S J PANDE Vs. P K BALAKRISHNAN

JUDGEMENT

(1.) Can a statutory tenant create a licence If the answer is in affirmative then can such licensee claim immunity from eviction in execution proceedings in view of S. 15A of the Bombay Rent Hotel and Lodging House Rates Control Act 57 of 1947 (hereinafter referred to as 'the Act') These are questions which arise for consideration in this appeal directed against the judgment and order of the Bombay High Court.

(2.) What happened was that the landlord determined the tenancy of the contractual tenant in October 1966 and filed a suit for his eviction in 1967 which was decreed ex parte on 5th October 1973. In execution of the decree the licensee obstructed and claimed to be protected licensee under S. 15A of the Act. The objection was rejected by the executing and the appellate court. The appellate court found that even though the first licence was created in 1966 before determination of the tenancy for a period of six years but the second licence having been created in 1972, it was not necessary to examine the validity of the first, as second was created when contractual tenant had become statutory tenant therefore he was incapable of transferring any right or interest in favour of the licensee. The High Court did not disturb the finding that the licence was created in 1972 but it held that creation of licence by a statutory tenant was valid. Consequently the licensee was in occupation of the premises as licensee on the date the Bombay Rent Act was amended and was entitled to the benefit of' S. 15A of the Act. For this reliance was placed on certain observations made by a Division Bench of that Court in Vasant Tatoba Hargude v. Dikkaya Muttaya Pujari, AIR 1980 Bombay 341 to the following effect (para 14):

(3.) Who is a statutory tenant, what right or interest he can assign or transfer have been dealt by this Court in more than one decisions. In Anand Nivas Private Ltd. v. Anandji Kalyanji's Pedhi, AIR 1965 SC 414 a decision rendered under Bombay Rent Act the majority held, (para 27)