# MANIK LAL MAJUMDAR AND ORS v. GOURANGA CHANDRA DEY AND ORS

- **Citation:** [2004] 2 S.C.R. 742
- **Court:** Supreme Court of India
- **Decided:** 2004-02-26
- **Case number:** Civil Rule No. 466 of 1997
- **Bench:** Shivaraj V. Patil, D.M. Dharmadhikari
- **Source:** https://unisonlegal.in/judgment/supreme-court-of-india/manik-lal-majumdar-and-ors-v-gouranga-chandra-dey-and-ors-19757
- **Pages:** 33

## Headnote

Rent Control and Eviction:
Tripura Buildings (Lease and Rent Control) Act, 197 5; Ss. 12, 13 & 20
C and Rules thereunder:
Sui/for eviction on grounds of bonafide requirement and default in
payment of rent-Rent Control Court found tenants defaulters and directed
them to handover possession of the premises to Landlord-Appeal dismissed
by Civil Court holding that appeal filed without depositing arrears of rent, not
D maintainable-Revision petition allowed by District Court-Case remanded
to Appellate Court-Challenge to-High Court held that appeal is not
maintainable under Section 20 of the Act unless mandatory requirements of
depositing of rent, before filing of appeal, is complied with-On appeal, matter
referred to larger Bench.
E
Held :-Per Sltivaraj V. Patil, J: Depositing of arrears of rent is a
condition mandatory for preferring an appeal under Section 20 of the ActMandatory conditions could not be relaxed-Court could stop further
proceeding in case tenant fails to deposit subsequent arrears of rent-Condition
could rlot be diluted on the ground of hardship to tenant, more so, when he
F was already given an opportunity before the Rent Control Court-Appellate
Authority-Jurisdiction of-Does not possess all powers of Rent Control
Court-Appellate Authority could neither relax condition nor it could pass an
effective order staying further proceeding-Legislative intention-If plain
grammatical interpretation of the provisions in a Statute gives rise to absurdity/
inconsistency, Court could disregard such interpretation and adopt the
G interpretation which would give ·effect to the purpose of legislature-Since
provisions as to mandatory requirement of deposit of arrears of rent before
preferring an appeal are clear and unambiguous, no further interpretation
required to determine intention of the legislature-Interpretation of Statutes.
H
Heid:-Per Dliarmadltikari, J: Appellate Authority has been conferred
742
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MANIK LAL MAJUMDAR v. G. C. DEY
743
with all powers of Rent Control Court-Admitted arrears of rent/recurring A
rent accrued/accumulated during eviction proceedings before preferring an
appeal are required to be determined in accordance with the provisions of law
on fixation of time/manner of deposit-Period of limitation for preferring an
appeal not to be construed as period of deposit of arrears of rent as precondition for preferring an appeal-Legislature-Presumption-Assuming that B
provisions under sub Section (4) a/Section 20 does not confer on the Appellate
Authority full power of Rent Control Court-Provisions under sub-section (4)
of Section 20 would be rendered otiose making the legislature redundantSuch construction must be avoided-Hence, a tenant may file an appeal within
the prescribed period, provided he seeks an order from the Appellate Authority
in accordance with Section 13(2) and make deposit of arrears of rent/future C
rent as determined by the Authority-Interpretation of Statutes.
Words and Phrases:
'no', 'unless', 'prefer', 'all arrears of rent admitted by the tenant to be
due '-Meaning of in the context of Tripura Rent Control Legislation.
D
The question that arose for consideration in this appeal was as to
whether an appeal could be preferred under Section 20 of the Tripura
Buildings (Lease and Rent Control) Act, without making payment or
depositing of all arrears of rent as admitted by the tenant as per provisions
under Section 13(1) of the Act.
E
It was contended for the appellant-tenant that the High Court was not
correct in its findings that an appeal could not be preferred without depositing
arrears of rent; that an opportunity should have been given by the Appellate
Court for making payment of admitted rent due before an appeal is heard;
and that as per provisions of law under Section 13 of the Act, an appeal F
preferred even without depositing of arrears of rent due could not be
dismissed.
On behalf of the Respondent-landlord, it was submitted that Section
13(1) of the Act in clear and unambiguous terms

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A
MANIK LAL MAJUMDAR AND ORS.
v.
GOURANGA CHANDRA DEY AND ORS.
FEBRUARY 26, 2004
B
[SHIVARAJ V. PATIL AND D.M. DHARMADHIKARI, JJ.]
Rent Control and Eviction:
Tripura Buildings (Lease and Rent Control) Act, 197 5; Ss. 12, 13 & 20
C and Rules thereunder:
Sui/for eviction on grounds of bonafide requirement and default in
payment of rent-Rent Control Court found tenants defaulters and directed
them to handover possession of the premises to Landlord-Appeal dismissed
by Civil Court holding that appeal filed without depositing arrears of rent, not
D maintainable-Revision petition allowed by District Court-Case remanded
to Appellate Court-Challenge to-High Court held that appeal is not
maintainable under Section 20 of the Act unless mandatory requirements of
depositing of rent, before filing of appeal, is complied with-On appeal, matter
referred to larger Bench.
