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  • sections 11(2), 11 (3) and 11(4)(ii) and (iii) of the Kerala Buildings (Lease and Rent Control) Act, 2 of 1965, hereinafter referred
  • S. 11 of the Kerala Buildings (Lease and Rent Control) Act
  • section 21(1)(h) of the Karnataka Rent Control Act, 1961,
  • sub-section (3) of section 11
  • section 11(2)(b)
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  • sections 11(2), 11 (3) and 11(4)(ii) and (iii) of the Kerala Buildings (Lease and Rent Control) Act, 2 of 1965, hereinafter referred
  • S. 11 of the Kerala Buildings (Lease and Rent Control) Act
  • section 21(1)(h) of the Karnataka Rent Control Act, 1961,
  • sub-section (3) of section 11
  • section 11(2)(b)
Smart Summary

Judgment Summary — Revision (Thulasidas, J.)

Factual and Procedural Background

This revision arises from eviction proceedings instituted in R.C.P. No. 18 of 1982 before the Rent Control Court, Kollam, against Pappu Raghavan. The petition alleged that the schedule premises (with saw-mill machinery and accessories) were leased to Raghavan by Narayanan (grandfather of the first respondent) on 14-1-1970 at Rs. 525 per month for two years; rent was enhanced to Rs. 675 on 1-5-1978. The landlord alleged default in payment of rent from 1-5-1979 onwards and negligent use of the machinery; the landlords also claimed they required the premises to run a saw-mill themselves (initially Narayanan and the first respondent), and later asserted need for their son Suju (unemployed and dependent on them).

Raghavan contested the petition, denying arrears and claiming amounts due to him from the landlord; he disputed the claims under sections 11(3) and 11(4)(ii) and (iii) and alleged lack of bona fides. By order dated 23-10-1986 the Rent Control Court allowed eviction only under section 11(2)(b) of the Kerala Buildings (Lease and Rent Control) Act, 1965 ("the Act").

The landlords filed R.C.A. No. 59 of 1989 and the tenant R.C.A. No. 60 of 1989 before the Rent Control Appellate Authority, Kollam. The tenant died while the appeals were pending; his legal representatives (additional respondents 2 to 8) were impleaded on 12-2-1990. The Rent Control Appellate Authority, by judgment dated 30-6-1990, dismissed the tenant's appeal and allowed the landlords' appeal in part: it confirmed findings under sections 11(2)(b) and 11(4)(ii) & (iii) but granted relief under section 11(3). The present revision challenges the appellate court's affirmation of eviction under section 11(2)(b) and its decision under section 11(3).

Legal Issues Presented

  1. Whether the rent control petition was invalid for non-joinder of Ravi Industries and Saw Mills (a firm of which Raghavan was managing partner).
  2. Whether the eviction granted under section 11(2)(b) of the Act was proper despite evidence that rent had been sent by money order (refused) and an unaddressed proviso to section 11(2)(b), in light of the Supreme Court's decision in Prakash Mehra v. K.L. Malhotra.
  3. Whether eviction could be sustained under section 11(3) of the Act on the ground that the premises were bona fide required for occupation by a dependent son (Suju), given that the notice (Ext. B2) had referred to need by the first respondent herself and the petition later relied on the son's need.
  4. Whether the change in the pleaded need (from the first respondent's own need to that of a dependent family member) defeated the bona fides required under section 11(3), particularly in light of earlier authority (Avanasalingam Chettiar v. Chunilal Samji) that treated the two needs as distinct.

Arguments of the Parties

Petitioners (legal representatives of the deceased tenant / Revision applicants)

  • Challenged the findings under sections 11(2)(b) and 11(3) of the Act as based on misconstruction of relevant materials.
  • Argued the petition was bad for non-joinder of Ravi Industries and Saw Mills (the firm headed by Raghavan), asserting that the firm was tenant and thus a necessary party.
  • Contended that the landlords' claim under section 11(3) lacked bona fides because Ext. B2 indicated the first respondent's need but the petition later relied on the son's need; submitted the son was a student and not capable of running the saw-mill and financial constraints made the project unviable—thus the eviction motive was a ruse.

