High CourtDivision BenchAppeal allowed; remanded to High Court for fres...

Hameedia Hardware Stores, Represented by its Partner S. Peer Mohammed v. B. Mohan Lal Sowcar

Case / Petition Number:Civil Appeal No. 1014 of 1988
Neutral Citation:1988 SCR 385

Case Details & Bench

Court
High Court
Hon'ble Judges
  • E. S. Venkataramiah
  • N. D. Ojha
Judgment Date
1988-03-29
Court Decision / Holding
Appeal allowed. The High Court’s judgment is set aside and the matter remanded to decide afresh in light of the bona fide requirement. If necessary, further evidence may be led. There shall be no order as to costs.
Final Disposition
Appeal allowed; remanded to High Court for fresh consideration; no costs.

Parties to the Case

Appellants / Petitioners

  • Hameedia Hardware Stores, represented by its partner S. Peer Mohammed

Respondents

  • B. Mohan Lal Sowcar

Legal Representation & Advocates

Counsels for Petitioners

  • • Mrs. Nalini Chidambaram
  • • Ms. Setia Vaidalingam
  • • N. Thiagarajan
  • • Ms. Radha

Counsels for Respondents

  • • S. Srinivasan

Case Synopsis & Summary

This case concerns eviction of a tenant from a non-residential portion of premises under the Tamil Nadu Buildings (Lease and Rent Control) Act, 1960. The appellant, a partnership firm Hameedia Hardware Stores represented by its partner S. Peer Mohammed, had carried on the hardware business from the ground floor and rear portion of the premises owned by the respondent. After a series of tenancy changes, the respondent sought eviction under section 10(3)(a)(iii) on the plea that his wife required the premises for her business carried on elsewhere. The Controller dismissed; the Appellate Authority dismissed; and the Madras High Court held that it was not necessary for the landlord to prove bona fide on the landlord’s own requirement in petitions under 10(3)(a)(iii), though it did find the claim bona fide. The Supreme Court, in a judgment delivered by Venkataramiah, J., held that the crucial question is whether a landlord seeking eviction under 10(3)(a)(iii) must prove that his requirement is bona fide, and that the words “for his own use or for the use of any member of his family” must be read into sub-clause (iii). The Court overruled three Madras High Court decisions (Mahalakshmi Metal Industries; Abdul Rahman; A. Khan Mohammed) which had held otherwise, and held that bona fide must be established in addition to meeting other ingredients. The judgment remands the case to the High Court for fresh adjudication, allowing parties to lead further evidence on bona fides. The appeal is allowed with no costs. This decision reinforces the protective purpose of rent-control laws and the need for genuine landlord need in eviction petitions, preventing evictions based on whim rather than bona fide requirement.

Provisions of Law Cited

Tamil Nadu Buildings (Lease and Rent Control) Act, 1960Section 10(3)(a)(i)Section 10(3)(a)(ii)Section 10(3)(a)(iii)Clause (d) of Section 10(3)Clause (e) of Section 10(3)Section 10(3)Section 11(3)(a)(iii) (as referenced in the judgment)

Legal Doctrines & Maxims

  • Interpretation of statutes to harmonize with object of statute; read into sub-clauses (ii) and (iii) the words 'if the landlord required it for his own use or for the use of any member of his family'; constructive task of finding the intention of Parliament (Seaford Court Estates Ltd. v. Asher)
  • The object of rent-control legislation is to prevent unreasonable eviction and to secure equitable distribution of buildings among those in need; the need for genuineness (bona fide) of landlord’s requirement as laid down in Phiroze Bamanji Desai v. Chandrakant M. Patel & Ors. and Mattulal v. Radhe Lal

Submissions & Arguments

Contentions of Appellants / Petitioners

The appellant contended that the question of bona fide requirement did not arise under section 10(3)(a)(iii) because the sub-clause did not expressly require the landlord to show bona fides. They argued that eviction under 10(3)(a)(iii) should be determined solely by whether the premises are non-residential and that the landlord’s own use or that of a family member could suffice without a further bona fide demonstration. The appellant urged that the High Court’s view, which held that bona fide proof was not necessary for 10(3)(a)(iii), misapplied the statute and undermined the protective aim of rent-control.

Contentions of Respondents

The respondent argued that section 10(3)(a)(iii) should not be read in isolation and that clause (e) of section 10(3) requires the landlord’s claim to be bona fide; without a bona fide requirement, eviction could be a mere whim. They urged that the landlord’s bona fide need must be demonstrated for eviction of non-residential premises under 10(3)(a)(iii), consistent with the legislative intent to protect tenants and ensure genuine need for possession by the landlord or a family member.

Cited Precedents (14)

Case NameCitationTreatmentExplanation
Moti Ram v. Suraj Bhan and Ors.[1960] 2 S.C.R. 896PositiveUsed to establish that bona fide requirement is a critical element in eviction petitions under similar rent-control provisions.
Neta Ram v. Jiwan Lal[1962] 2 Supp. S.C.R. 623PositiveCited for the principle that bona fide consideration must inform landlord’s claim in eviction proceedings.
Nathala Sampathu Chetty v. Sha Vajingjee Bapulal(1967) I Mad. L.J. 289PositiveUsed to support the relevance of bona fide consideration in eviction under rent-control statutes.
Madras District Central Co-operative Bank Limited v. A. Venkatesh99 Law Weekly 714PositiveCited in context of High Court interpretations acknowledging bona fide considerations in eviction questions.
M/s Thilagaraj Match Works, through its partner S. Chidambaram v. C. Sundaresan[1985] 1 Mad. Law J. 106PositiveUsed to illustrate that bona fide is a relevant factor in assessing landlord’s claim.
P. Thanneermalai Chettiar v. S.J. Dhanraj[1986] Mad. L.J. 115PositiveUsed to support the interpretation that bona fide must be considered in eviction actions.
Seaford Court Estates Ltd. v. Asher(1949) 2 All E.R. 155PositiveCited for principle of interpretation: judge should uncover the Parliament’s intention and harmonize the statute.
Mahalakshmi Metal Industries v. K. Suseeladevi[1982] 2 Mad. L.J. 333OverruledOverruled by the present decision as wrongly decided on bona fide requirement for 10(3)(a)(iii).
M Abdul Rahman v. S. Sadasivam[1984] 1 Mad. L.J. 410OverruledOverruled; previously held that bona fide not required for 10(3)(a)(iii).
A. Khan Mohammed v. P. Narayanan Nambiar & Ors.[1984] Law Weekly 965OverruledOverruled; previously held that bona fide not required for 10(3)(a)(iii).
Moti Ram v. Suraj Bhan[1960] 2 S.C.R. 896PositiveCited for foundational concept of bona fide in eviction contexts.
Bangalore Water-Supply & Sewerage Board v. R. Rajappa[1978] 3 S.C.R. 207PositiveCited for general principle of statutory interpretation and the broad approach to the welfare purpose of the Act.
Phiroze Bamanji Desai v. Chandrakant M. Patel & Ors.[1974] 3 S.C.R. 267PositiveUsed to anchor the bona fide requirement as a recognized element in eviction proceedings.
Mattulal v. Radhe Lal[1975] 1 S.C.R. 127PositiveAffirms the bona fide approach in eviction contexts.