E
Held :-Per Sltivaraj V. Patil, J: Depositing of arrears of rent is a
condition mandatory for preferring an appeal under Section 20 of the ActMandatory conditions could not be relaxed-Court could stop further
proceeding in case tenant fails to deposit subsequent arrears of rent-Condition
could rlot be diluted on the ground of hardship to tenant, more so, when he
F was already given an opportunity before the Rent Control Court-Appellate
Authority-Jurisdiction of-Does not possess all powers of Rent Control
Court-Appellate Authority could neither relax condition nor it could pass an
effective order staying further proceeding-Legislative intention-If plain
grammatical interpretation of the provisions in a Statute gives rise to absurdity/
inconsistency, Court could disregard such interpretation and adopt the
G interpretation which would give ·effect to the purpose of legislature-Since
provisions as to mandatory requirement of deposit of arrears of rent before
preferring an appeal are clear and unambiguous, no further interpretation
required to determine intention of the legislature-Interpretation of Statutes.
H
Heid:-Per Dliarmadltikari, J: Appellate Authority has been conferred
742
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MANIK LAL MAJUMDAR v. G. C. DEY
743
with all powers of Rent Control Court-Admitted arrears of rent/recurring A
rent accrued/accumulated during eviction proceedings before preferring an
appeal are required to be determined in accordance with the provisions of law
on fixation of time/manner of deposit-Period of limitation for preferring an
appeal not to be construed as period of deposit of arrears of rent as precondition for preferring an appeal-Legislature-Presumption-Assuming that B
provisions under sub Section (4) a/Section 20 does not confer on the Appellate
Authority full power of Rent Control Court-Provisions under sub-section (4)
of Section 20 would be rendered otiose making the legislature redundantSuch construction must be avoided-Hence, a tenant may file an appeal within
the prescribed period, provided he seeks an order from the Appellate Authority
in accordance with Section 13(2) and make deposit of arrears of rent/future C
rent as determined by the Authority-Interpretation of Statutes.
Words and Phrases:
'no', 'unless', 'prefer', 'all arrears of rent admitted by the tenant to be
due '-Meaning of in the context of Tripura Rent Control Legislation.
D
The question that arose for consideration in this appeal was as to
whether an appeal could be preferred under Section 20 of the Tripura
Buildings (Lease and Rent Control) Act, without making payment or
depositing of all arrears of rent as admitted by the tenant as per provisions
under Section 13(1) of the Act.
E
It was contended for the appellant-tenant that the High Court was not
correct in its findings that an appeal could not be preferred without depositing
arrears of rent; that an opportunity should have been given by the Appellate
Court for making payment of admitted rent due before an appeal is heard;
and that as per provisions of law under Section 13 of the Act, an appeal F
preferred even without depositing of arrears of rent due could not be
dismissed.
On behalf of the Respondent-landlord, it was submitted that Section
13(1) of the Act in clear and unambiguous terms states that no appeal could
be preferred against any order of the Rent Control Court without depositing G
of arrears of rent admitted.
Referring the appeal to a larger Bench, the Court
HELD: Per, Shivaraj V. Patil, J:
H
744
SUPREME COURT REPORTS
(2004] 2 S.C.R.
A
1.1. From the plain language and clear terms of Section 13(1) of the
Tripura Buildings (Lease and Rent Control) Act it follows that payment or
deposit of all arrears of rent admitted by the tenant to be due in respect of
the building up to the date of the payment or deposit is a mandatory
requirement for preferring an appeal under Section 20 oftheAct. (755-E-F)
B
1.2. Unless an appeal is preferred after complying with the condition of
the payment of arrears of rent or deposit of the admitted arrears of rent due,
the question of either pendency of the appeals or stopping of further
proceedings in the appeal does not arise. There are two separate aspects -
one is that the compliance to be made before preferring an appeal and the
C other is that the tenant has to continue to pay or deposit the rent, which may
subsequently become due. Sub-section (3) of Section 13 of the Act would come
into operation on the tenant failing to pay or deposit subsequent arrears of
rent arising during the pendency of the appeal, so as to stop further
proceedings in the appeal. But, it cannot relieve the statutory compulsion or
the mandatory requirement of Section 13(1), that is, paying or depo~iting the
D arrears of admitted rent before preferring an appeal and in this regard no
discretion is left to the Authorities. No effective order of stay of further
proceedings ca~ be passed by the appellate authority unless an appeal is
preferred after payment or deposit of admitted arrears of rent. This is also a
-
'
•
~
..