Respondents / Landlords

  • Alleged Raghavan had defaulted in rent from 1-5-1979 and had used the saw-mill and accessories negligently, reducing their utility.
  • Stated that the premises had been entrusted to Raghavan by Narayanan (grandfather of first respondent) and that a notice (Ext. B2 dated 14-7-1979) demanded surrender and arrears; the notice indicated the premises were required for the first respondent to run a saw-mill.
  • When the eviction application was filed on 19-3-1982, it alleged the premises were required for the respondents' son Suju (unemployed and dependent); argued bona fide need for the son to become self-reliant and operate the saw-mill, with parental support available.
  • Respondents relied upon evidence (including that Suju completed education and came of age, and that they had taken steps to run the enterprise) to show bona fides and financial viability, and explained delay in filing as incidental due to tenant seeking time to vacate and the death of Narayanan.

Table of Precedents Cited

Precedent Rule or Principle Cited For Application by the Court
Prakash Mehra v. K.L. Malhotra, (1989) 3 SCC 74 : AIR 1989 SC 1652 Principle that rent which has fallen due after notice could not be treated as arrears for the purpose of section 11(2)(b) (court must observe proviso and relevant formalities before treating post-notice amounts as arrears). The court held that the lower courts granted relief under section 11(2)(b) without properly considering the proviso and the fact that rent had been sent by money order (which was refused). Applying the principle in Prakash Mehra, the court set aside the relief granted under section 11(2)(b).
Avanasalingam Chettiar v. Chunilal Samji, ILR 1980 (1) Kerala 310 Held that bona fide need for landlord's own occupation and bona fide need for occupation by a member of the family are distinct; change from one claim to the other undermines bona fides. The court rejected the strict view expressed in this decision, stating it did not accept that the section makes an absolute distinction; it declined to hold this case as laying down the correct law and applied a more realistic approach to bona fides where dependent family members' needs may be intertwined with the landlord's.
Narayana Pillai v. Ponnappan Achari, 1980 KLT 871 Interpreted "dependence" under section 11 of the Act broadly to include persons who, although not financially dependent, would in the normal course look to the landlord to provide them building accommodation. The court cited this broader conception to support the proposition that a dependent family member's need can be regarded as related to the landlord's need and is relevant to bona fides under section 11(3).
Dr. Syed Sibgathulla v. C.N. Abdul Azeez Khan, 1983 (1) RCJ (Karnataka) 516 Concluded that construing "himself" narrowly to exclude dependents (such as a major son requiring separate residence) is too technical; occupation by a dependent can be regarded constructively as occupation by the landlord's "emanation". The court relied on this reasoning to support a liberal construction of the landlord's entitlement under statutes allowing eviction for bona fide personal or family occupation, thus upholding eviction under section 11(3) for a dependent son.
Shri Batha Singh v. Shri H.V. Nayar, 1983 (1) RCJ 158 (Delhi) Held that the word "himself" in a comparable statutory provision can reasonably be construed to include the family of the landlord (son, son's wife, children), where the children have no accommodation of their own. Used as supporting authority for construing the landlord's right to recover possession for occupation by dependents as consistent with a non-technical, realistic approach to bona fides under section 11(3).

Court's Reasoning and Analysis

The court proceeded by addressing the principal challenges in the revision and applying legal principles to the facts as found by the courts below:

