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Smart Summary

Factual and Procedural Background

This revision arises from an eviction order dated September 18, 2007, passed by the Rent Controller, Chandigarh, in a petition filed by the landlord under Section 13A of the East Punjab Urban Rent Restriction Act, 1949 (as extended to U.T. Chandigarh). The landlord, Raghbir Kumar, had let the house in dispute for a limited period (June 2003 to June 2004) at a monthly rent of Rs. 2,500. The tenant (the petitioner in this revision) allegedly paid rent for only three months and defaulted thereafter.

Raghbir Kumar was employed with the Punjab State Electricity Board and on deputation to the Chandigarh Administration; he had been allotted Government accommodation (House No. 1063, Sector 28-B). It was alleged that after his deputation ended the allotment stood cancelled and the property in dispute was required for his personal occupation. He was said to be suffering from cancer and to have a widow and two young children dependent on him; he was due to retire on January 31, 2007.

Pursuant to the special procedure under Section 18A of the Act for petitions under Section 13A, the tenant could apply for leave to defend. The tenant's application for leave to defend was dismissed by the Rent Controller and no further proceedings were taken by the tenant. During the pendency of the petition, the landlord died on June 10, 2007; his legal heirs (widow and children) were brought on record and the proceedings continued. The Rent Controller accepted the eviction petition and directed the tenant to vacate within one month (order dated September 18, 2007). The tenant filed the present revision against that eviction order. The High Court heard counsel, examined the record, and reserved its decision.

Legal Issues Presented

  1. Whether, upon the death of a "specified landlord" during the pendency of a Section 13A eviction petition, the widow or other heirs can continue or maintain the eviction petition under the proviso to Section 13A of the Act.
  2. Whether a tenant who has had an application for leave to defend dismissed (and who did not challenge that dismissal) can raise pleas at a later stage challenging the landlord's entitlement to relief under Section 13A.

Arguments of the Parties

Petitioner/Tenant's Arguments

  • The tenant contended that Section 2(hh) defines “specified landlord” and that if the landlord died during the pendency of a petition under Section 13A, the petition could not be proceeded with because the benefits (the proviso) in Section 13A would not be available to the legal heirs of the originally named landlord.
  • The tenant relied on Niranjan Dass v. Trilok Chand (1996) in support of this contention.

Respondents (Landlord's Legal Heirs) Arguments

  • The respondents submitted that once the tenant’s application for leave to defend was dismissed by the Rent Controller, the tenant could not raise fresh issues at this stage; the facts alleged by the landlord stood admitted by virtue of the special procedure under Section 18A.
  • The order refusing leave to defend was not challenged by the tenant, and the tenant likewise did not contest the application bringing the legal heirs on record; therefore the tenant cannot now raise the present plea.
  • The respondents also urged the genuine need for the premises, noting they were paying penal rent for Government accommodation and thus required the premises in dispute.
  • The respondents relied on a line of authorities (including Dr. Dina Nath v. Smt. Santokh Kaur, Ram Singh v. Parkash Ram, Panna Lal v. Smt. Kamla Devi, and V.K. Chopra v. Subhash Chancier) to support their position.

