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[Cites 14, Cited by 0]

Calcutta High Court (Appellete Side)

Sanjiv Kumar Jaiswal & Anr vs Sri Harigopal Das & Ors on 25 April, 2024

Author: Shampa Sarkar

Bench: Shampa Sarkar

25.04.2024
Ct. No. 19
Sl. No. 20
    Cp/Gb

                            C.O. No. 2281 of 2023

                        Sanjiv Kumar Jaiswal & anr.
                                    Vs.
                          Sri Harigopal Das & ors.


              Mr. Aditya Sen
                                                    ... for the Petitioners.

              Mr. Sayan Sinha
              Mr. Deepak Kr. Basu
              Mr. Puran Pal

                                              ....for the opposite parties.



             1. The revisional application arises out of an order dated

                November 14, 2022, passed by the learned Judge, 5th

                Bench, Small Causes Court, Calcutta. By the order

                impugned, an application under Section 7(3) of the

                West Bengal Premises Tenancy Act, 1997 (hereinafter

                referred to as "the said Act"), was allowed.

             2. The petitioners were found to be defaulters and the

                defence was struck off. The learned court, upon

                considering the orders passed in the applications

                under Sections 7(1) and 7(2) of the said Act as also the

                exhibits and pleadings in paragraphs 7 and 8 of the

                application under Section 7(2) and paragraph 12 of the

                written statement, arrived at the conclusion that there

                were   admitted   dues   which    were   not   deposited.

                However, when the application under Section 7(1) of

                the said Act had been disposed of, an opportunity was
                      2




  given to the petitioner to deposit the admitted dues.

  The dues were not paid.

3. Thus, the court had no other alternative but to strike

  off the defence. The court found that the factum of

  deposit of rent from August 2014 to January 2018

  also, could not be established by the petitioners.

4. By the order dated February 22, 2018, the learned

  Chief Judge, Small Causes Court had disposed of the

  application under Section 7(1) of the said Act, inter

  alia, holding that the application was formal in nature

  and within time. Unless the tenants were allowed to

  deposit the admitted arrears along with the current

  rent, they would suffer irreparable loss and injury. The

  tenants were permitted to deposit the admitted arrear

  of rent at the rate at which it was last paid, upto the

  end of the month prior to the filing of the suit, together

  with 10% interest per annum, in terms of their prayer.

  Liberty was further granted to deposit the current rent

  month by month within 15th of each succeeding

  month. The application under Section 7(2) of the said

  Act was kept pending for further adjudication.

5. The application under Section 7(2) came up for

  hearing before the learned court on July 18, 2022. The

  court recorded that the induction of the petitioner as

  tenants in respect of the shop room on the ground

  floor of the suit premises at a monthly rental of

  Rs.300/- payable according to the English calendar
                       3




   month was an admitted fact. The case of the tenants

   was that they had paid the rent regularly to the

   landlords. The landlords had received the rent for 19

   months @ Rs.300/- from January, 2013 to July, 2014

   at a time. Rent receipts were granted. The tenants

   further contended that the landlords did not issue any

   rent receipts for the months from August, 2014 to

   December, 2016, although the rent was received. The

   tenants had also paid rent from January, 2017 to

   September, 2017 but no rent receipts had been issued

   as per their statements. The rent for December, 2017

   was sent by postal money order, but was refused by

   the   landlords.   Thereafter,   the   application   under

   Section 7(1) of the said Act was filed for permission to

   allow the tenants to go on depositing the current rent

   from February, 2018.

6. By filing the application under Section 7(2), the tenant

   raised a dispute with regard to the arrears and the

   relationship. The learned court came to the finding

   that the relationship was admitted in the written

   statement and also in the other pleadings under

   Section 7(1) and 7(2) of the said Act. Moreover, the

   tenants' case was that they had approached the

   plaintiffs for acceptance of rent and grant of receipts,

   which they had refused. The landlords filed an

   application under Section 7(3) of the said Act for
                        4




  striking off the defence for non-compliance of Section

  7(1).

7. The learned court considered the postal receipts etc.

  and the other challans and came to the finding that

  the tenants were defaulters between August, 2014 to

  January, 2018 and although permission was granted

  to the petitioners/tenants to deposit the admitted

  arrears by the order dated February 22, 2018, but

  such opportunity was not availed of. The court could

  not condone the delay by allowing the tenants to

  deposit the admitted arrears.

