{"id":1404,"date":"2002-09-17T00:00:00","date_gmt":"2002-09-16T18:30:00","guid":{"rendered":"https:\/\/www.legalindia.com\/judgments\/ms-m-subbarao-sons-vs-yashodamma-ors-on-17-september-2002"},"modified":"2017-07-02T10:17:55","modified_gmt":"2017-07-02T04:47:55","slug":"ms-m-subbarao-sons-vs-yashodamma-ors-on-17-september-2002","status":"publish","type":"post","link":"https:\/\/www.legalindia.com\/judgments\/ms-m-subbarao-sons-vs-yashodamma-ors-on-17-september-2002","title":{"rendered":"M\/S. M. Subbarao &amp; Sons vs Yashodamma &amp; Ors on 17 September, 2002"},"content":{"rendered":"<div class=\"docsource_main\">Supreme Court of India<\/div>\n<div class=\"doc_title\">M\/S. M. Subbarao &amp; Sons vs Yashodamma &amp; Ors on 17 September, 2002<\/div>\n<div class=\"doc_author\">Author: R Lahoti<\/div>\n<div class=\"doc_bench\">Bench: R.C. Lahoti, Brijesh Kumar<\/div>\n<pre>           CASE NO.:\nAppeal (civil)  5912 of 2002\n\nPETITIONER:\nM\/s. M. Subbarao &amp; Sons\n\nRESPONDENT:\nYashodamma &amp; Ors.\n\nDATE OF JUDGMENT: 17\/09\/2002\n\nBENCH:\nR.C. LAHOTI &amp; BRIJESH KUMAR\n\nJUDGMENT:\n<\/pre>\n<p>J U D G M E N T<\/p>\n<p>R.C. Lahoti, J.\n<\/p>\n<p>\tLeave granted.\n<\/p>\n<p>\tThe landlord-respondents initiated proceedings for eviction of<br \/>\nthe tenant-appellants on the grounds available under Clauses (f), (h)<br \/>\nand (p) of sub-Section (1) of Section 21 of Karnataka Rent Control<br \/>\nAct, 1961 (hereinafter &#8216;the Old Act&#8217;, for short).  The trial Court<br \/>\ndirected eviction of the tenants on all the three grounds. In a revision<br \/>\npreferred by the tenants, the learned Additional District Judge held the<br \/>\nground under Clause (h) not available to the landlords. However, the<br \/>\norder of eviction was sustained upholding availability of grounds<br \/>\nunder Clauses (f) and (p).  The tenants and the landlords both filed<br \/>\nrevision petitions before the High Court.  By order dated 11.10.2000,<br \/>\nthe High Court disposed of both the revisions holding that subletting<br \/>\nof tenancy premises by the tenants was made out and hence order for<br \/>\neviction was sustainable under Clause (f). The High Court did not<br \/>\ndeem it necessary to enter into the question of bona fide requirement.<br \/>\nOn a prayer made on behalf of the tenants, they were allowed a period<br \/>\nof one and a half years for vacating the premises which period was to<br \/>\nexpire on 11th April, 2002.\n<\/p>\n<p>With effect from 31.12.2001, the Karnataka Rent Control Act,<br \/>\n1999 (hereinafter &#8216;the New Act&#8217;, for short) came into force.  The suit<br \/>\npremises are non-residential premises measuring 352 sq. ft. i.e. more<br \/>\nthan 14 sq. mts..  Section 2 of the New Act speaks of application of<br \/>\nthe Act.  Sub-Section (3) thereof provides that nothing contained in<br \/>\nthis Act shall apply, amongst others, to any premises used for non-<br \/>\nresidential purpose but excluding premises having a plinth area of not<br \/>\nexceeding fourteen square meters used for commercial purpose. It is<br \/>\nnot disputed by learned counsel for the parties that the plinth area of<br \/>\nthe suit premises exceeds 14 sq. mts. and the same are used for<br \/>\ncommercial purpose, and therefore, the New Act is not applicable to<br \/>\nthe premises.\n<\/p>\n<p>\tAs the tenants did not vacate the tenancy premises on or before<br \/>\n11.4.2002, the landlords filed execution proceedings after 11.4.2002.<br \/>\nThe tenants objected to the maintainability of the execution<br \/>\nproceedings submitting that the decree passed under the Old Act in<br \/>\nrespect of the premises to which the provisions of the New Act are not<br \/>\napplicable, has ceased to be executable with the repeal of the Old Act.<br \/>\nThe objection was overruled by the executing Court as also by the<br \/>\nHigh Court.  The aggrieved tenant-judgment debtors have preferred<br \/>\nthis appeal by special leave.\n<\/p>\n<p>\tTwo questions arise for consideration:-\n<\/p>\n<p>1.\tWhat is the effect of repeal of the Old Act by Section 70 of the<br \/>\nNew Act on such decrees as were passed under the Old Act and<br \/>\nare yet to be executed?;\n<\/p>\n<p>2.\tWhat would be the effect of Section 70 of the New Act on<br \/>\nspecial leave petitions filed under Article 136 of the<br \/>\nConstitution or on the appeals pursuant to the leave granted<br \/>\nthereunder?