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Supreme Court of India

RAMESH CHANDRA BHANDARIversusRAM SINGH SALAL

Citation
2016 INSC 59
Decided
18 January 2016
Disposal
Appeal(s) allowed

Holding

The High Court was not justified in granting a two‑year vacate period; the appropriate time must be reasonable and consistent with the statutory purpose of expeditious eviction.

Summary

The appellant, a retired army officer, owned a shop in Almora and sought eviction of the tenant under Section 21(1)(a) of the U.P. Urban Buildings (Regulation of Letting, Rent and Eviction) Act, 1972, claiming a bona‑fide need to start a business for his physically disabled son. The trial court ordered eviction within two months, which the tenant successfully appealed; the High Court then restored the eviction order but granted the tenant a two‑year period to vacate. The appellant challenged the two‑year grace period, arguing that it defeated the purpose of the eviction petition and caused greater hardship to him. The Supreme Court held that the High Court was not justified in exercising its discretion to allow such an extended period because no statutory provision or evidence of extreme hardship on the tenant was shown. It emphasized the statutory presumption in favour of retired army personnel and the need for expeditious eviction. Consequently, the Court modified the order, limiting the tenant’s vacate date to 31 August 2016, subject to payment of arrears and damages. The appeal was allowed in part and costs were awarded to the appellant.

Issues considered

  • Whether the High Court was justified in granting a two‑year period for the tenant to vacate after ordering eviction under Section 21(1)(a) of the U.P. Urban Buildings Act.
  • Whether the statutory presumption of bona‑fide need for retired army personnel permits the court to limit the time for vacating the premises.
  • Whether the tenant’s alleged hardship, in the absence of any statutory provision or contract, can justify an extended vacate period.

Legislation cited

Subjects

evictionbona fide needlandlord‑tenantU.P. Urban Buildings Actretired army personnelhardshipjudicial discretioncivil appeal

Judgment

                             [2016] l S.C.R. 520



A                   RAMESH CHANDRA BHANDARI
                                      v.
                            RAM SINGH SALAL
                        (Civil Appeal No. 575of2016)
B                            JANUARYIS,2016
    [J. CHELAMESWAR AND ABHAY MANOHAR SAPRE, JJ.]
           U.P. Urban Buildings (Regulation of Letting, Rent and
    Eviction) Act, 1972:
C          s. 21 (l){a) - Eviction petition by appellant:landlord - Eviction
    sought on the ground of bona fide need of appellant-Army Official
    to start business for his physically disabled son - Second round of
    litigation - Eviction petition allowed by High Court, however
    respondent-tenant granted 2 years' time to vacate the suit shop -
D   On appeal, held: High Court rightly allowed the eviction petition -
    However, in the absence of any justifiable cause alleged by the
    respondent to prove extreme hardship as also in the absence of any
    statutory provision or any contract between the parties to that effect,
    the High Court was not justified in exercising its discretion and
    grant 2 years ' time to respondent to vacate the suit shop - High
E   Court should have appreciated the fact that the said process of
    litigation has .consumed 20 years and the hardship suffered by the
    appellant is more as compared to the respondent.
        Object and purpose of - Held: Act of 1972 is a legislation
  which provides for regulation and control of letting and rent of the
F accommodation - It regulates and control eviction of tenants from
  accommodations - It provides for expeditious trial of eviction cases
  on ground of bona fide requirement of certain categories of
  landlords - Amended s. 2 I provides a statutory deeming presumption
  of the need set up by landlord who are serving or retired Indian
  soldier or their widows, to be sufficient if he sought eviction for his
G personal requirement or for the benefit of any member of his family
  - Object is to relieve such landlord from the hardship so that he is
  able to get the premises vacated early for his personal use -
  Appellant-landlord was denied this benefit due to long pendency of

H                                     520
   RAMESH CHANDRA BHANDARI v. RAM SINGH SALAL                                  521



the case - Respondent-tenant granted 7 months time to vacate the               A
premises subject to certain conditions.
     CIVIL APPELLATE JURISDICTION : Civil Appeal No. 575
of2016
        From the Judgment and Order dated 31.08.2015 of the High Court
· ofUttarakhand at Nainital in Writ Petition No. 1696 of2012 (MiS).            B

