GLAMOUR CLEANERS Vs. CHANDRAKANT CHHOTALAL GANDHI

JUDGEMENT

(1.) This group of matters consists of four Revision Applications and one appeal. They all raise the same question and are therefore being disposed of by a common judgment. The question raised is a question of considerable importance and it is whether the holder of a statutory tenancy under the Bombay Rents Hotel and Lodging House Rates (Control) Act 1947 (hereinafter referred to as the Rent Act) has power to sublet whole or part of the premises and thereby confer on the sub-tenant the benefit of the protective provision contained in section 14 of the Rent Act. The facts giving rise to these matters are for the most part undisputed and may be briefly stated as follows.

(2.) Anandji Kalyanji Pedhi is a Public Trust registered under the Bombay Public Trusts Act 1950 Chandrakant Chhotalal Gandhi and Kantilal Bhogilal Nanavati are the present trustees of that trust. By an Indenture of Lease dated 18th July 1949 the then trustees granted a lease of certain premises situate on Relief Road Ahmedabad to one Maneklal Mafatlal for a period of five years. The premises were then under construction and it was therefore provided that the lease would commence from the date on which possession of the premises was handed over by the trustees to Maneklal Mafatlal. It is an admitted fact that the construction of the premises was thereafter completed and possession was handed over by the trustees to Maneklal Mafatlal on 5th March 1950. The period of the lease consequently commenced from 5th March 1950. The rent reserved under the lease was Rs. 2 0 per month and the premises consisted of a ground floor and first floor structure. There were various stipulations in the lease of which the most material was that contained in-clause (1) and as translated it ran in the following terms :-

(3.) It appears that soon after obtaining the lease from the trustees Maneklal Mafatlal started raising disputes about the rent with the trustees and ultimately it was agreed between the trustees and Maneklal Mafatlal that the rent of the premises should be reduced from Rs. 2 0 per month to Rs. 1 700 per month with effect from 1st January 1951. Maneklal Mafatlal was however not content with this reduction in rent and he therefore made an application for fixation of standard rent under the provisions of the Rent Act The application was contested by the trustees. The trial Court however fixed the standard rent of the premises at Rs. 1 300 per month. Maneklal Mafatlal as well as the trustees were aggrieved by this determination of the standard rent with the result that there were cross Revision Applications filed by Maneklal Mafatlal and the trustees. The cross Revision Applications ended in a consent order on 30th April 1957 whereby the standard rent of the premises was fixed at Rs. 1 700 per month by consent of parties. The period of the lease in the meantime expired on 5th March 1955 and since Maneklal Mafatlal had run into arrears of rent the trustees gave a notice dated 25 February 1955 calling upon Maneklal Mafatlal to hand over possession of the premises to the trustees on the expiration of the period of the lease. Maneklal Mafatlal however failed to hand over possession of the premises to the trustees and the trustees were therefore obliged to file a suit for ejectment against Maneklal Mafatlal on 27th April 1956. After a bitter contest the trustees ultimately succeeded in obtaining a decree for ejectment against Maneklal Mafatlal on 22nd June 1960. When the trustees attempted to obtain possession of the premises in execution of the decree the trustees found that the first floor of the premises was in the possession of Anand Niwas Private Limited while two shops on the ground floor were in the possession of Glamour Cleaners and Vithaldas Panchal. The trustees could therefore obtain possession only of the remaining portion of the ground floor from Maneklal Mafatlal and so far as the other portions of the premises were concerned the trustees were obstructed by Anand Niwas Private Limited Glamour Cleaners and Vithaldas Panchal. According to Anand Niwas Private Limited the first floor of the premises was sublet by Maneklal Mafatlal to Anand Niwas Private Limited from 1st January 1959. Glamour Cleaners and Vithaldas Panchal also set up sub-tenancies of the respective portions of the ground floor in their possession from Maneklal Mafatlal from August 1958.