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Extracted Judgment Text

Exact text extracted from official judgment records.

A B c D E F G H HAMEEDIA HARDWARE STORES, REPRESENTED BY ITS PARTNER S. PEER MOHAMMED _v._ B. MOHAN LAL SOWCAR MARCH 29, 1988 [E.S. !YENKATARAMIAH AND N.D. OJHA, JJ.] ~ _Tamil Nadu Buildings- (Lease and Rent Control) Act,_ _1960-_ _Whether it is_ _necessary for a landlord who institutes a petition under_ _section_ _10_ _(3)(a)(iii) thereof to establish that his requirements_ _is_ _bona_ _fide or not._ The respondent's brother was carrying on his bnslness In the front portion of the ground floor of the premises In question, which belonged to the father of the respondent. The appellant purchased the said- running business from the brother or the respondent. After purchasing the bnsiness, the appellant became a tenant under the father of the respondent. In the rear portion of the ground floor of the premises, one Mrs. Janaki Ammal was residing as a tenant. Mrs. Janaki Amm~I vacated the said residential portion and the appellant took that portion also on rent from the father of the respondent. The ownership of the premises In question was transferred in favour of the respondent by his father. On 9.6.1982, an agreement was entered into in respect of both the portions specifying that the lease should remain In force till 8.5.11983. After the expiry of the said period, the respondent instituted a petition for eviction or the appellant In the Court of the Controller under section 10(3)(a)(lii) of the Tamil Nadu Buildings (Lease and Rent Control) Act, 1960, on the ground that the premises in question were needed by his wife for carrying on her bnsiness which she was carrylng'on somewhere else. The appellant contended _inter alia_ that the requirement of the wife of the respondent was not _bona fide._ The Controller dismissed the petition, holding that the tenancy in question was in respect of both the residential and non-residential portions and the respond~nts could not seek eviction of the appellant as the major portion of the demised premises was of residential character. Aggrieved by the decision of the Controller, the respondent preferred an appeal before the Appellate Authority. The Appellate Authority dismissed the appeal. The respondent f'lled a revision petition before the High Court. The High Court allowed the revision petition holding that it was not necessary for the respondent to establish that his requirement was _bona_ _fide_ as the question of the _bonafides_ ofa landlord's requirement did not 384 HAMEEDIA HARDWARE _v._ B.M.L. SOWCAR 385 arise in a case under section IO (3)(a)(iii) of the Act. It, however, held the claim of the respondent to be _bona fide._ Aggrieved by the decision of the High Court, the appellant filed this appeal before this Court for relief by special leave. Allowing the appeal, the Court, HELD: The crucial question which arose for consideration in this case was whether a landlord, who sought eviction of a tenant from a non-residential building (other than a non-residential building used for keeping a vehicle or adapted for such use) under section JO OHa)(iii) of the Tamil.Nadu Buildings (Lease and Rent Control) Act, 1960 (the Act) was required to prove that he required the said building for his own use or for the use of any member of his family _bona fide._ [390C-D I A B c The Act was enacted to amend and consolidate the law relating to the regulation of the letting of residential and non-residential buildings and the control of the rents of such buildings and the prevention of unreasonable eviction of the tenants therefrom in the State of Tamil D Nadu. The Act is an ameliorating piece of legislation. Similar Acts are in force in almost all the States in India. The provision in question-section 11l(3)(a)(iii)-has to be examined against this background. [3900; 392G r · ·~. Having regard to the pattern in which clause (a) of sub-section (3) of section IO of the Act is enacted and also the context, the words "if the E landlord required it for his own use or for the use of any member of his family", found in sub-clause (ii) of section IO (3)(a) of the Act, have to be read also into sub-clause (iii) of section JO (3)(a) of the Act. Sub· clauses (ii) and (iii) both deal with the non-residential buildings. They could have been enacted as one sub-clause by adding a conjunction 'and' between the said two sub-clauses, in which event the clause wonld F have read thus: '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 required it for his own use or for the use of any member of bis family and if he or any member of his family is not occupying any such build· ing in the city, town or village concerned which is his own, and in case it is any other non-residential building, if the landlord or any member of G his family is not occupying for purposes of a business which he or any member of his family is carrying on, a non-residential building in the city, town or village concerned which is his own.' If the two sub-clauses are not so read, it would lead to an absurd result. The non-residential building referred to in sub-clause (ii) is a building used for the purpose of keeping a vehicle or adapted for such use, and all other non· H : ~ A B 386 SUPREME COURT REPORTS [ 1988] 3 S.C.R. residential buildings fall under sub-clause (iii). The State legislature cannot be attributed with the intention that it required a more stringent proof by insisting upon proof of _bona fides_ of his requirem1,mt or need also when a landlord is seeking eviction of a tenant from a garage than in the case of a non-residential building occupied by a large commercial house for carrying on business. It is no doubt true that the Court, while construing a provision should not easily read into it words not expressly enacted, but having regard to the context in which a pron.ion appears and the object of the statute in which the said provision is enacted, the Court should construe it in a harmonious way to make it meaningful. [398C-H; 399A] ,\- In the present case, by insisting on the proof of the _bona fide_ of c the requirement of the landlord, the Court is not doing any violence to ~. the statute nor embarking upon any legislative action. The Court is only t construing the words of the statute in a reasonable way having regard to the context. [399E] ~ :By merely proving that the premises in question is a non-residenD tial building and that the landlord or any member of his family is not occupying, for the purpose of a business which he or any member of his family is carrying on, any residential building in the city, town or village concerned which is his own, the landlord cannot in the context in which section 10 (3)(a)(iii) appears, get a tenant evicted. He must -show in view of clause (e) of section 10 (3) that his claim is _bona fide._ The E word 