MADAN AND CO Vs. WAZIR JAIVIR CHAND
LAWS(SC)-1988-11-6
SUPREME COURT OF INDIA (FROM: JAMMU & KASHMIR)
Decided on November 28,1988

MADAN AND COMPANY Appellant
VERSUS
WAZIR JAIVIR CHAND Respondents

JUDGEMENT

Ranganathan, J. - (1.) This appeal involves the interpretation of S. 11 of the Jammu and Kashmir Houses and Shops Rent Control Act, 1966 (hereinafter referred it) as 'the Act').
(2.) The petitioner is a firm of which Sohan Singh Madan is the managing partner. The firm was the tenant of the respondent in respect of a portion of a building situated in Raghunath Bazar, Jammu, on a rent of Rs. 200/- p.m. According to the respondent, the petitioner had been irregular in paying the rent of the premises and had altogether stopped making payment of any rent from 1st April, 1976 onwards. On 26-11-1976, the respondent issued a notice to the petitioner calling upon it to pay the arrears of rent (Rs. 1,600). The notice also terminated the tenancy and called upon the petitioner to vacate the demised premises on or before 31-12-1976. This notice was first sent by post. The postman called at the address on 7-12-1976 and 8-12-1976 but, having failed to find there either the addressee or any person authorised to receive the notice on his be halt returned it with the endorsement "left without address, returned to sender". Thereupon, the respondent caused a copy of the notice to be affixed to one of the doors of the premises in question in the presence of two inhabitants of the locality on 9-12-76. No payment of rent was made subsequently by the petitioner. The respondent, therefore. filed a suit on 16-6-1977 seeking ejectment to the petitioner on the ground that he had committed three defaults, each in payment of two months' rent, within a period of 18 months. This plea was accepted, and eviction of the petitioner decreed, by the Sub Judge. This was affirmed by the District Judge. A second appeal to the High Court was also unsuccessful. Hence this appeal by special leave.
(3.) Sections 11 and 12 of the Act. which are relevant in this context, may now be referred to. They read, in so far as is relevant for our present purposes, as follows: Section 11: "Protection of a tenant against eviction-(1) Notwithstanding anything to the contrary in any other Act or law, no order or decree for and recovery of possession of any house or shop shall be made by any Court in favour of the landlord against a tenant xx xx xx Provided that nothing in this sub-section shall apply to any suit for decree for such recovery of possession. ********** (i) subject to the provisions of S. 12, where the amount of two months rent legally payable by the tenant and due from him is in arrears by not having been paid within the time fixed by contract or in the absence of such contract by the fifteenth day of the month next following that for which the rent is payable or by not having been validly deposited in accordance with S. 14: Provided that no such amount shall be deemed to be in arrears unless the landlord on the rent becoming due serves a notice in writing through post office under a registered cover on the tenant to pay or deposit the arrears within a period of fifteen days from the date of the receipt of such notice and the tenant fails to pay or deposit the said arrears within the specified period. Section 12: When a tenant can get the benefit of protection against eviction- (1) If in a suit for recovery of possession of any house or shop from the tenant the landlord would not get a decree for possession but for Cl. (i) of the proviso to sub-sec. (1) of S. 11, the Court shall determine the amount of rent legally payable by the tenant and which is in arrears taking into consideration any order made sub-sec. (4) and effect thereof up to the date of the order mentioned hereafter, as also the amount of interest on such arrears of rent calculated at the rate of nine and three eights per centum per annum from the day when the rents became arrears up to such date, together with the amount of such costs of the suit as if fairly allowable to the plaintiff landlord, and shall make an order on the tenant for paying the aggregate of the amounts (specifying in the order such aggregate sum) on or before a date fixed in the order. (2) Such date fixed for payment shall be the fifteenth day from the date of the order excluding the day of the order. (3) If, within the time fixed in the order under sub-sec. (1) the tenant deposits in the Court the sum specified in the said order, the suit so far as it is a suit for recovery of possession of the house or shop, shall be dismissed by the Court. In default of such payment the Court shall proceed with the hearing of the suit. Provided that the tenant shall not be entitled to the benefit of protection against eviction under this section, if, notwithstanding the receipt of notice under proviso to Cl. (i) of the proviso to sub-sec. (i) of S. 11, he makes a default in the payment of rent referred to in Cl. (i) of the proviso to sub-sec. (1) of S. 11 on three occasions within a period of eighteen months. ********** ;


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