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Citation Codes
Equivalent Citations
citation codes
Case Number
Advocates
Judges
Acts
  • section 50 of the Madhya Pradesh Abolition of Proprietary Rights (Estates, Mahals, Alienated Lands) Act 1 of 1951
  • section 5 of Ordinance No. 14 of 1949 known as Bhopal State Rent Control
  • Bhopal State Regulation of Letting of Accommodation Act, 1956
  • 14 of 1956 by section 11
  • Section 3 of the new Act
  • C. P. Land Revenue Act
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Cites
Cited by
Citation Codes
Equivalent Citations
citation codes
Case Number
Advocates
Judges
Acts
  • section 50 of the Madhya Pradesh Abolition of Proprietary Rights (Estates, Mahals, Alienated Lands) Act 1 of 1951
  • section 5 of Ordinance No. 14 of 1949 known as Bhopal State Rent Control
  • Bhopal State Regulation of Letting of Accommodation Act, 1956
  • 14 of 1956 by section 11
  • Section 3 of the new Act
  • C. P. Land Revenue Act
Smart Summary

Structured Summary of the Provided Legal Opinion

Factual and Procedural Background

An appellant landlord applied for the Controller's approval to eject the respondent tenant under section 5 of the Bhopal State Rent Control Ordinance, 1949 (Ordinance No. 14 of 1949). The application alleged that the premises were required for the occupation of members of the landlord's family; the tenant denied this allegation. The Controller initially granted the approval sought, but on appeal to the High Court that order was set aside and the matter was remanded for a fresh hearing in accordance with law.

After remand, neither party adduced any further evidence. The learned Magistrate, noting the remand and absence of fresh evidence, dismissed the application by order dated 13-5-1956 as unsustainable. The landlord appealed to the Court of Judicial Commissioner, Bhopal, on 30-8-1956. After the reorganisation of States the appeal was transferred to the High Court for disposal.

Before the formation of the new State of Madhya Pradesh, the Bhopal State Regulation of Letting of Accommodation Act, 1956 (Act No. 14 of 1956) was passed, which repealed the Bhopal State Rent Control Ordinance, 1949 by section 11. The appellant's appeal thus came to be considered in the context of the repeal of the Ordinance.

Legal Issues Presented

  1. Whether the repeal of the Bhopal State Rent Control Ordinance, 1949 by the Bhopal State Regulation of Letting of Accommodation Act, 1956 (Act No. 14 of 1956) renders the ongoing proceedings and the appeal in respect of Controller's approval for ejectment infructuous.
  2. Whether the requirement that a landlord obtain the Controller's approval under section 5 of the repealed Ordinance continues to apply after repeal, or whether the repeal removes that "clog" and leaves the parties to remedies under ordinary law.
  3. Whether the right of appeal, once preferred before repeal, is a vested right that survives repeal in the absence of specific provisions to the contrary, and if so, what is the effect where the substantive right in issue has been extinguished by subsequent law.

Arguments of the Parties

Respondent's Arguments (Mr. Nihalani)

  • The appeal has become infructuous due to the repeal of Ordinance No. 14 of 1949 by Act No. 14 of 1956.
  • Relied upon the decision in Chhote Khan v. Mohammad Obedulla Khan (1953 N L J 254 (F. B.) = AIR 1953 Nag. 361 (F. B.)) in support of this contention.

Appellant's Arguments (Mr. Tanwani)

  • The appeal had been preferred before the repeal of the Ordinance; the right of appeal is a vested right.
  • In the absence of a specific provision depriving the litigant of such right, the repeal alone cannot be taken to have removed the right of appeal.

