HARI RAO versus N. GOVINDACHARI AND ORS.

HARI RAO versus N. GOVINDACHARI AND ORS.

A tenant, when leased premises for carrying on a trade without prohibitive covenant, can carry on any trade consistent with premises' nature. Using premises for readymade garments as opposed to leather goods does not constitute a change of user attracting Section 10(2)(ii)(b). Fixing racks, drilling holes, and putting signboards, absent evidence of material impairment, do not amount to acts of waste under Section 10(2)(iii).

Parties
Appellant Tenant: Hari Rao; Respondent Landlord: N. Govindachari
Jurisdiction
India
Judgment Date
15 September 2005
Procedural Posture
Civil Appeal / Supreme Court Final Appeal
Outcome
Appeal allowed; eviction order set aside; landlord's eviction petition dismissed.
Legal Topics
Eviction, Lease Terms, Change of User, Acts of Waste

Case Brief

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Parties

Hari Rao

Appellant Tenant

N. Govindachari

Respondent Landlord

Procedural Posture

Civil Appeal / Supreme Court Final Appeal

  1. 1 Whether tenant's use of leased premises for a purpose other than specified in lease deed permits eviction under Section 10(2)(ii)(b) of Tamil Nadu Buildings (Lease and Rent Control) Act, 1960
  2. 2 Whether fixing racks, drilling holes, and other acts by tenant constitute acts of waste likely to impair materially the value or utility of the building under Section 10(2)(iii)

Ratio Decidendi

A tenant, when leased premises for carrying on a trade without prohibitive covenant, can carry on any trade consistent with premises' nature. Using premises for readymade garments as opposed to leather goods does not constitute a change of user attracting Section 10(2)(ii)(b). Fixing racks, drilling holes, and putting signboards, absent evidence of material impairment, do not amount to acts of waste under Section 10(2)(iii).

Court Disposition

Appeal allowed; eviction order set aside; landlord's eviction petition dismissed.

Orders

  • Decision of High Court set aside
  • Decision of Appellate Authority restored