8. The learned court took up the matter for hearing and

  upon considering the orders passed under Sections

  7(1) and 7(2) of the said Act, arrived at the conclusion

  that the deposit from August 2014 to January 2018

  had     not   been   made.   The   court   considered   the

  admissions of the tenants that there were some

  arrears, but despite having been given an opportunity

  to deposit the same the deposit was not made.

9. The learned advocate for the petitioners submits the

  challans to show that current rent @ Rs.300/- had

  been paid as per the order dated February 22, 2015.

  Thus, the contention of the learned advocate for the

  petitioners that the petitioners were unaware of the

  order by which they were permitted to deposit the

  admitted arrears with 10% interest which led to the

  non-compliance, is not correct.
                       5




10. Section 7 is a mechanism which allows a tenant to

   seek protection from eviction in a suit filed under any

   of the grounds under Section 6 of the West Bengal

   Premises Tenancy Act, 1997.

11. This is a suit for eviction on the ground of default and

   reasonable requirement. The tenants were required to

   comply with Section 7(1) of the said Act by depositing

   the admitted arrears of rent with 10% statutory

   interest within a month from receipt of summons or

   within a month from appearance before the court, if

   the tenant appeared without receipt of summons.

12. The order records that the application under Section

   7(1) was filed within time. The learned court found

   that there were admitted arrears and directed the

   tenants/petitioners    to   deposit   the   same.    The

   petitioners admittedly did not deposit the same. The

   ground taken before this Court is non-communication

   of the order by the learned advocate. This plea cannot

   be accepted because the other part of the same order

   was complied with and current rent was deposited.

   Moreover, while disposing of the application under

   Section 7(2), the learned court allowed the parties to

   adduce both oral and documentary evidence. The

   learned court also went through each and every

   pleading and found that there was admissions with

   regard to the arrears of rent in paragraphs 7 and 8 of
                     6




  the application under Section 7(2) and paragraph 12 of

  the written statement.   Thus, the opportunity which

  was available to the petitioners under Section 7(1) and

  as permitted by the learned court while disposing of

  the application under Section 7(1), was not availed of

  at the appropriate time. The court observed that the

  rents from August 2014 to January 2018 had not been

  paid. There was no evidence to justify such claim.

13. Paragraphs 7 and 8 of the application under Section

  7(2) clearly states that the rent for December 2017 was

  not accepted by the plaintiff and the same was sent by

  money order. The defendants did not pay the rents for

  December 2017 and January 2018 as per their own

  statement. In the written statement, it has been

  categorically stated in paragraph 12 that the rent for

  December 2017 was refused and later tendered by

  money order. With regard to the payment of rent for

  January 2018, the petitioners were silent. The court,

  while disposing of the application under Section 7(1),

  had permitted the petitioner to deposit the admitted

  arrears along with 10% statutory interest. Even

  assuming that the observation of the court with regard

  to non-payment of rent from August 2014 to January

  2018, is not correct, how payment for December 2017

  and January 2018 was made, is not available. There is

  a clear direction by the trial court that there had been
                      7




  arrears, which should be deposited with 10% interest.

  Only upon compliance of Section 7(1) can any dispute

  under Section 7(2) be raised.

14. The Hon'ble Apex Court in the matter of Bijay Kumar

  Singh & Ors. versus Amit Kumar Chamariya &

  Anr.    reported in (2019) 10 SCC 660 held that

  without depositing the admitted arrears with 10%

  statutory interest, the tenant would not be entitled to

  seek any adjudication of any dispute under Section

  7(2). The law is well-settled. It has also been held that

  upon non-compliance of Sections 7(1) and 7(2), the

  defence of the tenants was also liable to be struck off.

  The relevant paragraphs are quoted below:-

         19. Sub section (1) of Section 7 of the Act
         relieves the tenant from the ejectment on the
         ground of non-payment of arrears of rent if he
         pays to the landlord or deposits it with the Civil
         Judge all arrears of rent, calculated at the rate
         at which it was last paid and up to the end of
         the month previous to that in which the
         payment is made together with interest at the
         rate of ten per cent per annum. Such payment
         or deposit shall be made within one month of
         the service of summons on the tenant or, where
         he appears in the suit without the summons
         being served upon him, within one month of his
         appearance.

