| Content Provider | Supreme Court of India |
|---|---|
| e-ISSN | 30484839 |
| Language | English |
| Access Restriction | NDLI |
| Subject Keyword | Landlord and Tenant |
| Content Type | Text |
| Resource Type | Law Judgement |
| Jurisdiction | India |
| Case Type | Appeal |
| Court | Supreme Court of India |
| Disposal Nature | Others |
| Headnote | Landlord and Tenant : Tenant-Company under liquidation -Official Liquidator took possession of premises- Suit by appellant claiming sub-tenancy pending- ln appeal arising out of an application under s. 446 of Companies Act, appellant allowed to be in occupation as agent of official liquidator-Directions of High court-Whether amounted to dispossession and altered status of appellant; Whether warranted at interlocutory stage. The respondent company was the tenant of the flat in dispute. Consequent upon a winding up order in respect of the Company in Company Petition No. 59 of 1984 the official liquidator took possession of the flat and sealed it. The appellant in C.A.No. 886/92 before this Court, who is the sister of one of the Directors of the Company claimed on the basis of an agreement dated 15.7.79 said to have been entered into between her and the Company, to be the sub-tenant of the flat except a small portion thereof and that with the consent of the landlord she was in possession of the premises since the date of the agreement. The official liquidator delivered the possession of the premises to her, but later he threatened to dispossess her, whereupon the appellant filed a suit against the company in the court of Small Causes for injunction and for a declaration that she was the lawful tenant and/or a protected sub-tenant of the flat in dispute (excluding the portion reserved for the Company). On an objection raised by the official liquidator the appellant applied under s. 446 of the Companies Act to the High Court for grant of leave to proceed with the suit. The Company Judge rejected the application holding the suit as collusive. On appeal, the Division Bench transferred the suit to the High Court granting leave with the conditions that the official liquidator would take possession of the entire premises and would allow the appellant to occupy the area in the premises, which at the relevant time was in her possession, as an agent of the official liquidator pending the disposal of the suit, on payment of a monthly compensation of Rs. 7,500 besides depositing Rs. 15,000. Aggrieved the appellant preferred the appeal by special leave to this Court. The landlord- Trust filed a company application in Company Petition No. 59 of 1984 for possession of the flat including symbolic possession of the premises in occupation or the appellant on the ground that the Company no more required the portion in their possession. The Single Judge dismissed the application holding that the liquidator required the said portion for storing the company records at Bombay. Dismissing the consequent appeal the Division Bench of the High Court held that a proposal from Rashtriya Girni Kamgar Sangh for revival the Company was under consideration. The said order is the subject matter of C.A.No. 887 of 1992. It was contended on behalf of the appellant that the tenancy interest of the company in the flat was not an asset of the Company in liquidation and the liquidator could not trade in the said right; that the appellant had a right to be in possession of the premises in her own right as a sub-tenant; and in view of the Bombay Rent Act, the High Court erred in converting the appellant into an agent of the official liquidator and in imposing the conditions and enhancing the rent.The official liquidator contended that the landlord Trust acted beyond the authority in consenting, if at all, to the said sub-tenancy. Counsel for the landlord-trust accepted the fact of oral consent to the sub-tenancy. Against an order dated 9.8.1989 passed by the Company Judge, the landlord Trust filed S.L.P No. 16368 of 1990 before this Court as also an appeal before the Division Bench of the High Court. Since the appeal had been dismissed by the High Court, this court dismissed the special leave petition as infructuous. |
| Judge | Hon'ble Mr. Justice B.P. Jeevan Reddy |
| Neutral Citation | 1992 INSC 57 |
| Petitioner | Smt. Nirmala R. Bafna/kershi Shivax Cambatta And Ors. |
| Respondent | Khandesh Spinning And Weaving Mills Co. Ltd. And Anr./official Liquidator And Ors. |
| SCR | [1992] 1 S.C.R. 985 |
| Judgement Date | 1992-02-25 |
| Case Number | 886 |
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