M/S.A.P.Hordiwala & Co vs Dr.Rustam J. Patel on 31 August, 2010

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Bombay High Court
M/S.A.P.Hordiwala & Co vs Dr.Rustam J. Patel on 31 August, 2010
Bench: R. C. Chavan
                                       1         CRA 336-09 JUDGMENT

    Anand
                 IN THE HIGH COURT OF JUDICATURE AT BOMBAY
                       CIVIL APPELLATE JURISDICTION




                                                                     
                 CIVIL REVISION APPLICATION NO.336 OF 2009




                                             
            1.    M/s.A.P.Hordiwala & Co. ..Applicants
                  a registered Partnership Firm
                  at No.24, 2nd Pasta Lane, Colaba,
                  Mumbai   400 005.




                                            
            2.    Mrs. Viloo S. Billimoria

            3.    Sorabjee N. Billimoria




                                   
                  (since deceased)

            4.
                          
                  Ardeshir S. Billimoria,
                  2, 3 and 4 being partners
                  of Applicant No.1
                         
                  residing at Cumballa Crest,
                  42-A, Pedder Road,
                  Bombay   400 026.
              

                  presently residing at
                  501, Neel Sagar,
           



                  28th Road, T.P.S.3
                  Bandra (West)
                  Mumbai    400 050.





                         V/s.

            1.    Dr.Rustam J. Patel          ..Respondents

            2.    Ms.Homai Nadir Mody





            3.    Ms. Navaz Vahadur Mody

            4.    Diniyar M. Gamadia

            5.    Miss. Dilbur Rustom Patel

            6.    Mrs. Feroja Adi Cooper

            7.    Sam Panek Golla



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                                    2             CRA 336-09 JUDGMENT

          All Trustees of Seth F.M.Patel
          Agiary Charity Trust, having
          their office at 24-26,




                                                                     
          Dalal Street, Fort,
          Mumbai   400 001.




                                             
     Mr.Chirag Balsara i/b.M/s.Maneksha & Sethna,
     Advocate, for the Applicants
     Mr.R.A.Mirza, Advocate, for the Respondents




                                            
     CORAM                              :    R.C.CHAVAN, J.

     JUDGMENT RESERVED ON               :    4TH AUGUST, 2010




                                 
     JUDGMENT PRONOUNCED ON             :    31ST AUGUST, 2010


     JUDGMENT

. This Revision Application is directed

against Judgment of the Appellate Bench of the

Court of Small Causes upholding the decree of

ejectment of the Applicants passed by the

learned Trial Judge in RAE Suit No.1298 of

1968.

2. According to the parties, on 24th

September, 1856 one Framjee Nusserwanjee

leased out with effect from 1st January, 1855

to one Cammoo Yacoob a 100 x 30 yards piece of

land presumably with a godown bearing No.28 at

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3 CRA 336-09 JUDGMENT

Colaba, Mumbai for a period of 99 years. The

Lease Deed also gave an option to said Cammoo

Yacoob to seek renewal of lease for a further

period of 99 years. It is not in dispute that

the Plaintiff trust are successors in

interest of said Framjee Nusserwanjee and the

interest of Cammoo Yacoob fell upon Cammoo

Yacoob Charitable Trust. The original

Defendant Nos.1 to 7 were the trustees of the

said Cammoo Yacoob Charitable Trust.

3. The Plaintiffs claimed that the lease

of Cammoo Yacoob Charitable Trust expired on

1st January, 1954. Yet the lessees continued

to possess the property. By notice dated 5th

October, 1960, the lessors terminated the

tenancy, if any, of the lessees, that is,

Cammoo Yacoob Charitable Trust and by notice

dated 20th June, 1966 called upon the tenants

to vacate the premises. It was also alleged

that the tenants had committed breach of terms

of the lease by replacing some doors, roofs,

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4 CRA 336-09 JUDGMENT

plastering of walls and flooring etc. By

notice dated 23rd December, 1967 the lessors

called upon the tenants to rectify the

breaches. The lessors also alleged the

tenants were in arrears of rent and permitted

increases and therefore, by the Suit filed in

the year 1968, sought ejectment of the

tenants, that is, Cammoo Yacoob Charitable

Trust.