1
• i
~
.
factor to indicate that payment or deposit of arrears of admitted rent is
E essential before preferring an appeal. Remedy' of appeal is a creation of statute
and it is open to the' legislature to provide for an appeal subject to certain
conditions. Insistence of payment or depositing of arrears of rent admitted
as stated in Section 13(1) of the Act cannot be diluted or d~feated mer_ely on
the ground of hardship _to a tenant more so when tenant already _had one
opportuni~y before the Rent Control.Court in regard to making payment or
F depositing arrears of rent .. Perhaps it was considered unreasonable or
unnecessary to again provide opportunity before Appellate Authority to a
tenant that too to pay or deposit admitted arrears of rent.
[756-E-F; 757-C-E)
Nasiruddin and Ors. v. Sita Ram Agarwal, [2003) 2 SCC 577, reHed on.
G
t.3. Sub-section (4) of Section 20 of the Act cannot render mandatory
requirement under sub-section (1) of Section 13 ineffective or otiose. It is well
settled principle of interpretation that every part of the prov~sio~ has to be
given meaning and effect in the context of a statute. When there is express
provision made in Section 13(1) of the Act in emphatic terms using negative
H words indicating mandatory requirements of payment or deposit of arrears
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MANIK LAL MAJUMDAR v. G. C. DEY
745
of admitted rent before preferring an appeal under .Section 20, neither sub- A
section (3) of Section 13 nor sub-Section (4) of Section 20 would be of any
avail to. the tenants. (758-B-C)
Nasiruddin and Ors. v. Sita Ram Agarwal, [2003] 2 SCC 577; E.
Palanisamy v. Palanisamy (Dead) by Lrs. and Ors., [2003] 1 SCC 123 and Union
of India and Ors. v. Filip Tiago De Gama of Vedem Vasco De Gama, (1990) 1 B
sec 277, relied on.
2. Intention of the legislature is primarily to be ascertained from the
text of an enactment in question and if the strict grammatical interpretation
'
gives rise to absurdity or inconsistency, the court could discard such
interpretation and adopt an interpretation, which will give effect to the C
purpose of legislation. In the case on hand, no such anomaly, absurdity or
inconsistency would arise even if plain and grammatical interpretation is given
to Section 13(1) of the Act (760-B-C)
Union of India and Ors. v. Filip Tiago De Gama ofVedem Vasco De Gama, D
(1990) 1 SCC 277 and Bhavnagar University v. Palitana Sugar Mill (P) Ltd and
Ors., [2003) 2 SCC 111, relied on.
Chinnamma v. Gopalan and Ors., [1995) 6 SCC 491, distinguished.
3. The Division Bench 9f the High Court was right in holding that there E
was no conflict in the judgments in cases of Chinnamma and Binapani Roy,
meaning thereby payment or deposit of all arrears of rent admitted is
mandatory before preferring an appeal by a tenant under Section 20 of the
Act [762-B-C)
Chinnamma v. Gopalan, (1995) 6 SCC 491 and Binapani Roy v. State of F
Tripura, (1994) 1 GLR 98, distinguished.
Per, Dharmadhikari J.
1.1. As has been rightly observed by Division Bench of the High Court
in the case of Binapani Roy Section 13 of the Act has been inserted with the G
intendment to avoid litigations for realiiatJon of arrears of rents which is likely
to accumulate during the long period oflitigation and also to deter the tenant
from resorting to unfair practice to use and occupy tenanted premises without
payment of rent during the long period of protracted litigation. The decision
in Binapani Roy does not directly deal with and answer the question posed H
746
SUPREME COURT REPORTS
[2004] 2 S.C.R.
A before this Court. In that case the interpretation of the words and expression
"admitted by the tenant to be due" as used in sub-section (1) of Section·13 of
the Act, came up for interpretation. To make the said provision workable it
was held that the expression can not be given a literal meaning as conveying
only the rent which has been admitted in the pleadings by the tenant. It was
B held that in order to fulfil the object of the provision which is in the interest
of the landlord the expression is to be understood reasonably to mean 'the
rent which can be found to be due from the facts and materials on record.
The Division Bench of the High Court rightly observed that the earlier decision
of the Division Bench of the High Court in Binapani Roy's case 'was on a
different point, thus not required to be reconsidered by the larger Bench in ·
C the light of decision of the Supreme Court in Chinnamma 's case.The question,
therefore, needs to be answered on a proper and reasonable interpretation
of the provisions of Section 13 read with Section 20 of the Act.
[766-G, H; 767-A-B; F,G]
Binapani Roy v. State of Tripura, (1994) 1 GLR 98 and Chinnamma v.
D Gopalan,. [1995] 6 sec 491, referred to.