         20. Therefore, sub section (1) deals with the
         payment of arrears of rent when there is no
         dispute about the rate of rent or the period of
         arrears of rent. Sub section (2) of the Act comes
         into play if there is dispute as to the amount of
         rent including the period of arrears payable by
         the tenant. In that situation, the tenant is
         obliged to apply within time as specified in sub
         section (1) that is within one month of the
         receipt of summons or within one month of
         appearance before the court to deposit with the
             8




Civil Judge the amount admitted by him to be
due. The tenant is also required to file an
application for determination of the rent
payable. Such deposit is not to be accepted,
unless it is accompanied by an application for
determination of rent payable. Therefore, sub
section (2) of the Act requires two things,
deposit of arrears of rent at the rate admitted to
be due by the tenant along with an application
for determination of the rent payable. If the two
conditions are satisfied then only the Court
having regard to the rate at which rent was last
paid and for which tenant is in default, may
make an order specifying the amount due. After
such a determination the tenant is granted one
month's time to pay to the landlord the amount
which was specified. The proviso of the Act,
limits the discretion of the court to extend the
time for deposit of arrears of rent. The extension
can be provided once and not exceeding two
months.
21. Sub section (3) provides for consequences of
non-payment of rent i.e. striking off the defence
against the delivery of the possession and to
proceed with the hearing of the suit. Such
provision is materially different from sub
sections (2A) and (2B) which was being
examined by this Court in B.P. Khemka. Sub
sections (2A) and (2B) of Section 17 of 1956 Act
confer unfettered power on the court to extend
the period of deposit of rent, which is
circumscribed by the proviso of sub sections (2)
and (3) of Section 7 of the Act. Therefore, the
provisions of sub section (2) are mandatory and
required to be scrupulously followed by the
tenant, if the tenant has to avoid the eviction on
account of non-payment of arrears of rent under
Section 6 of the Act. There is an outer limit for
extension of time to deposit of arrears of rent in
terms of the proviso to sub section (2) of Section
7 of the Act. The consequences flowing from
non-deposit of rent are contemplated under sub
section (3) of Section 7 of the Act. Therefore, if
the tenant fails to deposit admitted arrears of
rent within one month of receipt of summons or
within one month of appearance without
summons and also fails to make an application
for determination of the disputed amount of rate
of rent and the period of arrears and the
subsequent non-payment on determining of the
arrears of rent, will entail the eviction of the
tenant. Section 7 of the Act provides for a
complete mechanism for avoiding eviction on
                     9




        the ground of arrears of rent, provided that the
        tenant takes steps as contemplated under sub
        section (2) of Section 7 of the Act and deposits
        the arrears of rent on determination of the
        disputed amount. The deposit of rent along with
        an application for determination of dispute is a
        pre-condition to avoid eviction on the ground of
        non-payment of arrears of rent. In view thereof,
        tenant will not be able to take recourse to
        Section 5 of the Limitation Act as it is not an
        application alone which is required to be filed by
        the tenant but the tenant has to deposit
        admitted arrears of rent as well."

15. In the decision of Smt. Binika Thapa (nee Rai) &

  Anr. Vs Smt. Damber Kumari Mukhia & Anr., this

  Court held that the decision in Chamariya (supra) is a

  binding precedent. The relevant paragraphs are quoted

  below:-

        "15. Section 7 was interpreted in Amit Kumar
        Chamariya (supra) and the entire mechanism by
        which a tenant could seek benefit from eviction
        on the ground of default, was considered to be
        mandatory and inter-related. The provisions of
        the said section were discussed in the following
        paragraphs thereof:-

        16............

        We proceed to discuss the ratio in Amit Kumar
        Chamariya (supra). On institution of a suit by
        the landlord for eviction on any of the grounds
        referred to in Section 6 of the said Act, the
        tenant, subject to the provisions of sub-section
        (2) of the Section 7, was liable to pay to the
        landlord or deposit with the civil judge all
        arrears of rent calculated at the rate at which it
        was last paid and upto the end of the month
        previous to that in which the payment was
        made, together with interest at the rate of 10%
        per annum. Such payment or deposit was to be
        made within one month from the service of
        summons on the tenant or when the tenant
        appeared in the suit without summons being
        served, within one month from his appearance.
        Thereafter, the tenant was enjoined by law, to
        continue to pay to the landlord or deposit with
                        10




