AMICUS AI
Citation Codes
Equivalent Citations
citation codes
Case Number
Attorney(S)
Judges
Acts
  • control) act 1960. Enables
  • section 10 (3) (a) (iii) (a)
  • section 10 (3) (a) (iii) (b)
  • Section 10 (3) (c)
Are you a practicing lawyer?
Enhance your digital presence and reach by creating a Casemine profile.
Upload pleading to use the new AI search
Cites
Cited by
Citation Codes
Equivalent Citations
citation codes
Case Number
Attorney(S)
Judges
Acts
  • control) act 1960. Enables
  • section 10 (3) (a) (iii) (a)
  • section 10 (3) (a) (iii) (b)
  • Section 10 (3) (c)
Smart Summary

Structured Summary of the Provided Legal Opinion

Factual and Procedural Background

The revisionists are the tenants. The respondent (described as the landlord in the opinion) filed two eviction petitions, R.C. Nos. 2 and 3 of 1976, on grounds of wilful default and the landlord's bona fide requirement of the scheduled premises for commencing or carrying on his business. The eviction petitions were filed under provisions of the Andhra Pradesh Buildings (Lease, Rent and Eviction) Control Act (referred to in the opinion as "the Act"), specifically invoking provisions identified in the opinion as section 10(3)(a)(iii) and section 10(2)(i) (as pleaded).

Relevant factual allegations in the eviction petitions included that the landlord purchased specified doors/shops by registered sale deed dated 26-6-1969; symbolic or actual possession was taken in respect of certain portions; the tenants had allegedly assured payment of rent but later did not vacate after notice. The landlord obtained decree in a civil suit (O.S. No. 140/69) but could not execute it because the area was included in the municipality and rent-control provisions became applicable; the tenants then deposited rents in court under section 8 of the Rent Control Act to meet the question of wilful default.

In the rent-control proceedings the rent controller concluded that wilful default was not established but that the landlord's bona fide requirement for the premises for business was established, and ordered eviction. The appellate court confirmed that decision. The tenants therefore filed revisions to the High Court challenging the concurrent findings below.

Legal Issues Presented

  1. Whether the eviction petitions adequately pleaded and established the landlord's "bona fide proposal to commence business" as required by section 10(3)(a)(iii)(b) of the Act (i.e., whether particulars of the proposed business and reasons for selecting the particular premises were sufficiently pleaded).
  2. Whether the case fell instead under section 10(3)(a)(iii)(a) (requirement for a business which the landlord is carrying on) and, if so, whether the landlord could rely on that provision when he was admittedly already occupying other non-residential premises for his business.
  3. Whether the appellate tribunal and the rent controller erred in treating the choice of premises as exclusively the landlord's decision, without requiring the landlord to show why the chosen premises were necessary as against other premises owned by him.
  4. Whether wilful default by the tenants was established.
  5. Whether the High Court should interfere with concurrent findings of fact by the controller and appellate authority under section 22 of the Act on grounds of illegality, irregularity or impropriety.

Arguments of the Parties

Tenants' (Revisionists') Arguments (as presented by the learned Advocate General for the tenants)

  • The pleading (paragraph 3(g) of the eviction petition) did not sufficiently disclose any bona fide proposal to commence a particular business; a bald plea that the premises are required for "his business" is inadequate to satisfy section 10(3)(a)(iii)(b).
  • The lower courts erred in holding that the landlord's mere choice of premises is decisive; it is not for the tenant to advise the landlord which premises to use, and such reasoning is extraneous and erroneous.
  • The landlord's existing medical shop was adequate for his business and the schedule premises were far away and unsuitable for expansion, as alleged in the tenants' counter; thus the bona fide requirement was not established.

Landlord's Arguments (as presented by Sri T. Ananta Babu, counsel for the landlord)

  • The pleading stating that the "schedule building is necessary for expanding his business" (paragraph 3(g)) should be taken as sufficient statutory compliance to show requirement for business expansion; the case therefore falls under section 10(3)(a)(iii)(a) (requirement for an existing business), not under subsection (b).
  • It is not necessary to set out every material detail in the pleadings; what is necessary is to convey the intention to the opposite party, and sufficient particulars would emerge from evidence at trial. The landlord pointed to evidence (including his testimony about obtaining a brandy licence and intending to expand into fancy goods) to show bona fide requirement.
  • The courts below had concurrently held that the schedule premises were required for the landlord's business, and this court should not interfere with concurrent findings of fact.
  • The landlord relied on several older authorities (including civil pleading cases) to argue that pleadings should not be construed strictly and that the tenant was not prejudiced by any lack of particularity in the petition.