E
1.2. Sub-section (1) and sub-section (3) of Section 13 of the Act make
express mention both of "Rent Control Court and appellate authority" for
the application of those provisions to original proceedings as also to the
appellate proceedings. Deposit of arrears of rent and future rent are two preconditions for the tenant to contest the original proceedings and avail remedy
of appeal. In sub-section (2) of Section 13, there is only mention of Rent
Control Court empowering it to fix time and manner of deposit of arrears
and future rent. The omission of words "appellate authority" in sub-section
(2) of Section 13 primdfaeie gives an impression that fixation of time and
p · manner for two kinds of deposits of arrears and future rent are not required
to be made by the appellate authority. The omission of the w-0rds "appellate
authority" in sub-section (2) however, is made good by incorporating subsection (4) in Section 20. [768-F, G-H; 769-B)
· 1.3. Section 20with its sub-sections creates forum for appeals, describes
G nature of power of appellate authority and p·rescribes period of limitation for
appeals, preferable either by the landlord or by the tenant, as the case may
be, who feels aggrieved by the order of Rent Control Court. The legislative
intent of conferring same power of Rent Control Court under sub-section (2)
on the Appellate Authority is clear from incorporation of sub-section ( 4) in
H Section 20 of the Act which regulates the power and procedure of appeal.
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MANIK LAL MAJUMDAR v. G. C. DEY
747
Since the appellate authority has been conferred with all powers of Rent A
Control Court, non-mention in sub-section (2) of 'appellate authority' with
'Rent Control C::ourt' seems to be a deliberate omission. [769-B, D-E]
1.4. It is true that when a tenant prefers an appeal there may be a case
where the arrears of rent due up to the date of order of the Rent Control
Court are already quantified and the dispute of quantum and/or rate of rent B
stands decided by the original order. That woulea enable the tenant to deposit
the arrears at the time of filing of the appeal. [769-E, F] ·
1.5. The Division Bench of the High Court in the case of Binapani Roy
has reasonably construed the expression "all arrears of rent admitted by the C
tenant to be due'', as has been used in Section 13(1) of the Act, that the
expression as not merely conveying 'such rent as has been admitted by such
tenant in his pleadings.' According to the Division Bench the expression has
to be so construed as to fulfil the object of the Act to disable the tenant to
withhold rent due pending eviction proceedings against him or appeal by him.
The expression has been construed to mean 'the rent which is ascertainable D
as admitted from the record of the case.' The legislature also intends that the
so-called admitted arrears and recurring rent to be deposited or paid by the
tenant during eviction proceedings or appeal preferred by him, are required
to be judicially or quasi-judicially determined in accordance with sub-section
(2) of Section 13 of the Act, with fixation of time and manner of its deposit or
payment. Such an interpretation of the expression is necessary to meet various E
kinds of situations in different cases. In such situations, it might be found
necessary in original proceedings for the Rent Control Court to determine
the rent which can be said to be admittedly due and similar determination
might be required in appeal. [769-G, H; 770-A-C]
Binapani Roy v. State of Tripura, (1994) 1 GLR 98, referred to.
F
2.1. The period of limitation prescribed for preferring an appeal under
clause (b) of sub-section 20 of the Act is not the period fixed for deposit of
rent as a pre-condition for preferring an appeal by the tenant. However, subsection (1) of Section 13 lays down two pre-condmons for preferring an appeal. G
Such requirements on the part of the tenant for preferring an appeal are clear
. indications that 30 days' time fixed for appeal in sub-section (2) of Section
13, is not a period for deposit of arrears of rent due and future rent as a precondition for appeal. To enable a tenant to prefer an appeal by fulfilling both
the conditions of deposit of arrears and future rent, it is necessary that as is
the power given to the Rent Control Court, the appellate authority, on being H
748
SUPREME COURT REPORTS
[2004] 2 S.C.R.
A approached by the tenant, has to pass a judicial or quasi-judicial .order not
C?nly for th~ purp~se of fixing the time and manner of two kinds of d~posits
but a~o to determine, on the basis of record of the case, the rent which c;an be
said to be admitted to be due by the tenant within the meaning of expression
"all arrears of rent admitted by.the tenant to be due" as used.in sub-section
(l) of Section 13. The use of the word "prefer" therefore, in sub"".section (1)
B of Section 13. of the Act, ,in the.context of:the said provision and the other
provisions in sub-sections (2) to (4) of the said Section has a meaning different
from mere filing or presentation of an appeal. The word "prefer" in the context
of Section 13(1), to enable the tenant to contest original proceedings, or
prosecute appellate proceedings should reasonably mean that the tenant
~ without requisite deposit of arrears of rent and future rent, shall not be allowed
to prosecute the appeal or be heard in the appeal against the order passed by
D
· the Rent Control Court (772-D-H; 773-A]
Commissioner of Income Tax Act v. B.N Bhattacharjee, [19,79] ~ SCR 1133
and Nasiruddin v. Sita Ram Aggarwal, (2003] 2 SCC 517, distinguishe.d.
.