4. By an amendment, the landlords also

alleged that Cammoo Yacoob Charitable Trust

had unlawfully sublet the premises to the

present Applicants with effect from 25th March,

1994 and therefore, sought their ejectment.

5. A similar Suit was filed against

Cammoo Yacoob Charitable Trust for another

plot of land bearing No.27.




     6.         By     Written       Statement,            the        present

     Applicants, that is, the Defendant Nos.8 to 11




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                                  5           CRA 336-09 JUDGMENT

in the Suit, claimed to have been in exclusive

and an interrupted possession of the premises

since 1953 and therefore, claimed protection

under the Bombay Rent Act.

7. The learned Trial Judge decided both

the Suits filed by the landlords by a common

Judgment. As far as the present Applicants

are concerned, the learned Trial Judge held

that the unlawful subletting to the present

Applicants was proved and therefore, held that

the landlords were entitled to recover

possession of the suit premises. Both the

Cammoo Yacoob Charitable Trust and the sub-

tenants, that is, the present Applicants’

appealed and these Appeals were decided by the

Appellate Bench by a common Judgment which is

impugned in this Revision Application by the

Applicants alone. Cammoo Yacoob Charitable

Trust or its trustees, who were the original

Defendant Nos.1 to 6 have not questioned the

said Judgment.

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6 CRA 336-09 JUDGMENT

8. I have heard the learned Counsel for

the parties and also have gone through their

written submissions, in order to find out if

the Courts below have erred in recording

findings which were untenable or perverse or

if they had committed any illegality by

looking into inadmissible evidence or refusing

to look into admissible evidence. In the

absence

of any material to show that not the

Respondents herein, but some one else, were

the successors in interest of the original

lessors, the applicants’ challenge to their

capacity to sue the applicants and the

original lessors was rightly repelled by the

Courts below. Incidently, the original

lessees, that is the trustees of Cammoo Yacoob

Charitable Trust, had accepted the Respondents

as landlords in respect of the property.

Though, Lease Deed dated 24th September, 1856

would have enabled Cammoo Yacoob Charitable

Trust to seek renewal and though the trustees

claimed that there were negotiations between

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7 CRA 336-09 JUDGMENT

the trustees and the landlords. There is

nothing on record to show that the lease was

renewed for a further period of 99 years or

that the landlords had agreed to the

continuation of Cammoo Yacoob Charitable Trust

as tenants. The Respondents had specifically

issued notice to the lessees on 5th October,

1960 terminating the lease and on 20th June,

1966 calling upon them to vacate the premises.

Thus, it is clear that the possession of

lessees after the expiry of lease on 1st

January, 1954 was only as statutory tenants.

In any case, after service of notice dated 5th

October, 1960 their status as statutory

tenants could not be in any doubt.

9. It is the applicants’ case that the

applicants were inducted in the premises much

prior to 1954. They seemed to take such a

plea as the lease expired on 1st January, 1954

but significantly they have not pleaded the

date prior to 1st January, 1954 on which they

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8 CRA 336-09 JUDGMENT

were inducted as sub-tenants.

10. The Applicants have relied on letters

filed at Exhibit H with the Revision

Application. They are letters from Advocate

of Cammoo Yacoob Charitable Trust and

Municipal Corporation about godown No.24 over

premises Nos.24-26 in 2nd Pasta Lane, Colaba

written between 13th April, 1955 and 8th August,

1970. As rightly submitted by the learned

Counsel for the Respondents, this may at best

show that the Applicants were using the godown

for storing wares and would not establish the

case of a sub-tenancy created before 1st

January, 1954. For proving such sub-tenancy,

better evidence in the form of rent notes or

receipts of payment of rent was required to be

tendered.

