Deciding Authority: The Supreme Court of India
Name of the Judges: R.C. LAHOTI & BRIJESH KUMAR
Date of Judgement: 25/01/2002
Facts: The Landlords, who are respondent Nos. 1-3 in the present appeal, filed a suit for eviction of the appellant in the court of Judge, Small Causes, Jaunpur. The rent of the accommodation in question was Rs. 18 per month. The tenant stopped payment of rent w.e.f. 1.6.1971, but an amount of Rs. 443.50 paise was claimed on account of arrears of rent w.e.f. 15.12.1973 to 4.1.1975 and an amount of Rs. 240.50 paise on account of mesne profit w.e.f. 5.1.1975 till 15.12.1976. It is further averred in the plaint that rent for the period w.e.f. 1.6.1971 to 15.12.1973 was not being claimed having become barred by time. According to the appellant-defendant, he had deposited all the amount due in the Court on the first date of hearing complying with Section 20(4) of the Act and prior to that he had deposited the rent under Section 30(2) of the Act. The property in question was on lease with the landlord, granted by Municipal Board. On expiry of the period of lease in the year 1971, the Municipal Board issued notice demanding rent from the defendant. Therefore, the defendant-appellant resorted to the provisions of Section 30(2) of the Act and started depositing the rent in the Court. The ground for eviction on account of sub-letting by the appellant/ tenant, was not accepted by the Trial Court, However, it was found that the appellant-tenant was in arrears of rent, but decree of eviction was not passed, since the appellant paid the amount due on the first date of hearing in accordance with Section 20(4) of the U.P. Urban Building (Regulation of Letting, Rent and Eviction) Act 1972 (to be referred as Act). The Revisional Court, however, upset the order passed by the Trial Court and passed decree of eviction on account of arrears of rent as well as on the ground of sub-letting. The said order was upheld in the Writ Petition in so far it related to default in payment of rent. The High Court, however, held that the Revisional Court was wrong in substituting its own finding of fact regarding subletting, in exercise of its revisional powers. Therefore, finding of the Trial Court on the point of sub-letting stood restored. The High Court came to the conclusions that benefit of deposit under Section 30(2) of the Act could not be given to the tenant under Section 20(4) of the act and the tenant has to clear off all dues as standing against him including the amount of arrears which may, though have become barred by time. This appeal has been preferred by the tenant of the premises in question against the Judgement and Order passed by Allahabad High Court.
Judgement: A perusal of sub-Section (4) of Section 20 of the Act, no doubt indicates that the deduction of an amount from the total amount due is permissible only to the extent of deposit made under sub-section (1) of Section 30. It does not mention about the deposits made under sub-section (2) of Section 30 of the Act. A tenant is required to make deposit, under sub-section (1) of Section 30 on refusal of the landlord to accept the rent. The deposit under subsection(2) of Section 30 is required to be made where any doubt or dispute arises as to the person who may be entitled to receive rent in which event, the tenant may deposit the amount in the Court till such doubt has been removed or dispute has been settled. The effect of the deposits made under sub-section (1) and (2) is to be found under sub-section (6) of Section 30 according to which it shall be deemed that the person depositing the amount has paid it on the date of deposit, to the person in whose favour deposit is made under sub-section (1) and to the landlord in case deposit is made under sub-section (2). It is thus clear that the effect of deposit under two different circumstances as provided under sub-sections (1) and (2) of Section 30, is the same. The deposit is deemed to be payment made by the person depositing to the landlord. That being the position, it is not open to say that a deposit made under sub-section (2) of Section 30 would not be deemed to be payment or rent to the landlord and the same is not liable to be accounted for while considering the amount due. Omission of sub-section (2) of Section 30 in sub-section (4) of Section 20 of the Act, cannot lead to an inference, which would negate or nullify the express and statutory effect provided under sub-section (6) of Section 30 regarding deposits made under Section 30 (2) of the Act. In R.S. Raghunath v. State of Karnataka and Anr., AIR (1992) SC 81 it has been observed-“no part of a Statute and no word of a Statute can be construed in isolation. Statutes have to be constructed so that every word has a place and everything is in its place”. Sub-section (4) of Section 20 provides for payment of entire rent by the tenant at the first hearing of the Suit. It further permits, deduction of any amount therefrom which has already been deposited by the tenant under sub-section (1) of Section 30. Sub-section (2) of Section 30 is omitted. The effect of payment under sub-section (2) of Section 30 is that of payment by the depositor to the landlord. If the amount deposited under sub-sec. (2) is not deductible under sub-section (4) of Section 20 like the deposit made under sub-section (1) of Section 30 and despite the deposit the tenant is liable to be evicted on the ground of arrears of rent, it would render sub-section (2) of Section 30 devoid of meaning and sub-section (6) of Section 30 otiose.
Decision:
The appeal is allowed.
Sudipta Bhowmick, 4th Year, B.A. LL.B., School of Law, KIIT University
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