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Supreme Court of India

BODDU NARAYANAMMAversusSRI VENKATARAMA ALUMINIUM CO. AND ORS.

Citation
1999 INSC 429
Decided
21 September 1999
Disposal
Appeal(s) allowed

Holding

An eviction petition under Sec. 10(3)(a)(i)(b) of the Andhra Pradesh Buildings (Lease, Rent and Eviction) Control Act is maintainable where a composite‑lease building is classified as residential based on its dominant purpose and the landlord’s bona fide personal requirement is established.

Summary

Boddu Narayanamma, the landlady, sought eviction of Sri Venkatarama Aluminium Co. and its partners who occupied a building in Rajahmundry under a composite lease containing both residential and non‑residential portions. The Rent Controller dismissed the petition, holding the landlord's requirement was not bona fide and the petition was not maintainable. The Appellate Authority reversed that decision, but the Andhra Pradesh High Court again set aside the order, declaring the petition under Sec. 10(3)(a)(i)(b) of the Andhra Pradesh Buildings (Lease, Rent and Eviction) Control Act, 1960, as non‑maintainable. The Supreme Court held that a building let under a composite lease falls within the definition of "building" and must be classified as either residential or non‑residential based on its dominant purpose; here the dominant purpose was residential, making the eviction petition maintainable. The Court affirmed the landlord's bona fide personal requirement and restored the Appellate Authority's order, granting vacant possession to the landlady.

Issues considered

  • The maintainability of an eviction petition under Sec. 10(3)(a)(i)(b) of the AP Buildings Act when the premises are let under a composite lease.
  • Whether a building let under a composite lease should be treated as residential or non‑residential for eviction purposes.
  • Whether the landlord's claim of bona fide personal requirement for residence is sufficient.
  • Whether the principle ubi jus ibi remedium applies to fill the remedial gap in the statute.
  • Whether the provisions of the Delhi and Ajmer Rent Control Act, 1952 are in haec verba with the AP Act.

Legislation cited

Subjects

rent controlevictioncomposite leaseresidential premisesbona fide requirementlandlord-tenantUbi jus ibi remediumAndhra Pradesh Buildings Act

Judgment

                                                                                      <
A                     BODDU NARAYANAMMA
                               v.
             SRI VENKATARAMA ALUMINIUM CO. AND ORS.

                              SEPTEMBER 21, 1999

B      [V.N. KHARE AND SYED SHAH MOHAMMED QUADRI, JJ.]

          Rent Control and Eviction :

          Andhra Pradesh Buildings (Lease, Rent and Eviction) Control Act,
C 1960 : Sec. JO(J)(a)(i)(b )-Eviction petition-Maintainability of-Premises
    let out under a composite lease consisting residential and non-residential
    p01tion-Eviction petition on the ground of bona tide requirement for
    residence-Dismissed as not maintainable-Validity of-Held, eviction peti-
    tion of appellant-landlady maintainable under Sec. JO(J)(a)(i)(b) of the
    Act-Landlady cannot be left out without any remedy for eviction under a
D   composite lease-Premises let out under composite lease has to be considered
    either as residential or non-residential premises having regard to the dominant
    purpose of lease and primary use of the buildinfj-011 facts, the demised
    building has to be treated as a residential buildinE,-Bona tide requirement
    having been established the landlady entitled to vacant possession of the
E   demised building.

           Delhi and Ajmer Rent Control Act, 1952: Sec. 13(I)(e}-Held not in
    lzaec verba with Sec. 10(3)(a) of the Andhra Pradesh Buildings (Lease, Rent
    and Eviction) Control Act, 1960.

F         Legal Maxim-{Jbi jus ibi remedium-Applicability of

        Appellant-landlady had let ont nnder a composite lease, premises
  comprising of residential and non-residential portion to respondent-
  tenant. She filed a petition under Sec. 10(3)(a)(i)(b) of the Andhra
  Pradesh Buildings (Lease, Rent and Eviction) Control Act, 1960, on the
G ground of bona fide requirement for personal residence. The said eviction
  petition was dismissed by Rent Controller holding that the requirement
  of appellant was not bona fide and that the eviction petition was not
  maintainable. On appeal, the Appellate Authority reversed the findings
  of the Rent Controller holding that the requirement of appellant was bona
H fide and eviction petition maintainable. However, on revision, High Court
                                          20
               BODDU NARAYANAMMAv. VENKATARAMMAALUMINIUM CO.                      21

         while confirming the finding that the requirement was bona fide, set aside     A
         the order of Appellate Authority holding that the eviction petition was
         not maintainable. Aggrieved, appellant-landlady has preferred the present
         appeal.

                On behalf of appellant-landlady it was contended that the building
         as a whole is a residential one and the purpose for which a portion of it      B
         is used cannot really change its nature; therefore, High Court erred in
         holding that in respect of a composite lease for residential and non-
         residential purposes, the eviction petition filed for personal occupation
         of the appellant was not maintainable; she cannot be rendered remediless
         and the statutory lease cannot be converted into a lease in perpetuity on      C
         the ground that there was no provision under the Act to seek eviction in
         case of a composite lease.