Table of Precedents Cited

Precedent Rule or Principle Cited For Application by the Court
Niranjan Dass v. Trilok Chand, 1996 (2) Rent Law Reporter 634 (SC) Cited by the petitioner to support the contention that a petition under Section 13A cannot be proceeded with after the death of the landlord. The Court distinguished this decision on its facts: in Niranjan Dass the property devolved on five co-owners and it could not be proved who was legally entitled to receive rent on his own account. The Court held that Niranjan Dass was not applicable to the present case.
Ram Singh v. Parkash Ram (represented through L.Rs), 1989 (1) RCR (Rent) 656 : 1989 (1) Rent Law Reporter 506 (P&H) Cited in relation to the entitlement of legal representatives (widow/children) to continue or maintain a petition under Section 13A after the landlord's death. The Court relied on Ram Singh as authority that legal representatives of a deceased specified landlord are entitled to maintain a petition under Section 13A and that their need may be regarded as bona fide; the Court considered and followed this view.
Dr. Dina Nath v. Smt. Santokh Kaur etc., 1987 (1) RCR (Rent) 363 : (1987-1) 91 Punjab Law Reporter 171 (P&H) The opinion records that respondents relied on this authority; the text does not specify the precise principle from this case. The Court noted the respondents' reliance on this case but did not extract a detailed principle from it in the reasoning recorded in the provided opinion.
Panna Lal v. Smt. Kamla Devi, 1990 (1) RCR (Rent) 418 : 1990 (1) Rent Law Reporter 84 (P&H) Cited for the proposition that the proviso to Section 13A gives the right to the widow (and other specified dependants) to be brought on record and exercise the right to recover possession. The Court quoted and applied Panna Lal to interpret the proviso to Section 13A liberally, holding that the widow or children can exercise the right to recover possession and can continue proceedings initiated by the specified landlord who died during the pendency.
V.K. Chopra v. Subhash Chancier, 2006 (1) RCR (Rent) 120 : 2006 (1) Rent Law Reporter 507 (P&H) Cited for the proposition that the need of a specified landlord who retired from service and was occupying Government accommodation where he had to pay penal rent was bona fide and could justify eviction. The Court referred to V.K. Chopra to support the point that a specified landlord's requirement — particularly where the landlord had retired and was paying penal rent for government accommodation — may be bona fide; this supported the conclusion that the landlord's (and heirs') need was not challenged on quantum or genuineness in the present case.

Court's Reasoning and Analysis

The Court began by extracting and examining the statutory definitions and provisions central to the dispute: Section 2(hh) (definition of "specified landlord") and Section 13A (right to recover immediate possession for specified landlords and the proviso dealing with the entitlement of widow/widower, child, grand-child or widowed daughter-in-law in case of the death of the specified landlord).

Key steps in the Court's analysis:

  1. The Court observed that the tenant did not dispute that Raghbir Kumar qualified as a "specified landlord" for purposes of Section 13A (he had held an appointment in a public service).
  2. The Court explained the effect of Section 13A and its proviso: the statute expressly contemplates that on the death of a specified landlord certain dependants (widow/widower, child, grand-child, widowed daughter-in-law) are entitled to make an application under Section 13A and thereby acquire the right to recover possession.
  3. The Court considered the competing authorities. It accepted the line of authority (including Ram Singh and Panna Lal) that the proviso to Section 13A must be interpreted to allow the widow or other specified dependants of the deceased specified landlord to exercise the right to recover possession — including continuing proceedings initiated by the deceased landlord — because that is consistent with the plain language and purpose of the proviso.
  4. The Court distinguished Niranjan Dass: that case turned on its own facts where the property devolved upon five co-owners and it could not be established who was the landlord legally entitled to receive rent on his own account; because of that factual matrix Niranjan Dass was not applicable to the present matter.
  5. The Court rejected the tenant's submission that the heir(s) could not be treated as "specified landlord" or continue the petition: it held that the contention would negate the purpose of the proviso and that the statute itself confers the right on those heirs; there was consequently no bar to the heirs continuing the petition filed by the deceased specified landlord.
  6. On the procedural point, the Court noted that under Section 18A(3) of the Act, where leave to defend is not granted, the facts stated by the landlord in the eviction petition are deemed admitted by the tenant. In the present case the tenant's leave to defend was dismissed and not challenged, so the tenant could not raise issues inconsistent with the deemed admissions.
  7. The Court further observed that no contention was raised regarding the genuineness of the landlord's personal necessity in the present case; it referred to V.K. Chopra for support of the proposition that a retired specified landlord occupying Government accommodation and paying penal rent may have bona fide need to recover possession.

Applying these points, the Court concluded that the tenant's challenge must fail: the heirs were entitled to continue and maintain the petition, the tenant's procedural defaults and the dismissal of leave to defend precluded raising the present plea, and the landlord's need was not shown to be not bona fide.

Holding and Implications

Holding: The petition is dismissed.

Direct consequences ordered by the Court:

  • The tenant was directed to hand over vacant physical possession of the premises in dispute to the respondents on or before December 31, 2007.

