05 February 1979
Supreme Court
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S.MOHAN LAL Vs R. KONDIAH


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PETITIONER: S.MOHAN LAL

       Vs.

RESPONDENT: R. KONDIAH

DATE OF JUDGMENT05/02/1979

BENCH: REDDY, O. CHINNAPPA (J) BENCH: REDDY, O. CHINNAPPA (J) SARKARIA, RANJIT SINGH

CITATION:  1979 AIR 1132            1979 SCR  (3)  12  1979 SCC  (2) 616  CITATOR INFO :  RF         1988 SC 852  (8)

ACT:      Andhra Pradesh  Building  (Lease,  Rent  and  Eviction) Control   Act,    1960,   s.    10(3)(a)(iii),   "business," interpretation,   whether   includes   practice   of   legal profession-Construction of expressions, principles.

HEADNOTE:      The  respondent,  an  advocate,  sought  to  evict  his tenant, the  appellant, under  s. 10(3)  (a)  (iii)  of  the Andhra Pradesh  Building (Lease,  Rent and Eviction) Control Act, 1960,  on the  ground that  he  required  the  disputed premises for  carrying on his profession. The court of small causes, Hyderabad,  finding that  the requirement  was  bona fide, passed  an eviction  order against  the appellant.  In revision, the  High Court  negatived the contention that the expression "business"  used in  s.  10(3)(a)(iii),  did  not include the ’profession’ of an advocate.      Dismissing the appeal, the Court, ^      HELD: 1. "Business" is a word of large and wide import, capable of  a variety  of meanings.  In a  broad sense it is taken to  mean ’everything that occupies the time, attention and labour  of men, for the purpose of livlihood or profit’. The practice of law is ’business’ within the meaning of that expression in  s.  10(3)(a)(iii).  The  Act  is  of  general application, and  its protection  is  not  confined  to  any classes of tenants, nor is the right to evict under the Act, limited to  any class of landlords. There is no reason why a landlord who is a member of the legal or medical professions and who  requires the  premises for carrying on the practice of his  profession, should be wholly debarred from obtaining possession of  the premises.  It would  be anamolous to hold that all  the provisions of the Act apply to non-residential buildings owned by an Advocate, excepting s. 10(3)(a)(iii).                                         [14D, E, 16A-B, C-D]      Williams’  Will   Trusts,  Chartered   Bank  of  India, Australia and  China and Anr. v. Williams and Ors., [1953] 1 All. ELR 536; Taramal v. Laxman Sewak Surey & Ors. 1971 MPLJ 888, approved.      M.  P.  Sethurama  Menon  v.  Thaiparambath  Kunhukutty

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Amma’s daughter,  Meenakshi Amma & Ors., AIR 1967 Kerala 88; Bangalore Water-Supply  Sewerage Board, etc. v. R. Rajappa & Ors., [1978] 3 SCR 207; Stuchbery & Ors. v. General Accident Fire and  Life Assurance  Corp.  Ltd.,  [1949]  2  KBD  256; distinguished.      2. It  is  a  sound  principle  of  construction  that, meaning of  words and  expressions used in an Act, must take their colour  from the context in which they appear. Neither the meaning,  nor the  definition of  a term in one statute, affords a  guide to  the construction  of the  same term  in another statute,  more so, if the two Acts in which the same word is  used, are not cognate Acts and the sense in which a term has  been understood  in  several  statutes,  does  not necessarily throw any light on the manner in which it should be under stood generally. [14G-H & 15A] 13