               On behalf of respondent-tenant it was contended that on the ground
         of bona fide personal requirement of residence of the appellant, eviction
         of non-residential part of building cannot be sought for and as the lease      D•
         was a composite one, no eviction can be ordered even in respect of
         residential part of the building.

               Allowing the appeal, this Court

-               HELD : 1.1. The eviction petition filed by the appellant- landlady is
         maintainable under Section 10(3)(a)(i)(b) of the Andhra Pradesh Build-
                                                                                        E

         ings (Lease, Rent and Eviction) Control Act, 1960. Thus, the order of
         High Court holding that the petition under Sec. 10(3)(a)(i)(b) is not
         maintainable, is set aside and the order of the Appellate Authority is
    ..   restored. The bona fides of the appellant having been established she is       F
         entitled to vacant possession of the demised premises. [23-D-E]

               Ghan Shyam v. Laxmi Narayana, (1990) 1 ALT 43; Om Prakash v.
         Smt. Chand Devi, (1973) RCR 562; Moinuddin Khan Sahib v. Rukmani
         Ammal, (1973) All India RCJ 311; Tikamchand Mithalal Iain v. M.R.
         Narasimhaclzari, AIR (1981) Mad. 21; Jamna Prasad v. Nandkishore, (1976)
                                                                                        G
         MPW 28; Panjumal Daulatram (Firm) v. Sak/ii Gopal Thakurdin Agrawal,
         (1977) MPW 762 and Jagitkumar v. Jagdeeshchandra, AIR (1982) MP 144,
         approved.

              Dr. Madhusudan Mahuli v. Lambu Indira Bai, (1987) 2 ALT 504 and           H
     22                     SUPREME COURT REPORTS (1999] SUPP. 3 S.C.R.

A Gokulchand v. Krishnachandra & Anr., (1977) All India RCJ.376, overruled.

           2.1. There is nothing in the A.P. Act to suggest that the right of a
     landlord like the appellant to recover possession of the demised building
     from the tenant-respondent is taken away either expressly or by necessary
     implication. Once it is held that a building having both residential and
B    non-residential portions which are let out together under a composite
     lease is a building within the meaning of that term and within the ambit
     of the Act, such a building has to fall within one or the other category,
     namely, residential or non-residential - the classification which is made
     in Section 2(iii) of the A.P. Act. It is difficult to infer that the legislature
C    having brought such a building within the ambit of the Act and having
     provided for eviction of a tenant on the ground of personal requirement
     of the landlord from such a building when it is let out for residential
     purposes or for nor-residential purposes or separately for residential and
     non-residential purposes and having not taken away the right of the
     landlord to eject the tenant from such a building left him in the lurch
.D   without providing the remedy of eviction of tenant when let out under a
     composite lease. The remedy under the A.P. Act has to be discerned on
     the principle embodied in the maxim ubi jus ibi remedium. [35-D-G]
                                                                                        ...   -
           2.2. A building having residential and non-residential portions and
E let out under a composite lease has to he categorised as either a residen-                  ......
  tial or a non-residential building having regard to its nature, accommoda-
  tion, dominant purpose of lease, primary use of the building and other
  relevant circumstances on the facts of each case. In the instant case, the
  dominant purpose of the lease is residential purpose, non-residential
F activity being incidental. It is not disputed that the demised building is
  in residential area where no non-residential activity is permitted to be
  carried on. The portion of the demised building let out for non-residential
  purposes can also he adapted with a little modification for residential
  purpose and indeed the claim of the landlord is to covert the same for
  residential purpose of the family. Thus, for the above reasons the demised
G building has to be treated as a residential building. [35-H; 36-A; C-E]

         3. The provisions of Section 10(3)(a) of the A.P. Act and Section
   13(l)(e) of the Delhi and Ajmer Rent Control Act, 1952 are not in haec
   verba; whereas the former provides for eviction of a tenant both from
 H residential and non-residential premises on the ground of bona fide re-
         •
                     BOD DU NARAYAN AM MA v. VENKATARAMMA ALUMINIUM CO.               23

             quirement of the landlord, the latter provides for eviction of a tenant on     A
             that ground from a residential premises only and only from a non-
             residential premises. [30-F-G]

                   Dr. Gopal Dass Venna v. Dr. S.K. Bhardwaj & Anr., [1962] 2 SCR
             678; S. Sanyal v. Gian Chand, [1968] I SCR 536; Motilal & Anr. v. Nanak
             Chand & Ors., (1970) All India RCJ 99; held inapplicable.                      B
                      CIVIL APPELLATE JURISDICTION : Civil Appeal No. 2648 of
             1998.

                  From the Judgment and Order dated 29.7.97 of the Andhra Pradesh
             High Court in C.R.P. No. 134 of 1996.                                          c
                      Sudhir Chandra, M.K. Giri and S. Madhusudan Babu for the Appel-
             !ant.

