High Court of KeralaSingle JudgePetition disposed of; the first respondent to c...

Prince M. T. v. Secretary, Kunnamkulam Municipality

Case / Petition Number:WP(C).No.14095/2019(J)

Case Details & Bench

Court
High Court of Kerala
Hon'ble Judges
  • Anil K. Narendran
Judgment Date
2019-09-04
Court Decision / Holding
Writ petition disposed of directing the first respondent to consider Ext.P5 application for licence in respect of the premises, strictly in accordance with law, after giving notice to respondents 2 and 3 and affording them an opportunity of hearing, and to pass appropriate orders within one month of receipt of a certified copy of the judgment. The court clarified that it has not adjudicated on title or ownership disputes and left those contentions open for future proceedings.
Final Disposition
Petition disposed of; the first respondent to consider Ext.P5, issue a reasoned order within one month, after hearing all parties; title/ownership disputes left open for later consideration.

Parties to the Case

Appellants / Petitioners

  • Prince M. T.

Respondents

  • Secretary, Kunnamkulam Municipality
  • Dhanya Mary George
  • Lince Mathew

Legal Representation & Advocates

Counsels for Petitioners

  • • P. Sanjay
  • • A. Parvathi Menon

Counsels for Respondents

  • • I. V. Pramod
  • • George Cherian (Sr.)
  • • K. S. Santhi
  • • Latha Susan Cherian

Case Synopsis & Summary

Prince M. T., a tenant operating a jewellery shop in Kunnamkulam Municipality, filed a writ petition under Article 226 seeking mandamus to compel the first respondent (Secretary, Kunnamkulam Municipality) to consider Ext.P5, the renewal application for the shop licence, and to accept the licence fee paid under Ext.P7 for 2019-20 so as to renew the jewellery business at building XV/551 (old XVI/239C). The petition asserts that renewal of the shop licence should be treated as renewal of tenancy rights; Rent Control Petitions filed by respondents 2 and 3 (arrears of rent and bonafide need) are not determinative for grant of licence. The matter was heard on admission after notices were issued. The petitioner relies on jurisprudence establishing that landlord consent is not a prerequisite for renewal of a municipal licence for running a shop, citing Marimuthu v. Director General of Police (1999 (3) KLT 662) and Sudhakaran v. Corporation of Trivandrum (2016 (3) KLT 247) and the Supreme Court reference in [(2016) 14 SCC 263], as well as Babu v. Vijayan (2019 (1) KLT 684), which collectively endorse tenancy rights and implied landlord consent for legitimate use of premises. The respondents contend Ext.P5 is a fresh licence application and note the absence of records showing a prior valid licence for 2018-19, including missing licence numbers in Ext.P5. The High Court ultimately directs the first respondent to consider Ext.P5 in accordance with law, with notice to respondents 2 and 3, and to pass a reasoned order within one month, while leaving title/contentions open for later proceedings.

Provisions of Law Cited

Article 226 of the Constitution of IndiaKerala Buildings (Lease and Rent Control) Act, 1965 (Sections 11(2) and 11(3))Kerala Municipality Act, Sec. 492

Legal Doctrines & Maxims

  • Consent of landlord is not required for renewal of municipal licence to run a shop ( Sudhakaran v. Corporation of Trivandrum)
  • A statutory tenancy may permit use of premises without landlord consent for lawful business (as per Sudhakaran)
  • A tenancy right is protected and landlord consent cannot be arbitrarily withheld to obstruct lawful business (Marimuthu v. DGP)

Submissions & Arguments

Contentions of Appellants / Petitioners

The petitioner argues that Ext.P5 is the renewal application for the shop licence and seeks mandamus to compel the first respondent to consider it and to accept the licence fee paid under Ext.P7 for renewal of the jewellery business at the premises. He asserts that tenant rights and the implied consent of the landlord under a valid tenancy should permit renewal without requiring written landlord consent, relying on established judgments such as Marimuthu and Sudhakaran, and the Supreme Court reference in [(2016) 14 SCC 263]. He contends there is no ground to deny renewal on the basis of the Rent Control proceedings already filed by respondents 2 and 3, and that the petition should be decided by due process after hearing.

Contentions of Respondents

The respondents contend Ext.P5 is not a renewal but a fresh licence application; the petitioner has not shown that there was a valid licence for 2018-19 since Ext.P5 does not mention any previous licence number. They point out that the Rent Control petitions by respondents 2 and 3 (arrears and bonafide need) are pending, and challenge the premise that renewal can be decided without considering landlord consent, arguing that Ext.P5 may require fresh scrutiny and compliance with licencing norms.

Cited Precedents (4)

Case NameCitationTreatmentExplanation
Marimuthu v. Director General of Police1999 (3) KLT 662PositiveCited to support the principle that a statutory tenant's rights to conduct business should not be obstructed; landlord consent is not a prerequisite for licensing when tenancy rights are involved.
Sudhakaran v. Corporation of Trivandrum2016 (3) KLT 247PositiveApex Court held that landlord consent is not required for renewal of municipal licence; tenancy implies consent for legitimate use; followed by this Court.
Sudhakaran v. Corporation of Trivandrum and another(2016) 14 SCC 263PositiveSupreme Court decision establishing the same principle at a higher level; cited for authority on renewal of trade licence without landlord consent.
Babu v. Vijayan2019 (1) KLT 684PositiveDivision Bench followed Sudhakaran in confirming the principle that tenancy rights allow renewal of licence without requiring landlord consent.

