Citation : 2025 Latest Caselaw 3485 Tel
Judgement Date : 27 March, 2025
THE HONOURABLE Dr. JUSTICE G.RADHA RANI
CIVIL REVISION PETITION No.1026 of 2019
ORDER:
This Civil Revision Petition is filed by the petitioner-respondent-
defendant aggrieved by the order dated 29.03.2019 passed in I.A.No.163 of
2018 in O.S.No.16 of 2018 by the learned III Additional District Judge,
Gadwal, Mahabubnagar District.
2. The respondent - plaintiff filed O.S. No.16 of 2018 for eviction and
recovery of arrears of rent to an amount of Rs.22,21,890/- from 01.03.2015 to
01.07.2018. The suit schedule property is stated to be a building, in which a
restaurant by name New Taj Palace was being run along with two shops situated
in ground floor of the said restaurant building with two shutters. The rent was
claimed @ Rs.55,400/- per month from 01.03.2015 to 01.03.2018 and
@ Rs.75,830/- per month from 01.03.2018 to 01.07.2018. Along with the said
suit, the respondent - plaintiff filed I.A.No.163 of 2018 under Order XV-A Rule
1 and 2 read with Section 151 of CPC to direct the petitioner - respondent -
defendant to pay an amount of Rs.22,21,890/- towards arrears of rent. Along
with the petition, the respondent - plaintiff filed an affidavit stating that he
entered into a lease agreement with the respondent - defendant on 01.01.2012
for leasing the restaurant by name New Taj Palace restaurant and on 01.03.2012
Dr.GRR, J crp_1026_2019
for leasing the two shops in the ground floor for a period of three years for an
amount of Rs.5,000/- per month and to enhance the rent @ 36 % per annum on
renewal of the said agreements. He further submitted that the lease period
expired on 01.01.2015. He requested the respondent-defendant to vacate the
premises. But the respondent - defendant postponed the same and was not
paying the rents. As the respondent-defendant was selling tobacco products as
against the terms and conditions stipulated in the agreement and was not paying
the enhanced rents from the year 2015 as per the original agreement, an FIR
was registered by Undavalli Police vide FIR No.116 of 2018 dated 20.06.2018
on the complaint given by him about his illegal business of selling tobacco
products against the respondent - defendant under Sections 188, 273 IPC and
Section 20(2) of CTPTARTCPSD, and the respondent - defendant was arrested
and produced before the Judicial Magistrate of First Class, Alampur. He also
made a request to the electrical authorities to disconnect the power supply.
Legal notice was issued to the respondent - defendant calling upon to vacate the
suit schedule premises by 31.07.2018. But the respondent - defendant did not
come forward to vacate the schedule premises or renewal of the lease deed or to
pay the enhanced rent @ Rs.75,830/- per month. The respondent - defendant
deposited one month rent into his account for the month of July, 2018 on
04.08.2018. The respondent - defendant filed W.P.No.25386 of 2018 on
20.07.2018 against the landlord - plaintiff and the electrical authorities seeking
Dr.GRR, J crp_1026_2019
restoration of power supply, which was disconnected on 07.07.2018, the High
Court was not inclined to pass any interim orders, but admitted the Writ
Petition. The respondent - defendant being the tenant of the suit premises was
bound to pay rent till eviction of property. As per Order XV Rule 2, the
respondent - defendant was under obligation to deposit the arrears of rent within
the time stipulated by the Court and if the respondent - defendant committed
default in making the deposits, as ordered by the Court, the Court should strike
off the defence and on failure of the respondent - defendant to comply the said
order, prayed to forfeit the right of the respondent - defendant to contest the
matter.