                      M.S. Ganesh, Nikhil Nayyar and Ms. B. Sunita Rao for the Respon-
             dents.                                                                         D

                      The Judgment of the Court was delivered by

                    SYED SHAH MOHAMMED QUADRI, J. This appeal, by special
                                                                            -
             leave, is from the judgment and order of the High Court of Andhra
             Pradesh in Civil Revision Petition No.134 of 1996 passed on July 29, 1997.
                                                                                            E
             It raises a question of interest, namely, whether a petition by a landlord
             seeking eviction of a tenant under Section 10(3)(a)(i)(b) of the AP. Act
             from the demised building, let out under a composite lease for residential
             as well as non-residential purposes, is maintainable?
                                                                                            F
                   The appellant is the landlady and the respondents are tenants of
             premises bearing D.Nos.19/76-A and 19/76A-1; Innespeta, Rajahmundry
             (hereinafter referred to as "the demised building") which comprises of a
             residential and a non-residential portion. She and her husband filed evic-
. :"'.       tion petition, R.C.C.No.71 of 1981, on the file of the Principal District
             Munsif-cum-Rent Controller, Rajahmundry, under Section 10(3)(a)(i)(b)          G
             of the Andhra Pradesh Buildings (Lease, Rent and Eviction) Control Act,
             1960 (which is referred to in this judgment as 'the AP.Act') against the
             respondents (the first respondent is the partnership firm and respondents
             2 to 5 are its partners) seeking their eviction from the demised building on
             the ground of bona fide requirement for the personal residence of their        H
                                                                                     •
    24                    SUPREME COURT REPORTS (1999) SUPP. 3 S.C.R.

A family. The respondents resisted the petition, briefly stated, on two
    grounds: (i) the lease granted in their favour is a composite lease and as
    such the petition for their eviction is not maintainable and (ii) the require-
    ment of the appellant is not bona fide.

          The learned Rent Controller recorded the findings that the require-
B ment of the appellant is not bona fide and that the eviction petition is not
  maintainable; in that view of the matter, he dismissed the eviction petition.
  The husband of the appellant died in the meanwhile. The appellant then
  filed an appeal, R.C.A.No.11/1994, before the learned Subordinate Judge,
  Rajahmundry, the Appellate Authority under the A.P. Act. By its order
C dated 27.11.1995, the Appellate Authority held that the requirement of the
  appellant was bona fide and the eviction petition was maintainable. Ac-
  cordingly, the Appellate Authority set aside the order of the Rent Control-
  ler and allowed the appeal. The respondents carried the matter in Civil
  Revision Petition before the High Court of Andhra Pradesh. While con-
D firming the finding that the requirement of the appellant was bona fide, the
  High Court on the question of maintainability, set aside the order of the
  Appellate Authority holding that the eviction petition was not main-
  tainable. The revision petition was thus allowed on 29.7.97. It is against that
  order of the High Court, the appellant is in appeal before this Court.

E          Mr. Sudhir Chandra, learned senior counsel for the appellant, urged
    that the building as a whole is a residential one and the purpose for which
    a portion of it is used cannot really change its nature; therefore, the High
    Court erred in holding that in respect of a composite lease for residential
    and non-residential purposes, the eviction petition filed for personal oc-
F   cupation of the appellant was not maintainable. On the ground that there
    is no provision in the A.P. Act entitling the appellant to seek eviction in
    case of a composite lease, submits the learned counsel, the appellant
    cannot be rendered remediless and the statutory lease cannot be converted
    into a lease in perpetuity.

G         Mr.M.S. Ganesh, learned senior counsel for the respondents, on the
    other hand, has submitted that the building comprises of two separate
    portions-one is residential and the other non-residential and there is
    dichotomy in the Act for purposes of eviction of tenants inasmuch as with
    regard to eviction from residential and non-residential premises separate
H   grou"nds are provided; that on the ground of bona fide personal require-
   •
             BOD DU NARA YANAMMA v. VENKATARAMMA ALUMINIUM CO. IOUAD RI, J.]         25

         ment of residence of the appellant, eviction of non-residential part of the      A
         building cannot be sought for and as the lease is a composite one, no
         eviction can be ordered even in respect of residential part of the building;
         the High Court is, therefore, right in holding that the eviction petition is
         not maintainable.

              To appreciate the rival contentions of the learned counsel, it would        B
         be necessary to notice the relevant provisions of the A.P. Act.

               Section 2(iii) defines the term 'building' as follows :

                  "2(iii). "Building" means any house or hut or part of a house or
                  hut, let or to be let separately for residential or non-residential     c
                · purposes and includes :                ·

                  (a) the gardens, grounds1 garages and out-houses if any, appur-
                      tenant to such house, hut or part of such house or hut and
                      let or to be let along with such house or hut or part of such       D
                      house or hut;

                  (b) any furniture supplied or any fittings affixed by the landlord
                      for use in such house or hut or part of a house or hut, but
                      does not include a room in a hotel or boarding house."
                                                                                          E
               Sections 10, 12 and 13 of the A.P. Act provide grounds for eviction
         of tenants. We shall presently refer to Section 10(3)(a) with which we are
         concerned in the appeal.

                A perusal of the definition of the term 'building' shows that (a) any
         house or hut, or (b) part of a house or hut, let or to be let separately for     F
         residential or non-residential purposes, is a building for purposes of the
         Act; it takes in the gardens, grounds, garages and out-houses, if any,
         appurtenant to such house, hut or part of such house or hut and also any
         furniture supplied or any fittings affixed by the landlord for use in such
         house or hut or part thereof. However, a room in a hotel or boarding house       G
         is excluded from the meaning of the term 'building'.

