High CourtDivision BenchAppeal dismissed; eviction upheld; time to vaca...

FIRM PANJUMAL DAULATRAM v. SAKHI GOPAL

Case / Petition Number:Civil Appeal No. 991/76
Neutral Citation:[1977] 3 SCR 767

Case Details & Bench

Court
High Court
Hon'ble Judges
  • V. R. Krishna Iyer
  • R. S. Sarkaria
  • Jaswant Singh
Judgment Date
1977-05-03
Court Decision / Holding
Appeal dismissed. Eviction order upheld. The tenant is given time to vacate until 1 January 1978. Parties to bear their own costs.
Final Disposition
Appeal dismissed; eviction upheld; time to vacate granted; costs to be borne by the respective parties.

Parties to the Case

Appellants / Petitioners

  • Firm Panjumal Daulatram

Respondents

  • Sakhi Gopal

Legal Representation & Advocates

Counsels for Petitioners

  • • S. Choudhury
  • • D. N. Mishra
  • • O. C. Mathur
  • • Shri Narain

Counsels for Respondents

  • • G. L. Sanghi
  • • V. K. Sanghi
  • • R. K. Sanghi
  • • S. S. Khanduja

Case Synopsis & Summary

This is a Civil Appeal from the Madhya Pradesh Accommodation Control Act case concerning eviction of a tenant who had let the premises for both residential and non-residential use. The landlord (respondent) sought eviction on bona fide grounds: that the residential portion of the building was needed for his own residence, and the non-residential portion (the ground floor shop) was needed to start his business (a chemist shop). The premises were let as an accommodation under the MP Act, which defines accommodation to include any building or part of a building, residential or non-residential, and sections 12(1)(e) and (f) provide eviction on bona fide requirements for residential and non-residential purposes, respectively. The lease was clearly a composite contract for dual purposes. Despite the tenant’s challenge to the application of these provisions on the ground of not splitting a contract (cited as binding by Sanyal v. Gian Chand), the courts below held that the dual purpose could fit within sections 12(1)(e) and (f). The Supreme Court agreed that the contract was integral but dual; it upheld eviction on both counts, distinguishing the cited precedent where appropriate. In a quasi-equitable gesture, the Court stayed the eviction to 1 January 1978 to allow the tenant time to vacate, observing the practical difficulties in finding alternative accommodation.

Provisions of Law Cited

Madhya Pradesh Accommodation Control Act, 1961, Sec. 12(1)(e), Sec. 12(1)(f)Sec. 2 (definition of ‘accommodation’)

Submissions & Arguments

Contentions of Appellants / Petitioners

The appellant tenant argued that the lease was an integral composite contract enabling dual residential and non-residential use, and that eviction should not be permissible by splitting its purposes. Citing Sanyal v. Gian Chand, the counsel submitted that a court should not split a contract in eviction proceedings; the dual purposes of the lease, however, could still be accommodated within Secs. 12(1)(e) and (f) if bona fide. The contention was that eviction on dual needs should be approached with caution, and equitable relief should allow the tenant time to vacate given the housing shortage and business continuity concerns.

Contentions of Respondents

The landlord contended that the premises were let for dual purposes and that both the residential and non-residential needs were bona fide and cannot be treated in isolation; the accommodation under the Act includes both parts of the building, and Sections 12(1)(e) and (f) authorize eviction on bona fide needs when no other suitable accommodation is available. The fact that the lease covered two purposes did not preclude eviction; the courts below correctly held that the dual requirements fit within the statutory provisions and that eviction was inevitable, subject to a reasonable grace period for the tenant to vacate.

Cited Precedents (1)

Case NameCitationTreatmentExplanation
Sanyal v. Gian ChandI SCR 536DistinguishedThe decision distinguished the precedent on the point of not splitting contracts in eviction proceedings; in this case the court treated the composite lease as permissible under Secs. 12(1)(e) and (f) due to dual bona fide needs.

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Extracted Judgment Text

Exact text extracted from official judgment records.