JUDGMENT:      CIVIL APPELLATE  JURISDICTION: Civil Appeal No. 2047 of 1969.      A Appeal  by Special  Leave from the Judgment and Order dated 25-6-1969  of the  Andhra Pradesh  High Court in Civil Revision Petition No. 346/67.      Y. S. Chitaley, S. K. Mehta, P. N. Puri and E. M. Sarul Anam for the Appellant.      A.  T.   M.  Sampath  and  P.  N.  Ramalingam  for  the Respondent.      The Judgment of the Court was delivered by      CHlNNAPPA   REDDY,    J.-The   short    question    for consideration in  this appeal is whether the practice of the legal profession is ’business’ within the meaning of Section 10(3) (a) (iii) of the Andhra Pradesh Buildings (Lease, Rent and Eviction)  Control Act,  1960. The  question arises this way. The respondent, an Advocate filed an application before the Rent  Controller seeking  eviction of the appellant, his tenant, from  the premises in question on the ground that he required the  premises for  the purpose  of carrying  on his profession as  an Advocate. The application was contested by the  appellant   who  was   carrying  on   the  business  of manufacturing art  jewellery in  the premises.  We  are  not concerned in  this appeal  with the  several defences  which were raised  by the appellant. Nor are we concerned with the vicissitudes which  the case  underwent. For the purposes of this appeal  it is sufficient to say that the final Court of fact, namely  the Chief  Judge of the Court of Small causes, Hyderabad, found  that the respondent bona fide required the premises for the purpose of carrying on his profession as an Advocate and that the tenancy was not such as could be split up. The  Appellate authorities  passed an  order of eviction against the  appellant. Before  the High Court, in revision, it was  contended by  the appellant that the practice of the profession of  an  Advocate  was  not  business  within  the meaning of  Section 10(3)  (a)  (iii)  and,  therefore,  the respondent could  not seek  the eviction of the appellant on the ground  that he required the premises for the purpose of carrying on  his profession as an Advocate. It was contended that Section  10(3) (a) (iii) used the expression ’business’ only and not the expression ’profession.’ The contention was negatived by  a Division  Bench of  the High Court of Andhra Pradesh consisting  of Gopalrao  Ekbote and Ramachandra Rao, JJ. The tenant has appealed by special leave to this Court.      Dr. Chitaley  learned counsel  for the appellant argued that there  was a  clear distinction  between ’business’ and

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’profession’ and  that the  practice of a liberal profession like that of an Advocate or a Doctor which 14 had nothing  commercial about it was not business within the meaning of  Section 10  (3) (a)  (iii) of the Andhra Pradesh Buildings (  Lease, Rent  and Eviction) control Act 1960. He argued that though the Andhra Pradesh Act broadly classified buildings into  residential and  non-residential  buildings, the landlord of a non-residential building could not seek to evict his  tenant on the ground of his requirement unless it was for  the purpose of carrying on a business. According to the learned  Counsel  this  indicated  that  the  expression business was  to be  given a  narrow meaning  and was  to be confined to  activities of  a commercial nature. The learned Counsel  also   urged  that   the  Court   should  favour  a construction which  would be  beneficient to the tenant. Dr. Chitaley relied  on M.  P. Sethurama  Menon v. Thaiparambath Kunhukutty Amma’s  daughter, Meenakshi  Amma  and  Ors.  (1) Bangalore Water-Supply & Sewerage Board etc. v. R. Rajappa & Ors. (2)  and Stuchbery  & Ors. v. General Accident Fire and Life Insurance Corporation Ltd.(3)      The expression  business has  not been  defined in  the Andhra Pradesh  Buildings (Lease, Rent and Eviction) Control Act, 1960. It is a common expression which is sometimes used by itself  and sometimes  in a  collocation of  words as  in "business, trade  or profession".  It is a word of large and wide import,,  capable of  a  variety  of  meanings.  It  is needless to  refer to the meanings given to that term in the various Dictionaries  except to  say that  everyone of  them notices a  large number  of meanings of the word. In a broad sense it  is taken to mean everything that occupies the time attention and  labour of men for the purpose of livlihood or profit’. In  a narrow  sense it  is confined  to  commercial activity. It is obvious that the meaning of the word must be gleaned from  the context  in which it is used. Reference to the provisions  of the Constitution or other statutes where! the expression  is used  cannot  be  of  any  assistance  in determining its  meaning in  Section 10(3)  (a) (iii) of the Andhra Pradesh  Building (Lease,  Rent and Eviction) Control Act, 1960.  It is  not a  sound principle of construction tn interpret expressions  used in  one Act  with  reference  to their use  in another Act; more so, if the two Acts in which the same  word is  used are  not cognate  Acts. Neither  the meaning, nor  the definition  of the  term  in  one  statute affords a  guide to  the construction  of the  same term  in another statute  and the  sense in  which the  term has been understood in  the several  statutes  does  not  necessarily throw any  light on  the manner  in which the term should be understood generally. On the other hand it is a      (1) A.I.R. 1967 Kerala 88.      (2) [1978] 3 S.C.R. 207.      (3) [1949] 2 K. B. D. 256. 15 sound, and,  indeed, a  well known principle of construction that meaning  of words  and expressions  used in an Act must take their colour from the content in which they appear. Dr. Chitaley very frankly and fairly conceded as much.      Now the  Andhra  Pradesh  Buildings  (Lease,  Rent  and Eviction) Control  Act, 1960, is an ’Act to consolidate, and amend the  law relating  to the  regulation  of  leasing  of buildings, the  control of  rent thereof an(l the prevention of unreasonable  eviction of  tenants therefrom in the State of Andhra Pradesh. It applies to the cities of Hyderabad and Secunderabad and  to all  municipalities  in  the  State  of Andhra Pradesh.  The provisions  of the Act, however, do not