. ...>          But, if a house/hut is having both residential as well as non- residen-
         tial portions which are let out together under a composite lease, will it be
         within the meaning of the term 'building'? And will it be covered by the
         A.P. Act? In the definition of the term "building" in Section 2(iii) of the      H
                                                                                      •
    26                    SUPREME COURT REPORTS (1999] SUPP. 3 S.C.R.

A Act, the words "let or to be let separately for residential or non-residential
    purposes", indicate that where any house or htit or parts thereof are let
    separately for residential or non-residential purposes, each part will be a
    building within the meaning of that term. It does not and cannot mean that
    when a residential portion and a non-residential portion of a building are
B   let under a composite lease, the whole building as such will not be within
    the meaning of the term 'building' for the simple reason that a house
    whether it is wholly residential, wholly non-residential or partly residential
    and partly non-residential is by definition a 'building'.

          Section 1(2)(a)(b) of the AP. Act says that it applies to the cities of
C Hyderabad, Secunderabad, Visakhapatnam, Vijayawada and to all
    Municipal Corporations and municipalities in the State of Andhra Pradesh
    and Section 32 says that the AP. Act shall not apply to any building owned
    by the Government. Under Section 26 of that Act, the Governor of Andhra
    Pradesh has exempted, with effect from October 26, 1983, - (1) all
D   buildings for a period of ten years from the date on which their construc-
    tion is completed and (2) buildings the monthly rent of which exceeds
    Rs.1,000. The building in question is within the limits of Municipality of
    Rajahmundry, thus it satisfies the requirement of Section 1(2)(a)(b) and
    neither Section 32 excludes it from the purview of the Act nor does it fall
    under any of the exemptions granted under Section 26 of the AP. Act.
E   Now, it cannot be that a building is within the purview of the AP. Act if
    let out exclusively for residential purpose or exclusively for non- residential
    purpose or let out separately in parts for residential purpose and non-
                                                                                          .1
    residential purpose but outside its purview if let out under a composite
    lease for residential and non-residential purposes. To hold so would be to
F   defeat the object of the AP. Act. It follows that the demised building is
    within the meaning of the term "building" and is within the ambit of the
    AP. Act.

          With regard to the question of maintainability of eviction petition
    under Section 10(3)(a)(i) of the A.P. Act, there is no controversy that when
G   a building having a residential and non- residential portions is let separately
    to a person, a petition for eviction of the tenant from the residential or
    non-residential portion or both on the plea of personal requirement of
    residence or business of a landlord, as the case may be, is maintainable but
    there is a conflict of opinion among various High Courts as to the main-
H   tainability of a suit/petition for eviction filed by a landlord, on the ground
    ,•


                 BODDU NARA YANAMMA v. VENKATARAMMA ALUMINIUM CO. [QUADRI, J.]        27

             of his personal requirement of residence, against a tenant who is occupying    A
             both residential and non-residential portions of a building under a com-
             posite lease.

                   Now, we shall refer to the ·views expressed by various High Courts
             on the question of maintainability of a suit/petition filed on the ground of
             bona fide personal requirement of residence of the landlord for eviction of    B
             a tenant holding residential and non-residential portions of a building
     '.-     under a composite lease.

                   The High Court of Andhra Pradesh in Ghan Shyam v. Laxmi
             Narayana, (1990) 1 ALT 43; the High Court of Rajasthan in Om Prakash
             v. Smt.Chand Devi, (1973) RCR 562; the High Court of Madras in
                                                                                            c
             Moinuddin Khan Sahib v. Rukmani .Ammal, (1973) All India RCJ 311 and
             Tikamchand Mithalal Jain v. M.R.Narasimhachari, AIR (1981) Madras 21;
             the High Court of Madhya Pradesh in Jamna Prasad v. Nandkishore, (1976)
             MPLJ 28, Panjumal Daulatram (Finn) v. Sakhi Gopal Thakurdin Agrawal,
             (1977) MPLJ 762 and Jagitkumar v. Jagdeeshchandra, AIR (1982) MP 144
                                                                                     D
             took the views that a suit/petition, under the respective Act, for eviction of
             the tenant from a premises having residential and non-residential
             accommodation held under a composite lease, on the ground of personal.
             requirement of residence of the landlord, is maintainable. The reasoning
             is that there are two kinds of accommodation viz., residential and E
             non-residential so if an accommodation is primarily used for residential
             purposes it has to be classified as residential although a part of it is used
             for non-residential purposes and vice versa. There is also emphasis on the
             dominant purpose of the lease. However, the contrary view is taken in Dr.
             Madhusudan Mahu/i v. Lambu Indira Bai, (1987) 2 ALT 504 by the High F
             Court of Andhra Pradesh and in Gokulchand v. Krishnachandra & Anr.,
             (1977) All India RCJ 376 by the High Court of Madhya Pradesh on the
             ground of absence of specific provision in the A.P. Act and the M.P. Act
             for eviction of the tenant holding a building having residential and·
             non-residential portions under a composite lease.
                                                                                            G
                  Apropos the discussion, the following decisions of this Court are

.-
I
         .   apposite:

                   In Dr. Gopal Dass Verma v. Dr. S.K. Bhardwaj and Anr., [1962] 2 SCR
             678, the appellant was the landlord and the respondent was the tenant of H
    28                    SUPREME COURT REPORTS (1999] SUPP. 3 S.C.R.