· 2.2. The expression "all arrears of rent adihitted by the tenant to be
due" as used in sub-section (1) of Section 13 requites adjudication to some
· extent.'The right of tenant to prefer an appeal can not be denied to him until
. such an. adjudication is made .. This condusion is reinforced by the language
·of sub-section (3) or'Section 13 which empowers expressly both the Rent
E Control Court and the appellate autho'rity to stop all proceedings and direct
the tenant to put the landlord in possession of the leased premises, if there is
·a 'failure o'n the part of the tenant to make requisite deposits either of arrears
and/or· future rent and only if he is unable to show any sufficient cause for
nori-deposit or delay. Such a power with discretion both in the Rent Control
F Court and the appellate authority to stop or refrain from stopping original
or appellate proceedings, and evicting tenant in the event of default of deposit,
also indicates that right of appeal to the tenant can be deprived to him only
. ff there is .a <)efault on his part and he is unable to show .anr sufficient cause
. for s~ch default. This also indicates that filing of an appeal within limitation
and ~llowing the tenant to prosecute that appeal due to his failure to make
G deposits. of arr~ars an.d future rent are two different stages or steps in both
original pro~eedings and appellate proceedings. (773-E-H; 774.-A]
i.3. ·u is settled rule of construction of statute that 'it has to be presumed
that the legislature does not Wl?Ste its.words and say anything in vain'. If subsection (4)'of section 20 is not read· as conferring on the appellate authority
H fUll p~wers of Rent Control Court including p~wer under sub-section (2) of
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MANIK LAL MAJUMDAR v. G. C. DEY [PATIL. J.]
749
Section 13, sub-section (4) of section 20 would be rendered otiose or A
superfluous. Such a construction which attributes redundancy to the
Legislature has to be avoided. [774-B]
Principles of Statutory Interpretation by G.P. Singh, Chapter-II, Synopsis-
! Page 63, referred to.
3. A tenant can file or present a memo of appeal "'ithin the prescribed
period of thirty days excluding the time for obtaining certified copy of the
order in accordance with sub-section (1) of Section 20 but until and unless he
seeks an order from the appellate authority in accordance with sub-section
B
(2) of Section 13 and makes deposit of all arrears of rent and continues to
pay future rent in the manner and within the time directed by the appellate C
authority, he would not be entitled to prosecute the appeal and obtain any
interim or final relief against the order of the Rent Control Court as is
contemplated in sub-sections (2) & (3) respectively of Section 13 of the Act.
[774-C, D]
CIVIL APPELLATE JURISDICTION : Civil Appeal No. 7253 .of D
2002.
From the Judgment and Order dated 21.6.2001 of the Gauhati High
Court at Agartala Bench in Civil Rule No. 466 of 1997.
A.K. Ganguli, Avijit Bhattacharjee and Atanu Saikia for the Appellants. E
Rajiv Mehta for the Respondent.
The Judgment of the Court was delivered by
SHIVARAJ V. PATIL, J. Few facts, which are considered necessary F
and relevant for disposal of this appeal, in short and substance, are the
following:
The respondent No. l filed a petition for eviction under Section 12 of ·
The Tripura Buildings (Lease and Rent Control) Act, 1975 (for short 'the G
Act') on the grounds of bona fide requirement and default in payment of rent.
The Rent Control Court held that the claim of bona fide requirement was not
proved. However, it found that the appellants were defaulters in payment of
rent and directed the appellants to hand over the possession of the building
in question to the respondent No. I. The appellants filed R.C.C. Appeal 4/
1995 under Section 20 of the Act before the Civil Judge (Senior Division), H
750
SUPREME COURT REPORTS
[2004] 2 S.C.R.
A West Tripura against the said order of the Rent Control Court. The learned
Civil Judge, after hearing the parties, dismissed the appeal holding that the
appellants failed to deposit the arrears ofrent as directed by the Rent Control
Court and the appeal filed by them without making deposit of arrears of rent
was not maintainable in view of Section 13(1) of the Act. Thereafter, the
B appellants filed revision petition in the court of the District Judge, Tripura,
assailing the order pass_ed by the learned Civil Judge in appeal. The learned
District Judge allowed the revision petition, set aside the order of the Civil
Judge in appeal and remanded the case to the appellate court for considering
the petition for adducing additional evidence and fqr deciding the appeal
afresh. The respondent No. 1, aggrieved by this order passed in the revision
C petition, filed a petition as Civil R~le No. 466 of 1997 under Article 227 of
the Constitution of India before the Gauhati High Court. A learned single
Judge of the High Court, after hearing the parties, finding some conflict in
the decisions of this Court in Chinnamma v. Gopalan and Ors. 1 and of
Division Bench of the High Court in Binapani Roy and two Ors. v. State of
Tripura and two Ors. 2, felt that the decision of the Division Bench of the
D High Court in Binapani Roy case required reconsideration by a larger bench
to decide the following question: -
E
F
"Whether in view of Section 13 of the Act, 1975, the appellate Court
is prohibited from entertaining an appeal unless the tenant has paid
or pays to the landlord or deposit with the Rent Control Court or the
appellant authority, as the case may be, all arrears of rent admitted by
the tenant to be due in respect of the building up to the date of
payment of deposit and continue to pay or deposit any rent which
may subsequently become due in respect of the building until
termination of the proceedings before the Rent Control Court or the
appellate authority, as the case may be?"
