In a landmark judgment, the Supreme Court has bolstered the rights of landlords, stating that a tenant who takes possession of a property under a valid rental agreement cannot subsequently question the owner’s ownership or assert rights on the grounds of adverse possession.
According to news18, the judgment was delivered in a tenancy dispute dating back to 1953 (Jyoti Sharma vs. Vishnu Goyal). The judgment was delivered by a bench comprising Justices J.K. Maheshwari and K. Vinod Chandran, which overturned the decisions of the trial court, the appellate court, and the Delhi High Court.
what is the matter
According to the report, the dispute concerned a shop that the tenants’ ancestors had rented from Ramji Das in 1953. Rent continued to be paid to Ramji Das and later to his heirs over the years. According to a 1953 relinquishment deed and a will dated May 12, 1999, ownership of the property passed to Jyoti Sharma, Ramji Das’s daughter-in-law. Jyoti Sharma demanded the shop be vacated to expand her family’s sweets and snacks business. On the other hand, the tenants (the sons of the original tenant) challenged her ownership, claiming that the property actually belonged to Ramji Das’s uncle, Sualal, and that the will was forged.
Supreme Court’s comment and outcome
The Supreme Court dismissed the tenants’ claims as “fabricated” and “devoid of evidence.” Citing Exhibit P-18, the 1953 Relinquishment Deed, the court stated that the tenants had paid rent to Ramji Dass and his heirs for years, which clearly established a landlord-tenant relationship. The bench stated that when a tenant accepts possession of a property under a valid lease and pays rent, they are precluded from challenging the landlord’s ownership. The court also upheld the 2018 probate proceedings and refused to question the validity of the will based on the wife’s absence from the will, stating that there was no valid reason to do so.
Tenants get six months’ grace period
The court, taking into account the long tenancy period, granted the tenants six months to pay the outstanding rent, vacate the property, and hand over possession. This Supreme Court decision clarifies that possession under a tenancy is permissive, not hostile. This decision strengthens the rights of landlords and establishes that tenants cannot claim hostile possession or ownership if they have ever accepted a valid rental agreement.
Know what are the legal rights of the landlord
According to housing.com, tenancy in India is regulated under building laws such as the Rent Control Act and the Model Tenancy Act, 2020. Tenancy grants landlords several key rights, including the right to increase landlord ownership, evict a tenant, and take possession of the property.
Right to increase rent
According to the law, landlords have the right to determine the market value (market rate) of their property and increase it periodically. Typically, rents in India increase by approximately 10% each year. However, this category of rent is subject to state-specific rent laws, meaning each state may have its own rules. The Model Tenancy Act, 2020, clarifies several unfair practices related to rent settlement, modification, and payment.
Right to evict a tenant
- Under the Rent Control Act, a landlord can evict a tenant under the following circumstances –
- If the tenant rents out any part of the property to a third person.
- Apart from this, it can do this if any rule laid down in the rent agreement is violated.
- When the landlord wants to use the property for himself or his family.
- The landlord’s name can be added to the “Progressive Rent Increment Clause”, so that if the tenant does not vacate the house on time, the landlord is automatically given an increase.
Right to temporary possession for repairs
If a property requires renovation or maintenance work (repairs and maintenance work) that makes it impossible for the tenant to live in it, the landlord has the right to temporarily evict the tenant. Once the work is completed, the landlord can re-let the property to the tenant.
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