3. The respondent - defendant filed counter admitting the ownership of the
plaintiff over the suit schedule property and entering into an agreement with the
plaintiff for running the hotel business on 06.07.2011 at the rent of Rs.30,000/-
per month and that the plaintiff received an amount of Rs.9,00,000/- towards
advance and another agreement was executed on 01.01.2012 in respect of two
shops for a period of three years and received an amount of Rs.30,000/- per
month towards rent for a period of six months and that he agreed to continue
tenancy by way of enhancing the rent at 36% per annum. However, he
contended that he had never violated the terms mentioned in the agreement and
was paying the agreed rents to the plaintiff within first week of every month
under proper receipts without fail. The plaintiff never demanded him to vacate
Dr.GRR, J crp_1026_2019
the suit schedule premises. On the evil advice of neighboring business holder,
the petitioner - plaintiff lodged a false report before the Station House Officer
(for short "SHO") of PS Undavalli. The respondent - defendant was never
selling the prohibited products at any point of time. After conducting enquiry,
the police personal gave a report that the respondent - defendant was not selling
the tobacco products in the suit schedule premises shops. The petitioner -
plaintiff sent a false application to electrical authorities to disconnect the power
supply to the premises with an intention to pressurize the respondent -
defendant to vacate the premises illegally, even though the respondent -
defendant had not committed any mistake in payment of electricity bills. He
also stated that he was paying rents every month regularly without any delay
under proper receipts and that he filed the original receipts pertaining to the
payment of rents to the respondent - petitioner to prove his bonafides. He also
stated that he received the legal notice issued by the petitioner - plaintiff dated
21.07.2018 and that he gave a suitable reply on 30.07.2018 by mentioning the
real facts. He also paid the electricity bills regularly each and every month
promptly and that he enclosed the electricity bills. He also stated that he was
paying the enhanced monthly rents to the petitioner - plaintiff as agreed by him
in the agreement and that he was having no dues. He stated that he filed Writ
Petition before the Hon'ble High Court to reinstate the power supply and that
the petitioner - plaintiff filed a false criminal case against him to harass him. He
Dr.GRR, J crp_1026_2019
further stated that in collusion with the neighboring hotel management of Baba
Ramdev Daba, the petitioner - plaintiff got closed the drain by filling it with
concrete, due to which the drain was blocked and the respondent - defendant
was suffering lot of inconvenience in conducting his business affairs. He
further stated that the petitioner - plaintiff had given remaining portion of his
building to another person, who opened another hotel in the name and style as
Sri Sai Hotel.
4. The learned III Additional District Judge, Gadwal on considering the
contentions of both the counsel appearing for the parties, allowed the
application filed by the petitioner - plaintiff with costs directing the respondent
- defendant to deposit arrears of rent @ Rs.55,400/- with effect from
01.03.2015 to 01.03.2018, which would come to Rs.19,94,900/- and @
Rs.75,830/- with effect from 01.03.2018 to 01.07.2018, which would come to
Rs.2,27,490/- after deducting one month rent, which was deposited by the
respondent - defendant through online, in total Rs.22,21,890/- within a period of
two (02) months from the date of the order and permitted the petitioner -
plaintiff to withdraw the said amount till further orders.
5. Aggrieved by the said order passed by the learned III Additional District
Judge, Gadwal, the respondent - defendant preferred this revision.
Dr.GRR, J crp_1026_2019
6. Heard Sri C.Ramachandra Raju, learned counsel for the revision
petitioner - defendant and Sri Challa Sivasankar, learned counsel for the
respondent - plaintiff.
7. Learned counsel for the revision petitioner submitted that the petitioner
was disputing that there was any arrears. He also filed the receipts till
November, 2018. Whether the petitioner / lessee was due any arrears of rent or
not could be decided only in trial. No interim orders could be passed for the
period prior to filing of the suit. The landlord - plaintiff got the power supply
disconnected to the hotel and restrained the petitioner from running the hotel.
The petitioner was unable to use the property. When the petitioner - defendant
was disputing the arrears of rent, no interim order could be passed directing him
to pay arrears of rent.
