Damadi Lal v. Paras Ram, AIR 1976 SC 2229

*Damadi Lal v. Paras Ram,       AIR 1976 SC 2229

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*Not Printed

Civil Appeal No. 884 of 1968,, decided on 07/05/1976

Headnote

(A) Madhya Pradesh Accommodation Control Act (41 of 1961) , S.2(i)— Statutory tenant, if has heritable interest in premises.

Tenancy has its origin in contract. There is no dispute that a contractual tenant has an estate or property in the subject-matter of the tenancy, and heritability is an incident of the tenancy. It cannot be assumed, however, that with the determination of the tenancy the estate must necessarily disappear and the statute can only preserve his status of irremovability and not the estate he had in the premises in his occupation. It is not possible to claim that the “sanctity” of contract cannot be touched by legislation. Concept of statutory tenant in England examined.(Para 11)

The definition of tenant in Section 2 (i) makes a person continuing in possession after the determination of his tenancy a tenant unless a decree or order for eviction has been made against him, thus putting him on par with a person whose contractual tenancy still subsists. The incidents of such tenancy and a contractual tenancy must therefore be the same unless any provision of the Act conveyed a contrary intention. Under the M. P. Act such a tenant retains an interest in the premises and not merely a personal right of occupation. Section 14 read with Section 2 (i) makes it clear that the so-called statutory tenant has the right to sub-let in common with a contractual tenant and this is because he also has an interest in the premises occupied by him. Thus, the statutory tenant under Section 2 (i) has a heritable interest in the premises.

(B) Madhya Pradesh Accommodation Control Act (41 of 1961) , S.12(i)(a)— Payment of rent – Cheque sent by tenant to landlord, whether a lawful tender.

Rent is payable in the same manner as any other debt and the debtor has to pay his creditor in cash or other legal tender, but there can be no dispute that the mode of payment can be altered by agreement. In the contemporary society it is reasonable to suppose such agreement as implied unless the circumstances of a case indicate otherwise. Thus inabsence of an agreement to the contrary a cheque sent by tenant to landlord towards payment of arrears of rent is a valid tender of rent.

(C) Civil P.C. (5 of 1908) , S.100, O.41 R.33— Second appeal – Question of bona fide requirement of landlord – Lower appellate court overlooking a very material part of evidence bearing on the question – Finding of fact arrived at ignoring important and relevant evidence is SC2230bad in law – High Court is justified in setting aside such a finding.AIR 1971 SC 1049, Followed.(Para14) (Para 14)

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