  1. Non-joinder of Ravi Industries and Saw Mills: The court examined the entrustment evidence (Ext. A2) and concluded the premises were entrusted to Raghavan personally by Narayanan; acceptance of rent from the firm later did not prove a fresh tenancy in the firm's name. Therefore, non-joinder of the firm did not render the petition bad.
  2. Relief under section 11(2)(b): The court noted that Ext. B2 (notice) referred to arrears from May 1979 and that the tenant had sent rent by money order, which had been refused without explanation. The Rent Control Court had found Rs. 920 remained to be adjusted by landlord as on 1-4-1979. The appellate courts had granted eviction under section 11(2)(b) without properly addressing the proviso to that sub-section and without considering whether amounts due after notice could be treated as arrears. Relying on Prakash Mehra v. K.L. Malhotra, the court held the grant under section 11(2)(b) was not proper and set it aside.
  3. Eviction under section 11(3) and bona fides of change in pleaded need: The court analyzed whether the shift from Ext. B2 (which mentioned the first respondent's need) to the petition (which relied on the son's need) destroyed bona fides. It emphasized that issuance of a notice is not mandatory for section 11(3) (unlike some section 11(2) cases) and that bona fides is a question of fact to be determined by a realistic, not pedantic, approach. The court rejected a rigid distinction between the landlord's own need and that of a dependent family member: the need of a dependent may also be the need of the landlord because dependence links the two. The court considered the evidence that Suju was unemployed and dependent, that he completed education and was capable of running the saw-mill with parental help, and that delay in filing the petition was explicable (tenant seeking time to shift; death of Narayanan). The court found no sufficient basis to doubt bona fides, accepted the appellate finding that Suju could run the enterprise and had reasonable prospects of overcoming financial obstacles, and thus affirmed eviction under section 11(3).
  4. Treatment of precedent: The court reviewed prior authorities (including Avanasalingam Chettiar) and took a purposive and liberal interpretive stance. It stated that the strict distinction drawn in Avanasalingam (that a landlord cannot change from claiming his own occupation to that of a family member without losing bona fides) was not a correct legal position to be applied as an absolute rule. It instead followed a line of decisions treating dependence and "occupation by a dependent" more broadly.

Holding and Implications

Core Ruling: The revision is allowed in part. The court set aside the relief granted under section 11(2)(b) of the Kerala Buildings (Lease and Rent Control) Act, 1965, and affirmed the eviction order granted under section 11(3) of the Act. The court made no order as to costs.

Consequences and immediate effects:

  • The eviction order as sustained under section 11(3) remains operative: the tenant (or his legal representatives) is subject to dispossession because the landlord bona fide required the premises for occupation by a dependent son, and the court found that bona fides established on the facts.
  • The separate ground of eviction under section 11(2)(b) is vacated because the lower courts failed to apply the proviso and relevant principles (including the treatment of rent sent post-notice), as explained with reference to Prakash Mehra.
  • The revision succeeds only in part; the appellate court's order is otherwise affirmed where it related to section 11(3).
  • No costs were awarded to either party by this court.

Broader precedent: The court expressly disagreed with a strict interpretation of prior Kerala authority (Avanasalingam Chettiar) that treated the landlord's own need and a dependent family member's need as absolutely distinct. The court adopted a more realistic and purposive approach to bona fides under section 11(3). The opinion does not assert that it is laying down a novel binding rule beyond its application to the facts of this case; its conclusions are grounded in the authorities it cites and the facts as found.

    K. Rajamma And Others v. Sumangi Leela And Another

    Thulasidas, J.:— Additional respondents 2 to 8 in R.C.A No. 59 of 1989 of the Rent Control Appellate Authority, Kollam, are the petitioners in this revision. They are the legal representatives of one Pappu Raghavan, against whom the respondents herein filed R.C.P No. 18 of 1982 before the Rent Control Court, Kollam, for eviction under sections 11(2), 11 (3) and 11(4)(ii) and (iii) of the Kerala Buildings (Lease and Rent Control) Act, 2 of 1965, hereinafter referred to as the Act.