A _(_ 767 FIRM PANJUMAL DAULATRAM _v._ SAKHI GOPAL _May_ 3, 1977 [V, R. KRISHNA IYER, R. S. SARKARIA AND JASWANT SINGH, JJ.J _Mudhya Pradesh Accommodation Control Act,_ 1961 S. 12(l)(e) & _(f)-_ ' _Scope_ _of-Bona_ _fide requiren1ent-Requireme11t_ _of_ _the_ _land-lord_ _of_ _ai:C01111no-_ _t1ation_ _of_ _both residential and_ _11011-residential_ _part_ _of_ _the building,_ _if_ _proved_ _entitled eviction_ _of_ _the tenant._ Under sub clauses (e) and (f) of S. 12(1) of the Madhya Pradesh Accommodation Control Act, 1961, a landlord can evict a tenant, if the residential and the non-residential accommodation respectively let out to the latter _is_ C required _bona fide_ by him for occupation as a residence and for the purpose of continuing or starting his business. Accommodation unP.er the Act _means any building or part of a building, whether residential or non-residentiu·l. The appellant·tenant was inducted in by the respondent in 1955 for the dual purposes of residential and non·residential purpose of running a cloth shop. ~fhe landlord, _bona fide_ required the building for his residence and also for starting bis business of running a Chemist shop. The Eviction Suit filed by _him_ was dismissed by the trial court, but the appellant and the High Court D, granted him the eviction decree. Discussing the appeal by special leave, the Court. HELD : The residential portion as well as a non·residential portion are parts of the building and each is an accommodation by definition. The land· lord is entitled to eviction of the "accommodation" if he makes out a _bona fide_ residential and non·residential requirement of the portions. In the instant case the contract was integral but had dual purpose. The landlord has put i' forward dual requirements which neatly fit into S. 12 (I) (e) and (f) of the J\iadhya Pradesh Accommodation Control Act, 1961. The findings of th~ _-t._ ;:;,ppellate Court regarding the _bona_ _fide_ requirement of the landlord, not having been challenged in the High Court and in this Court in the memorandum· of Appeal, the consequence viz. eviction is inevitable. [769 E·G] _S._ _Sanyal_ v. _Gianchand_ (1968] I S.C.R. 536, distinguished. lThe Court, however granted time to the appellants for vacating the build· F ing till 1-1-1978, in terms of equity]. CIVIL APPELLATE JURISDICTION : Civil Appeal No. 991/76. ' (Appeal by Special Leave from the Judgment and Order dated the 21.1.1976 of the Madhya Pradesh High Court in Second Appeal No. 415 of 1971) S. _Choudhury,_ _D._ _N._ _Mishra,_ _0._ C. _Mathur_ and _Shri_ _Narain_ for the appellant. _G. L. Sanghi, V. K. Sanghi, R._ _K._ _Sanghi_ and S. _S._ _Khanduja_ for the respondent. The Judgment of the Court was delivered by KRISHNA IYER, J. A suit for eviction of an accommodation from the tenant to whom it had been let for residential and non-residential G H A **B** #### c **D** E F G 768 SUPREME COURT REPORTS [1977] 3 s.c.R. purposes resulted in dismissal by the! trial Judge. But in an appeal, the final court of fact took the view that the landlord (respondent) was entitled to eviction. The tenant challenged the appellate decree before the' High Court in Second Appeal without success and has therefore come up to this Court with this appeal by special leave. A short point has been raised which deserves only a short answer. Since we agree with the Hi~ Court which in tum has agreed with the first appellate court,,our judgment can afford to be brief, A statement of necessary facts may now be given. The landlord had let out the premises, which is a storeyed building, to be tenant as per Ex. P-1 of 1955. The significant clause irt the lease deed runs thus : **"1** **xxx** 2. I take your house for "my own use i.e. for opening a cloth shop and for residential purposes and I will net sublet your house to anybody. xxx xxx xxx **xxx."** The tenant has thus put the building to business and residential purposes. The landlord, who is an M. Sc., claimed the building back on the scorn that he wanted to run a medical store on the ground floor---a non-residential purpose---and sta:ron the first floor with his wife-a residential purpose. Thus the acommodation was let out for dual purposes, was being used presumably for these requirements and was being claimed back by the landlord for the twin purposes mentioned above. The final court of fact has held that the landlord needs the building for his chemist's shop and for his residential use. The High Court in Second Appeal has upheld this finding and added that "the finding as to his bonafide requirement was rightly not challenged before me ...... ' The conclusion that the courts have reached is the only conclusion possible on the evidence on record in the light of the circumstances appear**ing."