Table of Precedents Cited

Precedent Rule or Principle Cited For Application by the Court
Tiruveedhi Ramanjaneyulu v. Araveti Venkata Subbamma (1980) 2 ALT 315 Eviction petition must specify the particular business proposed to be commenced so that the other side can meet and rebut the claim; a mere general allegation is insufficient. The court cited this authority to support the view that particulars of the proposed business must be stated in the petition itself; it treated this case as part of the body of authority requiring particularisation and relied on it in concluding that the petition was deficient.
Nagnath v. Abdul Waheed (1981) 1 APLJ (High Court) 62 (AIR 1981 NOC 138) The landlord should specifically plead the nature of the business proposed and furnish particulars under section 10(3)(a)(iii)(b), including reasons for choosing the particular premises. The court relied on this decision to affirm that failure to aver these facts in the eviction petition prejudices the tenant and supports dismissal where particulars are absent.
N. V. Naidu v. N. V. Satyanarayana (1982 APHC Notes 842) The words "bona fide proposes to commence business" require particularisation and are not words of magic; particularisation is essential to enable formation of a satisfactory opinion by the controller. The court cited and followed this reasoning, stating that particularisation is essential and that the petition in the present case lacked this ingredient.
Vishnu Prasad Bhatt v. K. Narayana Rao 1982 (1) APLJ 223 Whether details must be in the petition or can be proved by evidence depends on the evidence adduced; there is no absolute rule that the petition must be dismissed for vagueness if evidence establishes the claim. The court acknowledged this line of authority but contrasted it with the majority view requiring particulars in the petition; it noted that case law is divergent and used this case as part of the discussion on how particulars may be supplied.
L. L. Setty v. M. L. K. Setty (1982) (1) APLJ (High Court) 345 An eviction petition under section 10(3) need not be dismissed as a general rule for failure to specify particulars if evidence is conclusive and no prejudice is caused to the tenant. The court cited this decision as representing the minority view; ultimately the court followed the majority view rather than this permissive approach, finding the petition here inadequate.
Sayad Mahammad v. Fatteh Muhammad (1895) ILR 22 Cal 324; Manjushri v. B. L. Gupta, AIR 1977 SC 1158; Kunju Kesavan v. M. M. Philip, AIR 1964 SC 164; Bhagwati v. Chandramaul, AIR 1966 SC 735; Firm Srinivasram v. Mahabir Prasad, AIR 1951 SC 177 General civil pleading principles: pleadings should not be construed strictly and liberal construction may be given where no prejudice is caused (principles under Order 6 Rule 4 CPC and related civil procedure authorities). The court observed that these authorities arise from general civil procedure principles and have limited assistance in relation to a special statute which imposes explicit pleading requirements; the court therefore gave them little weight in deciding compliance with the specific statutory requirements of the Act.
Onkar Nath v. Vedvyas, AIR 1980 SC 1218 Statutory conditions for personal requirement must be specifically established; landlord is not unfettered in choosing premises if statutory conditions are not met. The court relied on this authority to reject the appellate tribunal's view that the landlord's choice of premises is conclusive; it held the landlord must show why the chosen premises are required as against other premises he owns.
M. Quasim v. Manohar Lal, AIR 1981 SC 1113 The landlord is not unfettered to choose any house for personal requirement; the court must examine need and availability of other vacant premises owned by the landlord. The court used this authority to support the proposition that a landlord's choice is not absolute and that the element of need must be scrutinised in the context of available premises.
Sri Raja Lakshmy Dyeing Works v. Rangaswamy, AIR 1980 SC 1253 (and Dattopant Gopala Rao v. Vithalrao Marutirao (1975) 2 SCC 246) On the scope of revisionary power under statutory provisions: the High Court's revisional power is wide but not so wide as to make it a second court of first appeal; intervention requires illegality, irregularity or impropriety. The court considered these authorities in addressing whether concurrent findings below should be disturbed under section 22 of the Act and concluded that interference was warranted because the lower tribunals' decisions suffered from illegality/misapplication of the statute and were tainted by unreasonableness.

Court's Reasoning and Analysis

The court proceeded by closely examining the statutory text of section 10(3)(a)(iii) (both the branch dealing with a business which the landlord is carrying on and the branch concerning a business which the landlord bona fide proposes to commence) and section 10(3)(c), and by analysing the relevant pleadings and evidence.

First, the court observed that the petition as pleaded referred to "the schedule building is necessary for him for the purpose of his business" (para 3(g)), a formulation that is ambiguous: it could mean premises for an existing business or premises for a proposed new business. Because the Act is a tenant-protective statute, the court held that ambiguity must be resolved in favour of the tenant; in the absence of the specific statutory phrase "for the purpose of a business which he is carrying on," it is not permissible to read that meaning into the petition.