    2. It was alleged that the petition schedule premises with the machinery and accessories for a saw mill were leased to Raghavan by one Narayanan, grandfather of the first respondent, on a monthly rent of Rs. 525/- on 14-1-1970 for a period of two years. On 1-5-1978, the rent was enhanced to Rs. 675/-. Raghavan committed default in payment of rent from 1st of May, 1979 onwards. He was also alleged to have used the saw mill and accessories in an irresponsible and negligent manner that reduced their utility materially and permanently. He had his own building and land suitable for to run a saw-mill. The lessor-Narayanan and the first respondent, to whom the petition-schedule property was allotted in partition, issued a notice to Raghavan on 14-7-1979 demanding surrender of the premises and payment of arrears of rent. It was stated that the premises were required by the first respondent to run a saw-mill. But Raghavan did not pay heed to the demands made in the notice. Narayanan died in 1981 and the application for eviction was filed on 19-3-1982, where it was alleged that the premises were required for the use of the son of the respondents, who is unemployed and dependent on them. Raghavan contested the petition. He denied that rent was kept in arrears and claimed that large amount was due to him from the landlord. The claims made under sections 11(3) and 11(4)(ii) and (iii) were also disputed and he urged that the petition lacked bona fides. By order dated 23-10-1986 the Rent Control Court allowed the petition only under section 11(2)(b) of the Act.

    3. The petitioners before the Rent Control. Court filed R.C.A No. 59 of 1989 and the tenant filed R.C.A No. 60 of 1989 before the Rent Control Appellate Authority, Kollam. Pending appeal the tenant died and his legal representatives, the present petitioners, were impleaded on 12-2-1990 as per order on I.A No. 981 of 1989. The two appeals were heard together and by a common judgment dated 30-6-1990 the Rent Control Appellate Authority dismissed R.C.A No. 60 of 1989 and allowed R.C.A No. 59 of 1989 in part. The findings under sections 11(2)(b) and 11(4)(ii) and (iii) of the Act were confirmed. But relief was granted under section 11(3) of the Act. The judgment bf the court below granting eviction under section 11(2)(b) and 11(3) of the Act is under, challenge in this revision.

    4. Several grounds have been urged in the Memorandum of Revision. Exception has been taken to the finding under section 11(2)(b) and 11(3) of the Act. It was submitted that relevant materials had been misconstrued. A plea of non-joinder of Ravi Industries and Saw Mills, which is stated to be the tenant of the premises, was also urged as a ground to contend that the petition is bad, and unsustainable.

    5. Heard counsel for the petitioners and the respondents.

    6. In our view, there is no merit in the contention that the rent control petition is bad for non-joinder of Ravi Industries and Saw Mills. The petition schedule premises were entrusted to Raghavan by Narayanan, the grand-father of the first respondent. Ravi Industries and Saw Mills is a firm of which Raghavan was the Managing Partner. There was no entrustment to the firm. It was under Ext. A2 that the premises were held. No doubt, rent had been enhanced from 1-5-1978 and the landlord also accepted rent from Ravi Industries and Saw Mills. That was not enough to indicate a fresh rental arrangement as alleged. We are unable to find any infirmity in the finding that the petition was not bad for non-joinder of parties.

    7. Concurrently relief was granted under section 11(2)(b) of the Act. Prior to the institution of the proceedings a notice had been sent by Narayanan and the first respondent, which was marked as Ext. B2 where reference was made that rent was in arrears from May 1979 onwards. It is admitted that the tenant had sent rent by money order, which was however refused. No reason was given for the refusal. No doubt the tenant had claimed set off of certain amounts allegedly due to him by the landlord. It is unnecessary now to go into the details. The rent control court found and which is not under challenge that Rs. 920/- remained to be adjusted by the landlord as on. 1st April, 1979. The amount sent by money order and that which was liable to be adjusted could have satisfied the claim of rent made by Ext. B2 notice. In our view the courts below granted relief under section 11(2)(b) of the Act without reference to what had been claimed in Ext. B2. There was indeed failure to advert to the proviso to section 11(2)(b) of the Act. The rent that had fallen due after notice could not have been considered as arrears of rent as had been held by the Supreme Court in Prakash Mehra v. K.L Malhotra . (1989) 3 SCC 74 : AIR 1989 SC 1652. We hold that the grant of relief under section 11(2)(b) of the Act was not proper and the same is, accordingly, set aside.

