plaintiff who was about to marry.

Legal Issues Presented

  1. Whether, having been gifted the premises with delivery of possession, the plaintiff (Satya Dev) became the landlord of the premises vis-à-vis the tenant (i.e., whether landlord-tenant relationship existed by operation of law).
  2. Whether the plaintiff's requirement of the premises for his residence was bona fide (sufficient for eviction under the 1952 Act).
  3. Whether the provisions of the Delhi Rent Control Act, 1958—specifically Section 14(6)—which restrict eviction by a landlord who acquires premises by transfer until five years have elapsed, apply to suits and proceedings that were pending when the 1958 Act came into force (i.e., whether the first proviso to Section 57(2) of the 1958 Act requires courts to apply the 1958 Act to pending cases).
  4. Whether the first proviso to Section 57(2) of the 1958 Act is mandatory (binding courts to enforce the new Act in pending cases) or directory (permitting courts to take the new Act into account) and whether that proviso extends to appeals and revisions.

Arguments of the Parties

Tenant's Arguments (Appellant / Petitioner)

  • The tenant argued that there was no landlord-tenant relationship between the parties (i.e., the plaintiff was not his landlord).
  • The tenant contended that the plaintiff did not bona fide require the premises for his residence.
  • After the 1958 Act came into force, counsel for the tenant argued that Section 14(6) of the 1958 Act prevented eviction because five years had not elapsed since acquisition; consequently, Satya Dev could not obtain a decree for eviction.
  • The tenant's counsel asked the court to mould the decree to conform to Section 14(6) of the 1958 Act by relying on the first proviso to Section 57(2) of the 1958 Act.
  • Shri Gurbachan Singh (for the tenant) argued that the proviso is mandatory because it uses the word "shall" ("shall have regard to the provisions of this Act") and, therefore, courts are bound to apply the 1958 Act when deciding pending suits and proceedings — including at the stage of appeal and revision. He further submitted that this Court on revision could exercise discretion to decide the case according to the 1958 Act.

Landlord's / Respondent's Position

  • The lower courts found that the plaintiff (Satya Dev) became the landlord by operation of law upon the gift and delivery of possession and that the tenant remained in occupation as a tenant of Satya Dev.
  • The lower courts held that the plaintiff genuinely required the premises for residence: the family home at Panchkuin Road had only three rooms and a barsati, was occupied by Arjan Dev with his wife, three minor children and parents, and therefore there was no suitable accommodation for the plaintiff who was about to be married.
  • The landlord sought removal of the trial court's conditional decree (the trial court had made ejectment conditional on an affidavit about the plaintiff's marriage), and the Additional Senior Sub-Judge accepted those cross-objections and set aside the condition.
  • The landlord relied on Section 13(1)(c) of the Delhi and Ajmer Rent Control Act, 1952 as the statutory basis for the eviction decree.

Table of Precedents Cited

Precedent Rule or Principle Cited For Application by the Court
Jennings v. Kelly, 1940 AC 206 (Lord Wright) Principle of statutory construction: a section or enactment must be construed as a whole, each portion throwing light on the rest; provisos are to be read with the principal clause. The court relied on this authority to support the approach that the principal clause (Section 57(2)) and its proviso must be read together, and that the proviso should not be construed so as to destroy the operation of the principal clause; this informed the conclusion that the proviso is directory rather than mandatory.

Court's Reasoning and Analysis

The court proceeded in two main analytical strands: (A) the fact-findings and statutory entitlement under the 1952 Act, and (B) the legal effect of the 1958 Act (and the proviso to Section 57(2)) on pending suits and on appeals/revisions.

A. Findings of Fact and Entitlement under the 1952 Act

  • The court accepted the factual findings of the lower courts: the house in dispute was gifted to the plaintiff (Satya Dev) with delivery of possession on 19 June 1956; the partition deed earlier described the disputed house as acquired property of Lakhmi Chand and it was not partitioned.
  • Given the gift and delivery of possession, the lower courts correctly held that the petitioner (tenant) became the tenant of Satya Dev by operation of law.
  • The court found that the Panchkuin Road house lacked accommodation for the plaintiff (being occupied by Arjan Dev, his wife, three minor children and parents) and that the plaintiff, aged 24 and anxious to marry, had no other suitable accommodation. On this basis the courts concluded the plaintiff's requirement was bona fide.
  • Having found no cogent reason to set aside these findings of fact, the court held the plaintiff entitled to evict the tenant under Section 13(1)(c) of the Delhi and Ajmer Rent Control Act, 1952.