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Extracted Judgment Text

Exact text extracted from official judgment records.

## **IN THE HIGH COURT OF KERALA AT ERNAKULAM** ## **PRESENT** ## **THE HONOURABLE MR. JUSTICE ANIL K.NARENDRAN** **WEDNESDAY, THE 04TH DAY OF SEPTEMBER 2019 / 13TH BHADRA, 1941** ## **WP(C).No.14095 OF 2019(J)** ## **PETITIONER:** **PRINCE.M.T AGED 61 YEARS S/O. LATE THOMAS,** **RESIDING AT MULAKKAL HOUSE, DNRA 33, PULIPPARAMBU, OLLURKKARA P.O, THRISSUR-680655. CONDUCTING LAVANYA JEWELLERY, WADAKKANCHERRY ROAD, P.O.KUNNAMKULAM.** **BY ADVS. SRI.P.SANJAY SMT.A.PARVATHI MENON** ## **RESPONDENTS:** - **1 SECRETARY KUNNAMKULAM MUNICIPALITY, KUNNAMKULAM, TRICHUR DISTRICT, PIN-680503.** - **2 DHANYA MARY GEORGE, AGED ABOUT 40 YEARS, D/O.VADAKKETHALAKKAL GEORGE, KUNNAMKULAM VILLAGE, MENACHERRY DESOM, THALAPILLY TALUK, PIN-680503.** - **3 LINCE MATHEW, AGED ABOUT 45 YEARS, S/O. CHERUVATHOOR C.V. MATHEW, KACHERY VILLAGE AND DESOM, KOZHIKODE TALUK, PIN CODE-680501.** **R1 BY ADV. SRI.I.V.PRAMOD R2 BY ADV. SRI.GEORGE CHERIAN (SR.) R2 BY ADV. SMT.K.S.SANTHI R2 BY ADV. SMT.LATHA SUSAN CHERIAN** **THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 04.09.2019, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING:** 2 W.P.(C) No.14095/2019 ## **JUDGMENT** The petitioner, who is stated to be the tenant of shop room No.XVI/279 in Kunnamkulam Municipality, which was originally owned by one Saramma Job, has filed this writ petition under Article 226 of the Constitution of India, seeking a writ of mandamus commanding the first respondent to consider Ext.P5 renewal application within a time frame. The petitioner has also sought for a writ of mandamus commanding the first respondent to accept the licence fee paid by him vide Ext.P7 and renew the licence to conduct jewellery business in building No.XV/551 (Old No.XVI/239C) of Kunnamkulam Municipality. 2. On 22.5.2019, when this writ petition came up for admission, the learned Standing Counsel took notice on admission for the first respondent. Urgent notice on admission by speed post was ordered to respondents 2 and 3, returnable by 6.6.2019. The learned Standing Counsel was directed to get instructions. 3. Heard the learned counsel for the petitioner, the 3 W.P.(C) No.14095/2019 learned Standing Counsel for the first respondent Municipality and also the learned counsel for the second respondent. Despite service of notice, none appears for the third respondent. It is pointed out by the learned counsel for the petitioner that the third respondent is the husband of the second respondent. 4. The issue that arises for consideration in this writ petition is as to whether the petitioner is entitled for a writ of mandamus commanding the first respondent to consider Ext.P5 application for renewal of licence, in respect of the shop room in question, for the purpose of conducting a jewellery. 5. The fact that respondents 2 and 3 have filed a Rent Control Petition before the Rent Control Court, Chavakkad on the ground of arrears of rent and bonafide need, invoking the provisions under Section 11(2) and 11(3) of the Kerala Buildings (Lease and Rent Control) Act, 1965 is not in dispute. 6. The learned counsel for the second respondent would submit that Ext.P5 application is not one for renewal of licence and it is an application for fresh licence. The learned 4 W.P.(C) No.14095/2019 counsel would also point out that the petitioner has not chosen to place on record any material to show that he was having a valid licence during the year 2018-2019. Moreover, in Ext.P5 application, number of the previous licence is not mentioned. 7. In **Marimuthu v. Director General of Police [1999 (3) KLT 662]** , a Division Bench of this Court held that, a statutory tenant under the Kerala Buildings (Lease and Rent Control) Act can be evicted only as per the provisions of the said Act, on the grounds enumerated therein. Since the possession of the tenant is lawful, the landlord is not entitled to withhold his consent for the conduct of the business for which the premises were given on rent. Paragraph 16 of the ## said judgment reads thus; “16. A statutory tenant under the Kerala Buildings (Lease and Rent Control) Act can be evicted only as per the provisions of the said Act, on the grounds enumerated therein. Since the possession of the tenant is lawful, the landlord is not entitled to withhold his consent for the conduct of the business for which the premises were given on rent. In the instant case, we are satisfied that the landlord is purposefully and with malafide intention withholding consent inspite of 5 W.P.