    8. The substantial question that was argued was as to the correctness of the finding under section 11(3) of the Act. No doubt, what was urged in Ext. B2 was that the premises were required for the first respondent, who wanted to modernise and run the saw-mill herself for which she had made the necessary arrangements. The tenant did not send a reply to the notice. In the petition which was filed on 14-3-1982 what was canvassed was the need of Suju, the son of the respondents, who, it was alleged, was unemployed and dependent on them. According to the petitioners, the diverse claims projected in Ext. B2 and the petition indicated lack of bonafides. It was also urged that Suju is a student who is incapable of running a saw-mill himself. Besides the project would be bogged down by financial constraints which were not easy to get over. It was submitted that the plea of the landlord was a ruse for eviction.

    9. The trial court had considered the rival contentions of the parties in paragraphs 15 and 16 of its order and found against the claim of the landlord. The court below had re-examined the contentions in paragraphs 22 and 23 of the judgment and held that the finding of the trial court is unsustainable. It seems to us necessary to consider the matter in some detail.

    10. Ext. B2 was sent at a time when Suja was student. It was not disputed that he is unemployed and is dependent on the landlord his mother, the first respondent. She has indeed a right to see him self-reliant and not as a burden to her or her husband, the second respondent. There was nothing strange in the demand for surrender of the premise for the use of the son of the respondents.

    11. sub-section (3) of section 11 of the Act says that the landlord is entitled to an order directing the tenant to put him in possession of the building if he bona fide needs the building for his own occupation or for the occupation of any member of the family dependent on him. (This is no doubt subject to the several conditions in the four provisos of the sub-section). As already stated, what was stated in Ext. B2 was the need of the first respondent which she gave up impliedly in the petition and chose to canvass that of her dependent son. The question for consideration is whether by such change the need erased to be bona fide and the landlord forfeited her claim for eviction.

    12. It cannot be denied that issuance of a notice, except in a case covered by section 11(2) of the Act, is not mandatory for eviction under section 11(3) of the Act. The court has to consider the claim in the light of the evidence and circumstances to find whether the plea is bona fide or not, which is a question of fact. In our view in considering the plea of the landlord a realistic and not a pedantic approach is what is called for. Even in the matter of construing the pleadings a liberal approach is necessary, as otherwise there would be the risk of justice becoming a causality.

    13. Counsel for the petitioner submitted that the bona fide need of the landlord for his own occupation is distinct and different from the need of any member of his family dependent on him. These according to him, are exclusive and independent in their nature and content, and in support he relied upon the decision of this court in Avanasalingam Chettiar v. Chunilal Samji (ILR 1980 (1) Kerala, 310. That was a case where eviction was sought under section 11(3) of the Act. A notice had preceded the petition where surrender of the building was sought for the petitioner's son. But, in evidence the petitioner stated that the need is hers, which was also endorsed by her son who was examined as a witness. The Rent Control Court dismissed the petition holding, that the petitioner did not establish bonafides in the claim on the ground of the discrepancies in the case set out in the notice and the petition. The appellate authority as also the revisional court endorsed the dismissal. This Court held:

    “Admittedly eviction was sought under section 11(3) of the Act. Under sub-section (3) the tenant can be dispossessed only if the landlord bona fide needs the building (i) for his own occupation or (ii) for the occupation of any member of his family dependent on him. The two are distinct. Bonafide need for own occupation of any member of his family who wants to have separate residence. Again, it is ‘any member of, his family’. Occupation by the landlord and occupation by a member of the family who wants to reside separately are different. In the latter case, the landlord will not be shifting to the building. So, if the landlord is to succeed in his attempt to get back possession he should have a definite and consistent case from the very beginning. A landlord connot blow hot and cold in the same breath by changing his stand from his own occupation to the occupation of his sons or one of his sons. When two needs which are different and distinct in character are put forth the one thing that will be lacking is bonafides. In such a case the need will cease to be a bona fide need under the sub-section. The words used are ‘for his own occupation or for the occupation of any member of his family’. It is ‘or’ and not ‘and’ that is used.”

