Supreme Court Allows Landlord's Appeal in Rent Control Case — Notice Requirement Under Section 21(1)(a) Proviso of U.P. Rent Control Act Can Be Satisfied by Oral or Written Notice, No Mandatory Mode Prescribed. The Court restored the eviction order, holding that the High Court erred in reversing concurrent findings on notice and comparative hardship.

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Case Note & Summary

The appellant, Mohd. Asif Naseer, purchased a shop (Shop No.64) in Lucknow via registered sale deed dated 29.10.2004. The respondent, West Watch Company, was a tenant in the shop since 1951, paying a monthly rent of Rs.15, and running a watch repair and sale business. The appellant sought eviction under Section 21(1)(a) of the U.P. Urban Building (Regulation of Letting, Rent and Eviction) Act, 1972, claiming bona fide need to start his own watch business, as he was assisting his father and had no other shop. He alleged the respondent was wealthy, owned other properties, and had other commercial accommodations. The respondent contested, claiming the shop was his only source of livelihood and that he had tried but failed to find alternate accommodation. The Prescribed Authority allowed the release application on 04.10.2011, holding that the appellant had given six months' notice as required, the need was bona fide, and comparative hardship favored the landlord. The Appellate Authority affirmed on 05.02.2016. The High Court, in a writ petition by the tenant, reversed these orders on 27.07.2016, primarily on the ground that there was no valid notice because no presumption of service arises from a notice sent under certificate of posting. The Supreme Court allowed the appeal, holding that the proviso to Section 21(1)(a) does not prescribe any particular mode of notice; it can be oral or written, and if written, need not be by registered post. The Prescribed Authority had found notice was given based on evidence, including that the tenant filed an application to deposit rent after the notice was sent. The High Court erred in overturning this finding. The concurrent findings on comparative hardship were not disturbed. The Supreme Court set aside the High Court's judgment and restored the orders of the Prescribed Authority and Appellate Authority, directing the tenant to vacate within three months, subject to the landlord paying two years' rent as compensation.

Headnote

A) Rent Control - Notice Requirement - Section 21(1)(a) Proviso, U.P. Urban Building (Regulation of Letting, Rent and Eviction) Act, 1972 - The proviso does not prescribe any particular mode of giving notice; it can be oral or written, and if written, need not be sent only by registered post. The requirement is that the landlord has given a notice in that behalf to the tenant. (Paras 12-13)

B) Rent Control - Evidence - Certificate of Posting - Section 34, U.P. Urban Building (Regulation of Letting, Rent and Eviction) Act, 1972 - The Prescribed Authority can receive evidence on affidavit. The finding of notice having been given was based on facts, including that the tenant admitted the landlord and filed an application to deposit rent after the notice was sent. The High Court erred in holding that no presumption of service arises from certificate of posting. (Paras 13-14)

C) Rent Control - Comparative Hardship - Section 21(1)(a), U.P. Urban Building (Regulation of Letting, Rent and Eviction) Act, 1972 - The High Court did not disturb the concurrent findings of the Prescribed Authority and Appellate Authority that the landlord's need was bona fide and pressing and that comparative hardship was in favor of the landlord. The High Court's mere passing mention cannot upset those findings. (Para 10)

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Issue of Consideration

Whether the requirement of six months' notice under the proviso to Section 21(1)(a) of the U.P. Urban Building (Regulation of Letting, Rent and Eviction) Act, 1972 can be satisfied by notice sent under certificate of posting, and whether the High Court was justified in reversing the concurrent findings of the Prescribed Authority and Appellate Authority on the ground of lack of proper notice.

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Final Decision

The Supreme Court allowed the appeal, set aside the High Court's judgment, and restored the orders of the Prescribed Authority and Appellate Authority. The tenant was directed to vacate the shop within three months, subject to the landlord paying two years' rent as compensation.

