Dina Nath (deceased), through legal representatives and another v. Subhash Chand Saini and others
Background
This is a split decision, not a final judgment. A Delhi shop tenant paying ₹66 a month was ordered to clear admitted arrears and pay future rent by fixed monthly dates. The landlord obtained an order striking out the tenant's defence for late payments, upheld on appeal. The tenant relied on excess payments, alleged delayed receipts and subsequent deposits to argue that the default was not wilful.
Decision Breakdown
This is a split decision, not a final judgment. Both judges accepted that striking out a defence under section 15(7) was discretionary and required consideration of the tenant's conduct. They disagreed on applying that rule. Justice Thakur would allow the appeal, adjusting the excess rent against future liability and finding no deliberate default. Justice Khehar would dismiss it because repeated failures to meet the payment schedule lacked an acceptable explanation and earlier arrears payments could not be reassigned. The judgment contains opposing proposed dispositions, with no majority or joint final order.
Lesson Learnt
A missed rent-payment direction did not automatically require loss of the defence: discretion and the circumstances mattered. These divided opinions do not establish a binding answer on adjusting this tenant's excess payments.