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Citation Codes
Neutral Citations
2010 INSC 345
Equivalent Citations
citation codes
Case Number
Disposition
Advocates
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Acts
  • Section 115 of the Code of Civil Procedure
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Cites
Cited by
Citation Codes
Neutral Citations
2010 INSC 345
Equivalent Citations
citation codes
Case Number
Disposition
Advocates
Judges
Acts
  • Section 115 of the Code of Civil Procedure
Smart Summary

Factual and Procedural Background

The appellants (landlords) initiated an eviction suit against the respondent (tenant) concerning a commercial premises located in Guwahati, Assam. The trial court decreed eviction on two grounds: (i) wilful default in payment of rent since April 1993, and (ii) bona fide requirement of the premises for the landlords’ own business. The first appellate court affirmed the decree. In revision under Section 115 of the Code of Civil Procedure, the High Court re-appreciated the evidence, reversed the concurrent findings, and dismissed the suit. Aggrieved, the landlords approached the Supreme Court by way of special leave.

Legal Issues Presented

  1. Whether the High Court, while exercising revisional jurisdiction under Section 115 CPC, was justified in re-appreciating evidence and substituting its own findings on facts after concluding that the first appellate court had failed to properly consider the evidence.
  2. What consequential orders should follow if the High Court’s approach was found impermissible.

Arguments of the Parties

Appellants' Arguments

  • The High Court exceeded its revisional jurisdiction by re-evaluating evidence and upsetting concurrent findings of fact, an exercise impermissible in law.
  • Both lower courts had correctly found wilful default in rent payment and bona fide requirement; those findings ought to stand.

Respondent's Arguments

  • The findings of the trial and appellate courts were perverse, having ignored vital pieces of evidence.
  • Given those defects, the High Court acted within its jurisdiction to correct the errors and dismiss the eviction claim.

Table of Precedents Cited

No precedents were cited in the provided opinion.

Court's Reasoning and Analysis

The Supreme Court acknowledged that the first appellate court “verbatim copied” the trial court’s judgment without independently scrutinising the evidence, thereby failing to exercise its appellate jurisdiction. While the High Court correctly noticed this lapse, it adopted the wrong course by itself re-appreciating the evidence and substituting its own factual conclusions. The Court reiterated the “settled law” that a revisional court cannot reassess evidence to overturn concurrent findings; its proper course is to remit the matter when lower courts omit material evidence. Accordingly, the Supreme Court held that the High Court’s method was legally unsustainable.

Holding and Implications

Holding: The Supreme Court allowed the appeal, set aside the High Court’s order, and remitted the case to the first appellate court (Civil Judge No. 2, Kamrup, Guwahati) for fresh disposal in accordance with law within six months. No order as to costs.

Implications: The decision restores the eviction appeal to the appellate court for de novo consideration, without creating any new precedent on substantive landlord-tenant law. Its immediate effect is procedural: it clarifies the limits of revisional jurisdiction under Section 115 CPC and mandates proper appellate assessment of evidence before High Court intervention.

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    Bhanwarlal Dugar And Others v. Bridhichand Pannalal And Others

    B. Sudershan Reddy, J.— Leave granted. This is a landlord's appeal by special leave against the order of the High Court reversing the concurrent decree of eviction from a commercial premises at Guwahati in Assam. The trial court, the appellate court concurrently found that the respondent was a wilful defaulter and liable to be evicted. They have also found that the appellants herein required the premises for their own business purpose. The High Court in exercise of its jurisdiction under Section 115 of the Code of Civil Procedure reversed the concurrent findings of facts and accordingly dismissed the suit for eviction filed by the appellants against the respondents.

    2. The premises in question is a commercial one. There is no dispute of landlord and tenant relationship between the parties. Only two substantial issues framed by the trial court were:

    (1) Whether the respondent committed any default in payment of rents since April 1993 as pleaded by the appellants?
    (2) Whether the appellants required the suit premises bona fide for their own use?

    3. On both the issues the trial court as well as the appellate court concurrently held in favour of the appellants. The High Court upon reappreciation of evidence reversed the findings of the courts below.