    14. We do not think section 11(3) of the Act makes ‘an absolute’ distinction between the needs of the landlord himself and that of any member of his family dependent on him. In our view, the need of the dependent who is a member of the family can also be that of the landlord because the need is related to dependents. The question would be one of bona fides of the claim and if it is not in doubt, the claim must succeed. But, then, the bona fides cannot be doubted and the claim cannot fail for the only reason that in the notice the need canvassed in the petition was not projected. With respect, we are unable to hold that Avanashalingam v. Chettiar Samji ILR 1980 (1) Kerala 310, lays down the correct law.

    15. In Narayana Pillai v. Ponnappan Achari, 1980 KLT 871, it was held:

    “Though in strict legal parlance dependence may mean looking up for support or maintenance, in the context in which that term appears in S. 11 of the Kerala Buildings (Lease and Rent Control) Act it connotes a wider concept and covers a larger field. It takes in a person who is not financially dependent upon the landlord but who would in the normal course look up to the landlord to provide him with the facility of a building possessed by the landlord. Whether the landlord would do so or not to such a dependent would depend on various facts and circumstances including the financial situation in which the landlord is placed, the degree of closeness or intimacy with the dependent who seeks the provision of such building and other similar matters of relevance”.

    16. In Dr. Syed Sibgathulla v. C.N Abdul Azeez Khan, 1983 (1) RCJ (Karnataka) 516, the question that arose for consideration was whether—

    “in an application made by a landlord under section 21(1)(h) of the Karnataka Rent Control Act, 1961, which enables the recovery of possession of a premises from the tenant if it is bona fide and reasonably required by the landlord for occupation “by himself”, an order for recovery of possession tan be made if it is made out that the premises is required for the residence of his major son”.

    17. It was held:

    “the construction sought to be placed or the word ‘himself’ by the learned counsel for the petitioner was that it only refers to the landlord in person or his dependents, who reside with him and not separately. Such a construction, in our view, is too technical and artificial as it would rob the provision of its real intention and purpose and it does not merit acceptance. Under variety of circumstances, the actual occupation of the premises by another has to be regarded constructively as the occupation by the ‘emanation’ of the landlord himself”.

    18. In Shri Batha Singh v. Shri H.V Nayar, 1983 (1) RCJ 158, (Delhi), the Delhi High Court held:

    “If the children of a landlord have no accommodation of their own for residence, they would depend upon parents for residence. Further it would be reasonable to construe the word ‘himself’ in section 14(1)(c) of the Act to include the family of the landlord including his son, son's wife and their children”.

    19. The court below found that it would not be difficult for Suju to run the saw-mill in the premises because he could legitimately expect help from Ms parents. There would not be lack of funds for the enterprise, which was seen to have Been decided upon with all seriousness. The problem if at all which Suju might have to face would certainly not be insurmountable.

    20. There was indeed delay to file the petition for eviction, which was not a circumstance to suspect the bona fides of the claim. The evidence showed that Raghavan who was employed by Narayanan on being asked to vacate the premises had sought time to do so on the ground that he was on the look out for a suitable place to shift his business willy-nilly, the matter got delayed. Narayanan died sometime after Ext. B2. Suju completed his education and came of age to earn a living. The delay to file the petition was perhaps incidental and was certainly not serious enough to disbelieve the case of the respondents.

    21. The petitioners have a place of their own near Kadappakkada junction, which they had let out on a fat annual rent. For obvious reasons the defense rested upon the first and second provisos to sub-section (3) of section 11 was not claimed. The revision memorandum also is silent about it. In our view the court below has considered all the relevant aspects and rightly ordered eviction under section 11(3) of the Act. We see no infirmity in the finding to merit interference.

    22. While we vacate the relief granted under section 11(2), we affirm the order passed under section 11(3) of the Act. The revision is, accordingly allowed in part. We make no order as to costs.

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    K. Rajamma And Others v. Sumangi Leela And Another
    (Sep 23, 1991)