Second, the court analysed the express requirements of section 10(3)(a)(iii)(b) which, in its view, "postulates that the petitioner-landlord must bring out adequately the necessary material without any ambiguity enabling thereby the tenant to counteract the claims." The court emphasised the need for particularisation in pleadings where the landlord relies on a bona fide proposal to commence a business: the petition must supply sufficient material to inform the tenant and the controller of the nature of the proposed business and why the particular premises are required.

Third, the court reviewed divergent case law. While noting authorities that allow particulars to emerge at trial or permit liberal construction where no prejudice is caused, the court accepted the majority view (from a multi-judge consideration) that particularisation in the petition is essential and that failure to do so is fatal. The opinion expressly followed the majority rule requiring the landlord to specify particulars in the petition itself.

Fourth, the court examined the evidence produced by the landlord (evidence that he had obtained a brandy licence, intended to trade in liquors and fancy goods, and that certain premises were used and vacant). The court found contradictions between the pleadings and the evidence and noted that the appellate tribunal had misapplied the Act by treating the issue as one of "choice" for the landlord rather than requiring the landlord to show a satisfactory reason for choosing the particular premises against other premises available to him.

Fifth, the court held that the requisition advanced by the petitioner could not properly be treated as falling under section 10(3)(a)(iii)(a) because the landlord was admittedly occupying his own non-residential premises for business; accordingly the petitioner could not rely on that branch and, in any event, had failed to comply with the requirements of section 10(3)(a)(iii)(b). The court also noted that section 10(3)(c), which concerns additional accommodation, was not invoked and in any event was inapplicable because the schedule premises were not contiguous and were separated by intervening shops/lanes.

Finally, although the High Court's revisional jurisdiction under section 22 is wide, the court found a "taint of unreasonableness" and misapplication of statutory requirements in the concurrent findings below; accordingly interference was justified to prevent a miscarriage of justice.

Holding and Implications

Holding (core ruling): The eviction petitions are dismissed and the revision petitions are allowed.

Direct consequences and immediate effect:

  • The orders made under the revisions are set aside.
  • The eviction petitions filed by the landlord (R.C. Nos. 2 and 3 of 1976) were held not to comply with the requirements of section 10(3)(a)(iii)(b) of the Act and were dismissed.
  • The revision petitions filed by the tenants were allowed. No costs were awarded.

Broader implications: The court followed the majority position in the authorities that require particularisation in the eviction petition where a landlord relies on a bona fide proposal to commence business under section 10(3)(a)(iii)(b). The opinion emphasises that under the special statutory regime the landlord must plead sufficient particulars to enable the tenant and the controller to consider and meet the claim; absent such particulars, dismissal is appropriate. The opinion did not purport to create a novel rule beyond applying and preferring the majority line of authority discussed.

    Palichetty Latchanna Petitioner v. Giduthuri Appa Rao .

    (1) The revisionists herein are the tenants. The respondent - landlord filed two petitions for eviction, r. C. Nos. 2 and 3 of 1976 on the grounds of wilful default and bona fide requirement of the schedule premises for the proposed commencement of his business. The eviction petitions have been filed under sec. 10 (3) (b) (iii) and sec 10 (2) (i) of the a. P. Buildings (lease rent and eviction) control act, (hereinafter referred to as the act). R. C. No. 2/76 briefly states: the petitioner (landlord) purchased the building doors nos. 2/48, 2/49, and 2/50 on the western side of the g. N. T. Road in tagarapuvalasa under a registered sale deed dated 26 - 6 - 1969. Actual possession was given in so far as d. No. 2/50 is convened and symbolic possession in respect of d. Nos. 2/48 and 2/49 which were occupied by the two revisionists herein was given after the purchase the tenants assured to pay the rents to the petitioner. The petitioner purchased the building for the purposes of his business and therefore a notice was caused to be issued on 1 - 6 - 69 to vacate the building. Since it was not vacated the petitioner (landlord) filed a suit o. S. No. 140/69 which was decreed and the appeal was dismissed but however during the pendency of the appeal. Tegarapuvalasa was included in the bheemunipatnam municipality and therefore the provisions of the rent control act were made applicable. Consequently the decree obtained in the suit could not be executed since the respondents ( tenants) did not give any notice to the petitioner as to what he should do with the rents and after the disposal of the suit when the petitioner was about to take action against the respondents under the rent control act, the respondents - tenants filed an application under sec. 8 of the rent control act for allowing them to deposit the rents into court, which was allowed this was with a view to get over the question of wilful default. The petitioner however submits that the respondent committed wilful default as they did not pay the rents wilfully. It is also stated that the schedule building is necessary for him for the purposes of his business and therefore the respondents are liable to be evicted.

