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Smart Summary

Factual and Procedural Background

The respondents filed an eviction petition against the petitioner under Section 14(1)(e) of the Delhi Rent Control Act, 1958 (DRC Act), seeking ejectment of the petitioner from a ground floor godown located at No.2190, Mohalla Rodgran, Lal Kuan, Delhi, on the ground of their bona fide requirement of the premises for business expansion. The respondents claimed that the premises was near their accommodation and suitable for their business needs, and that they did not possess any other reasonably suitable non-residential accommodation for their use.

The petitioner opposed the eviction, contending that the premises was unsuitable for commercial purposes, situated in a narrow lane, and that the respondents had sufficient other accommodations, including a large commercial property in Ghaziabad. The petitioner alleged that the respondents’ true motive was to sell the suit property.

During proceedings, respondent No.4 testified in support of the eviction petition. The petitioner neither cross-examined this witness nor presented any evidence. Subsequently, the petitioner ceased appearing, and the learned Additional Rent Controller (ARC) proceeded ex parte against the petitioner, allowing the eviction petition but staying execution of the order for six months under Section 14(7) of the DRC Act.

The petitioner filed this revision petition under Section 25-B(8) of the DRC Act challenging the impugned eviction order dated 31.05.2018.

Legal Issues Presented

  1. Whether the respondents have established a bona fide requirement for eviction under Section 14(1)(e) of the Delhi Rent Control Act, 1958.
  2. Whether the petitioner is entitled to relief on account of alleged negligence of their counsel and the ex parte proceedings before the learned Additional Rent Controller.
  3. Whether the impugned eviction order is liable to be set aside on the facts and law.

Arguments of the Parties

Respondents' Arguments

  • The respondents require the premises for bona fide business expansion.
  • The premises is suitably located near their accommodation and no other reasonably suitable non-residential accommodation is available to them.
  • The petitioner’s assertions about other accommodations are incorrect or irrelevant.
  • Respondent No.4 testified in support of these claims, and the testimony remains unchallenged.

Petitioner's Arguments

  • The premises is unsuitable for commercial purposes due to its location in a narrow lane.
  • The respondents have several other accommodations, including a large commercial property in Ghaziabad.
  • The respondents' true motive is to sell the suit property.
  • The petitioner’s counsel was negligent in failing to cross-examine the respondent’s witness and inform the petitioner about the hearing date, resulting in ex parte proceedings.
  • The petitioner sought an opportunity to cross-examine the witness and present evidence to meet the ends of justice.

Table of Precedents Cited

Precedent Rule or Principle Cited For Application by the Court
Sarwan Dass Bange vs. Ram Prakash, 167 (2010) DLT 80 Interpretation of the Supreme Court's ruling in Baldev Singh Bajwa v. Monish Saini regarding presumption of bona fide requirement by landlord under Section 14(1)(e) of DRC Act. The Court relied on this precedent to affirm that the landlord’s bona fide requirement is presumed genuine and that the tenant bears the burden to prove otherwise with more than mere assertion.
Baldev Singh Bajwa v. Monish Saini, (2005) 12 SCC 778 Legal principles concerning bona fide requirement by landlord for eviction and the protective restrictions imposed on landlords to prevent misuse of eviction rights. The Court applied the principles to hold that the law presumes landlord’s need to be genuine and places a heavy burden on the tenant to rebut this presumption.

Court's Reasoning and Analysis

The Court analyzed the evidence and legal principles governing eviction under Section 14(1)(e) of the DRC Act. It noted the statutory presumption that a landlord’s bona fide requirement for premises is genuine, supported by the precedent in Sarwan Dass Bange and Baldev Singh Bajwa. This presumption places a heavy evidentiary burden on the tenant to disprove the landlord’s claim with more than a mere assertion.

In the present case, the respondents’ witness (PW1) testified regarding their bona fide requirement and lack of alternative suitable accommodation. This testimony was unchallenged because the petitioner neither cross-examined PW1 nor led any evidence. The petitioner’s claim of counsel’s negligence was unsupported by any complaint or identification of the counsel involved. The Court found no material to rebut the presumption of bona fide requirement.

