28 March 1995
Supreme Court
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KOTI SARROJ ANAMMA & ANR. Vs JONNALAGADA MALLESWARA RAO


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PETITIONER: KOTI SARROJ ANAMMA & ANR.

       Vs.

RESPONDENT: JONNALAGADA MALLESWARA RAO

DATE OF JUDGMENT28/03/1995

BENCH: MANOHAR SUJATA V. (J) BENCH: MANOHAR SUJATA V. (J) AGRAWAL, S.C. (J)

CITATION:  1995 AIR 1401            1995 SCC  (3) 347  JT 1995 (3)   329        1995 SCALE  (2)445

ACT:

HEADNOTE:

JUDGMENT: MRS. SUJATA V. MANOHAR, JJ. 1.The  appellants.  had  filed a  suit  being  G.S.No.159/83 before   the  Additional  Munsiff,  Guntur  to   evict   the respondent  from their property consisting of  vacant  site, zinc sheet shed and Saw mill machinery which had been leased in the year 1967 to the respondent under an oral lease.  The property is situated in Guntur Town, Nagarmelem Old Ward No. 17, New ward No. 23, Block No. 14, TS No.411. The respondent contended,   inter  alia,  that  the  Civil  Court  had   no Jurisdiction  to  entertain  and try  the  suit-,  the  Rent Controller  alone had jurisdiction in the matter under,  the provisions  of the Andhra Pradesh Buildings(Lease, Rent  and Eviction) Control Act, 1960.  The respondent also  contended that there was no valid quit notice, that he was entitled to continue in the suit premises till April, 1986 and that  the appellants  did not require the premises for their  personal use  as  was  contended by them.   The  Additional  Munsiff, Guntur decreed the suit of the appellants.  He held that the tenancy  was  from month to month and the  quit  notice  was valid.   He  also  held that the lease in  question  was  in relation  to land and machinery.  The zinc sheet shed  being only  an  accessory to the main lease hold  premises,  being meant for covering the machinery, the lease in question  did not come within the purview of the Andhra Pradesh  Buildings (Lease, Rent and Eviction) Control Act, 1960. 2.Being   aggrieved  by  this  judgments  and   order,   the respondent preferred an appeal before the District Court  at Guntur.  The District Judge, however, confirmed the findings of the Munsiff’s Court and dismissed the appeal. 3.The  respondent preferred a second appeal before the  High Court of Andhra Pradesh challenging the concurrent  findings of  the  two  courts  below.  The High  Court  came  to  the conclusion  that the lease was in respect of a  building  as defined  in  the Andhra Pradesh(Lease,  Rent  and  Eviction) Control  Act,  1960  and  hence  the  Civil  Court  had   no

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jurisdiction  to  entertain the suit.  On this  ground,  the appeal of the respondent was allowed by the High Court.  The present  appeal is from this judgment and order of the  High Court of Andhra Pradesh. 4.The  narrow  question before us is whether  the  lease  in question  is of a building as defined in the Andhra  Pradesh Buildings  (Lease,  Rent  and Eviction)  Control  Act,  1961 Section 2 (iii) of the said Act defines a building thus:               "2 (iii): ’building, means any house or hut or               part  of  a  house or hut, let or  to  be  let               separately for residential or  non-residential               purpose and includes-               (a)   the  gardens, grounds, garages and  out-               houses, if any, appurtenant to such house, hut               or part of such house or hut and let or to  be               let  along with such house or hut or  part  of                             such house or hut;               (b)   any  furniture supplied or any  fittings               affixed by the landlord for use in such  house               or hut or part of a house or hut, but does not               include a room in a hotel or boarding house;" 5.   It  is contended by the respondent that the zinc  sheet shed which covers the machinery was leased out to him by the appellants.  The shed falls within the defini- 331 tion  of  building under Section 2 (iii).   This  contention requires examination. 6.There  is no written lease in the present case.  The  case of  the appellants throughout has been that what was  leased out to the respondent was their Saw mill machinery and  land consisting  of approximately 10,000 square yards.   The  Saw mill  machinery was covered by a zinc sheet shed to  protect the machinery.  The lease was essentially a lease of the Saw mill machinery.  It was not a lease of a house or a hut.  In the  plaint  in paragraph 111, the property which  has  been leased out is described thus:               "the   property  mentioned  in  the   schedule               annexed  consists of vacant site,  zinc  sheet               shed  and  machinery belonging  to  the  first               plaintiff herein............. The schedule to the plaint describes the property as:               "Guntur  town,  Nagaramelem old ward  No.  17,               ward  No.23,  Block No. 14, TS  No.411,  total               area  10156 square feet  municipal  assessment               No. 22214 bounded by-               West : Compound Wall in this site; and  Rakulu               of ILTD Co., 105’.08’               South : Road and gate and compound wall 70’               West  : Compound Wall in this Rakulu  of  ILTD               Co., 106’               North  : Compound Wall and Rakulu  zinc  sheet               shed 60’ - 06"               within the above boundaries wherein there zinc               doria  rakulu  shed, with saw  mill  with  all               accessories  attached  to  the  mill,  10   Hp               Electric   motor,  current  connection   metre               etc.," 7.  The  case of the appellants throughout  has,  therefore, been  that the land together with Saw mill  and  accessories attached  to the Saw mill covered by zinc doria rakulu  shed was  leased out to the respondent.  The trial court came  to the  conclusion  that  it was the Saw  mill  with  machinery covered  with  zinc sheet which was taken on  lease  by  the respondent in 1967.  It came to the conclusion that the mere fact  the  machinery of the Saw mill was housed  in  a  zinc