'claim' means "a demand for something as due", or "to seek or ask for on the ground of right", etc. In the context of the Rent Control Law, which is enacted for the purpose of giving protection to the tenants against unreasonable evictions and for the purpose of making equitable distribution of buildings amongst persons who are in need of them, in order to prove that his claim is _bona fuie,_ a landlord should F establish that he deserves to be put in possession of the premises which is in the occupation of a tenant. Any decision on the question whether a landlord deserves to be put in possession of a premises in the occupation of a tenant should naturally depend upon the _bona fides_ of the landlord's requirement or need. The word 'claim' in clause (e) of section 10(3) of the Act should, therefore, be construed as 'the requirement' of G the landlord or his deservedness. Since clause (e) of section 10(3) of the Act is also applicable to a petition ·med under sub-dause (iii) of section 10(3)(a) of the Act, it becomes necessary to examine whether the requirement of the landlord is _bona fide;_ otherwise, a landlord will be able to evict a tenant to satisfy his whim by merely proving the ingredients mentioned in section 10(3)(a)(iii) of the Act. If the requirement of H "claim" being _"bona fide"_ as contained in section 10(3)(e) is construed ~)-· A to mean that genuineness of the need of the landlord for the non-resi HAMEEDIA HARDWARE _v._ B.M.L. SOWCAR 387 dential building Is not to be considered and the circumstances that the landlord on the date of making the application Is factually carrying on business and has no noll-n!Sidential building of his own in his occupation in the city, town or village concerned, Is to be construed sufficient - to make his claim _bona fide,_ the tenancy of no non-residential building B I, ·;l will be secnre. It will be preposterous to attribute such an intention to .. the leglslahite. The need of the landlord should be genuine. The landlord should _bona fide_ need the premises for his own use and occupation ~t::... or for the occupation by any of the members of his family, as held by this Court in _Phiroze Bamanji Desai_ v. _Chandra Kant_ _M._ _Patel_ _an.d_ _Ors.,_ [1974] 3 S.C.R. 267 and _Mattu/al_ v. _Radhe Lal,_ [1975] I S.C.R. _I_ 127. [399F-H; 400A-G] c _I_ ##### -:r The High Court was in error in this case in holding that the _I_ The High Court was in error in this case in holding that the landlord need not prove that his requirement was _bona fide_ but that his claim was _bona fide_ as provided in clause (e) of section 10(3) of the Act. The High Court made a distinction between 'requirement' and 'claim' D withoutthere beingadilference. [400H; 40JA] The Court was of the view that _Mis. Mahalakshmi Metal In-_ _dustries_ v. _K._ _Suseeladevi,_ [1982] 2 Mad. L.J. 333; _M._ _Abdul Rahman_ v. _S._ _Sadasivam,_ [1984] J Mad. L.J. 410 'and _A._ _Khan Mohammed_ v. _P._ ' ~-1 _Narayanan Nambiar_ & _Ors.,_ 99 Law Weekly 965, relied upon by the E respondent, were wrongly decided and were liable to be over-ruled. The Court overmled them. A landlord seeking eviction of a tenant from a non-residential premises under section 10(3)(a)(iii) of the Act should in order to succeed in his petition, establish that he bona-fide requires the premises in addition to proving the other ingredients referred to the ··~ rein. The judgment of the High Court set aside. Since the High Court F had approached the case from a wrong angle, the Court directed the High Court to decide the case afresh in the light of what the Court had said in this appeal. Case remanded to the High Court to decide it afresh. If the High Court found that the case should be remanded to the Trial Court to enable any of the parties to ·tead evidence on the question of _bona fide_ requirement of the landlord, it might remit tile case to the G Trial Court. [401B-DI G ~ _Mahalakshmi Metal Industries_ v. _K. Suseeladevi,_ [1982] 2 Mad. L.J. 333; _M._ _Abdul Rahman_ v. _S._ _Sadasivam,_ (1984] 1 Mad. L.J. 410, and _A.Khan Mohammed_ v. _P._ _Narayanan Nambiar and others,_ 99 Law Weekly 965, overruled. H ' 388 SUPREME COURT REPORTS [19881 3 S.C.R. A _Moti Ram_ v. _Suraj Bhan and Others,_ [1966] 2 S.C.R. 896; _Neta_ _Ram_ v. _Jiman Lal,_ [11162] 2 Supp. S.C.R. 623; _Nathala Sampathu_ _Chetty_ v. _Sha Vajingjee Bapulal,_ (1967] I Mad. L.J. 289; _Madras Dis-_ _trict Central Co-operative Bank Limited, Mylapore Branch, Madras-4_ v. _A._ _Venkatesh,_ 99 Law Weekly 714; _M/s. Thilagaraj Match Works,_ B c _through its partner S._ _Chidambaram_ v. C. _Sundresan,_ [1985] I Mad. Law J. 106; _P._ _Thanneer-Malai Chettiar_ v. _S.J. Dhanraj and another,_ [1986] Mad. L.J. 115; _Seaford Court Estates Ltd._ v. _Asher,_ (1949] 2 All. E.R. 155 at 164; _M._ _Pentiah and Ors._ v. _Muddala Veeramallappa_ _and Ors.,_ (1961] 2 S.C.R. 255 at 314; _Bangalore Water Supply_ _&_ _Sewerage Board,_ _etc._ v. _R. Rajappa_ _&_ _Ors.,_ [19781 3 S.C.R. 207; _Phiroze Bamanji Desai_ v. _Chandrakant_ _M._ _Patel_ _&_ _Ors.,_ [1974] 3 S.C.R. 267 and _Mattulalv. Radhe Lal,_ [1975] I S.C.R. 127, referred to. CIVIL APPELLATE JURISDICTION: Ciyil Appeal No. 1014 of 1988. From the Judgment and Order dated 25.1.1988 of the Madras D High Court in C.P.P. No. 215of1986. Mrs. Nalini Chidambaram, Ms. Setia Vaidalingam, N. Thiagarajan and Ms. Radha for the Appellant. E S. Srinivasan for the Respondent. The Judgment of the Court was delivered by VENKATARAMIAH, J. The question which arises for consideration in this case is whether a landlord who seeks eviction of a tenant from a non-residential building (other than a non-residential building .\ .. F which is used for keeping a vehicle or adapted for such use) under )f, section 10(3)(a)(iii) of the Tamil Nadu Buildings (Lease and Rent Control) Act, 1960 (hereinafter referred to as 'the Act') is required to prove that he requires the said building for his own use or for the use of G any member of his family _bona fule_ in the proceedings instituted before the Controller. The appellant is a partnership firm represented by its partner, 5. 1 [. ] Peer Mohammed. The respondent's brother was carrying on business f'"Win hardware in the front portion of the ground floor of the premises bearing No. 157, Kutcheri Road, Mylapore, Madras-4. The appellant purchased the said running busi11ess from the brother of the responH dent on 5.7.1974. The said building, however, belonged to the father _(y_ of the respondent. After purchasing the business, the appellant A became a tenant under the father of the respondent by paying an HAMEEDIA HARDWARE _v._ B.M.L. SOWCAR [VENKATARAMIAH,J.