Consequently, the Court found no illegality in the eviction order passed by the learned Additional Rent Controller and dismissed the revision petition.

Holding and Implications

The revision petition is dismissed.

The direct effect of this decision is the upholding of the eviction order allowing the respondents to take possession of the premises based on their bona fide requirement. No new legal precedent was established. The ruling reinforces the settled legal position that a landlord’s bona fide requirement under Section 14(1)(e) of the DRC Act is presumed genuine unless convincingly rebutted by the tenant.

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    M/S. Metro Bearings v. Mrs. Faizunnisa & Ors.

    $~120 * IN THE HIGH COURT OF DELHI AT NEW DELHI

    % Date of Order: 31.10.2018 + RC. REV. 513/2018 CM No.45716-45717/2018

    M/S. METRO BEARINGS ..... Petitioner Through: Mr. Alamgir, Advocate. versus

    MRS. FAIZUNNISA & ORS. ..... Respondents

    Through: None.

    CORAM:

    HON'BLE MR. JUSTICE VINOD GOEL CM No.45717/2018 (for exemption)

    1. Allowed, subject to all just exceptions.

    2. The application is disposed of.

    RC. REV. 513/2018 & CM No.45716/2018

    3. The impugned order dated 31.05.2018 passed by the Court of the learned Additional Rent Controller (Central) Delhi (ARC) allowing the eviction petition filed by the respondents against the petitioner under Section 14 (1) (e) of Delhi Rent Control Act, 1958 (DRC Act) is the subject matter of challenge in this revision petition filed under Section 25-B (8) of DRC Act.

    4. The respondents sought ejectment of the petitioner from the suit property used as a godown on the ground floor bearing No.2190,

    1

    Mohalla Rodgran, Lal Kuan, Delhi, as shown with red colour in the site plan, for their bona fide requirement. In sub-para (viii) of para 19, the respondents have given the detail of her family members. The details of other accommodation available with the respondents and their family members are set out in sub-para No.(ix) to para (xxiii) of para 19 of the petition. The respondents pleaded that they have been doing their business but due to paucity of accommodation they have taken certain premises on rent and are facing difficulty in expanding their business and required the tenanted premises for expansion of their business. It is further pleaded by the respondent that the premises in question is situated near to their accommodation and more suitably located for expanding the business. It is made clear by them that apart from the said property they do not possess any other reasonably suitable non-residential accommodation for their own use and occupation.

    5. In its written statement, it is, inter alia, pleaded by the petitioner/tenant that the premises in question is absolutely unfit for commercial purposes being situated in a narrow gali far away from the main road, and is too small to serve the purpose of the respondents; the respondents are in possession of several additional accommodation as stated in the petition and thus they do not require the tenanted premises for any purpose; the respondents have even been allotted one commercial property bearing F-407 measuring 600 square yards situated at Road No.28, UPSIDC, Phase-1, Masoori, Dasna Road, Ghaziabad, U.P; the sole motive of the respondent is to sell the suit

    2

    property, and the premises in question being situated in a gali can only be used for the purposes of a godown and not for commercial purposes.

    6. In support of their case, the respondent No.4 examined himself as PW1. In his deposition, PW1 reiterated the averments made in the petition and despite opportunity, the petitioner did not cross-examine him and his testimony went unrebutted and unchallenged. The petitioner has not adduced any evidence and their evidence was closed on 09.02.2018. The petitioner thereafter stopped appearing and was proceeded ex parte on 19.03.2018 by the Ld. ARC. As neither did the petitioner cross-examine PW1 (petitioner No.4) nor did he adduce any evidence, the learned ARC after referring to the relevant case law passed an order of eviction against the petitioner and made it clear that the order shall not be executable before the expiry of six months as provided in Section 14 (7) of the DRC Act.