Law Points

  • Notice under Section 21(1)(a) proviso of U.P. Urban Building (Regulation of Letting
  • Rent and Eviction) Act
  • 1972 can be oral or written
  • no particular mode of service is prescribed
  • certificate of posting can be evidence of notice
  • High Court erred in holding that no presumption of service arises from certificate of posting.
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Case Details

2020 LawText (SC) (4) 27

Civil Appeal No. 2375 of 2020 (Arising out of SLP(C) No. 29649 of 2016)

2020-07-20

Vineet Saran, J.

Mohd. Asif Naseer

West Watch Company through its Proprietor

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Nature of Litigation

Civil appeal against High Court order in rent control writ petition, concerning eviction of tenant on ground of landlord's bona fide need.

Remedy Sought

Appellant-landlord sought eviction of respondent-tenant from shop for his personal business use.

Filing Reason

Appellant purchased the shop in 2004 and needed it for his own watch repair and sale business; tenant refused to vacate despite initial agreement.

Previous Decisions

Prescribed Authority allowed release application on 04.10.2011; Appellate Authority dismissed tenant's appeal on 05.02.2016; High Court allowed tenant's writ petition on 27.07.2016, setting aside the eviction orders.

Issues

Whether the requirement of six months' notice under the proviso to Section 21(1)(a) of the U.P. Rent Control Act was satisfied by notice sent under certificate of posting. Whether the High Court was justified in reversing the concurrent findings of the Prescribed Authority and Appellate Authority on the ground of lack of proper notice. Whether the High Court erred in not disturbing the concurrent findings on comparative hardship.

Submissions/Arguments

Appellant: He had given six months' notice as required; the notice was sent under certificate of posting; the tenant admitted the landlord and filed an application to deposit rent after the notice; the need was bona fide and pressing; comparative hardship favored the landlord. Respondent: No notice was given; certificate of posting cannot raise presumption of service; the appellant's intention was to demolish and build a multistory building for profit, not for personal use; the tenant's need was greater.

Ratio Decidendi

The proviso to Section 21(1)(a) of the U.P. Urban Building (Regulation of Letting, Rent and Eviction) Act, 1972 does not prescribe any particular mode of giving notice; it can be oral or written, and if written, need not be sent only by registered post. The requirement is that the landlord has given a notice in that behalf to the tenant. The Prescribed Authority's finding of notice having been given, based on evidence including the tenant's subsequent conduct, was not perverse and could not be overturned by the High Court in writ jurisdiction.

Judgment Excerpts

From the perusal of the aforesaid Proviso to the said Section, it is clear that no particular mode of giving notice by the landlord to the tenant has been provided for, meaning thereby that the same could be given orally or in writing; and if in writing, it is not necessary that it should be sent only by registered post. What is required is that 'the landlord has given a notice in that behalf to the tenant'. The Prescribed Authority, while recording the finding that the tenant was given notice for eviction, has considered the various facts leading to the recording of such finding. It is not that the Prescribed Authority has drawn a presumption of the notice having been served merely because it was said to have been sent under certificate of posting.

Procedural History

Appellant filed release application under Section 21(1)(a) of U.P. Rent Control Act before Prescribed Authority, which allowed it on 04.10.2011. Respondent appealed to Additional District Judge (Appellate Authority), which dismissed the appeal on 05.02.2016. Respondent then filed Rent Control Writ Petition No.3457 of 2016 before the High Court, which allowed the writ petition on 27.07.2016, setting aside the eviction orders. Appellant filed Special Leave Petition (C) No.29649 of 2016 before the Supreme Court, which was converted into Civil Appeal No.2375 of 2020.

Acts & Sections

  • U.P. Urban Building (Regulation of Letting, Rent and Eviction) Act, 1972: Section 21(1)(a), Section 30(1), Section 34
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Supreme Court Supreme Court Allows Landlord's Appeal in Rent Control Case — Notice Requirement Under Section 21(1)(a) Proviso of U.P. Rent Control Act Can Be Satisfied by Oral or Written Notice, No Mandatory Mode Prescribed. The Court restored the eviction order...
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