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sheet   shed  will  not  make  the  lease  that  of  a   non -residential building within the meaning of Section 2 of the said  Act.  The same view has bean upheld by  the  Appellate Court.  The appellate Court has also observed that there  is no  dispute with regard to the description of  the  property leased out as made out in the plaint and the schedule to it, It has also held that the respondent had taken the Saw  mill machinery  and the schedule property on lease for doing  Saw mill business. 8.   Learned counsel for the appellants also produced before us  the deposition of witnesses examined between  the  trial court.   The second plaintiff in his examination - in  chief has said that the property leased out is a vacant site along with  Saw  mill  shed.   In  his  cross-examination  he  has reiterated that only the machines and shed were leased  out. The  defendant  had constructed an office  in  the  premises later  on.  The defendant in his examination -in- chief  has also deposed that he took the schedule site on lease in 1967 for  doing timber business.  He has said that when  he  took the  premises  on lease, there was a saw  mill  machine  and shed.   He has further stated that he constructed an  office room in the, premises after he took the premises on 332 lease.   In his cross examination, the defendant had  stated that die shed is erected to house the machinery. 9.   Looking  to this evidence, it is clear that  the  shed, which has a zinc sheet roof, was erected only to protect the Saw  mill machinery.  What was leased out to the  respondent was substantially the Saw mill machinery for the purpose  of carrying on timber/ Saw mill business.  The shed was  merely erected  to shelter the machinery.  The dominant purpose  of the lease was to lease out the Saw mill machinery.  In order that  the  lease  should be covered by  the  Andhra  Pradesh Buildings (Lease, Rent and Eviction) Control Act, 1960,  the lease should be of a building as defined in Section 2 (iii). It  should, therefore, be lease of any house or a hut  or  a part   of  a  house  or  a  hut  let  for   residential   or nonresidential purposes.  It would include gardens, grounds, garages and out-houses appurtenant to such a house or a hut. In the present case, however, the lease is not of any  house or  a hut or part of a house or a hut.  The lease is of  saw mill  machinery which is covered by a zinc sheet shed.   The dominant  purpose  of  die  lease  is  to  lease  (mat   the machinery.   The shed is only an adjunct It is also  pointed out  that  a covering over the machinery in the shape  of  a structure  consisting of zinc shows supported on  poles  can hardly be called a house or even a hut In any case,  looking to  the dominant purpose of the lease, the two courts  below have  rightly come to the conclusion that the lease  is  not covered  by the provisions of the Andhra  Pradesh  Buildings (Lease Rent and Eviction Control Act, 1960. 10.  The  respondent relied upon a decision of a Full  Bench of  the  Andhra Pradesh High Court in the case  of  Mohammad Jaffar  Ali  v.  S. Rajeswara Rao (1971)  1  Andhra  Pradesh Weekly Reports 194).  In that case, there was a lease of die cinema   theatre.   The  Court  held  that  the  lease   was essentially  a demise of the building with accessories  like furniture and machinery, the dominant purpose of the  demise was  to  lease the cinema theatre building  and  hence,  the provisions of the Andhra Pradesh Buildings (Lease, Rent  and Eviction)  Control Act, 1960 apply to such a lease.  In  the present  case, the dominant purpose is clearly to lease  out the  Saw mill machinery.  A zinc sheet shed which  has  been erected  merely  to cover the machinery, cannot  be  a  pre- dominant  reason for the lease.  The High Court,  therefore,

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was not right in coming to the conclusion that the lease was governed  by  the  provisions of  Andhra  Pradesh  Buildings (Lease, Rent, and Eviction) Control Act, 1960. 11.The appeal is therefore, allowed.  The impugned  judgment and  order of the Andhra Pradesh High Court dated  20.2.1992 is  set aside and the judgment and the order dated  2.4.1990 of the third Additional District Judge, Guntur is confirmed. The  respondent  shall pay to the appellants  costs  of  the appeal. 334