A the premises which were let for use as the residence of the tena.nt but from
    the inception of the tenancy, the premises were being used for commercial
    purposes also i.e. for his. professional work as E.N.T. Specialist. The
    appellant sued the respondent for ejectment, inter alia, under Section
    13(1)(e) of the Delhi and Ajmer Rent Control Act, 1952 (for short 'the
    Delhi Act') for his personal requirement of residence. The Trial Court
B   decreed the suit but the Appellate and the High Court dismissed it on the
    ground that from the beginning of the tenancy, a substantial part of the
    premises was used by the respondent for his professional work with the
    consent of the appellant. On appeal, this Court held that the premises let
    for residential purposes were being used by the respondent with the
C   consent of the appellant for commercial purposes also so it ceased to be
    premises let for a residential purpose alone and as such the appellant could
    not eject the respondent under Section 13(1)(e) of the Delhi Act.

          In S. Sanyal v. Gian Chand, (1968) 1 SCR 536, the predecessor in
D title of the respondent let out the suit premises to the appellant-tenant for
  her residence and for running a school. Thereafter, the respondent pur-
  chased the house and filed a suit under Section 13(1)(e) of the Delhi Act
  for eviction of the appellant on the ground that he required the premises
  bona fide for his own residence. The Trial Court dismissed the suit. On
  revision, the High Court held that a decree for ejectment limited to t.hat
E portion of the house which was used for residential purposes by the tenant
  could be granted and remanded the case for demarcating that portion and
  passing a decree. On appeal to this Court against the order of the High
  Court, it was held that the contract of tenancy was a single and indivisible
  contract and in the absence of any statutory provision to that effect, it was
F not open to the Court to divide it into two contracts - one of letting out
  for residential purposes and the other for non-residential purposes for
  granting relief under Section 13(1)(e) of the Delhi Act in respect of the
  portion used for residential purposes. Following Dr. Gopal Dass Venn a 's
  case (supra), it was observed that if in respect of premises originally let for
  residential purposes, a decree for ejectment could not be passed on the
G grounds mentioned in Section 13(1)(e), if subsequent to the letting, with
  the consent of the landlord, the premises was used both for residential and
  non-residential purposes, the bar against the jurisdiction of the Court
  would be more effective when the original letting was for purposes -
   non-residential as well as residential. It may be recalled that the condition
H for invoking Section 13(1)(e) of the Delhi Act is that the premises be held
      >           BOD DU NARA YANAMMA v. VENKATARAMMA ALUMINIUM CO. {QUADRI, J.]        29

              by the tenant for residential purposes.                                        A
                     In Motilal & Anr. v. Nanak Chand & Ors. (1970) All India RCJ 99,
              the suit-house was let out to the tenant for residence and for running a
              school. The landlord's suit for ejectment against the tenant filed under
              Section 13(1)(e) of the Delhi Act was dismissed by the Trial Court on the
              preliminary issue of maintainability of the suit but the District Judge B
              reversed the decree and remanded the case to the Trial Court. The revision
              against that order having been dismissed by the High Court, an appeal by
              special leave was filed in this Court. Relying on the judgment in S. Sanyal's
      \
              case (supra), it was held that as the owner let out the premises to the tenant
              for residence and for running a school, the suit for ejectment on the ground   c
              of bona fide personal requirement was not maintainable and it was not
              open to the Court to demarcate the portions used for residential and
              non-residential purposes as the contract of tenancy was single and
              indivisible contract and in the absence of a statutory provision, it was not
              open to the Court to divide it into two contracts and grant eviction of the D
              portion which was used for residential purposes.
....,,..;..         For appreciating the above noted decisions, it may be pointed out
              here that though the A.P. Act, the Tamil Nadu Act, the M.P. Act, the
              Rajasthan Act and the Delhi Act are in pari materia, yet provisions of these
              Acts dealing with grounds of eviction of a tenant for personal requirement
                                                                                             E
              of residence of a landlord are not in haec verba.

                    Since the three cases decided by this Court, referred to above, arose
              under Section 13(1)(e) of the Delhi Act, it will be useful to quote that
              provision here :                                                               F

                      "13( 1) (e). Protection of a tenant against eviction -

                      (1) Notwithstanding anything to the contrary contained in any
                      other law or any control, no decree· or order for the recovery of
                      possession of any premises shall be passed by any court in favour G
  '                   of the landlord against any tenant (including a tenant whose
                      tenancy is terminated):


   -·                    Provided that nothing in this sub-section shall apply to any suit
                      or other proceeding for such recovery of possession if the Court H
    30                       SUPREME COURT REPORTS [1999] SUPP. 3 S.C.R.           •   <


