Whether Tenant can sustain an eviction suit by alleging renewal of lease through oral understanding?

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Shubham Budhiraja[1]


Mr. A and Mr. B entered into a registered lease agreement for 3 years. On expiry of lease period, Mr. B refused to vacate the premises. Mr. A filed suit for possession against Mr. B. Mr. B failed to file defense within the stipulated time. Mr. B took a plea of ‘oral understanding’ between the parties for renewal of lease. Mr. A filed application under Order 8 Rule 10 CPC seeking judgment on basis of deemed admission. The learned trial court allowed the application and passed order to evict Mr. B. Hon’ble Delhi High Court in Appeal upheld the judgment and observed as under:[2]

 

(i)               In an unregistered rent agreement or even in an oral tenancy, the tenancy can at best be considered on a month-to-month basis, and on serving of legal notice, the said tenancy can be terminated and premises ought to be vacated by the tenant.

 

(ii)              The due process of law does not entitle a litigant to force the Court to blindly put all suits through the process of trial when the defendants in their pleading have been unable to disclose any defence. A suit in which the defendants in the written statement have not disclosed any defence or raised any substantial question of law or fact which if decided in favour of the defendants, can defeat the suit claim, does not require any issues to be framed and the suit has to be decreed forthwith. In the name of ‘opportunity’, ‘compliance of provisions of CPC’ and ‘observing due process of law’, the time of the Court is not to be wasted

 

(iii)            Per Section 107 of the Transfer of Property Act, 1882, a lease of immovable property for any term exceeding one year can be made only by a registered instrument and all other leases may be made either by registered instrument executed by the lessor and lessee or by oral agreement accompanied with delivery of possession

 

(iv)            Even if suit for ejectment is filed without notice determining lease, after the same has remained pending for over fifteen days, it cannot be defeated on ground of non-service of notice.

 

(v)              It is the bounden duty an obligation of a Court to neutralise any unjust and undeserved gain by a party and a person in wrongful possession should not only be removed as early as possible but be compelled to pay for the wrongful use of the premises by fine, penalty as well as cos

 

(vi)            no one can take advantage of his own wrong. Unless courts disgorge all benefits that a party availed by obstruction or delays or non-compliance, there will always be incentive for noncompliance, and parties are ingenious enough to come up with all kinds of pleas and other tactics to achieve their end because they know that in the end the benefit will remain with them.

 


[1] Advocate, Delhi High Court [LLB, ACS, BCOM(H)], Budhirajalawchambers@gmail.com , +91-9654055315

[2] Shokeen Khan v. Jai Singh, RFA/529/2023, Delhi High Court

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