IN THE COURT OF THE I ADDITIONAL JUNIOR CIVIL JUDGE-
CUM-, ADDITIONAL JUDICIAL MAGISTRATE OF THE FIRST
CLASS, VIZIANAGARAM
Present: Smt.B.Ramya, I Additional Junior Civil Judge-cum-
Additional Judicial Magistrate of the First Class,
Vizianagaram
Wednesday, this the 16th day of April, 2025
O.S.No.88 OF 2016
Between: N.V.Chalamaji, S/o late Venkata Ramanayya, Aged 67 years, R/at Door No.4-8-68, Kothagraharam, Vizianagaram Town and District. ….Plaintiff
AND M/s Srinivasa Corporation, represented by its Proprietor Sri Pekati Parameswara Rao, S/o late Appala Sitarama Murthy, Aged 54 years, R/o D.No.8-1-46, M.G.Road, Vizianagaram Town and District. …Defendant
This suit is coming before me on 07.04.2025 for final hearing in the presence of Sri N.K.Raj Kumar, Advocate for the Plaintiff and Sri K.V.N.Thammanna Setty, and upon perusing the material available on record, and upon hearing the arguments and having stood over for consideration to this day, till this day, this Court delivered the the following:-
J U D G M E N T
1.This suit is filed by the plaintiff against the defendant
(a) directing the defendant to vacate and handover the vacant possession of the plaint schedule shop to the plaintiff and in case, if the defendnat fails to do so, the Court keep the plaintiff in 2 vacant possession of the plaint schedule shop by getting the defendant evicted from it under due process of law; (b) directing the defendnat to pay the damages of Rs.20,000/- towards un- authorized use and occupation of the plaint schedule shop from the month of October, 2014 to January, 2015 i.e., Rs.5,000/- per month together with interest @ 24% per annum from the date of filing of the suit to the date of realization; (c) directing the defendant to pay an amount of Rs.20,000/- per month towards damages for the un-authorized use and occupation of the plaint schedule shop from the date of filing of suit to till the date of handing over the vacant possession of the planit schedule shop to the plaintiff and costs thereof.
2.The averments of the plaint are that the plaintiff is the absolute owner of the ground floor 'B' shop room in building bearing Door No.8-1-46, situated at Vizianagaram, more fully described in the schedule annexed. The said premises was let out to the defendant on 31-10-2010 for a lease period of 48 months.
The agreed rent was Rs.17,000/- per month for the first 12 months, and Rs.19,550/- per month thereafter (from 01-11-2011 to 3 31-10-2014), with an express condition to vacate upon expiry of the lease period. A registered lease deed was executed by both parties vide Regd. No. 4648/2010, and possession was delivered to the defendant. The plaintiff, being aged along with his wife, wishes to live with his third son N.V. Ramyya, who agreed to take care of them. To secure their welfare, the plaintiff intends to start a gold business with his son in the suit premises, as the locality is suitable for such trade. The plaintiff waited until expiry of the lease to avoid inconvenience to the defendant and orally informed the defendant before and after 31-10-2014 that the lease would not be extended and requested vacation of the premises. Despite this, the defendant failed to vacate the premises. The plaintiff sent a letter dated 01-12-2014 reiterating his need for the shop and requesting the defendant to vacate. The defendant acknowledged the same and sought three months’ time, to which the plaintiff agreed, allowing continued occupation till January 2015 at the existing rent.
2.1It is further submitted that the defendant sent a letter
dated 11-12-2014 enclosing a cheque for Rs.40,470/- towards rent
4 for October and November 2014 at a rate of Rs.20,235/- per month, unilaterally deducting TDS and claiming a new rent agreement violating the original lease terms. The plaintiff returned the cheque with a letter dated 22-12-2014 and again demanded vacation. Despite this, the defendant sent another cheque for
Rs.20,235/- along with a legal notice dated 12-01-2015. The plaintiff, through his advocate, returned the cheque and denied all claims in his reply notice dated 22-01-2015, which was duly acknowledged by the defendant. Upon further requests and negotiations, the plaintiff agreed to extend the time for vacation until 01-10-2015 on the condition that monthly rent of Rs.20,235/- would be paid and that the defendant would vacate without fail.
The defendant accepted this condition but again failed to comply.
