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Supreme Court of India

MURLIDHAR JALAN (SINCE DECEASED) THROUGH HIS LRS.versusSTATE OF MEGHALAYA AND ORS.

Citation
1997 INSC 492
Decided
7 May 1997
Disposal
Dismissed

Holding

The lease had terminated on expiry; acceptance of rent did not constitute an implied renewal or confer title, so the declaration of title was denied.

Summary

Murlidhar Jalan, the appellant, claimed title to a parcel of government land on the basis that he had originally obtained a 99‑year lease which expired in 1965. Although the lease was not formally renewed, a government officer continued to accept rent from the appellant. The appellant sought a declaration that he was the land‑holder; the trial court granted relief, but the Gauhati High Court reversed the decree, holding that the lease had terminated. On appeal, the Supreme Court examined whether acceptance of rent after lease expiry amounted to an implied renewal and whether such conduct could confer title. The Court held that no renewal was granted, the lease had ended, and the government's acceptance of rent did not create any title in the appellant, rendering him a trespasser. Consequently, the appeal was dismissed and the declaration of title was denied.

Issues considered

  • Whether acceptance of rent by the government after the expiry of a lease amounts to an implied renewal of the lease.
  • Whether such acceptance confers title on the lessee as a land‑holder.
  • Whether a declaration of title can be granted when the lease has expired and no renewal has been effected.

Subjects

leasegovernment landimplied renewalrent acceptancedeclaration of titletrespasslease expiration

Judgment

-                       MURLIDHAR JALAN (SINCE DECEASED)
                                THROUGH HIS LRS.
                                       v.
                                                                                     A


                          STATE OF MEGHALAYA AND ORS.
,.
                                      MAY 7, 1997
                                                                                     B
                    [K. RAMASWAMY, S. SAGHIR AHMAD AND
                             G.B. PATTANAIK, JJ.)

               Lease:
                                                                                     c
             Lease of Government Land-Lease-holder continuing in possession
      after expily of lease-Rent being accepted by Government official-Suit for

-     declaration of title-Held, renewal having not been granted, previous lease
      stood expired and the relationship of tenant and landlord came to be ter-
      minated-Declaration of title as land-holder cannot be granted.
                                                                                     D
               Bishan Das & Ors. v. State of Punjab & Ors. AIR (1991) SC 1570;
      cited;

               CIVIL APPELLATE JURISDICTION: Civil Appeal No. 3690 of
..    1997.
                                                                                     E
           From the Judgment and Order dated 20.12.96 of the Gauhati High
      Court in F.A. No. 58 of 1990.

               P.K. Goswami, Kailash Vasdev and C.K. Sasi for the Appellant.
                                                                                     F
               The following Order of the Court was delivered :

               Leave granted.


-         This special leave petition has been filed against the Division Bench
     judgment of the Gauhati High Court, made on December 20, 1996 in First G
     Appeal No. 58/90.


-·           The appellant had filed a civil suit for perpetual injunction seeking
     ..declaration of his title as land-holder of the property. The trial Court
       granted the decree. But on appeal, the High Court reversed it in the first
       Appeal No. 58/90 dated December 20, 1996. The Division Bench of the           H
                                          255
    256                    SUPREME COURT REPORTS•[l997] SUPP. 1 S.C.R.

A High Court affirmed that order in appeal. The question is : Whether the
  appellant is entitled to the declaration of his title in respect of the property.
  Shri Goswami, learned senior counsel for the appellant, contends that
                                                                                      -
  initially the appellant had come into possession of the property in his
  character as a tenant by virtue of perpetual lease for 99 years; after the
  expiry of the initial period of lease in 1965 though the Government had not
B renewed the lease, nonetheless, the Government had impliedly renewed the
  same by accepting the rent. The property was required for a public purpose
  and that the Government continued to be in possession of the property as
  a tenant recognising title of the appellant. Therefore, the High Court was
  clearly in error in rejecting the claim of the appellant and confirming the
c decree of the appellate Court. In support thereof, he places reliance on
  Bishan Das & Ors. v. State of Punjab & Ors., AIR (1991) SC 1570. We find
  no force in the contention. It is an admitted position that renewal was not
  granted. Thereby, the previous lease stood expired and the relationship as
  tenant and landlord came to be terminated. He accepted the title of the
  Government; thus thereafter, he continued to be in possession as a
D
  trespasser. It is true that a lower level officer accepted the rent; and
  recognition was obviously made on a mistaken impression that the land was
  required for a public purpose; but on the basis thereof, it cannot be
  construed that the title of the appellant was confirmed by the conduct of
  the Government. Accordingly, the declaration of title as land~holder cannot
E be granted. The High Court, therefore, was right in refusing to grant the
                                                                                      •
  relief. It is not a case of taking possession without due process of law. The
  possession only continues to a facet of the facts. Apart from that there is
  no other documentary evidence on the basis of which it could be concluded
  that the title of the Government is defeated by acceptance. of the rent or
F by requisition of the property by mistaken act on the part of the Govern-
  ment.

            The appeal is accordingly dismissed. No costs.

     R.P.                                                       Appeal dismissed.
                                                                                      -


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