    (2) In the counter it is stated that contrary to the agreement at the time of the purchase of the building between the petitioner and the respondents, the petitioner with a view to harass the respondents did not receive the rents and when the rents refused to be accepted and hence they had to file an application under sec. 8 which was allowed. It is further stated that the landlord is having a medical stores in his own building situated by the main road and the said building is sufficiently big enough for his business and the petition schedule premises is at a far off distance to the said medical shop and is not suitable for expansion of the land lords business. The allegation of wilful default is denied and there is no bona fide requirement of the petitioner to commence his business and therefore the petitions should be dismissed.

    (3) The rent controller on an appreciation of evidence and in the light of the pleadings held that though the wilful default has not been established, the bona fides on the part of the landlord for the proposal to commence his business is established and therefore eviction was ordered. The appellate court likewise confirmed. Hence these revisions.

    (4) The learned advocate general for the tenants contended that there was nothing in the pleading to show that there was any bona fide proposal to commence the business. It is only a bald plea that the schedule premises is required for his business which is not sufficient to attract successfully the provisions enacted in s. 10 (3) (a) (iii) (b) of the act. Secondly both the courts below have erred in concluding that it is open to the landlord to choose the premises that would be convenient for his business and it is not for the tenant to advise as to which premises is required for the landlord. These considerations are wholly extraneous and therefore the conclusions arrived at are erroneous. The learned counsel for the landlord sri. T. Ananta babu contended that what is pleaded actually is that the schedule premises is required for his business which means for expanding his business and therefore the case falls within the ambit of sec. 10 (3) (a) (iii) (a) and not sec. 10 (3) (a) (iii) (b) of the act and consequently it is needless to establish the bona fide requirement of the premises. Even otherwise it is not necessary that the entire material will have to be furnished through the pleadings. What is necessary is to convey the intention to the opposite party and inasmuch as it is clear from the counter itself wherein it has been stated that the existing business premises of the landlord was adequate enough and the rented premises are not actually required for the purposes of expansion of his business, there is a statutory compliance of the provision. Hence no grievance could be made in regard to the inadequacy of the pleadings. The learned counsel however at the fag - end brought to my notice para 3 (g) of the petition in r. C. No. 3/ 76 pertaining to the bona fide requirement of the premises. Which reads: -

    "the petitioner submits that the schedule building is necessary for expanding his business, as the building in which he is feeling difficulty to keep his stocks. As the respondent committed wilful default he is liable for eviction"
    .

    And submitted that this would amount to sufficient compliance of the statutory provision and there is no prejudice that is caused to the tenant. This apart, it is further submitted that sufficient evidence has been left in to show that the premises are required as additional accommodation for the purpose of his existing business and therefore no prejudice or disadvantage has been caused to the tenants in conducting their case. Thirdly it has been submitted that this court may not interfere in revision as two courts have concurrently held that the schedule premises are required for the business of the landlord.

    (5) Before analysing the arguments and counter - arguments and adjudicating the points involved. The statutory provisions and also the brief relevant pleadings may be noticed. section 10 (3) (a) (iii) of the rent control act reads thus: -

    "a landlord my subject to the provisions of cl. (d) , apply to the controller for an order directing the tenant to put the landlord in possession of the building (i) and (ii) xx xx xx xx (iii) in case it is any other non - residential building. If the landlord is not occupying a non - residential building in the city, town or village concerned which is his own or to possession of which he is entitled whether under this act or otherwise: - (a) for the purpose of a business which he is carrying on ,on the date of the application or (b) for the purpose of a business which in the opinion of the controller. The landlord bona fide proposes to commence"
    .

    Section 10 (3) (c) reads as follows: -

    "a landlord who is occupying any a part of a building whether residential or non - residential, any notwithstanding anything in clause (a) , apply to the controller for an order directing any tenant occupying the whole or any portion of the remaining par of the building to put the landlord in possession thereof, if he requires additional accommodation for residential purposes or for the purpose of a business which he is carrying on as the case may be"
    .

    Section 22 of the act is to the following effect: - revision : - (1) the high court may, at any time on the application of any aggrieved party call for and examine the records relating to any order passed or proceeding taken under this act by the controller in execution under section 15 or by the appellate authority on appeal under sec. 20, for the purpose of satisfying itself as to the legality regularity or of propriety of such order or proceeding and may pass such order in reference thereto as it thinks fit. (2) the costs of and incident to all proceedings before the high court under sub - sec. (1) shall be in its discretion. The relevant plea in the eviction petition is at para 3 (f) and it reads as follows: -

    ". The petitioner submits that the respondent committed wilful default as he did not pay the rents wilfully and to harass the petitioner"
    .