A           is satisfied -

               (e) that the premises let for a residential purposes are required
            bona fide by the landlord who is owner of such premises for
            occupation as a residence for himself or his family and that he has
            no other suitable accommodation:
B
                Explanation - For the purposes of this clause, "residential
            premises" include any premises which have been let for use as a
            residence are, without the consent of the landlord, used inciden-
            tally for commercial or other purposes;

c         A perusal of this provision reveals that the ban imposed by Section
   13(1), that no decree or order for the recovery of possession of any
   premises in favour of the landlord against any tenant shall be passed, is
  ·lifted in case of an owner-landlord of a premises who bona fide requires it
   for occupation as a residence for himself or his family, provided that the
D premises was let for a residential purpose and the landlord has no other
   suitable accommodation. The explanation makes it clear that if the
   premises let for residential purposes is used for commercial purposes
   without the consent of the landlord it will continue to be a residential
   premises. In other words, if the premises let for residential purposes is
E actually used for commercial purposes but without the consent of the
   landlord, the landlord can seek the eviction of the tenant under Section.
   13(1)(e) as the character of the premises is statutorily retained as a
   residential premises. This is so because the Delhi Act does not provide for
   eviction of the tenant from the premises other than residential premises on
   the ground of bona fide requirement of the landlord, S. Sanyal's case
F (supra).

        It may be noticed here that the provisions of Section 10(3)(a) of the
  A.P. Act and Section 13(1)(e) of the Delhi Act are not in haec verba;
  whereas the former provides for eviqion of a tenant both from residential
  and non-residential premises on the ground of bona fide requirement of
G the landlord, the latter provides for eviction of a tenant on that ground
  from a residential premises only and not from a non-residential premises.
  For this reason, the judgments in the aforementioned cases decided under                 ~
                                                                                           1
  Section 13(1)(e) of the Delhi Act cannot be applied to cases arising under
  Section 10(3)(a) of the AP. Act or Section 10(3)(a) of the T.N. Act which
                                                                                           I
H are in haec verba. Section 12(e) and (t) of the M.P. Act is substantially        ..1
                                                                                           I




                                                                                       I
    BOODU NARA YANAMMA v. VENKATARAMMA ALUMINIUM CO. [QUADRI, J.)        31

similar to the said provisions of the A.P. Act and the T .N. Act but Section   A
13(1)(h) of the Rajasthan Act is wider than the provisions of the AP. Act
and the T.N. Act.

       Mr.Sudhir Chandra has further urged that a residential accommoda-
tion is one which is suitable for residence even with necessary changes and
as the tin shade (non-residential portion) is not being used for more than     B
a year pursuant to the orders of the Member Secretary, Andhra' Pradesh
Pollution Control Board under Air (Prevention and Control of Pollution)
Act, 1981 and other authorities directing the respondents not to carry on
any manufacturing activity in the residential area and to shift the same to
any non-residential area, so the non-residential portion can be put to         c
residential use with necessary changes and indeed, for that purpose alone,
the eviction of the tenant is sought; therefore, the demised building has to
be treated as residential and if so, eviction can be ~rdered. In support of
his submission, he relied on the observations of this Court in Busching
Schmitz Private Limited v. P. T.Menghani & Anr., [1977] 2 SCC 835. In that     D
case, the landlord was the Government servant. He let out the building for
purposes of residence and for business in a portion thereof. He sought
eviction of the tenant under Section 14A(l) of the Delhi Rent Control Act,
1958 (59 of 1958). That application was opposed by the tenant on the
ground that what was let out to him was not for residential purpose but for
residential-cum-commercial purposes. The tenant was, however, refused          E
leave to contest the petition under Section 25B( 4) of the said Act. He
challenged that order in a writ petition before the High Court of Delhi but
it was dismissed. On appeal to this Court, the question which arose for
consideration was whether the building which was let out for the residen-
tial-cum-commercial purposes remained a residential building? It was held
                                                                               F
that whatever was suitable or adaptable for residential use, even by making
some changes, could be designated as 'residential premises'. Speaking for
the Court Krishna Iyer,J., in his inimitable style, observed:

        "Residential premises are not only these which are let out for
        residential purposes as the appellant would have it. Nor do they G
        cover all kinds of structures where humans may manage to dwell.
        If a beautiful bungalow were let out to a businessman to run a
        show-room or to a meditation group or music society for medita-
        tional or musical uses, it remains none-the-less a residential ac-
        commodation. Otherwise, premises may one day be residential H
    32                    SUPREME COURT REPORTS [1999] SUPP. 3 S.C.R.

A           another day commercial and, on yet a later day, religious.' Use or
            purpose of the letting is no conclusive test. Likewise, the fact that
            many poor persons may sleep under bridges or live in large hume
            pipes or crawl into verandahs of shops and bazars cannot make
            them residential premises. That is a case of reductio ad absurdum."