The plaintiff issued a final legal notice on 14-09-2015 demanding delivery of possession by 01-10-2015. The defendant, instead of complying, sent a reply dated 21-09-2015 making false claims about a so-called compromise involving mediators and alleging renewal of lease. The plaintiff denied these allegations and clarified the position in his registered reply dated 20-01-2016. The plaintiff 5 states that the defendant has been causing damage to the shop premises, amounting to acts of waste. The continued unauthorized occupation of the premises post 01-10-2015 is illegal, and the defendant is liable to pay damages. Considering the commercial nature of the premises, the plaintiff claims Rs.5,000/- per month as damages from October 2014 till the date of suit (Rs.20,000/- in total), with interest at 24% per annum. The plaintiff further submits that due to the rise in commercial property values and rents in the area, he is entitled to future damages at Rs.20,000/- per month from the date of filing of the suit until recovery of possession. Hence, the plaint.
3.The learned Counsel for the defendant filed written statement denying the plaint avements and further contended that he was inducted as a tenant into the suit schedule shop under a registered lease deed dated 31-10-2010 and had been regularly paying rent to the plaintiff. When the plaintiff avoided receiving rent for October and November 2014, the defendant sent banker's cheques after deducting TDS, which were returned by the plaintiff along with reply letters containing false and untenable allegations.
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Despite these issues, a compromise was later arrived in March 2015 through the intervention of well-wishers, under which the plaintiff agreed to continue the defendant’s tenancy for a further period of 48 months from March 2015. Accordingly, the defendant deposited arrears and continued paying monthly rent at the enhanced rate into the plaintiff’s bank account, which clearly indicates the plaintiff’s acceptance of the extended tenancy. The defendant further contends that the plaintiff has taken contradictory and inconsistent stands by alternatively claiming that the defendant is a licensee and a tenant, thereby casting serious doubt over the maintainability of the suit. The plaintiff, with malafide intention, filed the present suit only to evict the defendant through unlawful means, despite having agreed to the continuation of the tenancy.
Since the agreed period of 48 months would only expire in March 2019, the suit filed prior to that date is premature and devoid of any legal basis. He further contended that the notice issued under
Section 106 of the Transfer of Property Act is invalid as it failed to provide the mandatory 15 days' clear notice from the date of service. The notice dated 14-09-2015 required the defendant to 7 vacate by 01-10-2015, but it was only served on 17-10-2015, rendering it legally ineffective. The defendant also denies being an unauthorized occupant and disputes the claim for damages at
Rs.20,000/- per month with 24% interest as highly excessive and unjustified. Therefore, the suit is not maintainable either in law or on facts and is liable to be dismissed. It thus, prayed to dismiss the suit with costs.
4.On the basis of the above pleadings, the following issues were settled for trial:
1) Whether the plaintiff is entitled for recovery of possession of palint schedule property after vacating the defendant as prayed for?
2) Whether the plaintiff is entitled for damages as prayed for?
3) To what relief?
5.During the course of trial, to prove their respective cases, the plaintiff himself examined as P.W.1 and got marked
Exs.A.1 to A.10 on his behalf. On the other hand, the defendant himself examined as D.W.1 and got marked Exs.B.1 to B.14 and one Sri Battula Prakash, who is the 3rd party to the suit is examined as D.W.2.
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6.Heard the learned counsel for the plaintiff and the learned counsel for the defendant. Perused the material available on record.
7.To shore up his contention, the plaintiff filed affidavit in lieu of examination- in- chief by asserting all material averments of the plaintiff. The affidavit of the plaintiff is nothing but replica of the plaint and it was elicited in the cross-examination PW.1 admitted that the suit schedule shop was originally leased to the defendant under a registered lease deed dated 31-10-2010 and acknowledged the lease amount and its periodic enhancement. He stated that the original lease deed is in the custody of the defendant but did not mention this in his chief affidavit. Though
Ex.A.1 refers to the plaintiff as "licensor" and defendant as "licensee", he confirmed that the agreement was signed by both parties with full knowledge of its contents. He admitted that the defendant paid rent in cash till October 2014 and later through cheques. He also acknowledged that the defendant is presently depositing monthly rent of Rs. 20,250/- into his bank account at
State Bank, Bazar Branch (A/c ending 4069), and there are no 9 arrears of rent as of the last month. P.W.1 further stated that PW.1 claimed not to remember if he provided his bank account details to the defendant, yet admitted to the receipt of rent in that account after rent enhancement. He denied knowing one of the mediators,
Battula Prakash, but admitted that the other mediator, Sri N.V.
Ramji, is his distant relative. He further admitted that no formal notice of cancellation of license was issued and could not confirm whether acknowledgment of the legal notice (Ex.A.6) was filed in court. He accepted that the suit may not be maintainable if the lease period had not lapsed and that the mandatory notice under law may not have been properly issued. He also acknowledged that his third son is not involved in the gold business, and offered to produce his son's evidence if required. Overall, the testimony of
PW.1 supports the existence of a valid tenancy, regular rent payments.