    Para 3 (g) reads as follows: -

    "the petitioner submits that the schedule building is necessary for him for the purpose of his business and as the respondent committed wilful default he is liable for eviction"
    .

    The relevant extracts from the counter are as follows: -

    "the allegation that the petitioner purchased the petition schedule premises for the purposes of t his business is not correct. The petitioner is having medical store to his own building is sufficiently big enough for his business. The petition schedule premises is at a far of distant to the said medical shop and it is not at all suitable for the extention of the petitioners business. The petition schedule premises is separated from the medical shop of the petitioner by number of other shops and also public streets"
    .

    (6) It is necessary to extract a few sentences from the evidence of p. W. 1 "to improve my business i purchased this building. Previously i used to have medical stores i. E. Prior to the purchase of this building the same medical business is still continued. I also applied for brandy licence. I intend to improve business on fancy business side also. Hence i purchased this building. I secured one licence for my trade in liquors. I am getting liquors and doing business for the present in my medical shop. Since i am keeping liquors in my medical shop my sales on medical shop business have been reduced because respectable are not visiting my shops to purchase medicines because they will be misunderstood that they would be coming to purchase medicines. There is only one hall which is in any possession and enjoyment and that is being used for medical shop. There is no room behind the hall with start case. It is not true to suggest that there is room be hind the hall with staircase. That staircase leads to the upstairs hall. The upstairs hall belongs to me and it is vacant. In between my medical shop and the suit schedule house there are 5 or 6 shops. After these 6 shops there is a lane. Adjacent to the lane the house i purchased for my business is situate in which the petition schedule house would be 6 feet x 10 feet. It would be more than that i cannot say the measurements.

    (7) Relevant portion of the evidence of r. W. 1` is as under: - "p. W. 1 has been doing business in medicines since 15 years. From the beginning he is doing business in drugs and wines. There is one room in the second floor. It is 20 feet x 1 5 feet. It is smaller than the first floor there is another hall in the 3rd floor. Both the halls are in possession of p. W. 1 sold the 3rd room to pydiraju on 1 - 6 - 1978 there are 8 or 10 chops intervening p. W. 1st shop and our shops. The hall behind the petition schedule rooms is in a good condition. I am doing business in verandah. Its length is 10 feet and width 6 feet.

    (8) The main contention is that the schedule premises are sought to be required for the purpose of the business which according to the learned advocate general is the bona fide proposal to commence the business whereas according to sri anantha babu it is only for the existing business. The provision which has been cited in the eviction petition is sec. 10 (3) (b) (iii). The said provision does not exist in the act however. It is said to be under section 10 (3) (a) (iii) (a) of the rent control act. While reading even section 10 (3) (a) (iii) (a) what becomes manifest is that the landlord in order to require his own non - residential building let out for the purpose of his own business he ought not to be in the possession of his own non - residential building. It is conceded that the existing shop wherein the petitioner is carrying on his business is owned by him. If that is so that case cannot conceivably fall within the gamut of sec. 10 (3) (a) (iii) (a).

    (9) Secondly assuming without laying down that under sec. 10 (3) (a) (iii) (a) the petitioner herein who is admittedly occupying his own non - residential premises wherein he is carrying on his business is entitled to require his own non - residential building let out to the tenant herein, still it has to be seen whether the ingredients of the statutory provisions have been established or not as per the learned advocate general the words used in para iii (g) of the petition "for the purpose of his business admit of no ambiguity. According to him they convey a general intention of requiring the premises for some business and not "for the purpose of a business which he is carrying on" as per sec. 10 (3) (a) (iii) (a) and therefore in the absence of anything in the pleadings one cannot read more than what has been stated by the petitioner himself. The counter argument of the learned counsel for the tenant is that the words "for the purpose of his business" convey specific and explicit meaning to show that for the purpose of existing business which he is carrying on" as per the provisions laid down in sec. 10 (3) (a) (iii) (a).

    (10) In my judgment the words as employed in para 3 (g) of the petition are capable of being construed in two ways. It may be for the purpose of some business which the landlord requires the premises or it may perhaps also be that for the purpose of existing business the premises are required. But the rent control act being the beneficial legislation for the tenant the interpretation in case of ambiguity which is favourable to the tenant has to be adopted. In this case, in particular in the absence of the words employed in s. 10 (3) (a) (iii) (a) namely "for the purpose of business which he is carrying on "it is difficult to construe that the petitioners requisition of the premises was for his existing business which he is carrying on. It will be reading something more than what has been stated in the petition and therefore. In any view the petitioner desired the premises for the purpose of business which he proposes to commence. If that is so what has next to be seen is whether there is a compliance of the provisions enacted in s. 10 (3) (a) (iii) (b). The provision is emphatic. It postulates that the petitioner - landlord must bring out adequately the necessary material without any ambiguity enabling thereby the tenant to counteract the claims sought to be made by the landlord. In para iii (g) there is nothing to show that the landlord bona fide proposes to commence the business. The para iii (g) is as bald as anything and nothing turns upon it to show that the landlord boon fide proposes to commence the business. The case law cited across the bar is no doubt divergent in this as to what material that has to be placed before the controller to form the opinion whether sufficient material will have to be furnished in the pleadings itself or whether it could be established by way of evidence in the trial of the case. The case law cited in favour of the proposition that the petitioner must state full particulars straight in the pleadings itself that he requires the premises for bona fide commencement of the proposed business is: - tiruveedhi ramanjaneyulu v. Araveti venkata subbamma (1980) 2 alt 315. In this jeevan reddy. J. , held that : -