    7. It is contended by the learned counsel for the petitioner that in- fact the learned counsel for the petitioner has been negligent and neither did he inform the petitioner about the date of hearing nor did he cross-examine PW1. He urges that after the closing of the petitioner's evidence, learned counsel for the petitioner did not communicate to the petitioner that the matter is listed for their evidence for a particular date and ultimately the case resulted in ex parte proceedings against them on 19.03.2018. He submits that to meet the ends of justice, the petitioner may be granted one more

    3

    opportunity to cross-examine PW1 and a date to adduce their evidence.

    8. I have heard the learned counsel for the petitioner and perused the material on record.

    9. In Sarwan Dass Bange vs. Ram Prakash, 167 (2010) DLT 80

    the Hon'ble Single judge of this court discussed the judgment of the Hon'ble Supreme Court in the case of Baldev Baldev Singh Bajwa v. Monish Saini . (2005) 12 SCC 778, and interpreted the law laid down by the Apex Court on the presumption of the bonafide requirement to be drawn in the favour of the landlord and concluded that the judgment of the Supreme Court applies not only to the cases of NRIs but also extends to general cases. The Single Judge reiterated that "the legislative intent is of expeditious disposal of the application for ejectment of tenant filed on the ground of requirement by the landlord of the premises for his own occupation; a special category of landlords requiring the premises for their own use has been created; if there is any breach by the landlord, the tenant is given a right of restoration of possession; the landlord who evicts a tenant on the ground of own requirement is not only prohibited from letting out the premises or disposing of the same but also required to use the same for his own residence only. It was held that these restrictions and conditions inculcate in built strong presumption that the need of the landlord is genuine; the conditions and restrictions imposed on the landlord make it virtually improbable for the landlord to approach the

    4

    Court for ejectment of the tenant unless his need is bona fide - no unscrupulous landlord in all probability, under this section, would approach the Court for ejectment of the tenant considering the onerous conditions imposed on him. It was further held that this inbuilt protection in the Act for the tenants implies that whenever the landlord would approach the Court his requirement shall be presumed to be genuine and bona fide. It was further held that a heavy burden lies on the tenant to prove that the requirement is not genuine. The tenant is required to give all the necessary facts and particulars supported by documentary evidence if available to prove his plea in the affidavit itself so that the Controller will be in a position to adjudicate and decide the question of genuine or bona fide requirement of the landlord; a mere assertion on the part of the tenant would not be sufficient to rebut the strong presumption in the landlord's favour that his requirement of occupation of the premises is real and genuine."

    10. It is thus clear from the above said position that whenever a landlord seeks ejectment of the tenant for bona fide requirement, the requirement shall be presumed to be genuine and bonafide. Though, the burden lies upon the tenant to prove that the requirement is not genuine, it is also, however, settled in law that it should be more than just a mere assertion on the part of the tenant to rebut the strong presumption in the landlord's favour that his requirement of occupation of the premises is real and genuine.

    5

    11. The testimony of PW1 (respondent No.4) went unrebutted and unchallenged. Despite opportunity the petitioner did not adduce any evidence in support of their contentions. So far as the negligence of the lawyer for the petitioner before the learned ARC is concerned, the petitioner has not even indicated the name of his lawyer in the grounds of appeal. Even now during the course of the arguments the learned counsel for the petitioner is not able to name the counsel for the petitioner before the learned ARC. He admits that the petitioner has not lodged any complaint against his counsel. Since the evidence of PW1 (petitioner No.4), on bona fide requirement of the premises in question and on the point that no other alternative suitable accommodation is available to them, went unrebutted and unchallenged, and in the absence of anything contrary, the respondents have been able to prove their bona fide requirement for the property in question.

    12. In view of the above discussion, I do not find any illegality in the impugned order for ejectment and the same is in accordance with law. The petition along with application bearing CM No.45716/2018 is dismissed.

    VINOD GOEL, J.

    OCTOBER 31, 2018

    "sandeep"

    6

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    M/S. Metro Bearings v. Mrs. Faizunnisa & Ors.
    (Oct 31, 2018)