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apply to  buildings owned by the Government and to buildings constructed on  or after  26th  August,  1957.  Building  is broadly defined  as meaning  any house or hut or a part of a house or hut, let or to be let separately for residential or nonresidential purposes. Landlord is defined as the owner of a building,  including a  person  who  is  receiving  or  is entitled to  receive the  rent of  a building,  on  his  own account or  on behalf  of  another  person  etc.  Tenant  is defined as  a person  by whom  or on  whose account  rent is payable  for   a  building.   Section  4  provides  for  the determination  of   a  fair   rent  of  a  building  on  the application  of   the  tenant  or  landlord.  Section  10(1) provides that  a tenant  shall not  be  evicted  whether  in execution of a decree or otherwise except in accordance with the provisions  of Sections  10, 12  and 13.  Section  10(2) mentions several  grounds on  which a  landlord may  seek to evict a  tenant. The grounds are default of payment of rent, sub-letting of  premises, used for a purpose other than that for which  it was  leased,  commission  of  acts  of  waste, conduct amounting  to nuisance to the occupiers of the other portions in  the  same  building,  securing  of  alternative accommodation by  the tenant  and denial of the title of the landlord. The  grounds mentioned in Section 10(2) apply both to residential  and non-residential buildings. Section 10(3) (a) (i)  provides for  the eviction  of a  tenant where  the landlord of  a residential  building requires it for his own occupation. Section  10(3)(a)(iii) provides for the eviction of a  tenant from  a  non-residential  building  where  "the landlord is  not occupying  a non-residential  building in a city town  or village  concerned which  is his own or to the possession of  which he is entitled whether under the Act or otherwise-(a) for  the purpose  of a  business which  he  is carrying on  on the  date of the application, or (b) for the purpose  of   a  business   which  in  the  opinion  of  the Controller, the  landlord bona-fide  proposes to  commence". Section 12  and 13  contain special  provisions relating  to recovery  of  buildings  by  landlord  for  the  purpose  of effecting  repairs,   alterations  or   additions   or   for reconstruction.  The   scheme  of  the  Act  is  to  prevent unreasonable eviction of 16 tenants  by   landlords  and  to  provide  for  eviction  on specified grounds. The Act is of general application and its protection not confined to any classes of tenants nor is the right to  evict under  the  Act  limited  to  any  class  of landlords. There is no reason why a landlord who is a member of the  legal or  medical professions  and who  requires the premises for  carrying on  the practice  of  his  profession should be  wholly debarred  from obtaining possession of the premises. It  is impossible  to discover  any reason  for so making a  discrimination against  the  liberal  professions. But, that  would be  the result if the expression ’business’ is given  a narrow  meaning which  the appellant wants us to give to  that expression.  It would  indeed be  anamolous to hold that  all the provisions of the Act including Section 4 which provides  for  the  determination  of  fair  rent  and Section 10(1)  which bars  the eviction  of tenants apply to nonresidential  buildings  owned  by  an  Advocate  but  not Section 10  (3) (a)  (iii) only.  In our view the expression business occurring  in Section  10(3)(a)(iii) is  used in  a wide sense  so as  to include the practice of the profession of an Advocate.      The Kerala  High  Court  in  M.P.  Sethurama  Menon  v. Meenakshi Amma  & Ors.,  (supra)  construed  the  expression ’trade or  business’ as connoting commercial activity and as