B. Effect of the 1958 Act and Construction of Section 57(2) Proviso

  • The court noted the relevant statutory framework: the 1958 Act repealed the 1952 Act (Section 57(1)) but Section 57(2) provided that suits and proceedings pending at commencement of the 1958 Act shall be continued and disposed of in accordance with the provisions of the 1952 Act "as if the said Act had continued in force".
  • The first proviso to Section 57(2) stated that, in suits or proceedings for fixation of standard rent or for eviction (where Section 54 does not apply), the court shall "have regard to the provisions of this Act" (the 1958 Act). The tenant argued this made the 1958 Act applicable to pending cases.
  • The court explained fundamental rules of statutory construction: a court's task is to ascertain legislative intent and give effect to every part of the statute where possible; a proviso ordinarily limits or qualifies the principal clause and must be read in harmony with it rather than as destroying it.
  • Applying these principles (and citing Jennings v. Kelly), the court concluded that Section 57(2)'s main clause makes the 1958 Act prospective in operation with respect to pending cases: such cases are to be decided under the old Act. The first proviso cannot be construed so as to render the main clause meaningless.
  • The court held the first proviso is directory, not mandatory: the phrase "shall have regard to the provisions of this Act" requires courts to take the 1958 Act into account where appropriate, but does not bind courts to apply the 1958 Act in place of the old Act for pending suits and proceedings.
  • Further, the court examined whether the proviso extended to appeals and revisions. It observed that Section 57(2) expressly provided that appeals from suits or proceedings disposed of shall be according to the old Act (second proviso) and construed that the first proviso was limited to suits and proceedings (essentially at trial stage). The court reasoned that applying the first proviso at the appeal or revision stage could require remand and cause delay, which the legislature sought to avoid by separately treating appeals. Consequently, the first proviso did not apply to appeals or revisions.
  • As a legal consequence, Section 14(6) of the 1958 Act (the five-year protection for transferee landlords) did not apply to the present revision and could not be used to defeat the eviction decree in this case.

Holding and Implications

Holding: The revision is DISMISSED WITH COSTS. The court held that the plaintiff (Satya Dev) is entitled to evict the tenant under Section 13(1)(c) of the Delhi and Ajmer Rent Control Act, 1952. The court further held that the first proviso to Section 57(2) of the 1958 Act is directory and not mandatory, and that it does not apply to appeals or revisions; therefore Section 14(6) of the 1958 Act is not applicable to the present case.

Implications and immediate effects:

  • Direct effect on the parties: the tenant's revision failed and the eviction decree stands; the parties agreed, and the court ordered, that the petitioner (the tenant who filed the revision) be given two months from the date of the order to vacate the premises and must vacate on or before 12-7-1959.
  • Statutory and procedural implication drawn by the court: when a new statute repeals an older regime but contains a saving clause like Section 57(2), pending suits and proceedings are to be decided under the old Act; a proviso requiring the court to "have regard to" the new Act is directory and allows the trial court discretion to take the new provisions into account at trial where appropriate but does not compel retrospective application of substantive changes, nor does it extend that consideration to appeals or revisions.

The opinion does not state that it sets a binding precedent beyond the facts and statutory interpretation applied here; the court's decision is expressed and its statutory construction reasoning is set out in the opinion itself.

    Shri Krishna Aggarwal v. Satya Dev

    1. The premises known as 2 Todar Mal Lane, New Delhi, belonged at One time to Lakhmi Chand. He let the same to Sri Krishan Aggarwal for purposes of residence on a monthly rent of Rs. 38/3/-. Lakhmi Chand gifted the promises to his son Satya Dev on 19th June, 1956, The donee filed the present suit for eviction of the tenant on 27th August, 1956 on the ground that he required the premises bona fide for his residence and that he had no other suitable place for this purpose. The tenant inter alia pleaded (i) that there was no relationship of landlord and tenant between the parties and (2) that the plaintiff did not bona fide require the premises for his residence.

    The trial court rejected both these defences but made the ejectment decree conditional on the filing of an affidavit that the plaintiff's marriage would take place within the next three months. The tenant appealed against the ejectment decree while the landlord filed cross-objections, to get the condition sot aside. The Additional Senior Sub-Judge Delhi dismissed the tenant's appeal and accepted the cross-objections. The tenant has filed this revision petition under Section 35 of the Rent Control Act 1952 and has challenged the decision of the lower Court on both points.

    2. Now Lakhmi Chand was possessed of family property and also acquired property. He has three sons. The family resided in a joint family house situated on Panchkuin Head, New Delhi. On 8th December, 1954 the joint family property was partitioned and this house at Panclikuin Koad fell to the share of Arjan Dev another son of Lakhmi Chand. In the partition deed the house in dispute was described as the acquired property of Lakhmi Chand and was not partitioned.