The Division Bench of the High Court, after hearing the parties, concluded
that the judgment of the Division Bench in Binapani Roy case (aforementioned)
did not require any reconsideration and no reference to a larger Bench was
called for. It also held that no appeal against the order made under Section
G 12 of the Act is competent and maintainable under Section 20 of the Act
unless provision of Section 13( 1) of the Act is complied with; that fulfillment
of the requirement of Section 13( 1) is a sine qua. non for preferring appeal
under Section 20. Hence, aggrieved by the same, the appellant-tenants have
i.
[1995] 6 sec 491 .
H 2.
[1994] l GLR 98.
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MANIK LAL MAJUMDAR v. G. C. DEY [PATIL J.]
751
assailed the impugned judgment of the Division Bench of the High Court in A
this appeal.
The learned Senior counsel for the appellants contended that the High
Court was not right and justified in taking a technical view in the matter; as
in the case of contesting the proceedings before the Rent Controller,
opportunity could be given by the appellate court for making payment of B
admitted rent due or depositing before the appeal is heard; saying that appeal
itself could not be preferred without paying or depositing admitted arrears of
rent may not be correct in view of Section 13(3) of the Act; if Section 13 is
read as a whole, it will be clear that appeal preferred without payment or
depositing of admitted arrears of rent, it could not be dismissed. On the other C
hand, further proceedings in the appeal could be stopped in case admitted
arrears of rent were not paid or deposited. He placed reliance on the judgment
of this Court in Chinnamma case (supra).
Per contra, the learned counsel for the respondents-landlord made
submissions supporting the impugned judgment. It was urged that Section D
13(1) in clear and unambiguous terms states that no appeal can be preferred
against any order of Rent Controller without paying or depositing of arrears
of rent admitted.
Before proceeding to deal with· the respective contentions urged on
behalf of the parties it would be useful to reproduce the provisions of Sections E
12, 13 and 20 of the Act to the extent they are relevant for the immediate
purpose: -
"12. Eviction of tenants - (1) Not-withstanding anything to the
contrary contained in any other law or contract a tenant shall not be
evicted excepted in accordance with the provisions of this Act.
F
Provided that nothing contained in this section shall apply to a
tenant whose landlord is the State Government or the Central
Government or any other public authority notified under this Act.
Provided further that where the tenant denies the title of the G
landlord or claims right of permanent-tenancy the Rent Control Court
shall decide whether the denial or claim is bonafide and if it records
a finding to that effect, the landlord shall be entitled to sue for eviction
of' the tenant in a civil court and such court may pass a decree for
ev1 ction on any of the grounds mentioned in this section, H
\
752
SUPREME COURT REPORTS
[2004] 2 S.C.R.
\
A
·notwithstanding that such court finds that such denial does not involve
c
D
E
F
G
forfeiture •of the lease or that the claim is unfounded.
(2)(a) ·A landlord who see.ks to evict his tenant shall apply to the
. Rent Control Court for a direction in that behalf.
(b) lfthe Rent Control Court, after giving the tenant a reasonable
_ opportunity of showing cause. against the application, is satisfied that
the tenant has not paid.or tendered the rent due by him in respe~t of
the building within fifteen days after the expiry of the time. fixed in
the agreement or tenancy with his .landlord or in the absence of any
such agreement by the last day of the month next following ti)at for
. '"Yhich the rent is payable and such default has <;:ontinued for three
months within a period of twelve months, it shall make an . order
directing the tenant to put the Ian.dlord in possession of.the build~ng,
and if it is not satisfied it shall make an order rejecting the application
. thereof by him.
Provided that an application under this sub-section shall be made
· only ifthe landlord has sent a registered notice.to the tenant intimat!n~
the default and the tenant has failed to pay or tender the rent together
with interest at six per cent per annum and postal charges incurred in
.sending the notice within fifteen days of th.e receipt of th.e notice or
of tile receipt of the notice or of the refusal thereof.
· ( c) The order of the Rent Control Court directing the tenant to put
the landlord in possession of the building shall not be executed before
the expiry of ,one month from the date of such order or such further
period as the Rent Control Court may in its discretion allow; and if
the tenant deposits . th<;. arrears tllf rent with interl?st and cost of
proceedings within the said period of one month or such further
period; as may be, it shall vacate that order."
xxx
xxx. xxx xxx
"13. Payment or deposit of rent cturing the pendency of proceedings
for eviction. - No tenant against whom an applic_ation for eviction 1>-as
been .made by a landlord under section. l2_shall be entitled to .crJntest
the application before the /?.ent Control Court under thatser-tion, or
_to prefer .an appeal under section .20 against any order.made by the
. Rent Control Court on the application, unless he has paid or pays to
the landlord, or deposit with the Rent Control Court or t11ie appellate
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MANIK LAL MAJUMDAR v. G. C. DEY [PATIL, J.)
753
_.,..__
authority, as the case may be, all arrears of rent admitted by the A
tenant to be due in respect of the building upto the date of payment
of deposit, and continues to pay or to deposit any rent which may
subsequently become due in respect of the building, until the
termination of the proceedings before the Rent Control Court or the
aepellate authority as the case may be.