8.To shore up his contention, the defendant filed affidavit in lieu of examination-in-chief by asserting all material averments of the defendant. The affidavit of the defendant is nothing but replica of the written statement and it was elicited in 10 the cross-examination, D.W.1 admitted that the plaintiff is the owner of the plaint schedule property and that he initially took the property on lease under a registered deed dated 31.10.2010 for a period of four years, which expired on 31.10.2014. He acknowledged receiving a letter from the plaintiff dated 01.12.2014 (Ex.A.2) asking him to vacate the property and also admitted that he sent rent twice via cheque, which was refused by the plaintiff.
D.W.1 further admitted, it was not mentioned in his chief affidavit or in his written statement that the lease period was extended for four years. D.W.1 further admitted that, he has no documentary proof to show that the lease was orally extended for a further period of four years through a panchayat held at the house of
Balabadruni Narasimharao, in the presence of elders including
N.V.Ramakrishna and Battula Prakash and also no written settlement of the said mediation, and that the place and details of the panchayat were not mentioned in his written statement or reply notice. DW.1 stated that he paid the enhanced rent after the alleged oral extension but denied depositing rent into the plaintiff's bank account, contradicting earlier claims. He admitted the 11 existence of adjacent shops, including a gold shop smaller than the plaint schedule property, and acknowledged that there are several paint shops in the vicinity, including his own business "Srinivasa
Corporation" located in Chinnaveedhi. He also admitted that the plaintiff informed him to vacate the plaint schedule property by way of letter dt.01.12.2024 in Ex.A.2 and he depositing the rent in court as the plaintiff refused to accept it, and that in Ex.A.9 the plaintiff agreed to receive rent without prejudice to his rights.
Though DW.1 firmly denied the suggestions that he is an unauthorized occupant or liable to pay damages, he also conceded that neither his chief affidavit nor written statement specifically mentions the four-year oral extension. He denied suggestions that he is falsely claiming an extension to avoid eviction and reiterated that the plaintiff had in fact agreed to continue the tenancy for another four years for the conduct of his business. Moreover,
D.W.1 admitted that, he renovated his house and opened a paint shop under the name and style of Srinivasa Corporation.
9.One Sri Battula Prakas, who is the 3rd party to the suit is examined as D.W.2, he deposed that he is well acquainted 12 with both the plaintiff and the defendant. He stated that the defendant has been a tenant of the plaint schedule shop room since 2010. In February 2015, disputes arose between the plaintiff and the defendant regarding the extension of the lease, and both parties approached him and one Sri Nagulakonda Venkata Rama
Krishna to mediate the matter. After detailed discussions, a compromise was reached wherein the plaintiff agreed to continue the tenancy for a further period of four years commencing from
March 2015. As part of the compromise, the plaintiff provided his bank account details to the defendant and instructed him to deposit the monthly rent into the said account. DW.2 further stated that the defendant later informed him that he was regularly depositing rent in the plaintiff’s account as per the agreed terms.
During the cross-examination, D.W.2 stated that the lease deed was registered in March 2015 with an agreed rent of ₹17,500/- per month for a period of four years. He admitted he does not know the exact dates of the exchange of legal notices between the parties or their contents. He reiterated that the plaintiff and defendant came to his house in February 2015 for oral 13 negotiations, during which they resolved their dispute. However, he was unaware whether the lease was first extended for 3 months and then for 9 months. DW.2 stated that he has known the defendant since childhood as his classmate and knows the plaintiff, though they are not related. He acknowledged that the defendant constructed a building in Chinna Veedhi, Vizianagaram and runs a paint shop there. He also admitted that Chinna Veedhi has many paint and jewellery shops.
Issue No.1: Whether the plaintiff is entitled for recovery of possession of the plaint schedule property after vacating the defendant as prayed for?
10.The plaintiff has instituted the present suit on the basis of ownership and landlordship over the plaint schedule property, i.e., a shop room bearing Door No.8-1-46 situated at
Vizianagaram. The plaintiff has asserted that the defendant was inducted into possession of the said shop room under a registered lease deed dated 31-10-2010 (Ex.A.1), for a period of four years.
Upon expiration of the lease period on 31-10-2014, the plaintiff requested the defendant to vacate the shop by issuing letters dated 14 01-12-2014 (Ex.A.2), 11-12-2014 (Ex.A.3), and 22-12-2014 (Ex.A.4), followed by advocate notices dated 22-01-2015 (Ex.A.5) and 14-09- 2015 (Ex.A.6).