\n<\/p>\n<p>\tSection 70 of the New Act and Section 6 of the Karnataka<br \/>\nGeneral Clauses Act, 1899 provide as under:-<br \/>\n\t&#8220;70. Repeal and Savings.__(1) The<\/p>\n<p>\tKarnataka Rent Control Act, 1961 (Karnataka Act<br \/>\n32 of 1961) is hereby repealed.\n<\/p>\n<p>(2)\tNotwithstanding such repeal and subject to<br \/>\nthe provisions of Section 69. __<\/p>\n<p>(a)\tall proceedings in execution of any decree or<br \/>\norder passed under the repealed Act, and<br \/>\npending at the commencement of this Act, in<br \/>\nany Court shall be continued and disposed<br \/>\noff by such Court as if the said enactment<br \/>\nhad not been repealed;\n<\/p>\n<p>(b)\tall cases and proceedings other than those<br \/>\nreferred to in clause (a) pending at the<br \/>\ncommencement of this Act before the<br \/>\nController, Deputy Commissioner,<br \/>\nDivisional Commissioner, Court, District<br \/>\nJudge or the High Court or other authority,<br \/>\nas the case may be in respect of the premises<br \/>\nto which this Act applies shall be continued<br \/>\nand disposed off by such Controller, Deputy<br \/>\nCommissioner, Divisional Commissioner,<br \/>\nCourt, District Judge or the High Court or<br \/>\nother authority in accordance with the<br \/>\nprovisions of this Act.\n<\/p>\n<p>(c)\tall other cases and proceedings pending in<br \/>\nrespect of premises to which this Act does<br \/>\nnot apply shall as from the date of<br \/>\ncommencement of the Act stand abated.\n<\/p>\n<p>\t(3)  Except as otherwise provided in Section 69<br \/>\nand in sub-section (2) of this section, provisions of<br \/>\nSection 6 of the Karnataka General Clauses Act,<br \/>\n1899 (Karnataka Act III of 1899), shall so far as<br \/>\nmay be applicable in respect of repeal of the said<br \/>\nenactment, and Sections 8 and 24 of the said Act<br \/>\nshall be applicable as if the said enactment had<br \/>\nbeen repealed and re-enacted by this Act.&#8221;\n<\/p>\n<p>\t&#8220;6.  Effect of repeal. __  Where this Act or any<br \/>\nMysore Act or Karnataka Act made after the<br \/>\ncommencement of this act, repeals any enactment<br \/>\nhitherto made or hereafter to be made, then, unless<br \/>\na different intention appears, the repeal shall not__<\/p>\n<p>(a)\trevive anything not in force or existing at<br \/>\nthe time at which the repeal takes effect; or<\/p>\n<p>(b)\taffect the previous operation of any<br \/>\nenactment so repealed or anything duly done<br \/>\nor suffered thereunder; or<\/p>\n<p>(c)\taffect any right, privilege, obligation or<br \/>\nliability acquired, accrued or incurred under<br \/>\nany enactment so repealed; or<\/p>\n<p>(d)\taffect any penalty, forfeiture or punishment<br \/>\nincurred in respect of any offence committed<br \/>\nagainst any enactment so repealed; or<\/p>\n<p>(e)\taffect any investigation, legal proceeding or<br \/>\nremedy in respect of any such right,<br \/>\nprivilege, obligation, liability, penalty,<br \/>\nforfeiture or punishment as aforesaid;\n<\/p>\n<p>\tand any such investigation, legal proceeding or<br \/>\nremedy may be instituted, continued or enforced,<br \/>\nand any such penalty, forfeiture or punishment<br \/>\nmay be imposed, as if the repealing Act had not<br \/>\nbeen passed.&#8221;\n<\/p>\n<p>\tThe learned counsel for the tenant-appellants submitted that the<br \/>\ntenants having been allowed 18 months&#8217; time for vacating the suit<br \/>\npremises under an order of eviction which achieved finality on<br \/>\n11.10.2000, the execution was leviable only after 11.4.2002 and, thus,<br \/>\nthere were no proceedings pending on 31.12.2001, the date on which<br \/>\nthe New Act came into force.  As nothing was pending (not even the<br \/>\nexecution proceedings) on 31.12.2001, the date on which the New Act<br \/>\ncame into force, Clauses (a) and (b) of sub-Section (2) of Section 70<br \/>\nof the New Act would not apply; the case would be covered by Clause\n<\/p>\n<p>(c) within the meaning of &#8220;all other cases .. in respect of<br \/>\npremises to which this Act does not apply&#8221; and, therefore, the decree<br \/>\nunder the Old Act shall, as from 31.12.2001, the date of<br \/>\ncommencement of the New Act, stand abated.   