Implications:

The Court applied existing statutory provisions and prior decisions (as discussed above) to hold that the widow or other specified dependants of a specified landlord may continue proceedings under Section 13A when the landlord dies during the pendency of an application, and that procedural consequences (such as the dismissal of an application for leave to defend under Section 18A) operate to bar subsequent challenges inconsistent with deemed admissions. The opinion does not identify or announce any broader new principle beyond the application and reaffirmation of the statutory text and the precedents discussed; its direct effect is to dismiss the tenant's revision and to order surrender of possession by the date specified.

Prepared exclusively from the text of the provided opinion (Rajesh Bindal, J.) and limited to the information contained therein.

    Smt. Kulwant Kaur Petitioner v. Smt. Shashi Kanta Airi And Others S

    Rajesh Bindal, J. — The petitioner/tenant is in revision before this Court against the order of eviction dated September 18, 2007 passed by learned Rent Controller, Chandigarh, in a petition filed by the landlord under Section 13A of the East Punjab Urban Rent Restriction Act, 1949 (as extended to U.T Chandigarh) [for short “the Act”].

    2. As noticed in the order passed by learned Rent Controller, the landlord Raghbir Kumar filed the petition for eviction of the petitioner/tenant from the house in dispute which was let out to her at a monthly rent of Rs. 2,500/-, for a limited period of one year from June 2003 to June 2004. The petitioner paid rent only for three months and thereafter she did not pay rent also. The landlord was employed with Punjab State Electricity Board but was working on deputation with the Chandigarh Administration. It is further allege that on account of his being a Government servant, he had been allotted House No. 1063, Sector 28-B in Chandigarh, however, after his deputation period with the Chandigarh Administration was over, the allotment stood cancelled and the house in dispute was required for his personal use. In any case, the submission was that after his retirement on January 31, 2007, the landlord would not be able to retain the Government premises and would have to vacate the same. It is further submitted that the landlord was patient of Cancer in the Gall Bladder and was under treatment at P.G.I Chandigarh and besides his wife, he had two young children to support, for whom the premises was required.

    3. After the notice was issued in the petitioner, in terms of special procedure prescribed under Section 18A of the Act for disposal of applications under Section 13A of the Act, the tenant could file an application for leave to defend. In the absence thereof, the allegations made by the landlord were deemed to be admitted by the tenant and the landlord was entitled to an order of eviction.

    4. In the present case, it remains undisputed that the application for leave to defend filed by the tenant/petitioner was dismissed by learned Rent Controller and thereafter no further proceedings were taken by her. It has further come on record that during (he pendency of petition, the landlord Raghbir Kumar died on June 10, 2007, and thereafter his legal heirs namely his widow and children were brought on record and the proceedings continued. Finally, learned Rent Controller while accepting the petition vide order dated September 18, 2007 directed the petitioner/tenant to vacate the demised premises within a period of one month.

    5. I have heard learned counsel for the parties and with their able assistance have perused the paper book.

    6. The contention raised by learned counsel for the petitioner/tenant is that Section 2(hh) of the Act, defines ‘specified landlord’ and in case the landlord dies during the pendency of petition under Section 13A of the Act, the same cannot be proceeded with for the reason that the landlord maintaining the petition under Section 13A of the Act was no more there and the benefits as incorporated in proviso to Section 13A of the Act would not be available to the legal heirs of such a landlord. Reliance has been placed on Niranjan Dass v. Trilok Chand, 1996 (2) Rent Law Reporter 634 (SC).

    7. On the other hand learned counsel for the respondents submitted that once the prayer for leave to defend by the petitioner had been dismissed by learned Rent Controller, no issue can be raised by the petitioner/tenant at this stage in the present petition. It is further submitted that the order refusing leave to defend was not impugned by the petitioner/tenant in any further proceedings. Still further, the submission is that even the application for bringing the legal heirs of deceased Raghbir Kumar was not contested by the petitioner and in such situation no such plea can be raised by the petitioner at this stage and the impugned order passed by learned Rent Controller deserves to be upheld. The respondents are in dire need of the premises in dispute as they are being made to pay penal rent for the Government accommodation in their possession. Reliance is place on Dr. Dina Nath v. Smt. Santokh Kaur etc., 1987 (1) RCR (Rent) 363 : (1987-1) 91 Punjab Law Reporter 171 (P&H), Ram Singh v. Parkash Ram represented through L.Rs, 1989 (1) RCR (Rent) 656 : 1989 (1) Rent Law Reporter 506 (P&H), Panna Lal v. Smt. Kamla Devi, 1990 (1) RCR (Rent) 418 : 1990 (1) Rent Law Reporter 84 (P&H) and V.K Chopra v. Subhash Chancier, 2006 (1) RCR (Rent) 120 : 2006 (1) Rent Law Reporter 507 (P&H).