** This statement by the High Court that the bonafide requirement of the landlord was not challenged before it has not been questioned, in the memorandum of appeal to this Court. It must therefore be taken that the bonafide need of the landlord is validly made out. The short point that survives is as to whether the composite purposes of the lease would put it out of the ground, set out for eviction under s. 2 of the Madhya Pradesh Accommodation Control Act, 1961. The said Act defines 'accommodation' thus : #### ' ###### ' **H** " 'accommodation' means any building or part of a building, whether residential or non-residential and includes,-xx xxx **xxx."** FIRM PANJUMAL _v._ _SAKHI_ GOPAL _(Krishna Iyer,_ J.) 769 It follows that an accommodation can be residential, non-residential **A** or both. S. 12 bars an actiun of eviction of a tenant from any accommodation except on one or more of the grounds set out therein. S. 12(l)(e) and (f), bearing on the present case, may be appropriately _!_ extracted here : "12. ·Restriction on eviction of ten en ts (1) B (a) to (d) x x x x x #### • , # •• "' Counsel contended that in a decision of this Court, viz, _S._ _Sanyal_ v. _Gian Chand,(')._ it has been held that it is not permissible for the court to split up a contract in an eviction proceeding. We agree. There is no question of splitting up of the contract in the present case, as is abundantly plain from what we have stated. The contract was integral but had dual purposes. The landlord has put forward dual requirements which neatly fit into s. 12(1 )(e) and (f). The consequence is inevitable that the eviction order has to be upheld. --o·~l~r1~9~6B~l ~1 =s.=c~.R-. ~si~6-. ( e) that the accommodation let for residential purposes is #### required bona fide by the landlord for occupation as a residence for himself or for any member of his family, if he is the owner thereof, or for any person for whose benefit the accommodation is held and that the landlord or such person has no other reasonably suitable residential accommodation of his own in the occupation in the city or town **concerned;** (f) that the accommodation let for non-residential purposes is required bona fide by the landlord for the purpose 'of continuing or starting his business or that of any of his major sons or unmarried daughters if he is the owner there. of or for any person for whose benefit the accommodation is held and that the landlord or such person has no other reasonably suitable non-residential accommodation of his own in his occupation in the city or town concerned; . xxx xxx **xxx."** The residential portion is a part of the building and is an accommodation by definition. The non-residential portion is also a part of the building and is an accommodation by definition. The lease has been given for residential a·s well as non-residential purposes. The landlord is entitled to eviction of the residential portion if he makes out a bonafide residential requirement. Likewise he is entitled to eviction of the non-residential portion which is an accommodation if he makes out a non-residential requirement. We havel already found that the final court of fact, affirmed by the High Court, has found in favour of the landlord regarding his residential as well as non-residential require. ments. Therefore, nothing more can be done in defence of the tenant in the light of the present law. #### c **D** E **F** G **H** A B 710 SUPREME COURT REPORTS [1,977] 3 S.C.R. It i~ seen; that the tenant has been doing a thriving cloth business, with goodwill attached to it, for well knigh 30 years. It is therefore but fair that the tenant is given sometime to rehabilitate himself by securing an alternative but suitable accommodation. In our towns where scarcity .of accommodation i~ the rule it is not that easy to secure alternative premises. Taking: due note of this reality, we direct that while dismissing the appeal the eviction order shall not be put into execution before 1st January, 1978. Parties will bear their respective costs. ## S.R. Appeal dismissed. • ' ) ~ ### . ##### >. 41 _$_ _(_ "