B.
(2) The deposit under sub-section (1) shall be made within such time
as the Rent Control Court may frx and in such manner as may be
prescribed and shall be accompanied by the fee prescribed for the
service of notice referred to in sub-section (4):
--
<
Provided that the time fixf<d by the Rent Control Court for the c
deposit of the arrears of rent shall not be less than forty~five days
from the date of the order and the time fixed for the deposit of rent
which subsequently accrues due shall not be less than two weeks
from the date on which the rent become due.
(3) If any tenant fails to pay or to deposit the rent as aforesaid, the D
Rent Control Court or the appellate authority, as the case may be,
shall unless the tenant shows sufficient cause to the contrary, stop all
further proceedings and make an order directing the tenant to put the
landlord in possession of the building.
(4) When any deposit is made under sub-section (l), the Rent Control E
Court or the appellate authority, as the case may be, shall cause
notice of the deposit to be served on the landlord in the prescribed
manner and the amount deposited may, subject to such conditions as
may be prescribed, be withdrawn by the landlord on application made
by him to the Rent Control Court or the appellate authority in that F
behalf .
. xxx xxx xxx xxx
"20. Appeal. - (I) (a) The State Government may, by general or
special order notified in the Official Gazette, confer on such officers G
and authorities not below the rank of a subordinate judge the powers
of appellate authorities for the purposes of this Act in such classes of
cases as may be specified in the order.
-
(b) Any person aggrieved by an order passed by the Rent Control
Court may, within thirty days from the date of such order, prefer an H
754
SUPREME COURT REPORTS
[2004] 2 S.C.R.
A
appeal in writing to the appellate authority having jurisdiction.
B
c
D
E
F
G
H
Note: - In computing the thirty days in this clause, the time taken
to obtain a certified copy of the order appealed against shall be
excluded.
(2) On such appeal being preferred, the appellate authority may
order stay of further proceedings in the matter. pending decision on
the appeal.
(3) The appellate authority shall call for the record of the case
from the Rent Control Court and after giving the parties an opportunity
of being heard, and if necessary, after making such further inquiry as
it thinks fit either directly or through the Rent ~ontrol Court, shall
decide the appeal.
Explanation: - The appellate authority may, while confirming the
order of eviction passed by the Rent Control Court grant an extension
of time to the tenant for putting the landlord in possession of the
building.
(4) The appellate authority shall have all the powers of the Rent
Control Court including the fixing of arrears of rent.
(5) The decision of the appellate authority, and subject to such
decision, an order of the Rent Control Court shall be final and shall
not be liable to be called in question in any court of Jaw, except as
· · provided in section 22."
(emphasis supplied)
The short question that arises for consideration in this appeal is whether
an appeal can be preferred under Section 20 of the Act aggrieved by the
order made under Section 12 of the Act without making the payment or.
depositing all arrears of rent admitted as required under Section 13(1) of the
Act. A landlord can seek a direction to evict his tenant under Section 12 of
the Act and the Rent Control Court on being satisfied that the tenant has ~t ·
paid or tendered the rent due in respect of the building shall make an order'
directing the tenant to put the landlord in possession of the building and if
it is not satisfied it shall make an order rejecting the application. The order
of the Rent Control Court directing the tenant to put the landlord in possession
shall not be executed before the expiry of one month from. the date of such
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)
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MANIK LAL MAJUMDAR v. r. C. DEY [PATIL, J.]
755
order or till such further period as the Rent Control Court may in its discretion A
allow; and if the tenant deposits the arrears of rent with interest and cost of
the proceedings within the said period, it shall vacate that order.
Section 13 makes provision for payment or deposit of rent during the
pendency of the proceedings for eviction. In this Section it is clearly stated
that no tenant against whom an application for eviction has been made by a B
landlord under Section 12 shall be entitled to contest the· application before
the Rent Control Court under that Section, or to prefer an appeal under
Section 20 against any order made by the Rent Control Court on the
application, unless he has paid or pays the landlord or deposit with the Rent
Control Court or the appellate authority, as the case may be, all arrears of C
rent admitted by the tenant to be due in respect of the building up to the date
of payment or deposit, and continues to pay or deposit any rent, which may
subsequently become due before the Rent Control Court or the appellate
authority, as the case may be. Under sub-Section (l) of Section 13 two
situations are contemplated - one is contesting the application before the Rent
Control Court and the other is preferring an appeal under Section 20 of the D
Act. An embargo is placed on the tenant expressly either to contest the
application under Section 12 before the Rent Control Court or to prefer an
appeal under Section 20 of the Act without payment or deposit of arrears of
rent. The second part of the same sub-Section requires the tenant to continue
to pay or deposit any subsequent rent before the Rent Control Court or the
appellate authority, as the case may be. From this sub-Section it is clear that
a tenant cannot prefer an appeal under Section 20 - (I) unless the tenant has
paid or pays to the landlord or deposits the arrears of rent admitted by the
tenant to be due in respect of the building and (2) after preferring an appeal
he is required to continue to pay or deposit subsequent rent before the appellate
authority to prosecute the appeal.