Table of Precedents Cited

Precedent Rule or Principle Cited For Application by the Court
Chhote Khan v. Mohammad Obedulla Khan (1953 N L J 254 (F. B.) = AIR 1953 Nag. 361 (F. B.)) Used by respondent to support the contention that repeal of a statute can render a pending appeal or proceedings infructuous. The decision was relied upon by the respondent; the Court referenced the principle that it must take notice of changes in law which affect the rights in controversy and that subsequent change in law may render proceedings infructuous.
Manghamal v. Messrs. Amrit Pharmacy (S.A. No. 312 of 1948, dated 14-2-1952) Establishes that actions dependent upon a statute generally fall with its repeal, even after an action has been instituted, in the absence of a saving clause; rights dependent upon statute and still inchoate are lost by repeal. The Court quoted this passage and held that these observations "fully apply" to the present case, because the landlord's obligation to obtain Controller's approval and the tenant's corresponding right depended on the Ordinance.
Hukamchand v. Motilal (M. P. 131 of 1952 = 1953 N L J Note No. 91) Affirmed the principle stated in Manghamal regarding the effect of repeal on statute-dependent rights. The Court noted that Hukamchand v. Motilal affirmed the Manghamal principle and treated it as supporting the conclusion that statute-dependent obligations and rights are lost on repeal.
Lachmeshwar Prasad Shukul and others v. Keshwar lal Chaudhuri and others (AIR 1941 F. C. 5) Holds that a Court of appeal is bound to give effect to any change in the law which has come into existence after the judgment under appeal was given. The Court invoked this authority to justify taking notice of the changed legal position resulting from the new Act and to determine the extent to which the parties' rights were affected.
AIR 1953 Nagpur 361 (as cited and discussed) Illustrates that where a right litigated in appeal has been extinguished by subsequent legislation, the appellate court must take notice of that change and mould the relief accordingly; example given concerning section 50 of the Madhya Pradesh Abolition of Proprietary Rights Act. The Court relied on this reasoning to conclude that although a right of appeal is vested, where the substantive right has ceased by reason of subsequent law the appeal may be treated as infructuous and relief moulded appropriately. The opinion applied that approach here.

Court's Reasoning and Analysis

The Court proceeded through the following analytical steps based solely on the text of the opinion:

  1. Identification of statutory change: The Bhopal State Rent Control Ordinance, 1949 (No. XIV of 1949) was repealed by the Bhopal State Regulation of Letting of Accommodation Act, 1956 (Act No. 14 of 1956) by section 11. The Act came into force immediately.
  2. Examination of the Ordinance's effect before repeal: Section 5 of the Ordinance required a landlord to obtain the approval of the Controller before suing for ejectment of a tenant; section 6 imposed a similar requirement for shops. The Ordinance thus created a "clog" or restriction on the landlord's ordinary legal remedies.
  3. Consideration of the new Act's provisions: Section 3 of the new Act empowered the State Government to issue general or special orders regulating letting and preventing eviction, but no such general or special order had been issued at the time; section 11 effected repeal while containing a provision deeming things done under the Ordinances to be done under the Act.
  4. Legal consequence of repeal on statute-dependent rights: Citing Manghamal (and its affirmation in Hukamchand), the Court noted the principle that rights dependent upon a statute and still inchoate are lost by repeal in the absence of a saving clause. The Court concluded that the landlord's obligation to secure Controller's approval, and the tenant's corresponding right, were dependent on the Ordinance and therefore ceased to exist when the Ordinance was repealed.
  5. Impact on the present proceedings: Because the substantive statutory requirement (Controller's approval under section 5) no longer existed after repeal and no replacement "clog" had been created by a general or special order under the new Act, the appeal seeking to obtain that approval had become unnecessary and infructuous. The Court reasoned that the parties had been relegated to their rights and obligations under the ordinary law (i.e., the landlord could sue for ejectment independently).
  6. On the right of appeal: The Court recognized that the right of appeal is ordinarily a vested right that is not taken away by repeal in the absence of specific provisions. However, relying on precedent (including AIR 1953 Nagpur 361 and Lachmeshwar Prasad Shukul), the Court held that where the right which is the subject-matter of the appeal has been extinguished by subsequent law, the appellate court must take notice of that change and mould the relief accordingly; consequently, the appeal may be treated as infructuous.

Holding and Implications

Proceedings held to be in fructuous.

Immediate effect on the parties: The Court held that, insofar as the appeal sought approval under section 5 of the repealed Ordinance, the proceedings (including the appeal) had become infructuous because the statutory prerequisite no longer existed after repeal and no replacement restriction had been created under the new Act. The opinion explicitly notes that the landlord, whose aim was to remove the clog to suing for ejectment, can independently file a suit for ejectment apart from the present appellate proceeding.

The opinion does not state any broader rule beyond applying established authorities; it addresses the direct effect on the present proceedings and moulds relief in light of the subsequent change in law. No novel precedent or expansive new legal doctrine is asserted beyond the application of cited authorities regarding the effect of repeal on statute-dependent rights.