[ 389 advance of Rs.1,500 and agreeing to pay a rent at the rate of Rs.450 per month for the portion in which it commenced to carry on the business. In the rear portion of the ground floor of the premises one Mrs. Janaki Ammal was residing as a tenant. Mrs. Janaki Ammal - B ~ [vacated the said residential portion ][in ][October, ][1974. ] [With effect from ] 5.10.1974 the appellant took the portion vacated by Mrs. Janaki Ammal also on rent from the father of the respondent by paying Rs.525 as advance and agreeing to pay a monthly rent of Rs.175. The rent of this portion was increased subsequently to Rs.315 per month. # On 25. lt."1980 the appellant received a notice from an advocate, who was acting on behalf of the father of the respondent terminating the c tenancy of the appellant in respect of both the portions with effect ~ was acting on behalf of the father of the respondent terminating the c tenancy of the appellant in respect of both the portions with effect II< ~ I from 31.12.1980 and requiring the appellant to deliver possession of the two portions of the ground floor of the premises in question to the father of the respondent on the ground that he needed the premises for the occupation of his son. The appellant sel\t a reply denying the right of the respondent's father to evict the appellant from the premises. D Thereafter it is stated that the ownership of the premises in question was transferred in favour of the respondent by his father. Thereafter the respondent asked the appellant to increase the rent payable for the premises. In order to avoid litigation, the appellant agreed to pay a ' ~ [consolidated amount of Rs. l,000 per month ] [by ] [way of rent for both ] the portions in the year,1981 and also paid a sum of Rs.7,500 as E advance. On 9.6.1982 an agreement was entered into in respect of both the portions specifying that the lease should remain in force till 8.5.1983. After the expiry of the said period, it is stated, the respon ·' dent again demanded enhanced rent. On the appellant not complying ·' with the said demand the respondent instituted a petition for eviction of the appellant in the Court of the Controller at Madras under section F ~ 10(3)(a)(iii) of the Act on the ground that the premises in question were needed by his wife for carrying on pawn broker business which she was carrying on elsewhere. The appellant resisted the petition. It was _inter alia_ contended by the appellant that the requirement of the wife of the respondent was not _bona fide_ and the petition was liable to be dismissed. After trial, the Controller dismissed the petition holding G ~ [that ][the ][tenancy in question was ] [in ] [respect of both the residential and ] ~ ' non-residential portions and that the respondent could not seek eviction of the appellant as the major portion of the demised premises was of residential character. Aggrieved by the decision of the Controller the respondent preferred an appeal before the Appellate Authority. The Appellate Authority dismissed the appeal. Thereupon the respon- H -. 390 SUPREME COURT REPORTS I 1988) 3 S.C.R. y~ - A dent preferred a revision petition before the High Court of Madras in Civil Revision Petition No. 215 of 1980. That petition was allowed by the High Court holding that it was not necessary for the respondent to establish that his requirement was _bona fide_ as the question of _bona_ _/ides_ of a landlord's requirement did not arise for consideration at all in case falling under section 10(3)(a)(iii) of the Act. It, however, held B that the claim of the respondent was _bona fide._ Accordingly, the High ~· _[if< ]_ Court allowed the revision petition and directed the appellant to quit and deliver vacant possession of the premises in question to the ~ respondent. This appeal by special leave is filed against the judgment of the High Court of Madras. The crucial question which arises for consideration in this case is c whether it is necessary for a landlord, who institutes a petition under ~~ section 10(3)(a)(iii) of the Act, to establish that his requirement is ' r #### bona fide or not. As can be seen from the long title of the Act it was • enacted by the State Legislature to. amend and consolidate the law relating to the regulation of the letting of residential and non-resiD dential buildings and the control of rents of such buildings and the prevention of unreasonable eviction of tenants therefrom in the State of Tamil Nadu. Section 10 of the Act provides that a tenant shall not be evicted whether in execution of a decree or otherwise except in accordance with the provisions of section JO or sections 14 to 16 of the Act. The material portion of sub~section 3(a) of section 10 of the Act, ·~ E which is relevant for purposes of this case reads thus: "10(3)(a). A landlord may, subject to the provisions of clause (d), apply to the Controller for an order directing the tenant to put the landlord in possession of the building. F (i) in case it is a residential building, if the landlord ).. ... required it for his own occupation or for the occupation of ' any member of his family and if he or any member of his family is not occupying a residential building of his own in the city, town or village concerned; G (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 required it for his own use or for the use of any ###### ;.. member of his family and if he or any member of his family is not occupying any such building in the city, town or village concerned which is his own; H _/_ ## _1_ HAMEEDIA HARDWARE _v._ B.M.L. SOWCAR IVENKATARAMIAH, J.J 391 (iii) in case it is any other non-residential building, if the landlord or any member of his family is not occupying for purposes of a business which he or any member of his family is carrying on, a non-residential building in the city, town or village concerned which is his own; ( e) The Controller shall, if he is satisfied that the claim of the landlord is _bona fide,_ ·make an order directing the tenant to put the landlord in possession of the building on such date as may be specified by the Controller and if the Controller is not so satisfied he shall make an order rejecting the application." For purposes of sub'section (3) of section 10 of the Act the buildings are classified into two categories by tl\e Act, namely, residential buildings and non-residential buildings. Sub-clause (i) of clause A B c (a) of sub-section (3) of section 10 of the Act provides that a landlord D may subject to the provisions of clause ( d) apply to the ·Controller for an order directing the tenant to put the landlord in possession of a residential building, if the landlord required it for his own occupation or for the occupation of any member of his family and if he or any member of his family is not occupying a residential building of his own in the city, town or village concerned. Sub-clause (ii) of clause (a) of E sub-section (3) of section 10 of the Act relates to eviction from a non-residential building which is used for the purpose of keeping a vehicle or adapted for such use. If the landlord required such a building for his own use