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M/s Band Box Private Limited v. Estate Officer, Punjab & Sind Bank and Another

Civil Appeal · Neutral citation not assigned (Civil Appeal No. 2878 of 2014)Decided 25 Feb 2014
Civil Appeal No. 2878 of 2014
Justice H.L. Gokhale · Justice Kurian Joseph

Background

A company occupied a Delhi property from 1952, decades before Punjab & Sind Bank acquired it in 1978. The bank terminated the tenancy and obtained eviction orders under the Public Premises Act. The company maintained that its earlier tenancy remained protected by Delhi rent-control law.

Decision Breakdown

Applying its recent decision in Dr. Suhas H. Pophale, the Court set aside the eviction proceedings because the special statute could not retrospectively remove the earlier protected occupation. It rejected objections that the tenant could no longer raise this legal plea. The parties also agreed to continued occupation for twelve years from April 2013, conditional on regular monthly rent of Rs. 1.8 lakh and annual increases of ten per cent from April 2015. The bank could take appropriate proceedings for default, and the order expressly left proceedings under the Public Premises Act open after that twelve-year period.

Lesson Learnt

A long-standing protected tenancy must be assessed before using public-premises eviction powers. A negotiated period of continued occupation still depends on paying the rent and increases recorded by the court.

Official source (sci.gov.in)View Judgment (PDF)

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