This summary is confined to the information explicitly contained in the provided opinion.

    Kannilal v. Udhamal

    An application was made by the appellant landlord for obtaining the approval of the Controller for the ejectment of the respondent under section 5 of Ordinance No. 14 of 1949 known as Bhopal State Rent Control Ordinance, 1949.

    2. The application inter alia alleged that the premises in the occupation of the tenant were required by him for the occupation of the persons of his family for whom he is bound to provide accommodation. This was resisted by the tenant who denied the allegation which entitled the landlord to obtain the requisite approval of the authority for his ejectment. The approval sought for was initially granted but on appeal to the High Court the order was set aside and the case was remained 'for a fresh hearing in accord­ance with law.'

    3. After the remand either party did not adduce any evidence and the learned Magistrate held that in view of the order of remand and in the absence of any fresh evidence, the application was unsustainable. He therefore dismissed the same by his order dated 13-5-1956.

    4. Against this order the landlord preferred appeal in the Court of Judicial Commissioner, Bhopal, on 30-8-1956 and after the reorganisation of States the case was transferred to this High Court for disposal.

    5. Immediately before the formation of the new State of Madhya Pradesh another Act known as the Bhopal State Regulation of Letting of Accommodation Act, 1956 was passed. It repealed the aforesaid Ordinance. No. 14 of 1956 by section 11 which is as follows: -

    (1) The Bhopal State Rent Control Ordinance, 1949 (No. XIV of 1949) and the Bhopal State Rent Control (Amendment) Ordi­nance, 1949 (No. 19 of 1949) are hereby repealed.

    (2) Notwithstanding such repeal anything done or any action taken (including any appointments, orders, notifications or rules made or issued) in exercise of the power conferred by or cinder either of the said Ordinances shall be deemed to have been done or taken by or under this Act as if this Act were in force or the date on which such thing was done or action was taken.

    (3) The repeal of the Bhopal State Rent Control Ordinance, 1949 (No. XIV of 1949) shall not revive any notification repealed by that Ordinance.

    6. A preliminary objection is taken by Mr. Nihalani for the respondent that this appeal has become in fructuous by reason of the repeal of Ordinance No. 14 of 1949 by act xiv of 1956. He relied upon the decision in Chhote Khan v. Mohammad Obedulla Khan (1953 N L J 254 (F. B.)=A I R 1953 Nag. 361 (F. B.)), in support of his contention.

    7. Mr. Tanwani on the other hand contended that the appeal had been preferred before the repeal of the Ordinance by the act no. 14 of 1956. This right of appeal is a vested right and that, in the absence of specific provision to that effect it could not be held to have been taken away merely by the fact of repeal.

    8. Before discussing this question it will be necessary to examine the nature of the right and the provision with regard the repeal of the Ordinance No. 14 of 1949 by act no. 14 of 1956.

    9. On 15th of April 1949 the Ruler of Bhopal issued this Ordinance No. 14 of 1949 known as Bhopal State Rent Control Ordinance, 1949. The object of the Ordinance as stated in the preamble was to consolidate the law regarding regulating of rents and eviction from residential buildings and shops in the Bhopal State. It applied in the first instance to the cities of Bhopal and Sihore and authorised the Government to extend the same to other places.

    10. Section 5 of the Ordinance laid down the specific circumstances under which a landlord could require a tenant to vacate a residential building by any notice, threat, legal process or any other means and provided for the approval of the Controller before a tenant could be required to vacate.

    11. Section 6 laid down circumstances under which a landlord could require the tenant to vacate a shop by any notice, threat, legal process or any other manner and likewise provided for the approval of the Controller before the tenant could be required to vacate.

    12. Thus, it is clear from these provisions that the Ordinance created a sort of restriction or clog on the power of landlord to have recourse to ordinary legal process for the eviction of a tenant.

    13. Section 3 of the new Act provided as follows: -

    "The State Government may, by general or special order, which shall extend to such areas as the State Government may direct, provide for regulating the letting and sub-letting of any accommodation or class of accommodation whether residential or non-residential, whether furnished or unfurnished and whether with or without board, and in particular,-

    (a) for controlling the rents for such accommodation either generally or when let to specified persons or classes of persons or in specified circumstances;

    (b) for preventing the eviction of tenants or sub-tenants from such accommodation in specified circumstances;

    (c) for requiring such accommodation to be let either generally, or to specified persons or classes of persons, or in specified circum­stances; and

    (d) for collecting any information or statistics with a view to regu­lating any of the aforesaid matters."

