NATIONAL INSURANCE COMPANY Vs. SUNDER SINGH KHURANA

JUDGEMENT

(1.) A suit, for recovery of Rs.l,14,355.32 as use and occupation, And eviction of National Insurance Company from first floor of a house situated at Vir Marg, Jammu, was filed by the President- S. Sunder Singh Khurana, Dharamshala Trust, Jammu.

(2.) Plaintiff pleaded that an agreement of tenancy was executed by the parties on 19.08.1987 and the tenancy commenced from 01.12.1985 for a period of five years. It was also pleaded that by efflux of time, the tenancy expired on 30.11.1990. Condition no. 4(c) of the agreement was relied upon by the plaintiff to urge that the defendant had not exercised its option for extension of lease and in that view of the matter, defendant was liable to vacate the premises and pay compensation for use and occupation of the premises. A notice too was served on the tenant on 29.01.1991 informing it that plaintiff will be entitled to receive a sum of Rs. 15,000/- per month for the use and occupation of the said premises from December, 1990 till vacation.

(3.) Defendant, in its written statement, inter alia pleaded that option in terms of condition 4(c) of the agreement was exercised by the Company and the lease stood extended. It was further pleaded that the suit is not maintainable in view of the provisions of J and K Houses and Shops Rent Control Act, which prohibit passing of decree against defendant/tenant except on proof of grounds mentioned in section 11 of the J and K Houses and Shops Rent Control Act. Learned Trial Court framed issues, which read thus:-