or for the use of any member of his family and if he or any member of his family is not occupying any such building in the city, town or village concerned which is his own he can apply for the F eviction of the tenant therefrom. Sub-clause (iii) of clause (a) of subsection (3) of section 10 of the Act deals with other kinds of non· residential buildings. If the landlord or any member of his family is not occupying for purposes of a business whieh he or any member of his family is carrying on, a non-residential building in the city, town or village concerned which is his own, a landlord may, subject to the G provisions of clause (d),1apply to the Controller for an order directing the tenant to put the l.andlord in possession of such a building. It may be stated here that the words 'if the landlord required it for his own use or for the use of any member of his family' are not to be found in sub-clause (iii) of section 10(3)(a) of the Act. Clause (e) of section 10(3) of the Act, however, provides that the Controller shall, if he is H 392 SUPREME COURT REPORTS [1988) 3 S.C.R. ' A [satisfied that the claim ] [of ][the landlord ] [is ] _[bona fide ]_ [make an order ] directing the tenant to put the landlord in possession of the building on such date as may be specified by the Controller and if the Controller is not so satisfied he shall make an order rejecting the application. Clause ( e) of section 10(3) applies to all cases of eviction falling under section 10(3) of the Act. The decision in this case depends upon the B effect of the omission of the words 'if the landlord required it for [his ] own use or for the use of any member of his family' in sub-clause (iii) of section 10(3)(a) of the Act. It is argued on behalf of the appellant that reading sub-clause (ii) and (iii) of section 10(3)(a) of the Act together, which relate to the eviction from non-residential buildings, the words 'if the landlord required it for his own use or for the use of c [any member of his family' which are found in sub-clause (ii) of section ] 10(3)(a) should be read into sub'clause (iii) of section 10(3)(a) also and that a landlord should establish in order to succeed in a petition for eviction filed under section 10(3)(a)(iii) of the Act that his requirement or the requirement of a member of his family is _bona fide._ It is also argued in the alternative that the word 'claim' in the words 'that D the claim of the landlord is _bona fide'_ in clause (e) of section 10(3) of the Act refers only to the requirement of the landlord and to nothing else. On the other hand it is urged on behalf of the respondent relying upon three decisions of the High Court of Madras in (i) _M/s._ _Mahalakshmi Metal Industries_ v. _K._ _Suseeladevi .._ [19821 2 Mad. L.J. 333; (ii) _M._ _Abdul Rahman_ v. S. _Sadasivam,_ 119841 1 Mad. L.J. 410 E and (iii) _A._ _Khan Mohammed_ v. _P._ _Narayanan Nambiar_ _&_ _Others,_ 99 Law Weekly 966 that there was no need for a landlord to establish the _bona ft.des_ of his requirement or the requirement of a member of his family when a petition is filed under section 10(3)(a)(iii) of the Act and it is enough if his claim is proved to be _bona fide._ The High Court has upheld the said plea of the respondent relying upon the said three F decisions. The correctness of these three decisions is questioned before us by the appellant. _·'f'A_ •" 1\ ~ !I ### ~ ' ~ } We have already noticed that the object of the Act was to prevent unreasonable evictions of tenants from buildings. The Act is an ameliorating piece of legislation. Similar acts are in force in almost all G the States in India. The provision in question has to be construed against this background. The Act has been in force from 1960.,l._. In _Moti Ram_ v. _Suraj Bhan_ _&_ _Other,_ [19601 2 S.C.R. 896 this Court was required to construe section 13(3)(a)(iii) of the East Punjab Urban Rent Restriction Act, 1949 which at the relevant time provided H that a landlord might apply to the Controller for directing a tenant to A B c D E F G H ,j\ HAMEEDIAHARDWAREv. B.M.L. SOWCAR [VENKATARAMIAH, J.] 393 put the landlord in possession of the building in question if he required it for the re-construction of that building or for its replacement by another building or for the erect',,,, of other buildings. In that case the Rent Controller and the AppeJ.J~i<)' Authority had rejected the claim of the landlord on the ground t1Ll"the landlord had not established that the premises in question were required by him _bona fide._ The High Court while accepting that the requirement in question must be shown to be _bona fide_ held that on the evidence the findings of the Courts below that the landlord's requirement was not _bona fide_ were not correct. The High Court accordingly directed the eviction of the tenant in question. This Court while affirming the decision of the High Court held that the landlord had, in fact, made out that he required the premises _bona fide_ for purposes of re-construction. Thus it is seen that in the context of a law enacted for preventing unreasonable evictions this Court read into a ground on which a landlord could seek the eviction of his tenant that the landlord should establish that his requirement was _bona fide._ A mere desire on the part of the landlord to re-construct a building was not sufficient to evict a tenant from the premises. He had to establish that he needed the premises _bona fide_ for re-construction it. In a later case, i.e., _Neta Ram_ v, _Jiwan Lal,_ (1962) 2 Supp. S.C.R. 623 which arose under the provisions of the Patiala and East Punjab States Union Urban Rent Restriction Ordinance, one of the grounds on which the landlord sought the eviction of the tenants in occupation of the premises involved in that case was that the premises were in a state of disrepair and were dilapidated and, therefore, the landlord wished to rebuild on the premises after dismantling the structure. On the said issue the Rent Controller held that in deciding whether the tenant should be ordered to hand over the possession to the landlord the Courts must have regard to the _bona fide_ requirement of the landlord which meant that the desire to rebuild the premises should be honestly held by the landlord but that the condition of the building also played an important part in determining whether the landlord had the intention genuinely and the landlord was not using the said excuse as a device to get rid of the tenants. In that connection the Rent Controller observed that the state of the building, the means of the landlord and the possibility of the better yield by way of rent should be kept in mind. The Controller, holding that the claim of the landlord was not _bona fide,_ decided the said issue against him. On appeal the Appellate Authority held that the shops and _chobaras_ were in good condition and that the landlord was