    "the petition for eviction should itself specify the particular business, which the landlord proposes to commence in the premises concerned, such a requirement is also necessary so that the other side can have an opportunity to meet and rebut it. A mere general and vague allegation that the landlord proposes to commence some unspecified business hardly enables the controller to form the basis. He must be told what type of business the landlord or a member of his family as the case may be proposes to commence in the premises. The express language of the enactment says that the authority under the act has to be satisfied that the landlord bona fide proposes to commence a business in the premises. It is not enough for him simply to be satisfied that the landlord proposes to do some or other business in the premises"
    .

    (11) In nagnath v. Abdul waheed (1981) 1 aplj (high court) 62: (air 1981 noc 138) justice punnayya held that: -

    "to satisfy the rent controller that the requirement is bona fide, the landlord should specifically plead in the eviction petition the nature of the business which he proposes to start and furnish all the particulars with reference to the ingredients of sec. 10 (3) (a) (iii) (b) and should state specifically as to why he has chosen to seek eviction of the tenant from the mulgi in question in preference to other mulgies belonging to him and all those facts should be averred in the eviction petition. Failure to aver all these facts judice to the defence of the tenant, as he has no opportunity to know and meet the case of the landlord"
    .

    (12) I had the occasion to deal with this provision in n. V. Naidu v. N. V. Satyanarayana 1982 aphc notes 842 i held that: -

    "as already held in c. R. P. No. 1248 of 1981 dated 24 - 9 - 81 the words bona fide proposes to commence business are not any words of magic they have a definite connotation and therefore very rightly the case law cited insists upon the particularisation of the business without being vague or equivocal at the time when the landlord seeks a direction for the eviction of the tenant within the meaning of sec. 10 (3) (a) (iii) (b) for it is this ingredient that in essence contributes towards the formation of satisfactory opinion by the controller"
    .

    (13) In vishnu prasad bhatt v. K. Narayana rao 1982 (1) aplj 223: p. A. Choudary. J. Held that: -

    "the proof of allegations contained in such an eviction petition with details or without details depends upon the evidence adduced in the case on oath and exposed to cross - examination. There is no legal support for that view that the eviction petition itself should be dismissed on the ground that it is vague and does not give particulars of the proposed business"
    .

    (14) Likewise, in l. L. Setty v. M. L. K. Setty (1982) (1) aplj (high court) 345 ramachandra raju j. Held that: "it cannot be laid down as a general rule that an eviction petition filed under s. 10 (3) of the act should be dismissed for the failure on the part of the landlord to specify the particular business which he proposed to commence each case has to be decided on its own facts if the evidence is conclusive on the bona fide requirements of the landlord and the tenant has not suffered any prejudice, it will not be right to refuse the relief of eviction merely on the ground that the business which the landlord proposes to commence was not specified in the petition for eviction.

    (15) Since the majority that is three out of five judges have held that the particulars of proposed business and also the preference as to why the particular premises are required have to be brought out in the petition itself and any contravention will be fatal to the petitioner, i follow the majority view and reiterate what has already been stated that the particularisation of the business without being vague or equivocal must be stated in the petition itself and it is this ingredient that in essence contributes towards the formation of satisfactory opinion by the controller. Since this ingredient. Is woefully lacking in this petition the petition deserves to be dismissed.

    (16) Sri anantha babu the learned counsel for the landlord relied upon the various decisions namely sayad mahammad v. Fatteh muhammad (1895) ilr 22 cal 324, manjushri v. B. L. Gupta, air 1977 supreme court 1158, kunju kesavan v. M. M. Philip. Air 1964 supreme court 164, bhagwati v. Chandramaul, air 1966 supreme court 735 and firm srinivasram v. Mahabir prasad air 1951 supreme court 177.

