JAYPAL BANDU ADAKE AND KESHARLAL SHAMLAL JAIN Vs. BASAVALI GURULINGAPPA MHALANK AND BANSILAL LOKNATH JAIN

JUDGEMENT

(1.) These two petitions have been referred to the Division Bench on an order of reference made by a learned Single Judge, who experienced some difficulty in following decision of Jahagirdar, J., in (Gulabchand v. Noorbeg) 1980 Bom.C.R. 716 : A.I.R. 1980 Bombay 307. The questions referred relate to the construction of the provision of section 12(3)(a) of the Bombay Rents, Hotel and Lodging House Rate Control Act, 1947 (hereinafter referred to as the "Rent Act") and the determination of the correct ratio of two decisions of the Supreme Court in (Shah Dhansukhlal Chhaganlal v. Dalichand Virchand Shroff ) A.I.R. 1968 S.C. 1109, and (Harbanslal Jagmohandas and another v. Prabhudas Shivlal) A.I.R. 1976 S.C. 2005. Since the only points on which the decisions of both the petitions will really turn related to the construction of the provisions of sections 12(3)(a) and 12(3)(b) of the Rent Act, we have heard the learned Counsel for the petitioners and the respondents in these cases not only on the questions of law referred but also on the merits of the two petitions and this judgment will, therefore, dispose of both the petitions.

(2.) The three questions of law which have been referred by the learned Single Judge in his order of reference are as follows :---

(3.) We shall briefly refer to the facts in the two petitions before us. Special Civil Application No. 1812 of 1977 is filed by the landlords and it arises out of a suit filed by them claiming possession of the suit premises which consist of house property which was occupied by the tenant-respondent on a monthly rent of Rs. 55/- in Ward B of Kolhapur. The notice terminating the tenancy on the ground of arrears of rent was issued by the landlords on 29th January, 1973 and the arrears claimed were for the period 1st August, 1970 to 31st December, 1972. The tenant by a notice dated 15th February, 1973 disputed that Rs. 50/- was standard rent and claimed that the standard rent was Rs. 45/-. The suit for possession was filed on 4th September, 1973. The trial Court held that the standard rent of the premises was Rs. 50/- per month and that the tenant was entitled to the benefit of section 12(3)(b) of the Rent Act. Giving credit for the amount of Rs. 252.56, which was paid by the defendant by way of municipal taxes, the trial Court passed a money decree for Rs. 1547.44 but dismissed the suit for possession.