    8. I have heard learned counsel for the parties. It would be appropriate to extract the provisions of law as referred to by learned counsel for the petitioner, accordingly Section 2(hh) and Section 13A of the Act, are extracted here-in-below :—

    “2(hh) “specified landlord” means a person who is entitled to receive rent in respect of a building on his own account and who is holding or has held an appointment in a public service or post in connection with the affairs of the Union or of a State.”

    “13-A. Right to recover immediate possession of residential or scheduled building to accrue to certain persons

    Where a specified landlord at any time within one year prior to or within one year after the date of his retirement or after his retirement but within one year of the date of commencement of the East Punjab Urban Rent Restriction (Amendment) Act, 1985, whichever is later, applies to the Controller along with a certificate from the authority competent to remove him from service indicating the date of his retirement and his affidavit to the effect that he does not own and possess any other suitable accommodation in the local area in which he intends to reside to recover possession of his residential building or scheduled building, as the case may be, for his own occupation, there shall accrue, on and from the date of such application to such specified landlord, notwithstanding anything contained elsewhere in this Act or in any other law for the time being in force or in any contract (whether expressed or implied) custom or usage to the contrary, a right to recover immediately the possession of such residential building or scheduled building or any part or parts of such building if it is let out in part or parts :

    Provided that in case of death of the specified landlord, the widow or widower of such specified landlord and in the case of death of such widow or widower, a child or a grand-child or a widowed daughter-in-law who was dependent upon such specified landlord at the time of his death shall be entitled to make an application under this Section to the Controller :—

    (a) in the case of death of such specified landlord, before the commencement of the East Punjab Urban Rent Restriction (Amendment) Act, 1985, within one year of such commencement;

    (b) in the case of death of such specified landlord, after such commencement, but before the date of his retirement, within one year of the date of his death;

    (c) in the case of death of such specified landlord, after such commencement and the date of his retirement, with one year of the date of such retirement;

    and on the date of such application the right to recover the possession of the residential building or scheduled building, as the case may be, which belonged to such specified landlord at the time of his death shall accrue to the applicant;

    Provided further that nothing in this section, shall be so construed as conferring a right, on any person to recover possession of more than one residential or scheduled building inclusive of any part or parts thereof if it is let out in part or parts :

    Provided further that the Controller may give the tenant a reasonable period for putting the specified landlord or, as the case may be, the widow, widower, child, grand-child or widowed daughter-in-law in possession of the residential building or scheduled building, as the case may be, and may extend such time so as not to exceed three months in the aggregate.

    9. Section 2(hh) of the Act defines a person who is entitled to receive rent in respect of a building on his own account and who is holding or has held an appointment in a public service or post in connection with the affairs of the Union or of a State. In the present case, the petitioner/tenant is not disputing that the landlord Raghbir Kumar was a specified landlord as he was holding the appointment in a public service.

    10. Section 13A of the Act provides for certain specified procedure entitling the specified landlord at any time within one year prior to or within one year after the date of his retirement or after his retirement but within one year of the date of commencement of the East Punjab Urban Rent Restriction (Amendment) Act, 1985, whichever is later, to apply to the Rent Controller for seeking immediate possession of the residential or scheduled building in possession of a tenant for his own use and occupation. Proviso to Section 13A of the Act provides that in case of death of specified landlord, the widow or widower of such specified landlord and in the case of death of such widow or widower, a child or grand child or a widowed daughter-in-law who was dependent upon such specified landlord at the time of his death shall be entitled to make an application under this Section to the Rent Controller for recovering the possession of the building.