The proceedings, for<br \/>\nexecution of a decree which had stood abated, filed after the<br \/>\ncommencement of the New Act were incompetent and hence the<br \/>\nexecuting Court ought not to have proceeded ahead in an execution<br \/>\nfiled after the commencement of the New Act and, instead, should<br \/>\nhave simply declared the decree inexecutable as having abated.\n<\/p>\n<p>\tWe find the submission of the learned counsel for the<br \/>\nappellants devoid of any merit.\t A decree passed by a competent<br \/>\nCourt under the Old Act cannot be said to be a &#8216;case pending&#8217; on<br \/>\n31.12.2001.  Inasmuch as the decree is not covered by any of the<br \/>\nclauses of sub-Section (2) of Section 70 of the New Act (as also by<br \/>\nSection 69 of the New Act which speaks of transfer of pending cases)<br \/>\nthe decree would be covered under sub-Section (3) and attract<br \/>\napplicability of Section 6 of the Karnataka General Clauses Act and<br \/>\nwould be protected thereunder.\tThe decree defines the right of<br \/>\nlandlord to eviction of tenant and the obligation or liability of the<br \/>\ntenant to vacate the premises under pain of execution.\tSuch a right,<br \/>\nobligation or liability is not affected by repeal of an enactment unless<br \/>\na different intention appears.\tNo such different intention appears<br \/>\nfrom the provisions of the New Act.  Under Section 70(2)(a) of the<br \/>\nNew Act pending executions in respect of decrees passed under the<br \/>\nOld Act are saved.  It will be preposterous to hold that though a<br \/>\npending execution application is saved, a decree, which is yet to be<br \/>\nexecuted, is not saved.\n<\/p>\n<p>\tA Division Bench of Karnataka High Court (R.V. Raveendran<br \/>\nand K.L. Manjunath, JJ) had an occasion to examine such an issue in<br \/>\nM\/s. Mercury Press &amp; Ors. Vs. Ameen Shacoor &amp; Ors., ILR 2002<br \/>\nKar 2304.  During the course of its judgment the Division Bench has<br \/>\nobserved :\n<\/p>\n<p>\t&#8220;. . . . . .  Though the Old Act did not confer<br \/>\nany rights on a landlord but only restricted<br \/>\nthe absolute right of the landlord under the<br \/>\nprovisions of the Transfer of Property Act, if<br \/>\nan order of eviction has already been passed<br \/>\nunder the Old Act, then the right to evict the<br \/>\ntenant has been acquired by the landlord and<br \/>\na corresponding obligation or liability had<br \/>\nbeen incurred by the tenant to vacate the<br \/>\npremises or be evicted from the premises,<br \/>\nunder the order of eviction.  Such right<br \/>\n(liability acquired or incurred under the<br \/>\norder of eviction passed under the Old Act<br \/>\non or before 30.12.2001 remains unaffected<br \/>\nby the repeal having regard to Section 6 of<br \/>\nthe General Clauses Act and as a<br \/>\nconsequence, the landlord becomes entitled<br \/>\nto enforce such order of eviction by<br \/>\nexecuting it, subject to any remedy to which<br \/>\nthe tenant will be entitled under law.&#8221; (Para\n<\/p>\n<p>20)<\/p>\n<p>\tThe Division Bench, having examined the issue from several<br \/>\nangles, summed up its conclusion as under:-<br \/>\n\t&#8220;a)\tMatters pending in execution:\n<\/p>\n<p>\t\tWhere an order of eviction has already been<br \/>\npassed under the Old Act and is pending in<br \/>\nexecution, irrespective of whether the order was in<br \/>\nregard to premises to which the New Act applies<br \/>\nor not, such execution proceedings can be<br \/>\ncontinued and disposed of by executing Court as if<br \/>\nthe Old Act had not been repealed;\n<\/p>\n<p>\t\tOrders of eviction passed under the Old Act<br \/>\nwhich have become final and conclusive on or<br \/>\nbefore 30.12.2001 in regard to which no execution<br \/>\nwas levied on or before 30.12.2001, can also be<br \/>\nexecuted thereafter as if the Old Act has not been<br \/>\nrepealed.&#8221;\n<\/p>\n<p>\tWe find ourselves in agreement with the view of law taken by<br \/>\nthe High Court of Karnataka and approve the same.<br \/>\n\tWe are, therefore, of the opinion that the executing Court and<br \/>\nthe High Court have not erred in any manner in holding the decree not<br \/>\nabated and available for execution as a valid decree in spite of the<br \/>\nrepeal of the Old Act by Section 70 of the New Act.