    (17) The conspectus of these cases is that the pleadings should not be construed strictly and if each side is fully alive as to the subject matter of the case and if no prejudice matter of the case and if no prejudice is caused to the other party the scrutiny should not strictly be made. All these decisions turn upon the provisions enacted in o. 6 r, 4 civil procedure code and. Therefore the pronouncements made in that behalf have little or no assistance while adjudicating upon the provisions enacted in a special law in fact the provisions which have been enacted in sec. 10 (3) (a) (iii) (a) and sec. 10 (3) (a) (iii) (b) are special distinct and explicit. The legislature has been positive with regard to the aspect covered by sec. 10 (3) (a) (iii) (b) where bona fide requirement for the proposed business must necessarily to be stated and established to the satisfaction of the controller and therefore in the light of these provisions, this court has construed that the ingredients as laid down in the statutory provisions have to be complied with furnishing material as stated earlier which would otherwise be fatal to the petitioner itself. It is difficult to reconcile between the pleading and the evidence. There has been improvement and contradiction in the evidence in the evidence the petitioner himself has stated:

    "he also applied for brandy licence and intends to improve business on fancy goods side and therefore purchased the buildings"
    .

    If that is so it is very hard to reconcile with the claim made in r. C. C. 3/69 where in it is stated in para iii (g) that the building in which he is now doing business is insufficient and he is feeling difficulty to keep his stocks. It is hard to comprehend whether the premises are required for the new or old business no wonder the appellate tribunal landed itself in a labyrinth when it framed the issue as under: - point no. 2: whether the finding of the learned rent controller that the landlord bona fide required additional accommodation for his business is correct? the schedule buildings are abutting the main road near a tri - junction converging from vizianagaram, bheemunipatnam and visakapatnam. The landlord is admittedly doing business in medicines and he has obtained a licence for liquors. He also proposed to run business in fancy goods. The type of business has not been revealed in the petition. The extention of the same business cannot be at two different places. He has been doing business in another premises at some distance from the schedule premises".

    (18) After extracting the contention of the tenant as above, the court held: the evidence that the landlord obtained the licence to sell liquors stands unrebutted. Though the landlord is having several buildings the choice is entirely his to choose whichever building is suitable for his business though medicines and fancy goods can be sold from the same shop, i am convinced that the liquors cannot be sold from the same shop with advantage. This is not a question of additional accommodation. But this is a question of a accommodation for running a business".

    (19) Now from the above, it is quite clear that the tribunals below particularly the appellate tribunal has misconstrued and therefore misapplied the provisions of the act. The provisions regarding additional accommodation is made in sec. 10 (3) (c) , but this provision has not been availed of either. In fact the requisition was under section 10 (3) (a) (iii) (a) the case also could not have been under s. 10 (3) (c) because it is applicable to a promotion of the building which is tenanted to another and therefore it could not have been the case of additional accommodation because admittedly the schedule premises are away from the existing premises by about five or six shops as per the petitioner and therefore even the frame of the point as well as the issue are erroneous viewed from any angle, therefore the petitioner has miserably failed to bring out his case within the provisions enacted in section 10 (3) (a) (iii) (b) and therefore his case deserves to be dismissed on this ground as well.

    (20) The next point raised by the learned advocate general is that it is too late in the day for the courts to say that it is the landlords choice and the tenant has nothing to do with regard to the choice and it is for him to select any of the premises which he owns for the purpose of his business. For this he relied on onkar nath v. Vedvyas, air 1980 supreme court 1218 wherein the supreme court held (para 18) : -

    "it is common ground that there are three requirements to make out a cause of action for eviction under that provision and indeed this is apparent from a bare reading of the sub - section. In the present case the finding is to the effect that the landlord requires the residential building for his own occupation. But the legislation has taken care to insist upon two more conditions namely, (a) that the landlord is not occupying any other residential building in the area concerned and (b) that he has not vacated such a building without sufficient cause there is ot a scintilla of evidence nor indeed there is any averment in compliance with these latter conditions. The necessary consequence follows that not merely is there inadequacy of pleadings sufficient to make out of cause of action but total absence of proof of two vital requirements"
    .

    (21) He also relied upon m. M. Quasim v. Manohar lal, air 1981 supreme court 1113 wherein the supreme court held: "before turning to the next topic a word about the judicial approach to the question of personal requirement of the landlord under the rent act would not be out of place. The learned judge of the first appellate court while upholding the claim of personal requirement of respondent 1 has observed as under:

