LAWS(DLH)-1998-4-45

CANARA BANK Vs. SHANTI VAISH

Decided On April 01, 1998
CANARA BANK Appellant
V/S
SHANTI VAISH Respondents

JUDGEMENT

(1.) This appeal is directed against the judgment and decree dated 27.2.1997 passed by the Additional District Judge, Delhi in Civil Suit No. 53/95 decreeing the respondents suit for appellant's eviction from suit premises bearing No. C-I/A, Mehrauli Road, Green Park Ext. New Delhi and also for. recovery of mesne profits. The backdrop of facts is this. By an indenture of lease dated 18.12.1990, the respondents leased to the appellant the suit premises for a term of five years commencing from 6.10.1989. Clause (2) of the lease deed (Ex. P.W. 1/2) provided for a renewal of the lease and was in the following terms:

(2.) "This lease shall be in force for a period of Five Years certain from 6.10.1989. The lessee shall, however, have the option to continue the lease thereafter for a further period of Five Years upto 5.10.1999, provided the option is exercised by serving a registered notice in writing 6 months prior to the expiry of the lease period, on the same terms and conditions expect rent which will be enhanced by 35% as agreed hereto. The lessee shall be at liberty to vacate the 'said premises' any time during the period of occupation on giving three months' notice."

(3.) The appellant/defendant contested the respondents/plaintiff's claim, on various grounds. The defendant pleaded, inter alia, that it had exercised the option of renewal of lease by serving the notice dated 9.5.1994 upon the respondents as a result whereof the lease was renewed for a period of 5 years w.e.f. 6.10.1994 till 5.10.1991 and the respondents had also accepted rent from the defendant for periods subsequent the said notice in accordance with the terms and conditions of the lease deed dated 18.12.1990. The defendant further pleaded that the respondents are not entitled to terminate the lease prior to the expiry of the period of 5 years for which the renewal was promised and agreed to by the respondents under the terms and conditions of the lease deed dated 28.12.1990 and as such the alleged termination of the lease by the respondents vide notice dated 23.7.1994 is illegal and of no consequence.