    The family however according to the tenant's counsel continued residing in the Panchkuin Road house. On 19th of June, 1956 the house now in dispute was gifted to the plaintiff and the possession was duly delivered to him. In these circumstances the lower courts rightly held that the petitioner became the tenant of Satya Dev by operation of law.

    3. Admittedly the Punchkuin Road house consists of three rooms and a Barsati. Arjan Dev has a wife and three minor children. His parents are also staying with him. There is therefore no accommodation for the plaintiff who is 24 years old in the Punchkuin Road house particularly when he is anxious to get married- It has been found that he has no other suitable accommodation for his residence. In these circumstances both the lower courts have held that the plaintiff's' requirement is bona fide.

    No cogent reason has been advanced before me for setting aside this finding of fact. I therefore hold that the plaintiff is entitled to evict the tenant under Section 13(1)(c) of the Delhi and Ajmer Rent Control Act, 1952.

    4. The learned Counsel then raised a new point which requires consideration. The Delhi Rent Control Act (No. 59) of 1958 came into force on 9th February, 1959 during the pendency 61 the present revision and after the suit and the appeal had been decided. Section 13 of the 1952 Act lays down the grounds on which a tenant can be evicted while 1958 Act deals with this subject in Section 14.

    Under Section 14(6) of the 1958 Act a landlord who acquires the premises by transfer cannot get a tenant evicted on the ground that he wanted bona fide the premises for his own or his family's residence unless five years have elapsed from the date of acquisition. This limitation on landlord's rights did not exist in the 1952 Act. It is urged on behalf of the tenant that in the present case five years have not elapsed since acquisition and therefore Satya Dev is not entitled to a decree for eviction.

    The learned counsel requested me to mould the decree so as to bring it in consonance with the provisions of Section 14(6) of the 1958 Act and for this purpose relied on the first proviso to Section 57(2) of the Act. Section 57 reads :--

    "57. Repeal and Savings. (1) The Delhi and Ajmer Rent Control Act, 1952 (38 of 1952), in so far as it is applicable to the Union territory of Delhi, is hereby repealed.

    2. Notwithstanding such repeal, all suits and other proceedings under the said Act pending, at the commencement of this Act, before any court or other authority shall be continued and disposed of in accordance with the provisions of the said Act, as if the said Act had continued in force and this Act had not been passed :

    Provided that in any such suit or proceeding for the fixation of standard rent or for the eviction of a tenant from any premises to which Section 54 does not apply, the court or other authority shall have regard to the provisions of this Act:

    Provided further that the provisions for appeal under the said Act shall continue in force in respect of suits and proceedings disposed of thereunder."

    Section 54 of the new Act does not apply to the present case as the property is neither evacuee property nor is situated in the Slum Area. The Delhi Tenants (Temporary Protection) Act has no application to a case in which eviction is sought on the ground of landlord's bona fide requirement. It is therefore necessary to consider the effect of the proviso to Section 57(2) of the new Act on the present case.

    5. Now the Rent Control Act of 1958 lays down the rights and liabilities of landlords and tenants and the power of enforcing them. Its provisions materially alter and modify these rights and also the procedure laid down in the 1952 Act. The nature of evidence required for fixation of standard rent and for eviction of a tenant under the new Act is materially different from that required under the old Act. Section 57(1) repeals the old Act in its entirety.

    However the rights and liabilities acquired by virtue of the 1952 Act are not taken away by this repeal. This is clear from Section 6 of the General Clauses Act. In the present ease the legislature has inserted Sub-clause (2) to Section 57 to make it abundantly clear that cases wending on the day that the new Act came into force shall be decided ac-cording to the substantive rights and procedure prescribed by the old Act. The position thus far is clear.

    The legislature then proceeds to enact the first proviso which lays down that Court or other Authority concerned in such cases shall have regard to the provisions of the 1958 act so far as they relate to fixation of standard rent and to eviction of a tenant.

    6. Relying on this proviso Shri Gurbachan Singh on behalf of the tenant has argued that this proviso is mandatory in character and the Courts are bound to apply the provisions of the 1958 act when deciding a suit or proceedings filed under the old (1952) Act and also at the stage of appeal and revision. The learned counsel particularly relied on the word "shall" in the phrase "shall have regard to the provisions of this Act".

    7. Now the purpose of construing a statute is primarily to ascertain the intention of the legislature and it should be so construed as to bring out that intention. It is well settled that in construing a statute every part and every word thereof must be given effect to if at all possible. A proviso to a section stands in no different position. Generally though not invariably the primary purpose of a proviso is to limit or qualify the operation of the principal section or enactment to which it is attached.