B         The learned counsel for the appellant has also placed reliance on the
    following observations of this Court in Mis. Maulavi Abdur Rub Firoze
    Ahmed & Co. v. fay Krishna Arora, (1976] 1 SCC 295 :

            "The law does not require that the landlord must need the
C           premises for his own occupation only for the purpose to which
            they were being put by the tenant. It may well be that a tenant
            cannot put the demised premises to any other use. But there is no            . ~

            bar in law in the way of the landlord requiring the business
            premises for his residential occupation and vice versa, provided the
            premises are capable of being put to different uses, as they .seem
D
            to be in this case."

    and contended that merely because the tenant was using the portion of the
    building for non-residential purposes, there was no bar in law for the
                                                                                    ..
    landlord to use the same for residentid purposes. That case arose under
E   the West.Bengal Premises Tenancy Act, 1956 (12 of 1956).

          It is true that under the A.P.Act, there is no bar to convert a
    non-residential building into a residential one though Section 18 mandates
    that no residential building shall be converted into a non-residential
F   building except with the permission in writing of the Controller.

          We shall now advert to Section 10(3)(a) of the A.P. Act under which
    the instant case arises and it will be apt to quote it here :

             "10(3)(a). A landlord may subject to the provisions of clause ( d),
G            apply to the Controller for an order directing the tenant to put the
             landlord in possession of the building ....

             (i) in case it is a residential building

             (a)   if the landlord is not occupying a residential building of his
H                  own in the city, town or village concerned and he requires it
        BOD DU NARA YANAMMA v. VEN KA TARAMMA ALUMINIUM CO. [QUADRI, J.)        33

                  for his own occupation;                                             A
            (b) if the landlord who has more buildings than one in the city,
                town or village concerned is in occupation of one such build-
                ing and he bona fide requires another building instead, for
                his own occupation;
                                                                                      B
            (ii) in case it is a non-residential building which is used for the
                 purpose of keeping a vehicle or adapted for such use, if the
                 landlord requires it for his own use and if he is not occupying
                 any such building in the city, town or village concerned which
                 is his own or to the possession of which he is entitled whether      c
                 under this Act or otherwise;

            (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 the possession of
                  which he is entitled whether under this Act or otherwise -          D

            (a)   for the purpose of a business which he is carrying on, on the
_;_y.             date of the application; or

            (b) for the purpose of a business which in the opinion of the
                                                                                      E
                Controller the landlord bona fide proposes to commence :

               Provided that a person who becomes a landlord after the
            commencement of the tenancy by an instrument inter vivos shall
            not be entitled to apply under this clause before the expiry of three
            months from the date on which the instrument was registered :             F

               Provided further that, where a landlord has obtained possession
            of a building under this clause he shall not be entitled to apply
            again under this Clause -

            (i)    in case he has obtained possession of a residential building,      G
                  'for possession of another residential building of his own;

            (ii) in case he has obtained possession of a non-residential build-
                 ing, for possession of another non-residential building of his

]                own."                                                                H
    34                        SUPREME COURT REPORTS [1999) SUPP. 3 S.C.R.

A        The provisions, extracted above, specify the grounds for eviction of
  a tenant from a residential building as well as from a non-residential
  building. Sub-clause (i) of clause (a) of sub-section (3) of Section 10 deals
  with eviction of a tenant from a 'residential building'. It says that a landlord
  may apply to the Rent Controller for an order directing the tenant to put
B the landlord in possession of a residential building on any of the two
  grounds, namely, (a) if the landlord is not occupying a residential building
  of his own in the city, town or village concerned and he requires it for his
  own occupation; and (b) if the landlord who has more buildings than one
  in the city, town or village concerned is in occupation of one such building
  and he bona fide requires another building instead, for his own occupation.
C Sub-clause (ii) thereof deals with the eviction of a tenant from a non-
  residential building which is used for the purpose of keeping a vehicle or
  adapted for such use, if the landlord requires it for his own use provided
  he is not occupying any such building in the city, town or village concerned
  which is his own or to the possession of which he is entitled whether under
D this Act or otherwise. Sub-clause (iii) thereof furnishes the ground for
  eviction of a tenant from a non-residential building other than that falling
  under sub-clause (ii); if the landlord is not occupying a non-residential
  building in the city, town or village concerned which is his own or to the
   possession of which he is entitled under the Act or otherwise and he
   requires it (a) for the purposes of a business which he is carrying on, on
E 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 com-
   mence, he may seek eviction of the tenant. These provisions are subject to
   two restrictions: (i) a person who becomes a landlord by ai1 instrument
   inter vivos after the commencement of the tenancy cannot apply under that
F clause before the expiry of three months from the date of registration of
   the instrument; and (ii) where the landlord bas obtained possession' of a
   residential building under that clause, he will not be entitled to apply again
   under it whether he has obtained possession of a residential or a non-
    residential building of his own.