    "it is for the plaintiffs to decide whatever they think fit and proper it is not for the defendant to suggest as to what they should do. The defendant has led evidence to show that the plaintiffs have got some more houses at giridih. The defendant appellant has also filed certified copy of judgment of one suit no. 47/43 which is ex. D only to show that plaintiffs have got a decree for eviction with respect to the other house at giridhih i have already pointed out earlier that it is for the plaintiffs to decide which of the houses is suitable for them. It is not for the defendant to suggest that the house which will fall vacant in the near future is most suitable house for the plaintiffs. This approach betrays a woeful lack of consciousness relatable to circumstances leading to enactment of rent act in almost all states in the country. The time honoured notion that the right of re - entry is unfettered and that the owner landlord is the sole judge of his requirement has been made to yield to the needs of the society which had to enact the rent acts specifically devised to curb and fetter the unrestricted right of re - entry and to provide that only on proving some enabling grounds set out in the rent act the landlord can re - enter. One such ground is of personal requirement of landlord. When examining a case of personal requirement if it is pointed out that there is some vacant premises with the landlord which he can conveniently occupy, the element of need in his requirement would be absent. To reject this aspect by saying that the landlord has an unfettered right to choose the premises is to negative the very raison deter of the rent act"
    .

    The appellate tribunal held in its order as under: "though the landlord is having several buildings the choice is entirely his to choose whichever building is suitable for his business. Now it is equally erroneous on the part of the appellate tribunal to have held that the choice is that of the landlord. The landlord would have to further establish by way of satisfactory evidence that he requires particular premises for some good reason as against the other premises which are available to him for eviction. Otherwise by merely asking he cannot re - take his premises.

    (22) The last contention raised by the learned counsel for landlord is that this court may not interfere in the revision with the concurrent findings given by the tribunals below. The language of s. 22 of the rent control act is not in pari materia with s. 115 civil procedure code s. 22 is wide enough and a decision which suffers from illegality, irregularity or impropriety is liable for interference by the high court in revision reliance is however placed upon sri raja lakshmy dyeing works v. Rangaswamy air 1980 supreme court 1253. By the learned counsel for the respondent which reads as under ( para 3) ;

    "section 23 of the tamil nadu buildings (lease and rent control) act 1960. Enables any person aggrieved by an order passed by the controller to prefer an appeal to the appellate authority having jurisdiction s. 25 provides that the high court may on the application of any person aggrieved by an order of the appellate authority call for and examine the record of appellate authority. To satisfy itself as to the regularity of such proceeding or the correctness, legality or propriety of any decision or order passed therein and if in any case, it appears to the high court that any such decision or order should be modified annulled, reversed or remitted for reconsideration it may pass orders accordingly. The language of s. 25 is indeed very wide. But we must attach some significance to the circumstances that both the expressions appeal and revision are employed in the statute. Quite obviously the expression revision is meant to convey the idea of a much narrower jurisdiction than that conveyed by the expression appeal. In fact it has to be noticed that under sec. 25 the high court calls for and examines the record of the appellate authority in order to satisfy itself. The dominant idea conveyed by the incorporation of the words to satisfy itself under s. 25 appears to be that the power conferred on the high court under s. 25 is essentially a power of superintendence. Therefore despite the wide language employed in s. 25 high court quite obviously should not interfere with findings of fact merely because it does not agree with the finding of the subordinate authority. The power conferred on the high court under s. 25 of the tamil nadu buildings (lease and rent control) act may not be as narrow as the revisional power of the high court under s. 115 civil p. C. But in the words of untawalia, j in dattopant gopala rao v. Vithalrao marutirao 91975) 2 scc 246: (air 1975 supreme court 1111) "it is not wide enough to make the high court a second court of first appeal" we do not think it is necessary for the purposes of this case to enter into a discussion of this question. Merely to hold that question is a mixed question of fact and law is not sufficient to warrant the exercise of revisional powers it must however be shown that there was a taint of such unreasonableness resulting in a miscarriage of justice. A concurrent finding, based on evidence that the landlord did not bona fide require the premises for his own use and occupation is not in our view a finding which can be touched by the high court exercising jurisdiction under s. 25 of the tamil nadu buildings (lease and rent control) act 1960. This appeal is therefore allowed with costs".

    (23) In my undoubted view there is a taint of unreasonable in the judgment arrived at by the tribunals below and if they are allowed to stand it will lead to miscarriage of justice. They not only failed to appreciate the provisions of the statute in the light of the decisions of this court but also misconstrued the provisions and thereby arrived at wrong conclusions which are liable to be set aside.

    (24) In the circumstances, for the reasons stated above, i hold that the petitioner - landlord has not made out the case for eviction and the petition is not in compliance with the provisions enacted in s. 10 (3) (a) (iii) (b) of the act.

    (25) In the result the orders under revisions are set aside, the eviction petitions are dismissed and the revision petitions are allowed. No costs.

    (26) Revisions allowed.

    Use AI to get other relevant cases.

    Comments

    Palichetty Latchanna Petitioner v. Giduthuri Appa Rao .
    (Jun 8, 1982)