\n<\/p>\n<p>\tIt was submitted at the Bar that there appears to be some<br \/>\nconflict in two decisions of this Court namely, Raminder Singh Sethi<br \/>\nVs. D. Vijayarangam, (2002) 4 SCC 675 and Mahendra Saree<br \/>\nEmporium Vs. G.V. Srinivasa Murthy, (2002) 5 SCC 416.  We have<br \/>\ncarefully examined both the decisions and we find that there is no<br \/>\nconflict between the law laid down by this Court in the two decisions.<br \/>\nIn Raminder Singh Sethi&#8217;s case, eviction of the tenant was directed<br \/>\nunder Section 12(1)(a) of the Old Act.\tSection 12 is placed in Part II<br \/>\nof the Old Act.\t The eviction proceedings were commenced in the<br \/>\nyear 1982 when the period of five years from the date of construction<br \/>\nof the building had not expired and to such a premises provisions of<br \/>\nPart III of the Old Act were not applicable.  Part III contains Section<br \/>\n18 which prohibits recovery of unlawful charges by the landlord<br \/>\nincluding any premium or any rent in addition to fair rent. This Court<br \/>\nupheld the eviction of tenant under Section 12(1)(a) of the Act.<br \/>\nBefore this Court the tenant pleaded that the New Act having been<br \/>\nbrought into force during the pendency of the proceedings conferred<br \/>\ncertain additional protection on the tenant who&#8217;s eviction was sought<br \/>\nfor on the ground of default in payment of arrears.  Vide para 6, this<br \/>\nCourt refused to evaluate the legality of the decree passed under the<br \/>\nOld Act by testing it by reference to the provisions of the New Act on<br \/>\nthe twin grounds: that the rights of the parties to litigation ordinarily<br \/>\nstand crystallized on the date of the commencement of lis and have to<br \/>\nbe determined by reference to the law applicable on that day, and that<br \/>\nthe provisions of the New Act are not retrospective in their<br \/>\napplication.  This Court observed inter alia that Section 70 of the New<br \/>\nAct does not provide for the provisions of the Act being made<br \/>\napplicable to the appeal or proceedings pending before the Supreme<br \/>\nCourt.\tIn Mahendra Saree Emporium&#8217;s case, an appeal pursuant to<br \/>\nleave granted under Article 136 of the Constitution was pending in<br \/>\nthis Court when the New Act came into force.  The decree passed by<br \/>\nthe High Court directing eviction of tenant was in issue before this<br \/>\nCourt.\tIn view of the area of the premises being such as to which the<br \/>\nprovisions of the New Act did not apply, this Court proceeded on an<br \/>\nassumption that the appeal shall stand abated by virtue of the<br \/>\nprovisions contained in Clause (c) of sub-Section (2) of Section 70 of<br \/>\nthe New Act.  It appears that such position of law was almost not<br \/>\ndisputed and, therefore, there is no in-depth scrutiny of the provisions<br \/>\nnor any reasons assigned for the view taken.  In any case, the case<br \/>\nbefore us does not bear any similarity with the facts in the case of<br \/>\nMahendra Saree Emporium.\n<\/p>\n<p>\tNo fault can be found with the view taken by the High Court.<br \/>\nThe appeal is dismissed.  However, the tenant-appellants are  allowed<br \/>\nthree months&#8217; time for vacating the suit premises subject to their<br \/>\nclearing all the arrears of rent and filing an usual undertaking within<br \/>\nthree weeks from today, and thereafter continuing to pay the arrears of<br \/>\nrent falling due month by month until delivery of possession.  No<br \/>\norder as to the costs.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Supreme Court of India M\/S. M. Subbarao &amp; Sons vs Yashodamma &amp; Ors on 17 September, 2002 Author: R Lahoti Bench: R.C. Lahoti, Brijesh Kumar CASE NO.: Appeal (civil) 5912 of 2002 PETITIONER: M\/s. M. Subbarao &amp; Sons RESPONDENT: Yashodamma &amp; Ors. DATE OF JUDGMENT: 17\/09\/2002 BENCH: R.C. LAHOTI &amp; BRIJESH KUMAR JUDGMENT: J U [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_lmt_disableupdate":"","_lmt_disable":"","_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[30],"tags":[],"class_list":["post-1404","post","type-post","status-publish","format-standard","hentry","category-supreme-court-of-india"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.3 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>M\/S. M. 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