       Dr. Susliil Balwada, Abhishek Anand Rai, Divya Pandey for the
 Appellant.
       Manoj Swarup, Lalita Kohli, Abhishek Swarup, Charu Singhal,
 Mis. Manoj Swarup & Co. for the Respondent.                                   c
       The Judgment of the Court was delivered by
       ABHAY MANOHAR SAPRE, J. I. Leave granted.
        2. This appeal is filed against the judgment and order dated
 31.08.2015 passed by the High Court ofUttarakhand atNainital in Writ
                                                                               D
 Petition No. 1696 of2012 (Mis) whereby the High Court allowed the
 writ petition filed by the appellant-landlord thereby granting the decree
 for eviction against the respondent in relation to the suit shop but at the
 same time further granting two years' time to the respondent to vacate
 the suit shop.
       3. Facts of the case lie in a narrow compass. They, however,            E
 need mention in brief to appreciate the short controversy involved in the
 appeal.
       4. The appellant is the plaintiff whereas the respondent is the
 defendant.
                                                                               F
         5. The appellant is the owner/landlord of the suit premises, which
 is situated atAlmora (Uttaranchal). The appellant was an Army official
 who retired in 1983. He let out the suit premises (shop)to the respondent
 on a.monthly rent of Rs.800i-, who carries on his business in the suit
 shop.
                                                                               G
        6. The appellant filed an application under Section 21 (1 )(a) of
 the U.P. Urban Buildings (Regulation of Letting, Rent and Eviction)Act,
 1972 (hereinafter referred to as "the Act") against the respondent seeking
 his eviction from the suit premises, The eviction was sought on the ground

                                                                               H
522                    SUPREME COURT REPORTS                     (2016] I S.C.R.


 A    of appellant's bona fide need for sta1ting a business for his son who is
      physically disabled.
             7. The respondent denied the need and contested the eviction
      petition filed by the appellant. The matter reached to this Court at the
      instance of the appellant in the first round oflitigation which eventually
 B    ended in granting liberty to the appellant to file a fresh eviction petition
      on the changed circumstances against the respondent for his eviction
      from the suit shop.
             8. This is how the second round of!itigation again started in 1997
      between the parties _out of which this appeal arises. The ground for
 c    seeking eviction was bona fide need for the son to start business based
      on subsequent events. The Prescribed Authority/Civil Judge (Sr. Division)
      Almora, Uttarakhand by his order dated 08.05.2009 in Rent Case No. 2
      of2006 decreed the appellant's eviction petition and accordingly directed
      the respondent to vacate the suit shop within 2 months. It was held that
      the appellant's need to seek eviction as pleaded in the petition is bona
 D    fide and that he has no other alternative suitable accommodation of his
      own in the city where his son can carry on the business.
            9. Against the said order, the respondent filed an appeal being
      Rent Appeal No. 3 of 2009 before the District Judge, Almora, who by
      order dated 10.07.2012 allowed the appeal and set aside the judgment
 E    passed by the prescribed authority.
              10. Felt aggrieved by the said judgment, the appellant filed writ
      petition before the High Court. By impugned order, the High Court allowed
      the petition and while restoring the order of the prescribed authority and
      ordering respondent's eviction from the suit shop, granted 2 years' ti1ne
 F    to the respondent to vacate the suit shop.
             11. The appellant has filed this appeal feeling aggrieved only against
      that part of the order by which the High Court has granted 2 years' time
      to the respondent to vacate the suit shop.
 G          12. So far as the respondent is concerned, he has not filed any
      appeal against the impugned order.
             13. Heard learned counsel for the parties.
            14. Submission of the learned counsel for the appellant was only
      one. According to him, the High Court having rightly allowed the
 H    appellant's eviction petition by accepting the bona fide need of the
   RAMESH CHANDRA BHANDARI v. RAM SINGH SALAL                                  523
            [ABHAY MANOHAR SAPRE. J.]