11. Copies of rent receipts which are

sought to be produced at Exhibit K with the

Revision Application are of the years 1980-81

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9 CRA 336-09 JUDGMENT

that is after the suit was filed in the year

1968. The learned Counsel for the Respondents

also submitted, and rightly in my view, that

the receipts do not show that they pertain to

the suit properties. Thus, they can not have

any bearing on the fortunes of the parties.

12. The applicants point out that in the

application made to the Sales Tax Authorities

on 23rd May, 1957 and a Certificate issued by

the authorities on 1st July, 1957, there is a

reference to the warehouses used by the

Applicants and it includes an entry Cammoo

Yacoob Charity, 2nd Pasta Lane, Colaba . Using

a warehousing facility or a godown cannot be

equated to taking it on rent as a tenant or

sub-tenant, unless it shows that the godown or

the warehouse was taken in its entirety on

rent. Therefore, merely because such a go

down was included in the list of warehouses

provided to the Sales Tax Authorities, it does

not become a property leased to the

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10 CRA 336-09
JUDGMENT

Applicants.

13. At the cost of repetition it has to be

observed that the best evidence would have

been some rent note or rent receipts of the

year prior to 1st January, 1954 or at least

before the suit was filed and in any case,

prior to 1st
ig February, 1973. This is not

forthcoming.

14. The learned Counsel for the applicants

may be right in contending that the

respondents have not proved their case that

the applicants came over the suit property

only on 25th March, 1994. The respondents seem

to have so concluded on the basis of an entry

in the register of firms showing that the

applicants had indicated their new place of

business as 24 2nd Pasta Lane, Colaba with

effect from 25th March, 1994.




     15.          In         fact,        the     evidence           of       P.W.1



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                                         11                            CRA 336-09
                                    JUDGMENT

Mr.Batliwala would show that Defendant No.7,

that is, Marblewala, and not the present

applicant was in possession since 1975 and

that the applicants came in possession of the

property in April, 1992, contradicting the

plea that the Applicants came to possess the

premises on 25th March, 1994. The applicants’

witness too had no personal knowledge about

the events prior to 1988. He deposed about

the facts in issue only by reference to

record. If that be so, there ought to have

been some documentary evidence to show that

the applicants were in exclusive possession of

the premises prior to 1st February, 1973, if

not prior to 1st January, 1954. The learned

Counsel for the Respondents pointed out that

the Applicants’ witness Ardeshir S. Billimoria

had stated in cross examination that it was

correct that they were availing warehousing

facilities provided by Cammoo Yacoob

Charitable Trust from time to time, ruling out

the case of subletting.

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                                        12                                CRA 336-09
                                   JUDGMENT

     16.         Thus,       it   can     not       be    said        that       the




                                                                            
     Courts      below    erred         in   concluding               that       the




                                                    

applicants had not proved subletting before 1st

February, 1973. First, there is absolutely

nothing to show that the Applicants were

inducted as sub-tenants prior to 1st January,

1954, presuming that such sub-tenancy could be

created without
ig the landlord’s permission.

After the expiry of the lease, the lessee

became a tenant holding over. After

termination of tenancy by notice dated 5th

October, 1960, as statutory tenant, the

lessees could not have sub-let the premises.

Therefore, subletting, if any, would be

unlawful and would not attract any protection

of the Rent Act. Only lawful sub-tenants

inducted before 1st February, 1973, would get

the benefit of Section 14(1) of the Bombay

Rent Act, and that too, after the interest of

the tenant is determined. It is settled

position of law that in respect of premises to

which Rent Act applies, the interest of the

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13 CRA 336-09
JUDGMENT

tenant in the premises is determined only when

a decree is passed and not by mere issuance of

notice to quit. Therefore, howsoever viewed

the Applicant cannot escape ejectment on the

ground of subletting as also on the ground of

the failure of the lessee to keep the premises

in tenantable repair. On the second ground,

apart from the fact that the lessee has not

questioned the decree, the letters of the year

1955-57, on which the applicant places

reliance for showing his possession, would

point to the neglect in keeping the premises

in tenantable repair.

17. In view of this Civil Revision

Application has no merit and it is accordingly

dismissed.

(R.C.CHAVAN, J.)

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