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not including  the practice  of the  legal  profession.  The learned  Judges   referred  to   Article  19(1)(g)   of  the Constitution, Section  49 of  the Advocates  Act, 1961,  the Madras  Shops  and  Establishments  Act,  1947  and  drew  a distinction between  the words  ’business’ and ’profession.’ As mentioned by us earlier, we do not think that it is right to ascribe  to the  word ’business’  occurring in the Andhra Pradesh Buildings  (Lease, Rent  and Eviction)  Control Act, 1960, the same meaning that the word may have when it occurs in other  statutory provisions. The word must be interpreted in the  context of the statute in which it occurs and not in the context  of other  statutes or  in a manner alien to the context of the statute concerned.      In Bangalore  Water-Supply &  Sewerage Board etc. v. R. Rajappa   Ors., (supra)  Chandrachud, J.  (as he  then  was) observed "..  I find  myself  unable  to  accept  the  broad formulation that  a Solicitor’s  establishment cannot  be an industry. A  Solicitor, undoubtedly, does not carry on trade or business  when he  acts for  his client or advises him or pleads for  him, if and when pleading is permissible to him. He pursues  a profession  which is variously and justifiably described as learned, liberal or noble." The observations of the Learned  Judge were  made in the context of the question whether a  Solicitor’s establishment  would fall  within the definition of ’industry’ under the 17 Industrial Disputes  Act. It  would be  most unwise to apply this A  observation to determine whether the practice of the liberal professions  is within the meaning of the expression ’business’ in Rent Control legislation.      In Stuchbery  & Ors.  v. General Accident Fire and Life Assurance Corporation Ltd., (supra) it was observed that the carrying on of a Solicitor’s business was the carrying on of a profession  and was  not the  carrying on  of a  trade  or business within  the meaning  of that phrase in the Landlord and Tenant  Act, 1927.  The  observation  was  made  in  the context of  that Act which made a distinction between ’trade or business’  and ’profession’.  In fact sub-section 3(a) of Section 17  of the  Act expressly said: "for the purposes of this Section  premises shall  not be  deemed to  be premises used for  carrying on there at a trade or business by reason of their  being used for the purpose of carrying on there at any profession".  The question  in that  case was  about the right to  compensation for  the  goodwill  attached  to  the premises where  the "business"  or  "profession"  was  being carried on.  We do  not think 1 that the case is of any help to the appellant.      We may refer here to the decision of Danckwerts, J., in Re Williams’ Will Trusts, Chartered Bank of India, Australia and China  and Another  v. Williams and Others.(1) where the question was whether the bequest to a son for the purpose of starting him in ’business’ was affective to start the son in medical practice.  The  learned  Judge  held  that  it  did, observing that  the word ’business’ was capable of including the practice  of a  profession and  that it plainly included the profession of a Doctor.      We may  refer to  just one  more case  i.e. Taramal  v. Laxman Sewak  Surey Ors(2)  where this very question whether the practice  of law  was a ’business’ within the meaning of the  Madhya  Pradesh  Accommodation  Control  Act  came  for consideration before  A. P.  Sen, J.  The learned Judge held that in  the context  of the  Madhya Pradesh  Act, the  word ’business’ had  to be  given a wide meaning so as to include any profession.      We, therefore,  agree with  the  High  Court  that  the

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practice of  law is  ’business’ within  the meaning  of that expression in  Section 10(3) (a) (iii) of the Andhra Pradesh Buildings (Lease, Rent and Eviction) Control Act, 196(). The appeal is, therefore, dismissed with costs. M. R.                                      Appeal dismissed.      (1) [1953] All E.R. 536.      (2) [1971] M.P.L.J. 888. 18