    It follows that the proviso should be so construed as to be in harmony with the principal section whenever possible. The Courts must lean against construing a proviso so as to completely destroy the operation of its principal clause be cause after all it cannot be assumed that the legislature intended to enact a provision only to change its mind immediately after and to repeal it by en acting a proviso thereto.

    Therefore the principal clause and the proviso must be read and construed together. As observed by Lord Wright in Jennings v. Kelly, 1940 AC 206 at p. 229

    "the proper course is to apply the broad general rule of construction, which is that a section or enactment must he construed as a whole, each portion throwing light, if need be, on the rest. I do not think that there is any other rule even in the case of a proviso in the strictest or narrowest sense."

    8. Bearing these rules of construction in mind it is clear that the contention of Shri Gurhachan Singh is not sound. Section 57(2) specifically lays down that cases and proceedings filed before the new Act came into force must be decided in accordance with the old Act, as if the old Act had not been repealed and the new Act had not been enacted. The consequence of enacting Section 57(2) is that the 1958 Act must he applied prospectively and not retrospectively.

    If the proviso is hold to be mandatory then it must be held that the new Act is retrospective in effect and all pending cases must he decided in accordance with the later Act. If the legislature intended to make the new Act retrospective it would have said so in clear express terms. It would not have done so in this roundabout way, A statute involving substantive rights and affecting vested rights under the old Act should not be given retrospective effect unless expressly or by necessary implication such a result is inevitable and cannot be avoided.

    The legislature has used no such words in the present case. Moreover if the proviso is held to he mandatory in character then it would be completely destructive of Sub-clause (2) which is the principal clause and it will not be a sound principle of construction to bring about such a result without compelling reasons. There are no such compelling words in the proviso in the present case. I am therefore of the view that the first proviso to Section 57(2) is directory in character and not mandatory.

    9. This conclusion is supported by the phraseology used by the legislature. The phrase "shall have regard to the provisions of this Act" only indicates that the Court shall take the provisions of the new Act into account in regulating its decision. This, phrase cannot mean that the Courts are bound to enforce the provisions of the new Act.

    Reading Section 57(2) and the first proviso together T am of the opinion that the Courts and the authorities under the old Act are hound to decide the case in accordance with the provisions of that Act but discretion has been conferred on them to take into consideration the provisions of the new Act when it considers it necessary in a proper case and in the interests of justice. To this limited extent it can be said that the proviso has a retrospective effect.

    10. Shri Gurbachan Singh then argued that in any case this Court on the revision side may exercise its discretion and decide the present case in accordance with the provisions of the new Act particularly when admittedly the transfer had been made only a few months before the present suit was filed. His contention is that the proviso is applicable at the stage of appeal and revision also. I think not. I have already held that the proviso is to a certain extent retrospective in effect. It is however well established that a statute is not to be so construed as to give it greater retrospective operation than its language renders necessary.

    Section 57(2) lays down that suits and other proceedings pending at the commencement of the 1958 Act shall be disposed of under the old Act, The proviso then says that provisions of the new Act may be taken into consideration in a suit or proceedings for fixation of standard rent or for eviction of a tenant. The second proviso then says that appeals from suits or proceedings so disposed of shall be according to the provisions of the old Act.

    In this context the legislature has specifically and separately provided for appeals and has not heated appeals as mere continuation of suits or proceedings. If this be So then the first proviso is limited to suits or proceedings and does not extend to appeals. There is no reason whatever for extending its scope to appeals or revisions. In my view there is a reason why the legislature did not intend to extend its scope to appeals or revisions.

    At the stage of trial, the Court may call upon the parties to establish the right claimed under the new Act, mould its proceedings and examine the evidence of the parties in accordance with the provisions of the Act whenever the Court considers it proper or necessary to do so in the interest of justice. At the stage of appeal such a course would necessitate A remand and further delay in the disposal of the case. This argument of convenience cannot be ignored.

    I may say here that the legislature has used the word "appeal" in the second proviso in its generic sense and includes revisions because it would be absurd to hold that the second proviso, applies to appeals and not to revisions. I am of the view that the provisions of the first proviso do not apply to an appeal or revision. That being so Section 14(6) of the new Act has no application to the present case and the contention of the learned Counsel for the tenant fails.

    11. For these reasons I see no force in this revision and dismiss it with costs.

    12. Parties agree that the petitioner be given two months time from today to vacate the premises i.e. the petitioner must vacate the premises on or before 12-7-1959. I order accordingly.

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    Comments

    Shri Krishna Aggarwal v. Satya Dev
    (May 12, 1959)