    It may be mentioned here that no general or special order of the sort contem­plated under this section has so far been made.

    Section 11 of the Act provided for repeal.

    14. The Act came into force at once and hence the repealing provision had its effect upon the Ordinances referred to in section 11 which were as it were completely obliterated from the statute book except as regards past transactions which were complete there under.

    15. The effect of such a repeal was that the clog created in the way of landlord to have recourse to legal process for securing eviction of a tenant was removed and after the date on which the Act came into force a landlord can sue for ejectment inasmuch as no new clog was created under the repealing statute by any general or special order of the State Government as contem­plated under the Act apart from the question of legality of such, a delegation. The obligation placed upon landlord to secure the approval of the Controller under the Ordinance was one dependent upon the Ordinance and did not exist apart from it and ceased to exist on the repeal of the Ordinance which created it. The corresponding right of the tenant not to be disturbed in his occupa­tion except on obtaining the Controller's approval too was gone. The parties were relegated to their rights and obligations under the ordinary law as new ones are created.

    16. In Manghamal v. Messrs. Amrit Pharmacy (S. A. No. 312 of 1948, dated 14-2-1952) Division Bench of Nagpur High Court held that: -

    "As in the case of amendments, there is one important distinction which must be kept in mind, and that is the difference between rights dependent upon statute and those which are not. Generally, an action dependent upon a statute falls with its repeal, even after the action thereon has been instituted, in the absence of a saving clause. In other words, rights dependent upon a statute and still inchoate, that is, not perfected by a final judgment, are lost by a repeal of the statute."

    This was affirmed in Hukamchand v. Motilal (M. P. 131 of 1952 = 1953 N L J Note No. 91).

    17. These observations fully apply to the present case as the obligation of the landlord and the corresponding right of the tenant depended upon the Ordinance.

    18. It is held in Lachmeshwar Prasad Shukul and others v. Keshwar lal Chaudhuri and others (A I R 1941 F. C. 5), that a Court of appeal is bound to give effect to any change in the law which has come into existence after the judgment under appeal was given. It therefore follows as was observed by Sinha C. J. in A. I. R. 1953 Nagpur 361 (374) that this Court is bound to take notice of the changed legal position as a result of the (new) Act and see to what extent the rights in controversy between the parties are affected by that change.

    19. In the present case section 5 of the Ordinance required the landlord to secure the approval of the Controller before he could sue in ejectment. The section was impaled along with the rest of the Ordinance on coming into force of the new act no. 14 of 1956 referred to above.

    20. There is therefore any necessity of obtaining such an approval. The proceeding in appeal for securing such an approval is therefore unnecessary after the commencement of the Act as neither the Act nor any general or special order under it created any such requirement.

    21. Even if I were to allow the appeal and send back the case the landlord whose attempt was to get the clog in his way removed will not prosecute this proceeding as he can independently of it file a suit for the ejectment of the respondent.

    22. No doubt a right of appeal, is a vested right and in the absence of specific provision depriving the litigant of such a right it cannot be said to have been lost merely by the fact of repeal. But it is equally clear as was held in A. I. R. 1953 Nagpur 361, that where the right to be litigated in the appeal has, by reason of subsequent change in law became in fructuous the Court is bound to take notice of this fact and mould the relief accordingly. In that case it was held by the majority of Judges that by virtue of section 50 of the Madhya Pradesh Abolition of Proprietary Rights (Estates, Mahals, Alienated Lands) Act 1 of 1951 the representative character of the lambardar had ceased by the passing of the Act. His right to the remedy afforded by the C. P. Land Revenue Act also likewise ceased, as a consequence. His right to special remedy continued as long as he held that character. The question arose in appeal as to whether the action commenced under the C. P. Land Revenue Act by the landlord lambardar could be determined on the basis of that law or the Court ought to take notice of the subsequent law.

    23. The result therefore is that due to subsequent change in law entire proceedings have become in fructuous including one in appeal.

    24. Under the circumstances of this case there will be no order as to

    Proceeding held to le in fructuous.

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    Comments

    Kannilal v. Udhamal
    (Jan 16, 1957)