not, in good faith, wanting to replace the building, when he had no means to build it. The High Court, however, allowed the revision petition filed before it holding that upon the evidence on record it had been established 394 SUPREME COURT REPORTS [ 1988] 3 S.C.R. beyond doubt that the landlord genuinely and _bona fide_ required the _['f' ]_ A premises for re-building. On appeal by special leave to this Court, this Court observed that the very purpose of the Rent Restriction Act would be defeated if the landlords were to come forward and to get tenants tumed out, on the bare plea that they wanted to reconstruct the house without first establishing, that the plea was _bona fide_ with B regard to all circumstances, viz. that the houses needed reconstruction or that they had means to reconstruct them. Accordingly, the judg-""' ment of the High Court was reversed and the petitions for eviction were dismissed. Following the observations made in the above decisions in _Nathella Sampathu Chetty_ v. _Sha Vajingjee Bapulal,_ [1967] I Mad. L.J. 289 a Division Bench of the High Court of Madras conc [strued ][section 10(3)(a)(iii) ][of ][the Act thus: ] #### "Section 10 of the Madras Buildings (Lease and Rent Con- t-' trol) Act, 1960, provides for eviction of tenants in certain circumstances. Sub-section 3(a)(iii) of the section allows a landlord to apply to the Controller for an order directing a D ten.ant to put him in possession of the building if the landlord is not occupying for purposes of business which he is carrying on, a non-residential building in the city, town or village concerned which is his own. The second proviso to this clause is to the effect that where a landlord has already obtained possession of a building under this provision, he ~·· E shall not be entitled to apply again for possession of another non-residential building of his own. If the conditions of these provisions are satisfied, the Controller may make an order as asked for by the landlord _provided he is_ _further satisfied that the claim of the landlord is bona fide._ F (underlining by us) _)-_ In the _Madras District Central Co-operative Bank Limited, My/a-_ _pore Branch, Madras-4_ v. _A,_ _Venkatesh,_ 99 Law weekly 714 a single Judge of the High Court disagreed with the views expressed by another single Judge in _Abdul Rahman's_ case (supra) and observed thus: G "The question now is whether an order directing the tenant to put the landlord in possession should be made. It is pointed out by the learned counsel for the respondent landlord following a ruling of this Court in _Abdul Rahman_ v. _S. Sadasivam,_ that there is no jurisdiction for the Rent H Controller to go into the question of _bona fide_ requirement HAMEEDIAHARDWAREv. B.M.L. SOWCAR [VENKATARAMIAH,J.] 395 ; in a claim under s. 10(3)(a)(iii) of the Act. Ramanujam,J. A took the view that a distinction has to be made between the two sections, s. 10(3)(a)(i) ands. 10(3)(a)(iii) in view of the word 'require', occurring in s. 10(3)(a)(i) and in the absence of that word, in s. 10(3)(a)(iii) in other words, what the learned Judge points out is that the Rent Controller has no jurisdiction to go into the question whether the B requirement of the landlord is _bona fide,_ as the Rent Controller has to pass an order of eviction in case the landlord is not occilpying for the purpose of business which he is carrying on, any non-residential building in the city which is his own. The learned Judge further pointed out that when the provisions of s. 10(3)(a)(i) and s.10(3)(a)(iii) use C different expressions, it should be taken that the Legislature intended these provisions to have different operations. With respect to the learned Judge, I may point out that the mere absence bf the word 'require' in s.10(3)(a)(iii) would not necessarily lead to the inference that the Legislature did not intend that the Rent Controller should go into the D question of _bona fides_ of the requirement of the landlord in respect of the requirement of a non-residential premises under s.10(3)(a)(iii) of the Act. My reasons for holding so are as follows: S. 10 enumerates certain grounds for the eviction of the tenant. In other words eviction under the Rent Control Act can be effected only on the grounds E mentioned in s.10. The landlord may have a right to evict the tenant under the general law. S.10(3)(a) says that the landlord may, subject to the provisions of Cl. (d), apply to the Controller for an order directing the tenant to put the landlord in possession of the buildings. S. 10(3)(a)(i) deals with residential buildings. S. 10(3)(a)(ii) deals with non- F residential buildings used for purpose of keeping vehicles. S. 10(3)(a)(iii) is in respect of non-residential buildings: S. 10(3)(b) gives a right to religious, charitable, educational or other public institutions, to institute proceedings before the Controller if the institution requires the building. S. 10(3)(c) is for additional accommodation. S. 10(3)(d) G speaks of tenancy for specified period agreed between the landlord and the tenant and it prohibits the landlord from applying, before the expiry of such period. Now after these - sections, S. 10(3)(e) runs thus: 'The Controller shall, if he is satisfied that the claim H A B c D 396 SUPREME COURT REPORTS [1988] 3 S.C.R. of the landlord is _bona fide_ make an order directing the tenant to put the landlord in possession of the building on such date as may be specified by the Controller and if the Controller is not so satisfied he shall make an order rejecting the application.' I find in the judgment of Ramanujam, J. this S. 10(3)(e) has not been adverted to. S. 10(3)(e) applies to Ss. 10(3)(a)(i), 10(3)(a)(ii) and 10(3)(a)(iii) and also to Ss. 10(3)(b) and 10(3)(c). If the Legislature intended that the provisions of S. 10(3)(a)(i) and S. 10(3)(a)(iii) to have different operations, the Legislature would not have stated in S.10(3)(e) that the Controller should be satisfied that the claim of the landlord is _bona fide,_ before he makes an order directing the tenant to put the landlord in possession, and the further words 'if the Controller is not so satisfied, he, shall make an oder rejecting the application' very clearly show that the Controller should, before passing an order for eviction, be satisfied with the _bona fide_ of the claim, or else he should dismiss it." The main ground on which the learned Juge who decided the above case disagreed with the decision in _Abdul Rahman's_ case (supra) is that in _Abdul Rahman's_ case (supra) section 10(3)(e) of the Act, E which applied to all the three sub-clauses, namely (i), (ii) and (iii) in ~ sec.tion 10(3)(a) of the Act had not been adverted to. The learned Judge also held that the mere absence of the word 'require' in section 10(3 )(a )(iii) of the Act did not necessarily lead to the inference that the Legislature did not