(C) No.14095/2019 the directions from this court. Under such circumstances, the Corporation also cannot insist upon production of written consent from the landlord for the purpose of issuance of licence for the conduct of business in the premises in question. For carrying on business in readymade dresses a licence issued under Sec.492 of the Kerala Municipality Act is necessary. As on date, the petitioner is not having any licence to carry on such business. A person in occupation can be allowed to carry on a trade or business which requires a licence, only after obtaining such licence. In view of the facts and circumstances of the case as above, we direct the Corporation of Thiruvananthapuram to consider Ext.P7 application for licence without insisting upon the production of a written consent of the owner of the premises and pass appropriate orders after giving an opportunity to the petitioners or their representative or their advocate, within two weeks from today. The petitioners are at liberty to file any further documents, if need be, before the Corporation authorities. The Corporation shall pass a reasoned order after hearing the necessary parties and communicate the same to the petitioners within two weeks from today. We make it clear that till such time the petitioners shall not conduct the textile business in the premises in question. Ext.P8 order of the Corporation of Thiruvananthapuram is set aside and Ext.P7 is restored to file for fresh consideration as directed above.” 6 W.P.(C) No.14095/2019 The judgment of this Court in **Marimuthu's case supra** was affirmed by the Apex Court in **Sudhakaran v. Corporation of Trivandrum [2016 (3) KLT 247]** . 8. In **Sudhakaran's case (** _**supra**_ **)** , the Apex Court held that consent of the landlord is not required by the tenant for renewal of municipal license to run a shop. Even in the case of application for obtaining license for the first time, the tenant cannot be deprived of running lawful business merely because the landlord withheld the consent. Valid tenancy itself has implied authority of the landlord for legitimate use of the premises by the tenant as per the tenancy agreement. 9. The law laid down by the Apex Court in the aforesaid decision has been followed by a Division Bench of this Court in **Babu v. Vijayan [2019 (1) KLT 684]** . Paragraph 8 of the said decision reads thus; “8. On the above legal issue, we may benefit by referring to the pronouncement in **Sudhakaran v. Corporation of Trivandrum and another** reported in **[(2016) 14 SCC 263]** where the Supreme Court on the issue of the renewal of a trade licence, stated that a tenant cannot be deprived of running a lawful business merely 7 W.P.(C) No.14095/2019 because the landlord withheld his consent, and further that, a valid tenancy itself has implied authority of the landlord for legitimate use of the premises by the tenant.” 10. Having considered the submissions made by the learned counsel on both sides, this Court finds that Ext.P5 application made by the petitioner for licence for conducting a jewellery in the building in question for the year 2019-20 is pending consideration before the first respondent, who is the Secretary of Kunnamkulam Municipality. Therefore, it is for the first respondent to consider and pass appropriate orders on that application with notice to the petitioner and also to respondents 2 and 3. 11. In such circumstances, this writ petition is disposed of directing the first respondent to consider and pass appropriate orders on Ext.P5 application made by the petitioner, strictly in accordance with law, with notice to the petitioner and also to respondents 2 and 3, after affording them an opportunity of being heard. Necessary orders in this regard shall be passed as expeditiously as possible, at any rate, within a period of one month from the date of receipt of 8 W.P.(C) No.14095/2019 a certified copy of this judgment. It is made clear that this Court has not expressed anything as to the rival contentions as to the title and ownership of the property in question. The legal and factual contentions raised by both sides are left open to be raised before the first respondent Municipality. Sd/- **ANIL K.NARENDRAN JUDGE** csl 9 W.P.(C) No.14095/2019 ## **APPENDIX** ## **PETITIONER'S EXHIBITS:** **EXHIBIT P1 TRUE COPY OF THE RENT RECEIPT NO.3127 DATED 01.08.2015** **EXHIBIT P2 TRUE COPY OF THE SAID WRITTEN COUNTER IN RCOP NO.80/2015 BEFORE THE HONBLE RENT CONTROL COURT CHAVAKKAD DATED 15.12.2016. EXHIBIT P3 TRUE COPY OF THE ORDER IN RCOP NO.80/2015 BEFORE THE HON'BLE RENT CONTROL COURT, CHAVAKKAD DATED 06.08.2018.** **EXHIBIT P4 TRUE COPY OF IA 6302/18 IN RCOP NO.80/2015 BEFORE THE HON'BLE RENT CONTROL COURT, CHAVAKKAD DATED 04.09.2014.** **EXHIBIT P5 TRUE COPY OF THE APPLICATION DATED 27.2.2019 BY THE PETITIONER BEFORE THE 1ST RESPONDENT. EXHIBIT P6 TRUE COPY OF THE LICENCE DATED 21.5.1999 ISSUED TO THE PETITIONER BY THE FIRST RESPONDENT FOR THE YEAR 1.4.99 TO 31.3.2000. EXHIBIT P7 TRUE COPY OF THE RECEIPT OF THE E PAYMENT TOWARDS LICENCE FEE DATED 21.3.2019.**