    11. The issue as to whether the widow of the deceased specified landlord can continue with the eviction petition after his death has been considered by this Court in various judgments. In Ram Singh's case (supra), this Court opined as under :—

    “7. Apart from the above, during the pendency of this revision petition, the landlord died and his sons and daughter and his widow, were brought on the record and they moved the application, noticed in the earlier part of this judgment, for amendment of the ejectment application as to convert the same to the one under Section 13-A of the aforementioned Act. Though, in the facts and circumstances of this case, the applicants are entitled to seek the necessary amendment, yet as the eviction order is being maintained on the other ground, the necessity of the amendment does not arise. However, the Rent Controller had found that the requirement of the landlord was not bona fide because according to him, it could not be accepted that the landlord would shift from Phillaur where he had established his business in the name of his wife, to Machhiwara, where he did not hold any means of livelihood. Since the landlord had died during the pendency of the petition, his legal representatives are entitled to maintain the petition under Section 13-A of the aforesaid Act, being specified landlords and their need is bonafide to evict the tenant”.

    In Panna Lal's case (supra), this Court opined as under :—

    “The proviso gives the right to the widow of a specified landlord to be brought on the record of the case provided she was dependent upon such specified landlord at the time of his death. It is not conceivable that a specified landlord has a right to recover possession but his widow as legal heir would not have the right to recover possession All the legal representatives, in general law, are entitled to fight on the same cause of action having the same rights which vested in a person who has come to the Court of law. If the landlord had the right, his widow would certainly have the right to recover possession. If the interpretation as has been put by the petitioner's counsel is accepted, the provision to Section 13-A, of the Act would become redundant. Moreover, no such rider has been put to the proviso that if the landlord dies after the filing of the application within the prescribed time, his widow was debarred from continuing with the application. If the legislature was wanting to debar the widow of a landlord, there was nothing in the way of the legislature to create such a bar in the statute itself. The very fact that a right has been given to the widow of the specified landlord to be brought on the record of the case means that the legislature wanted that the right to recover possession vested in a specified landlord can be exercised by his widow. To put any other interpretation to the statute, the same would be doing violence to the wording and the spirit of the proviso. Moreover, the proviso has to be interpreted liberally giving the rights to the heirs of a person who has unfortunately died but who has filed the application claiming benefit of Section 13-A of the Act within time”.

    12. On the other hand judgment referred to and relied upon by learned counsel for the petitioner/tenant in Niranjan Dass's case (supra) is not applicable in the facts and circumstances of the case simply for the reason that the property after the death of the predecessor-in-title has devolved on five co-owners and it could not be proved as to who was the landlord legally entitled to receive rent on his own account. Accordingly, the judgment is distinguishable on facts and will not apply in the present case.

    13. The issue sought to be raised by the petitioner/tenant has already been considered in the above referred judgment by this Court and is in fact clear from plain language of the provisions of the Act. The contention of learned counsel for the petitioner is that the widow or children of the deceased landlord cannot be said to be specified landlord is too far fetched and in case the contention raised by him is accepted, the same will totally negate the object for which the provisions were added. The answer to the issue raised by learned counsel for the petitioner/tenant lies in Section 13A of the Act itself when the legislature in its wisdom has even conferred this right to the widow or even the children, grand children etc. to move an application for eviction under Section 13A of the Act after the death of specified landlord. There is no bar if these very persons are allowed to continue with the petition filed by the specified landlord himself in case he dies during the pendency of the petition. The contention raised is totally misconceived and accordingly rejected.

    14. No contention was raised on the issue of genuine personal necessity of the landlord in the present case. Even otherwise in terms of Section 18A(3) of the Act, in case leave to defend is not granted, the facts stated by the landlord in the eviction petition are deemed to be admitted by the tenant. In V.K Chopra's case (supra), the need of the specified landlord who retired from the service and was occupying a Government accommodation where he was to pay penal rent was held to be bonafide and the eviction order passed against the tenant was upheld by this Court.

    15. In view of my above discussions, I do not find any merit in the present petition and the same is accordingly dismissed. The tenant is directed to handover the vacant physical possession of the premises in dispute to the respondents on or before December 31, 2007.

    Petition dismissed.

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    Smt. Kulwant Kaur Petitioner v. Smt. Shashi Kanta Airi And Others S
    (Dec 4, 2007)