7.1. Learned counsel for the petitioner further submitted that Order XV-A was
provided only for undisputed arrears, but when the arrears were disputed, no
order could be passed under it and relied upon the judgments of the High Court
of Andhra Pradesh in K.Zakria Shaik v. K.Saleem Basha 1 and Tanmai
Jewels Private Limited v. Sreesaila Kumari 2
8. Learned counsel for the respondent on the other hand supported the order
of the trial court contending that the petitioner was due the above amounts and
LAWS (APH) 2011 6 54
LAWS (APH) 2013 4 85
Dr.GRR, J crp_1026_2019
the trial court on considering the falsity of the case of the petitioner - defendant
with regard to the receipts filed by him observing that the same were incomplete
and that they would not reflect as to who received the said amount, ordered the
petition. There was no illegality in the said order to set aside the same and
prayed to dismiss the revision.
9. Now the point for consideration is:
When the petitioner - defendant - tenant is disputing the arrears of rent, can there be an interim order directing him to pay the amount under Order XV-A of CPC?
10. On a perusal of Order XV-A of the Code of Civil Procedure in its
application to the State of Andhra Pradesh, it reads as follows:
"Order XV-A:
(1) In a suit for recovery of possession, on termination of lease, or license, with or without a prayer for recovery of arrears of rent, or license fee, known with whatever description, the defendant, while filing his written statement, shall deposit the amount, representing the undisputed arrears, calculated up to that date into the Court and shall continue to deposit such amount, which becomes payable thereafter within one week from the date on which it becomes due, till the judgment is rendered in the suit.
(2) Whether the defendant pleads, in the written statement that no arrears of rent or license fee exists, it shall be competent for the Court to pass an order in this regard, after affording opportunity to both the parties, and in case any amount is found due, the defendant shall be under obligation to deposit the same, within the time stipulated by the Court and continue to deposit the amount which becomes payable thereafter, as provided under Rule 1.
Dr.GRR, J crp_1026_2019
Provided that the time stipulated for payment of amount, as aforesaid, may be extended by the Court for reasons to be recovered for a period not exceeding 15 days.
If the defendant commits default in making the deposits, as aforesaid, the Court shall strike off the defence.
On such deposit, it shall be competent for the plaintiff to withdraw the same.
Explanation - The expression "the amount representing the undisputed arrears" shall mean the sum of rent, or license fee calculated for the period for which it remained unpaid, after deducting from it, any amount,
(a) Paid as tax, to a local authority, in respect of the property.
(b) Paid to the plaintiff under written acknowledgement; and
(c) Deposited into the Court, any proceedings, in relation to the said property."
(emphasis supplied)
11. Thus, as per the above Order, a direction can be given to deposit the
amount representing the undisputed arrears. But, as seen from the pleadings of
the parties, the petitioner - defendant was disputing that there were no arrears
and contended that he was not due any amount and that he paid rents regularly
under proper receipts and also enclosed the photo copies of the receipts.
12. The erstwhile High Court of Andhra Pradesh in K.Zakria Shaik v.
K.Saleem Basha (cited supra), observed that:
"The provision under Order XV-A of CPC came into force with effect from 2005. The purpose underlying the provision is to ensure that the owner of the premises leased to the defendant in a suit pays the rents regularly, together with arrears, if any. The word "undisputed" occurring before the word "arrears", assumes significance. If there is a dispute as to the quantum, the Court has to decide the same, duly taking into account, the versions put
Dr.GRR, J crp_1026_2019
forward by the parties. In this regard, slightly different approach is needed in respect of a suit in which recovery of arrears is prayed for, as one of the reliefs on the one hand and a suit for eviction simplicitor on the other hand. If the defendant opposes the claim in the suit, as to arrears, the adjudication thereof must take place after trial. An application under Order 15-A of C.P.C. is not the proper mechanism to recover the suit amount, if seriously disputed by the defendant. Under the garb of seeking relief under that provision, plaintiff in a suit cannot pray for recovery of the entire amount, which incidentally is claimed in the suit itself. In such an event, the suit comes to be virtually decreed to that extent without trial, but through an order under Order 15-A of C.P.C.