         the civil judge a sum equivalent to the rent at
         that rate, month by month within 15th of each
         succeeding month. In case of any dispute as to
         the amount of rent payable by the tenant, the
         tenant was liable to deposit with the civil judge,
         within the time specified in the sub-section, the
         amount admitted by him to be due from him
         together with an application for determination of
         the rent payable. No such deposit could be
         accepted unless it was accompanied by an
         application for determination of the rent
         payable. On receipt of the application, the civil
         judge, having regard to the rate at which the
         rent was last paid and the period for which
         default may have been made by the tenant,
         determine the dispute and pass an order within
         a period not exceeding one year, specifying the
         amount, if any, due from the tenant and
         thereupon the tenant was liable to pay to the
         landlord within one month from the date of
         such order, the amount so specified in the order
         along with the monthly rent at the rate so
         determined."



16. Under such circumstances, the learned court was

  correct in holding that no opportunity can be given to

  the   tenants   to    deposit   arrear   rents.   The   order

  impugned does not call for any interference.

17. The prayer of the petitioners for deposit of the

  admitted arrears with statutory interest cannot be

  allowed at this stage in view of the decision of the

  Hon'ble Apex Court and also of this Court, inasmuch

  as, a belated deposit of admitted arrears is not

  permissible in law and Section 5 of the Limitation Act

  would not have any role to play.

18. In Debasish Paul and Anr. vs. Amal Boral reported

  in 2023 INSC 925, the Hon'ble Apex Court also
                        11




   reiterated the ratio of Chamariya (supra) and held

   that the ratio of Chamariya (supra) could not be

   doubted. The briefs facts before the Hon'ble Apex

   Court were as follows:-

          "2. In the proceedings, the respondent made an

application under Sections 7(1) and (2) of the West Bengal Premises Tenancy Act, 1997 (hereinafter referred to as the 'said Act'). The application was rejected by the Trial Court vide a judgment dated 11.09.2018 on the ground that the respondent had entered appearance in the suit on 09.02.2016 but filed the application only on 14.12.2016 i.e., after a delay of ten months.

3. The application, not being filed within the statutory period of one month, was, thus, rejected. No application was filed under Section 5 of the Limitation Act, 1963.

4. The respondent, aggrieved, by the same preferred a Civil Revision before the High Court and in terms of the judgment dated 21.08.2019, the High Court set aside the judgment dated 11.09.2018 and granted liberty to the respondent tenant to file an application under Section 5 of the Limitation Act, 1963 explaining the circumstances causing the delay for the purpose with the prayer for condonation of delay in support of the application under Sections 7(1) and 7(2) of the said Act already filed."

19. In the said case as narrated above, being aggrieved by the order of the High Court, the landlord moved the Supreme Court. The Hon'ble Court held that Section 40 of the said Act would not be applicable in this case, as the period of limitation had been prescribed in the provisions of Section 7 itself. The Hon'ble Apex Court held as follows:-

"15. It is relevant to note that the case of Bijay Kumar Singh, 4 in turn, referred to the observations made in Nasiruddin case5 in the 12 following terms: "37. ...It is well settled that the real intention of the legislation must be gathered from the language used. It may be true that use of the expression "shall or may" is not decisive for arriving at a finding as to whether the statute is directory or mandatory. But the intention of the legislature must be found out from the scheme of the Act. It is also equally well settled that when negative words are used the courts will presume that the intention of the legislature was that the provisions are mandatory in character.
38. ...if an act is required to be performed by a private person within a specified time, the same would ordinarily be mandatory but when a public functionary is required to perform a public function within a time-frame, the same will be held to be directory unless the consequences therefor are specified.
16. We have no doubt over the proposition that though generally the Limitation Act is applicable to the provisions of the said Act in view of Section 40 of the said Act, if there is a lesser time period specified as limitation in the said Act, then the provisions of the Limitation Act cannot be used to expand the same. It is in this context that in Nasiruddin case, it has been mentioned that the real intention of the legislation must be gathered from the language used. Thus, the reasoning in Bijay Kumar Singh case cannot be doubted more so as the requirement is for a tenant to file an application, but he has to deposit the admitted arrears of rent as well, which has certainly not been done.
17........
18. There is also a larger context in this behalf as the Tenancy Acts provide for certain protections to the tenants beyond the contractual rights. Thus, the provisions must be strictly adhered to. The proceedings initiated on account of non-payment of rent have to be dealt with in that manner as a tenant cannot occupy the premises and then not pay for it. This is so even if there is a dispute about the rent. The tenant is, thus, required to deposit all arrears of rent where there is no dispute on the admitted amount of rent and even in case of a dispute. The needful has to be done within the time stipulated and actually should accompany the application filed under Sub-Sections (1) & (2) of Section 7 of the said Act. The proviso only 13 gives liberty to extend the time once by period not exceeding two months."