appellant erred in granting two years' time to the respondent to vacate        A
the suit shop. Learned counsel urged that granting of2 years' time to the
respondent to vacate the suit shop virtually nullified the effect of the
impugned order because despite holding the appellant's need to be bona
fide, the appellant is not in a position to use the suit shop for two years
due to directions in the impugned order and hence the very purpose of
                                                                               B
filing the eviction petition and obtaining the eviction order has been
frustrated. He submitted that to obviate the hardship likely to be suffered
by the respondent due to passing of the eviction order against him, the
High Court could have taken care of such issue by granting the respondent
some reasonable time which is usually of two or three months to vacate
the suit shop but by no stretch of imagination the High Court could have       c
granted 2 years' period and that too without there being any justifiable
cause alleged by the respondent in the pleadings. Learned counsel,
therefore, urged that having regard to the facts and circumstances, this
Court, if consider it proper, may grant some reasonable time of 2 or 3
months to the respondent to vacate the suit shop.
                                                                               D
     15. Learned counsel for the respondent, however, supported the
impugned order contending that it does not call for any interference.
       16. Having heard the learned counsel for the parties and on perusal
of the record of the case, we are inclined to accept the submission of the
learned counsel for the appellant as in our opinion, it has substance.         E

       17. In our considered view, the High Court having rightly allowed
the appellant's writ petition by accepting the need of the appellant to be
the bona fide need of his son for starting a business in the suit shop was
not justified in granting 2 years' time to the respondent to vacate the suit
shop. In the absence of any justifiable cause alleged by the respondent        F
to prove extreme hardship and further in the absence of any statutory
provision or any contract between the parties to that effect, there was
no justification on the part of the High Court to exercise its discretion
and grant 2 years' time to the respondent to vacate the suit shop.·
       18. The High Cowt, in our view, should have appreciated the fact        G
thatthe present litigation was the outcome of the second round oflitigation
after conclusion of the first round which began in 1986 and reached up
to this Court and in this process this litigation consumed 20 years. In
these circumstances the hardship is suffered more by the appellant as
compared to the respondent.
                                                                               H
524                    SUPREME COURT REPORTS                     (2016] 1 S.C.R.



 A          19. The Act in question is a legislation which provides for regulation
     and control ofletting and rent of the accommodation. It regulates and
     control eviction of tenants from accommodations and for other matters
     connected therewith as incidental thereto. It further provides for
     expeditious trial of eviction cases on ground of bona fide requirement
     of certain categories of landlords. The State legislature, in its wisdom
 B
     further considered appropriate to give more benefit to the landlords who
   . are serving or retired Indian soldier or their widows and accordingly
     amended Section 21 by Act No.17/1985. This amendment inter alia
     provides a statutory deeming presumption of the need set up by such
     landlord to be sufficient if he seeks the eviction for his personal
 c requirement or for the benefit ofany member of his family. The object
     behind this amendment is to relieve such landlord from the hardship so
     that he is able to get the building/accommodation vacated early for his
     personal use. In this case, we find that this benefit was denied to the
     appellant due to long pendency of the c~se.

 0           20.Be that as it may, in the light of foregoing discussion and
      having regard to all facts and circumstances of the case and as offered
      by the appellant, we grant time to the respondent up to "31." August,
      2016" to vacate the suit shop subject to the respondent depositing with
      the appellant the entire arrears of rent, (if there are arrears) up to date
      at the rate paid by the respondent within one month and further subject
 E
      to respondent paying to the appellant the rent at the same rate up to 31"
      August, 2016 as damages by way of use and occupation including cost
      amount awarded by this Court within one month and furnish undertaking
      before this Court within one month to vacate the suit shop within the
      time fixed by the Court.
 F          21.In view of foregoing discussion, the appeal succeeds and is
      allowed in part. Impugned order is modified to the extent indicated above.
            22.Cost of appeal is quantified at Rs. I 0,0001-to be payable by the
      respondent to the appellant.
 G    Nidhi Jain                                                   Appeal allowed.


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