G         It is not necessary to refer to the other provisions of Section 10 for
     purposes of the present discussion.                          '

           A combined reading of Section 2(iii) and Section 10(3)(a) of the A.P. ·
     Act indicates that when a residential building or a non- residential building
H    or parts thereof are let separately for residential and/or non-residential


                       ....
                                                                                     t
                  BODI?U NARA Y ANAMMA v. VENKATARAMMA ALUMINIUM CO. [QUADR!,J.]        35

              purposes, the provisions of Section 10(3)( a), namely, sub-clause (i) in case   A
              of a residential building and sub-clauses (ii) and (iii) in case of a non-
              residential building, can be invoked and on the requirements thereof being
              satisfied a landlord can seek eviction of a tenant therefrom. However, there
              is no separate provision under which eviction of a tenant can be sought
              from a building, having both residential and non-residential portions, held
              under a composite lease. For this reason, the High Court held that as the
                                                                                              B
              demised building was let out for residential and non-residential purposes
              under a composite lease to the respondent, the eviction petition of the
              appellant on the ground of her personal requirement of residence was not
              maintainable. In the result, the appellant is placed in such a position that
              she cannot seek recovery of possession of the demised building, not even        c
              of the residential portion, from the respondent by approaching the Rent
              Controller. She cannot also seek decree for eviction against the respondent
              on the aforementioned ground from Civil Court because the building is
              found to be within the purview of the AP. Act. In such a situation is she
              without any remedy? The riposte, in our view, is in the negative.
                                                                                              D
                     There is nothing in the AP. Act to suggest that the right of a landlord
              like the appellant to recover possession of the demised building from the
              tenant-respondent is taken away either expressly or by necessary implica-
              tion. Once it is held that a building having both residential and non-
              residential portions which are let out together under a composite lease is E
_.........,
               a building within the meaning of that term and within the ambit of the Act,
              such a building has to fall within one or the other category, namely,
              residential or non-residential - the classification which is made in Section
              2(iii) of the AP. Act. We find it difficult to infer that the legislature having
              bmught such a building within the ambit of the Act and having provided F
              for eviction of a tenant ·an the ground of personal requirement of the
              landlord from such a building when it is let out for residential purposes or
              for non-residential purposes or separately for residential and/or non-
              residential purposes and having not taken away the right of the landlord
              to eject the tenant from such a building left him in the lurch without
              providing the remedy of eviction of tenant when let out under a composite G
              lease. We cannot construe the provisions of the AP. Act in that way. We
              have, therefore, to discern the remedy under the AP. Act on the principle
              embodied in the maxim ubi jus ibi remedium. The buildings under that Act
              are classified as (i) residential and (ii) non·-residential. In our view, a
   .~         building having residential and non-residential portions and let out under H
    36        i'         SUPREME COURT REPORTS [1999) SUPP.? S.C.R.

A   a composite lease has to be categorised as either a residential or a non-
    residential building having regard to its nature, accommodation, dominant
    purpose of lease, primary use of the building and other relevant cir-
    cumstances on the facts of each case. On such determination, the suit/peti-
    tion of the landlord has to be decided under sub-clause (i) or sub-clauses
B   (ii) or (iii) of clause (a) of Section 10(3) of the A.P Act, as the case may
    be. It may be noticed here that under Section 10(3)(a) of the A.P. Act, the
    relief is granted with reference to the nature of the building and not with
    reference to the purpose for which it is let.

         In the -jnstant case, it is admitted that the building comprises of two
C parts - (a) country tiled house used for residential purposes and (b) a
  L-shape tin shade appurtenant thereto which is lesser in area than the
  residential portion and was being used for manufacturing aluminium ves-
  sels. The dominant purpose of the lease is residential purpose, non-
  residential activity being incidental. Now, some material is sought to be
D placed on record to show that no manufacturing activity is being carried
  on in that portion pursuant to the orders of the Member Secretary,
  A.P .Pollution Control Board. It is not disputed that the demised building
  is in residential area where no non-residential activity is permitted to be
  carried on. While respectfully agreeing with the test laid down by this Court
  in Buschii:ig Schmitz case (supra), we are of the view that the portion of
E the demised building let out for non-residential purposes can also be
  adapted with a little modification for residential purposes and indeed the
  claim of the landlord is to convert the same for residential purposes of the
  family. For all these reasons, we are of the considered view that the
  demised building has to be treated as a residential building. If so, the
F provisions of Section 10(3)(a)(i)(b) of the A.P. Act will be attracted and
   the eviction petition filed by the appellant will be maintainable. The
  impugned order of the High Court, insofar as it holds that the petition of
   the appellant under Section 10(3)(a)(i)(b) is not maintainable, is accord-
   ingly set aside and the order of the Appellate Authority dated 27.11.95 is
   restored. We approve the ratio in the judgments of the High Courts which
G are in accord with the view expressed hereinabove by us and overrule the
   ratio of the judgments of the High Courts which have held to the contra.


           Inasmuch as the Appellate Authority as well as the High Court have
     held that the requirement for residence of the appellant is bona fide and
H    as we have held that the petition of the appellant filed under Section
        BODDU NARA YANAMMAv. VENKATARAMMAALUMINIUM CO. [QUADRI, !.]             37

    10(3)(a)(i)(b) is maintainable, the appellant is entitled to a direction to the   A
    respondents to put the appellant-landlord in possession of the demised
    building. The eviction petition, R.C.C.No.71 of 1981 on the file of the
    Principal District Munsif-cum-Rent Controller, Rajahmundry is ordered.
    We grant time to the respondents to vacate the demised building and put
    the appellant-landlord in vacant possession of the same till December 31,
    1999. The appeal is accordingly allowed but in the circumstances of the
                                                                                      B
    case without costs.

    S.V.K.                                                       Appeal allowed.




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