E
F
From the plain language and clear terms of Section 13(1) of the Act it
follows that payment or deposit of all arrears of rent admitted by the tenant
to be due in respect of the building up to the date of the payment or deposit
is a mandatory requirement for preferring an appeal under Section 20 of the
Act. The said sub-section declares that no tenant shall be entitled to contest G
or to prefer an appeal unless he has paid or pays to the landlord or deposits
with the Rent Control Court or the appellate authority, as the case may be.
The use of the words "no" and "unless" in sub-Section (I) of Section 13 in
the context makes the position clear that the payment or deposit of all arrears
of rent is a pre-requisite essential condition for preferring an appeal.
H
756
SUPREME COURT REPORTS
(2004] 2 S.C.R.
A
The contentions of the learned counsel for the appellants that subSection (3) of Section 13 provides opportunity to the tenant to show sufficient
cause in regard to failure to pay or deposit the rent both before the Rent
Control Court and the appellate authority and by combined reading of Section
13(1) and 13(3) it may be construed that there is no bar for preferring an
appeal without depositing or paying the arrears of rent; the appeal could be
B preferred but the further proceedings could be stopped in the appeal in case
the tenant fails to pay or deposits arrears of rent without any sufficient cause
and the appeal being in continuation of the original proceedings, the same
powers could be exercised by the appellate authority in granting time to a
tenant to pay or deposit arrears of rent even after preferring an appeal, cannot
C be accepted. In the same Section the Legislature consciously contemplated
different situations and different stages in regard to contesting the application
under Section 12 of the Act and preferring an appeal under Section 20 and
continuing the proceedings in the appeal ·after preferring an appeal. Subsection (1) of Section 13 speaks of payment or deposit of arrears of rent
before preferring an appeal and Sub-Section (3) of the same Section speaks
D of stopping all further proceedings by .the appellate authority.
Under Section 13(1) a tenant is not entitled to .contest the application
unless he has paid or pays to the landlord or deposits with the Rent Control
Court the arrears of rent. He cannot prefer an appeal without payment or
E deposit of arrears of rent admitted. Section 13(3) deals with stopping all
further proceedings unless the tenant shows sufficient cause for his failure to
pay or deposit the rent. Stopping of further proceedings would arise only if
the proceedings are pending. Unless an appeal is preferred after complying
the payment of arrears of rent or deposit of the admitted arrears of rent due,
the question of either pendency of the appeal or stopping of further proceedings
F
in such appeal does not arise. There are two separate aspects in regard to an
appeal - one is compliance to be made before preferring an appeal and the
other is the tenant has to continue to pay or deposit the rent, which may
subsequently become due. Sub-section (3) of Section 13 will come into
operation on the tenant failing to pay or deposit subsequent arrears of rent
arising during the pendency of the appeal, so as to stop further proceedings
G in the appeal. But, it cannot relieve the statutory compulsion or the mandatory
requirement of Section 13( 1 ), viz., paying or depositing the arrears of admitted
rent before preferring an appeal. Under Section 20(2) only after an appeal is
preferred under Section 20 after complying with Section 13(1 ), the appellate
authority may stay further proceedings. Under Sub-section ( 4) of Section 20,
H no doubt, the appellate authority shall have all the powers of the Rent Control
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MANIK LAL MAJUMDAR v. G. C. DEY [PATIL..!.]
757
Court including the fixing of arrears of rent. This sub-section cannot be read A
in isolation. It has to be read along with Sub-sections (I) and (3) of Section
13 and Sub-sections (I) and (2) of Section 20. Under Section 20(4) the
appellate authority may have the power of fixing of arrears of rent but that
is only in relation to arrears of rent that may become subsequently due during
the pendency of the appeal.
Payment or deposit of arrears of admitted rent before preferring an
appeal under Section 20 is a statutory requirement as expressly stated in
compulsive language under Section 13(1) of the Act and no discretion is left
B
to the appellate authority to say that an appeal could be preferred without
satisfying pre-condition of deposit or payment of admitted arrears of rent. C
Under Section 20(l)(b) any person aggrieved by an order passed by the Rent
Control Court may within 30 days prefer an appeal. Under Section 20(2) on
such appeal being preferred, the appellate authority may order stay of further
proceedings. The appeal could be preferred only on payment or deposit of
arrears of admitted rent. It also follows that no effective order of stay of
further proceedings can be passed by the appellate authority unless an appeal D
is preferred after such payment or deposit of admitted arrears of rent. This
is also a factor to indicate that payment or deposit of arrears of admitted rent
is essential before preferring an appeal. It is to command a tenant to pay or
deposit arrears of admitted rent to protect the interest of the landlord as in
other matters certain provisions are made to protect the interest of the tenant. E
Remedy of appeal is a creation of statute and it is open to the legislature to
provide for an appeal subject to certain conditions.