If the arrears existed from the date of filing of the suit, a direction can certainly be issued for deposit thereof in an application filed under Rule 15-A of C.P.C. Any direction for deposit of arrears prior to the date of filing of the suit can be issued, only when there is no dispute. If there is divergence of opinion between the parties as to the quantum or liability, the determination thereof has to be relegated to a subsequent stage and a finding has to be given after trial. An exercise contemplated under Order 15-A of C.P.C. is totally inadequate and unsuited for final determination of the arrears of rent for the period anterior to the date of filing of the suit."
13. In the present case also, the plaintiff was claiming for recovery of an
amount of Rs.22,21,890/- towards arrears of rent in the main suit and the
present I.A. is also filed seeking the entire amount, which he was claiming in
the main suit.
14. As observed by the erstwhile High Court of Andhra Pradesh in the above
case, the suit is virtually decreed to the extent without trial through this Order
XV-A of CPC.
Dr.GRR, J crp_1026_2019
15. The arrears claimed by the respondent - plaintiff are also pertaining to
the period prior to filing of the suit, which were disputed by the defendant.
There was divergence of opinion between the parties as to the liability. As
such, the determination ought to have been relegated to a subsequent stage and
a finding need to be given after trial. The trial court passing orders commenting
on the receipts as incomplete and placing the burden of proof on the parties at
that stage, is unwarranted and is also erroneous.
16. The adjudication as to the disputed arrears need to take place only after
trial. The application under Order XV-A of Code of Civil Procedure is not the
proper mechanism.
17. In Tanmai Jewels Private Limited v. Sreesaila Kumari (cited supra)
also, the High Court of Andhra Pradesh held that:
"25. A perusal of the provision under Order XV-A of CPC discloses that the Court shall record a finding as to the existence of arrears that too after hearing both the parties and then pass an order on merits. The version of the respondent No.1 on the one hand, and the appellants, on the other, as to the payment of arrears of rents were very much before the Court. Not a word was said in this behalf and straight away the application was ordered."
18. The High Court of Andhra Pradesh in the above case by referring to its
earlier judgment in K.Zakria Shaik v. K.Saleem Basha (cited supra), held
that:
Dr.GRR, J crp_1026_2019
"An exercise contemplated under Order XV-A of CPC is totally inadequate and unsuited for final determination of the arrears of rent for the period anterior to the date of filing of the suit."
19. As the trial court passed the order in haste without going into the
provision of Order XV-A of CPC, which states that it should be only for
undisputed arrears, but passed the order for the disputed arrears, the order
passed by the trial court is considered as illegal and as such, the same is liable
to be set aside. However, as the revision petitioner - defendant also admitted
that he was paying enhanced rent @ Rs.75,830/- from 01.03.2018, it is
considered fit to direct the same to be paid under Order XV-A of CPC.
20. In the result, the Civil Revision Petition is allowed setting aside the order
dated 29.03.2019 passed in I.A.No.163 of 2018 in O.S.No.16 of 2018 by the
learned III Additional District Judge, Gadwal, Mahabubngar District directing
the revision petitioner herein to pay arrears of rent of Rs.22,21,890/- but,
however, the petitioner is directed to deposit the admitted rent of Rs.75,830/-
from the date of filing of the suit till date within a period of two months from
the date of this order, into the suit account and on deposit of the said amount,
the respondent - plaintiff is permitted to withdraw the same. The revision
petitioner herein is further directed to continue to deposit the same monthly rent
till the disposal of the suit and on deposit of the same, the respondent - plaintiff
is permitted to withdraw the same. No order as to costs.
Dr.GRR, J crp_1026_2019
As a sequel, miscellaneous applications pending in this petition, if any,
shall stand closed.
____________________ Dr. G.RADHA RANI, J Date: 27th March, 2025 Nsk
Publish Your Article
Campus Ambassador
Media Partner
Campus Buzz
LatestLaws.com presents: Lexidem Offline Internship Program, 2026
LatestLaws.com presents 'Lexidem Online Internship, 2026', Apply Now!