Showing posts with label S 108 of transfer of property Act. Show all posts
Showing posts with label S 108 of transfer of property Act. Show all posts

Sunday, 10 January 2016

Whether lease granted for one purpose can be changed in to another purpose while renewal of lease without consent of landlord?

The remonstrance based on cessation of the lease on the
expiry of 36 years also does not commend for acceptance in the face
of unreserved acceptance of lease rent at the earlier rate of Rs.
693.75 paisa admittedly till the year 1978. The assertion that in
any view of the matter, as the respondent-company in terms of
Section 116 of the Transfer of Property Act 1882, ought to be
construed to be the lessee, holding over the demised land on
payment of rent and that the lease stood renewed from year to year
and that accordingly on the date of the institution of the suit there
was a subsisting tenancy in respect of plantation exceeding 30
acres cannot be sustained as well. Though admittedly, at the
institution of the suit, the rubber plantation of the
respondent-company did exist on the land, in the teeth of Section
116 of the Transfer of Property Act 1882, which comprehends
renewal of the expired lease, year after year or month after month it
is essentially qua the purpose for which the property had been
originally leased which in the instant case is traceable to the year
1918. As the lease deed dated 21.6.1918 proclaims in no uncertain
terms that the transaction evidenced thereby was by no means a
tenancy in respect of plantation, the same with efflux of time, in our
estimate cannot transfigure into the same merely because a
plantation has been raised on the leasehold land in between by the
lessee who had been left at its discretion to grow the same. In
absence of a conscious intervention of the parties to the lease,
either to convert it into one for tenancy in respect of such
plantation ad idem or to extend it thereto, an automatic
transformation of the lease not for plantation cannot stand
converted into one for plantation. As a transaction of this kind
involving immovable property is essentially governed by the terms
and conditions concurred upon by the parties thereto, no unilateral
alteration or modification thereof, unless agreed to by both, in
categorical terms, ought to be permitted to be pleaded or enforced
by anyone of them to the disadvantage of the other. Neither the
lease deed contains any stipulation sanctioning such unilateral
alteration of the stipulations contained therein nor do the materials
on record testify such consensus based modification of the lease
covenants. A plain perusal of the Section 116 of the Transfer of
Property Act 1882 also does endorse this deduction.
 {REPORTABLE}
IN THE SUPREME COURT OF INDIA
 CIVIL APPELLATE JURISDICTION
CIVIL APPEAL NO. 5163/2012
N K RAJENDRA MOHAN ...….APPELLANT
 Vs.
THIRVAMADI RUBBER CO. LTD & ORS …..RESPONDENTS
 Dated: 02 July, 2015
Amitava Roy,J.
Citation;(2015) 9 SC326
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Saturday, 23 February 2013

What constitute permanent structure as per Transfer of property Act?

To sum up, no hard and fast rule can be prescribed for determining what is permanent or what is not. The use of the word ‘permanent’ in Section 108 (p) of the Transfer of Property Act, 1882 is meant to distinguish the structure from what is temporary. The term ‘permanent’ does not mean that the structure must last forever. A structure that lasts till the end of the tenancy can be treated as a permanent structure. The intention of the party putting up the structure is important, for determining whether it is permanent or temporary. The nature and extent of the structure is similarly an important circumstance for deciding whether the structure is permanent or temporary within the meaning of Section 108 (p) of the Act. Removability of the structure without causing any damage to the building is yet another test that can be applied while deciding the nature of the structure. So also the durability of the structure and the material used for erection of the same will help in deciding whether the structure is permanent or temporary. Lastly the purpose for which the structure is intended is also an important factor that cannot be ignored.

Supreme Court of India
Purushottam Das Bangur & Ors. vs Dayanand Gupta on 31 October, 2012

Bench: T.S. Thakur, Gyan Sudha Misra

Citation: AIR 2013 SC 465
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