intend that the Controller should not go into the question of _bona fides_ of the requirement of the landlord in a, F petition for eviction filed under that provision. Anotherleamed Judge \ .. of the Madras High Court has taken the same view in _Mis. Thilagaraj_ / _Match Works, through its partner S._ _Chidambaram_ v. _C._ _Sundaresan,_ [ 1985] 1 Mad. Law J. 106. It is observed in that case thus: G H "In the present case, the Appellate Authority has not adverted to these features at all and in one place he observes that the _bona fide_ of the claim of the landlord i·--..,;._.., 10(3)(e) of the Act requires that the question of _bona fide_ has got to be tested and it has got a due place while extraneou~ and it should not be tested to.o severely. This · ~""'! exposes his wrong approach to the quest10n of _bona fide_,_ which is a relevant one. The very ingredient of section ) _;.'y_ HAMEEDIA HARDWARE _v._ B.M.L. SOWCAR [VENKATARAMIAH, J.I 397 adjudicating a petition for eviction by the landlord under the concerned provisions. It is not the desire of the landlord, but there must be an element of need for the landlord before it could be stated that he requires the premises for his own occupation. The features referred to above, cannot be eschewed as irrelevant, for after all _bona fide_ will.have to be proved in an ordinary manner like any other fact in issue, and the entite gamut of facts and circumstances has to be adverted to on this question. As already stated, I am not expressing any opinion over these features on merits, and it is for the Appellate Authority to advert to them and adjudicate upon the question afresh .one way or the other. The discussions above oblige me to interfere in revision and accordingly the revision is allowed and the matter stands remitted to the Appellate Authority for him to con- · sider it afresh taking note of all the relevant features and factors of the case on the question of _bona fides,_ and pass appropriate orders. Both the counsel represent that for the purpose of comprehensive adjudication . of the matter, further evidence has to be adduced. I take note of the request of both the counsel and I direct that the Appellate Authority will permit the parties to place further evidence and he will decide the matter afresh after such evidence is placed, the Appellate Authority will do well to dispose of A B c D the matter expeditiously and in any event within a period of E three months from the date of receipt of the copy of this **order."** In _P._ _Thanneermalai Chettiar_ v. _S.J. Dhanraj,_ [19861 Mad. L.J. 115 another teamed Judge of the High Court of Madras has construed section 10(3)( e) of the Act thus: F "It is not disputed that section 10(3)(e) of Act 18 of 1960 is applicable to the case of residential building as well as non-residential building and it is provided therein that if the Controller is satisfied that the claim of the landlord is _bona fide,_ he shall make an order directing the tenant to G put the landlord in possession of the building; otherwise, he has to reject the application. In the instant case, considering the various circumstances and also the fact that the petitioner was residing in a house· of his own at Devakottai where he has got vast extent of properties and was carrying on busine.ss along with other members of his family, the H 398 SUPREME COURT REPORTS [1988) 3 S.C.R. _'(,.:_ claim of the petitioner that he required the premises for his A own use and occupation is not proved and in any event there is no _bona fide_ in the same." The main ground on which the learned Judge who decided _Abdul_ _Rahman's_ case (supra) held that it was not necessary to establish the B _bona fide_ equirement of the landlord when he made an application for A; eviction under section 13(3)(a)(iii) of the Act was that, the word 'require' was not to be found in section 10(3)(a)(iii) of the Act. We are of the view that having regard to the pattern in which clause (a) of sub-section (3) of section 10 of the Act is enacted and also the context, the words 'if the landlord required it for his own use or for the use of 1~c section 10(3)(a) [his any member ] of [of ] the Act have to be read also into sub-clause (iii) of [the family' which are found in sub-clause (ii) ] [of ] section 10(3)(a) of the Act. Sub-clause (ii) and (iii) both deal with the non-residential buildings. They could have been enacted as one subclause by adding a conjunction 'and' between the said two sub-clause, in which event the clause would have read thus: 'in case it is a nonD residential building which is used for the purpose of keeping a vehicle or adapted for such use, if the landlord required it for his own use or for the use of any member of his family and if he or any member of his family is not occupying any such building in the city, town or village concerned which is his own; and in ~ase it is any other non-residential \. building, if the landlord or any member of his family is not occupying E [for purposes ] [of ][a business which he ] [or ][any member ][of ][his ] [family ] [is ] carrying ·an, a non-residential building in the city, town or village concerned which is his own.' If the two sub-clauses are not so read, it would lead to an absurd result. The non-residential building referred to in sub-clause (ii) is a building which is used for the purpose of ' keeping a vehicle or adapted for such use and all other non-residential )F buildings fall under sub-clause (iii). The State Legislature cannot be attributed with the intention that it required a more stringent proof by insisting upon proof of _bona fides_ of his requirement or ueed also when a landlord is seeking eviction of a tenant from a garage than in the case of a non-residential building which is occupied by large commercial house for carrying on business. The learned counsel for the respondent G [was not able to explain ] [as ] [to ] [why ] [the State Legislature gave greater ] ~4< protection to tenants occupying premises used for keeping vehicles or adapted for such use than to tenants occupying other types of non residential buildings. It is no doubt true that the Court while construing a provision should not easily read into it words which have not been expressly enacted but having regard to the context in which a provision H appears and the object of the statute in which the said provision is •,..y HAMEEDIA HARDWAREv. B.M.L. SOWCAR [VENKATARAM!AH, J.] 399 enacted the court should construe it in a harmoneous way to make it A meaningful. In _Seaford Court Estates Ltd._ v. _Asher,_ I 1949 I 2 All. E.R. 155 at 164. Lord Denning L.J. srud: .. ;,l "When a defect appears, a judge cannot simply fold B his hands and blame the draftsman. He must set to work on the constructive task of finding tbe intention of Parliament ..... and then he must supplement the written word so as to give 'force and life' to