20. A Division Bench in the Calcutta Gujarati Education Society versus Sri Ajit Naraya Kapoor passed in C.O.175 of 2017, answered a reference in view of conflicting decisions on the issue of application of Section 5 of the Limitation Act. The question formulated by the then Acting Chief Justice is quoted below:-

"Does the view of the Division Bench of this court that section 5 of the Limitation Act can be applied to condone delay in making applications under sub-sections (1) and (2) of section 7 of the West Bengal Premises Tenancy Act, 1997, as held in the Subrata Mukherjee case (supra), survive in view of the decisions of the Hon'ble Supreme Court in the Nasiruddin case (supra), the Ashoke Kumar Mishra case (supra), Manjushree Chakraborty case (supra)."

21. The reference was specific as to whether Section 5 of the Limitation Act could be applied to condone the delay in filing the applications under Section 7(1) and 7(2) of the said Act. The Hon'ble Division Bench held that the Limitation Act, 1963 had no manner of application in respect of an application by a tenant under Section 7 for determination of arrear rents and disputed rents. Paragraphs 46 and 47 of Nasiruddin & Ors. v. Sita Ram Agarwal reported in (2003) 2 SCC 577 were considered by the Hon'ble Division Bench and it was held that in Nasiruddin (supra), it was 14 decided that the court could condone delay only when the statute conferred such a power on the court or not otherwise. The Hon'ble Division Bench held as follows:-

"West Bengal Premises Tenancy Act, 1997 is an Act of the State legislature providing for period of limitation in respect of deposit and determination of rent. Section 6 in the Act has the non-obstante clause on application of other laws, regarding eviction. Section 40 makes applicable Limitation Act, 1963 subject to provisions in the Act relating to limitation. The application for determination of rent not having prescribed period of limitation anywhere else in the third division, article 137, if applied, will provide for it to be made within three years from when the right to apply accrues. In case of such an application it is not the right of the tenant that would accrue, to make such an application. The Act of 1997 mandates that deposit of rent or where there is dispute regarding quantum of rent, deposit of admitted rent along with application for determination of rent, must be made by the tenant within time specified and as extendable under said Act. This is in relation to the suit filed for eviction, where compliance with the deposit mandate will enable the tenant to seek the protection provided. This enabling provision cannot be seen as an assertive right of a tenant, to be enforced. Here, provision in article 137 cannot be made applicable. Furthermore, where it is a requirement of compliance by the tenant to seek protection, mandated by the statute as competently legislated by the State legislature and specifically limiting application of the 1963 Act, there cannot be occasion for application of the period of three years, overriding the period and extension specified by the local law and thereafter condonation of delay as under
section 5.
We answer the question referred to say that Limitation Act, 1963 has no application in respect of an application by a tenant, made under section 7 for determination of arrears of disputed rent. We are aware our answer to the question referred gives rise to conflicting views of two Division Benches of this Court. However, 15 we have answered the question pursuant to direction made in said administrative order. The files be sent back on the reference answered and disposed of."

22. The Division Bench held that the Act of 1997 mandated deposit of rent or in case of dispute with regard to quantum, deposit of admitted rent along with an application for determination was to be filed by the tenant, within the time specified under the Act. Article 137 of the Limitation Act would not be applicable. Furthermore, when it was a statutory requirement, compliance by the tenant would entitle the tenant to seek protection. The provision was competently legislated by the State legislature by specifically limiting the application of the Limitation Act of 1963. Grant of extension of time specified by the local law, by seeking condonation of delay under Section 5 of the Limitation Act was not permissible. The question on reference was thus answered. The Limitation Act had no applicability in respect of the tenant's application under Section 7(1) and Section 7(2) of the said Act.

23. Accordingly, the revisional application is dismissed.

24. However, there will be no order as to costs.

25. All the parties are directed to act on the basis of the server copy of this order.

(Shampa Sarkar, J.)