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1968 (12) TMI 103 - HC - Indian Laws

Issues Involved:
1. Interpretation of the term "renovation" under Section 13(1)(h) of the Saurashtra Rent Control Act, 1951.
2. Whether the landlord's requirement for renovation is bona fide and reasonable.
3. Applicability of Section 16 of the Saurashtra Rent Control Act regarding tenant re-entry.
4. Legislative intent and comparison with the Bombay Rents, Hotel and Lodging House Rates Control Act, 1947.

Issue-wise Detailed Analysis:

1. Interpretation of the term "renovation" under Section 13(1)(h) of the Saurashtra Rent Control Act, 1951:
The primary issue was whether the term "renovation" includes the demolition of an existing building and the construction of a new one. The court noted that the term "renovation" is not defined in the Act, necessitating reliance on dictionary meanings. According to Webster's Dictionary and the Shorter Oxford English Dictionary, "renovation" means making something new or restoring it to good condition, which includes repairs and replacement of worn parts. The court emphasized that since the Legislature used "repairs" and "renovation" disjunctively, they must have intended distinct meanings. Thus, "renovation" encompasses more than mere repairs and includes demolition and reconstruction. The court rejected arguments that "renovation" should be limited to non-demolition activities, stating that the Legislature's addition of "renovation" in the Saurashtra Act, which was not present in the Bombay Act, indicated an intention to broaden the scope to include new constructions.

2. Whether the landlord's requirement for renovation is bona fide and reasonable:
The court examined whether the plaintiff's requirement for renovation was genuine and necessary. It was established that the building was old, poorly ventilated, and below the level of the footpath, though structurally stable for another 25 to 30 years. The court referred to previous judgments, including the Supreme Court's interpretation in Neta Ram v. Jiwan Lal, which held that the landlord's requirement must be genuine and honest, evaluated based on surrounding circumstances. The court found that the plaintiff had a real and honest desire to improve the property by constructing a new building, supported by plans, estimates, and financial capability. Consequently, the requirement was deemed bona fide and reasonable.

3. Applicability of Section 16 of the Saurashtra Rent Control Act regarding tenant re-entry:
Section 16 allows tenants to re-enter premises after repairs but does not provide for re-entry after renovation. The court reasoned that the Legislature differentiated between repairs and renovation, implying that renovation includes more extensive changes, such as demolition and reconstruction. This distinction aligns with the policy of excluding new buildings from the Act's purview, as stated in Section 4(2). Hence, tenants do not have a right of re-entry after the completion of renovation involving new construction.

4. Legislative intent and comparison with the Bombay Rents, Hotel and Lodging House Rates Control Act, 1947:
The court analyzed the legislative history, noting that the Saurashtra Act included "renovation" to expand the landlord's rights beyond those in the Bombay Act. The addition of "renovation" indicated an intention to allow landlords to obtain possession for more extensive works, including demolition and new construction. The court dismissed arguments that the absence of a provision similar to Section 13(1)(hh) of the Bombay Act, which explicitly allowed for demolition and rebuilding, implied a restriction in the Saurashtra Act. Instead, the broader interpretation of "renovation" under the Saurashtra Act was deemed sufficient to cover such cases.

Conclusion:
The court concluded that the term "renovation" in Section 13(1)(h) of the Saurashtra Act includes demolition and reconstruction of a building. The plaintiff's requirement for renovation was found to be bona fide and reasonable, entitling him to a decree for eviction. The appeals were dismissed, and the plaintiff was granted possession of the premises. The court also refused a certificate for appeal to the Supreme Court under Article 133(1)(c) of the Constitution.

 

 

 

 

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