K. C. NAMBIAR versus THE IV JUDGE OF THE COURT OF SMALL CAUSES, MADRAS & ORS.

K. C. NAMBIAR versus THE IV JUDGE OF THE COURT OF SMALL CAUSES, MADRAS & ORS.

The expression 'cost of construction' in s. 4(3)(b)(i) of the Madras Buildings (Lease and Rent Control) Act, 1960 denotes the original cost of construction and not the market value; rules prescribing rates for calculation that go beyond the section's terms are invalid.

Parties
Appellant: K. C. Nambiar; Respondents: The IV Judge of the Court of Small Causes, Madras & Ors.
Jurisdiction
India
Judgment Date
18 August 1969
Procedural Posture
Civil Appeal / Final Decision by Supreme Court
Outcome
Appeal allowed
Legal Topics
Interpretation of 'cost of Construction' Under Madras Buildings (lease and Rent Control) Act, 1960, Validity of Rules for Rent Fixation, Delegation of Rule Making Powers
Landlord and Tenant Rent Control Interpretation of 'cost of Construction' Under Madras Buildings (lease and Rent Control) Act, 1960 Validity of Rules for Rent Fixation Delegation of Rule Making Powers

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Parties

K. C. Nambiar

Appellant

The IV Judge of the Court of Small Causes, Madras & Ors.

Respondents

Procedural Posture

Civil Appeal / Final Decision by Supreme Court

Legal Issues

  1. 1 Does 'cost of construction' under s. 4(3)(b)(i) mean the original cost or market value at the date of enactment?
  2. 2 Are the rules prescribing rates for construction cost valid under the Act?

Ratio Decidendi

The expression 'cost of construction' in s. 4(3)(b)(i) of the Madras Buildings (Lease and Rent Control) Act, 1960 denotes the original cost of construction and not the market value; rules prescribing rates for calculation that go beyond the section's terms are invalid.

Court Disposition

Appeal allowed

Orders

  • Order dismissing the petition is discharged
  • The Controller to determine fair rent according to provisions of the Act, uninfluenced by rule 12