K. Gnanadesikam Pillai And Ors. vs Antony Benathu Boopalarayar on 14 February, 1934
It is well established that if there is no agreement fixing the terms of a new lease, the terms of the old lease must be deemed to be applicable. Where the tenant holds over after the expiration of the term, he holds subject to all the covenants in the lease which are applicable to the new situation. The defendant must therefore be held to be subject to the covenant in respect of improvements contained in the original tease. Learned counsel for the appellant relied upon the ruling in -- 'Gnanadesikam Pillai v. Antony Benathu Boopalarayar', AIR 1934 Mad 458 (A). That decision does not directly apply to the facts of this case. In that case, there was a collateral security for the payment of rent, and it was held that after the determination of the lease and there was a holding over, it is not, possible to carry over the collateral security, which was not part of the lease transaction so as to enable the plaintiff landlord to claim a charge for the arrears of rent for the whole of the subsequent period.