    4. In this appeal, Shri Vijay Hansaria, learned Senior Counsel appearing on behalf of the appellants strenuously contended that the High Court committed a manifest error in interfering with the concurrent findings of facts arrived at by the courts below by reappreciating the evidence which is impermissible in law. He also contended that the appellants clearly made out and established their case that the respondent committed default in payment of rents since April 1993 till the date of filing of the suit. The appellants have also successfully established that the premises in question are required by them for their own business purposes. His submission was that the High Court exceeded its jurisdiction in interfering with the concurrent findings of facts.

    5. Shri P.S Narasimha, learned Senior Counsel appearing on behalf of the respondent contended that the High Court on facts was justified in reversing the findings of the courts below inasmuch as the findings recorded by the courts below were perverse in nature. It was submitted that the courts below committed serious error in exercise of their jurisdiction and ignoring vital evidence and in such circumstances the High Court was well within its jurisdiction to correct the errors committed by the courts below in exercise of their jurisdiction.

    Bona fide requirement of the premises

    6. The appellants in their plaint in clear and categorical terms pleaded that the schedule premises are bona fide required by them “for their own use as they and their sons have to do their own business from the schedule premises….”. The respondent in the written statement pleaded that the schedule premises are not required bona fide by the appellants for their own use. That apart, it was further pleaded that the appellants already started new business in the year 1997 in their own premises. “Besides this, the plaintiffs have a number of tenants under them such as Canara Bank, Madan Electricals, etc. in the same building, but no case has been filed against them for vacating the premises which shows that the plaintiffs are not in need of premises for their own use and occupation….”

    7. Plaintiff 2 examined himself as PW 1 in the present case. It is specifically stated by him that the premises are required for starting new business for his own sons for which purposes they have sufficient funds and also can manage required resources from the financial institutions for starting new business. In the cross-examination it was suggested to PW 1 that he did not state in the plaint as to what type of business the plaintiffs intended to start in those premises. It was not suggested that the appellants did not possess the financial resources for commencing their own business in the suit premises. It was, however, suggested that many other premises were under the occupation of the tenants which suggestion was accepted by PW 1.

    8. The trial court upon appreciation of evidence available on record found that the appellant-plaintiffs do not have any other “suitable place to start their own business except the suit premises which are situated on the ground floor”. The appellate court without reappreciating the evidence available on record merely copied the findings of the trial court in verbatim.

    9. It is needless to state that a regular first appeal is nothing but rehearing of the suit and the appellate court is bound to appreciate the evidence available on record and arrive at its own conclusions. Only such conclusions arrived at upon appreciation of the evidence are conclusive and not normally interfered with by the Revisional Court by reappreciating the evidence.

    10. In the case on hand the appellate court verbatim copied the judgment of the trial court without any independent application of mind and assessing the evidence. The appellate court miserably failed to exercise its appellate jurisdiction. The High Court is right in observing that the appellate court merely reproduced the judgment of the trial court without any independent application of mind.

    11. But the question that arises for our consideration in the present case is whether the Revisional Court is justified in reappreciating the evidence and substituting its own findings on the ground that the appellate court did not consider the evidence properly?

    12. It is settled law that the High Court cannot reappreciate the evidence and set aside concurrent findings of facts by taking a different view of the evidence. It is always open to the High Court to remit the matter if in its opinion the courts below did not consider the material evidence on record. In the instant case the High Court instead of remitting the matter for fresh consideration by the appellate court on the ground that the appellate court failed to consider the material evidence on record had chosen to undertake that responsibility upon itself which we find it difficult to sustain.

    Wilful default

    13. We find that the first appellate court committed same mistake even while considering the issue relating to wilful default alleged to have been committed by the respondent. On this issue also the appellate court merely reproduced verbatim judgment of the trial court.

    14. Considering all the facts and circumstances as noticed above, we are constrained to hold that the order of the High Court cannot be sustained and as such we set aside the same and remit the matter to the first appellate court (Appellate Court of Civil Judge No. 2, Kamrup, Guwahati) for hearing the appeal afresh for its disposal in accordance with law. It is needless to observe that the appellate court shall rehear the matter and decide all the issues that arise for its consideration by properly reappreciating the evidence available on record. The appeal shall be heard and disposed of within six months from today.

    15. The appeal is, accordingly, allowed without any order as to costs.

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    Comments

    Bhanwarlal Dugar And Others v. Bridhichand Pannalal And Others
    (Jul 5, 2010)