the intention of the legislature ..... A judge should ask himself the question how, if the makers ###### ::t ! texture of the Act of it, they should have straightened it out? had themselves come across this ruck in He must the c then do as they would have done. A judge must not alter the material of which the Act is woven but he can and should iron out the creases. " _-J.._ This rule of construction is quoted with approval by this Court in D _M. Pentiah_ _and_ _Ors._ v. _Muddala Veeramallappa and Ors.,_ [1961] 2 S.C.R. 295 at 314 and it is also referred to by Beg, C.J. in _Bangalore_ _Water-Supply_ _&_ _Sewerage Board,_ _etc._ v. _R. Rajappa_ _&_ _Ors.,_ [1978] 3 S.C.R. 207. In the present case by insisting on the proof of the _bona_ _fides_ of the requirement of the landlord, the Court is not doing any violence to the statute nor embarking upon any legislative action. The E Court is only construing the words of the statute in a reasonable way having regard to the context. We are of the view that by merely proving that the premises in ; question is a non-residential building and that the landlord or any ·-1 member of his family is not occupying for the purpose of a business F which he or any member of his family is carrying on any residential building in the city, town or village concerned which is his own, tbe landlord cannot in the ·context in which section 10(3)(a)(iii) appears get a tenant evicted. He must show in .view of clause (e) of section 10(3) that his claim is _bona fide._ The word 'claim' means "a demand I for something as due" or "to seek or ask or for on the ground of right" etc. G In the context of Rent Control Law which is enacted for the purpose of '~ \ giving protection to tenants against unreasonable evictions and for the - purpose of making equitable distribution of buildings amongst persons \ giving protection to tenants against unreasonable evictions and for the purpose of making equitable distribution of buildings amongst persons who are in need of them in order to prove that his claim is _bona fide_ a landlord should establish that he deserves to be put in possession of the premises which is in the occupation of a tenant. Any decision on H 400 SUPREME COURT REPORTS I 1988] 3 S.C.R. y,,_, A [the question whether a landlord deserves to be put in possession ][of ][a ] premises in the occupation of a tenant should naturally depend upon the _bonafides_ of the landlord's requirement or need. The word 'claim' in clause (e) of section 10(3) of the Act should, therefore, he construed as 'the requirement' of the landlord or his deservedness. 'Deserve' means 'to have a rightful claim' or 'a just claim'. Since clause (e) of B [section ] [10(3) ] [of ][the Act ] [is ] [also applicable to a petition filed under ] .,i, sub-clause (iii) of section 10(3)(a) of the Act it becomes necessary to examine whether the requirement of the landlord is _bona fide._ Otherwise a landlord will be able to evict a tenant to satisfy his whim ### by merely proving the ingredients mentioned in section 10(3)(a)(iii) of the Act. Take a case where a landlord for some oblique reason wishes t~~ c mentioned in section 10(3)(a)(iii) and to achieve his [to ][get rid of his tenant from a non-residential building of the category ] aim fakes to start money-lending business (for which indeed no specified separate portion in a building may be needed) in a building not belonging to him and to create evidence even actually lends money to some of his friends or relatives and a week thereafter applies for eviction of the D [tenant on the ground that he ][is ] [carrying on business and has no non-] residential building of his own in his occupation in the city, town or village concerned. Apparently, the conditions prescribed in the aforesaid sub-clause (iii) are fulfilled. If the requirement of "claim" being _"bona fide"_ as contained in section 10(3)( e) is construed to mean that genuineness of the need of the landlord for the non-residential buildE [ing ][is ] [not to be considered and the circumstances that the landlord on ] the date of making the application is factually carrying on business and has no non-residential building of his own in his occupation in the city, town or village concerned is to be construed sufficient to make his claim _bona fide,_ the tenancy of no non-residential building will be ' secure. It will be preposterous to attribute such an intention to the ###### F legislature. Such a contingency should be avoided as it would be ) against the very object of the Act itself. The need of the landlord should be genuine. That is the object of enacting clause (e) of section 10(3) of·the Act. When once we reach the above conclusion it is not enough that the landlord should merely desire to use or occupy the premises. What is necessary is that he should _bona fide_ need them for G [his own use and occupation ][or ][for occupation by any of the members of ] his family as held by this Court in _Phiroze Bamanji Desai_ v. _Chandrak-_ .~'. _ant M. Patel_ & _Ors.,_ 11974] 3 S.C.R. 267 and _Mattu/al_ v. _Radhe Lal,_ I 1975] 1 S.C.R. 127. The learned Judge who decided the case 0ut of which this appeal arises was, therefore, in error in holding that the landlord need not prove that his requirement was _bona fide_ but that his H [claim was ] _[bona fide ]_ [as ] [provided in clause (e) of section ] [10(3) ] [of the ] .HAMEEDIAHARDWAREv.B.M.L.SOWCAR[VENKATARAMIAH,J.J 401 _·'r·_ Act. The learned Judge has made a distinction between 'requirement' A and 'claim' in the present case without there being a difference. ~- ,'f _l_ In the circumstances we are of the view that _Mis. Mahalakshmi's_ case (supra), _M._ _Abdul Rahman's_ case (supra) and _A. Khan Moham-_ _med's_ case (supra) have-been wrongly decided. They are liable to be B overruled. We accordingly overrule them. We hold that a landlord seeking eviction of a tenant from a non-residential premises under section 10(3)(a)(iii) of the Act in order to succeed in his petition should establish that he _bona fide_ requires the premises in addition to proving the other ingredients referred to therein. The judgment of the High Court which has proceeded on a wrong basis has, therefore, to be . set aside. Since the High Court while allowing the revision petition has C approached the case from a wrong angle, it is necessary to direct the High Court to decide it afresh in the light of what we have stated above. We, therefore, set aside the judgment of the High Court and remand it to the High Court again to decide it afresh. If the High Court finds that the case should be remanded to the Trial Court to enable any of the parties to lead evidence on the question of the _bona fide_ require- D ment of the landlord it may remit .the case to the Trial Court. The appeal is accordingly allowed, There shall be no order as to costs. S.L. ·· .· Appeal allowed. E ·-·