11.The defendant, on the other hand, while admitting the initial lease, contends that the tenancy was orally extended for a further period of 48 months from March 2015, pursuant to a compromise allegedly arrived at through mediation by two well- wishers, namely Sri Battula Prakash and Sri N.V. Ramakrishna
Ramji. However, no documentary evidence has been filed to substantiate the oral extension of tenancy. DW.1 (Defendant) in his cross-examination admitted that no written renewal or registered lease deed was executed after the expiry of Ex.A.1 and that the alleged mediation did not result in a written agreement. Further,
DW.2, though examined to support the version of oral extension, also admitted during cross-examination that he was not aware of the lease terms and did not possess personal knowledge of the actual execution of any agreement.
12.The plaintiff, during his deposition, categorically denied having agreed to any renewal and denied that any 15 settlement or mediation concluded with an extension of tenancy.
While it is shown by the defendant that rent was paid post-
February 2015 and deposited into the plaintiff’s bank account, such payments alone do not amount to automatic renewal of tenancy for a further period of four years. Acceptance of rent after termination of lease is a common phenomenon in landlord-tenant disputes and does not, by itself, create a fresh tenancy unless the intention to renew is unambiguously established through legally enforceable terms.
13.Moreover, Ex.A.1 clearly stipulates that any renewal of lease shall only be effected upon mutual consent and by execution of a fresh agreement. No such written agreement has been executed, and the plaintiff has repeatedly demanded that the defendant vacate the premises post-expiry. The existence of a continuing tenancy has not been proved as per law. Oral agreements, even if assumed, cannot override the written registered lease agreement, especially when possession was originally taken under a registered deed and not renewed in the manner provided therein. Moreover, the plaitiff main submission is that he is aged 16 about 73 years and his wife became older and he want to keep his third son N.V.Ramayya, with him, to look after their welfare in old age and they wants to establish gold business with his son in the said plaint schedule shop, which is the bonafide requirement of the plaintiff. Moreover, the defendant he himself admitted he renovate his house and opened his own paint shop under the name and style of Srinivasa Corporation.
The learned Counsel for the plaintiff relied in between
Kanahaiya Lal Arya v. Md.Ehshan and Others reported in SLP (C)
No.21965 of 2022 the Hon’ble Supreme Court, which is squarely applicable to the present set of facts on hand.
The learned Counsel for the defendant relied in between N.Prabhakar Rao v. J.R.Ramesh Kumar @ Rameshji reported in [2001 (6) ALT 38 (SC)] the Hon’ble Supreme Court of
India and in between S.J.Ebenezer v. Velayudhan and Others reported in [1998 (0) AIR (SC) 746] the Hon’ble Supreme Court, which are squarely not applicable to the present set of facts of the case.
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14.Accordingly, this Court is of the considered opinion that the lease stood terminated on 31-10-2014 and that the defendant, post-termination, became an unauthorized occupant. The plaintiff, being the owner and erstwhile landlord, is entitled to recover possession of the plaint schedule property. Accordingly, this issue is answered in favour of the plaintiff.
Issue No.2: Whether the plaintiff is entitled for damages as prayed for?
15.The plaintiff claims damages for use and occupation at the rate of Rs.20,000/- per month with interest @ 24% per annum from 01-11-2014 till the date of recovery of possession. It is not in dispute that the defendant continued in possession even after the expiry of the lease period on 31-10-2014. Though the defendant has taken the plea of oral extension, the same, as held above, has not been established. Therefore, the defendant’s continued possession after 01-11-2014 is without lawful authority.
16.Once the lease expires and the tenant fails to vacate, the occupation becomes wrongful and unauthorized, entitling the owner to claim mesne profits or damages. In this case, although 18 the plaintiff claims damages of Rs.20,000/- per month, no documentary evidence has been produced to substantiate the prevailing market rent or fair rental value. However, during cross- examination, the plaintiff deposed that an adjacent smaller shop was given on rent to a goldsmith in 2016 for Rs.6,000/- per month, and another shop was rented to a jewellery business for
Rs.10,000/- per month in 2010. P.W.1 he himself admitted that, there is no due of arrears of the rent and defendnat is depositing the rent on every month for Rs.20,250/- into his accosunt and defendant also filed Exs.B.7 to B.14 to show that he is depositing the rent regulary every month sicne 2016 to 2023 the plaint schedule property is larger in area, and considering escalation of rental values over the years, a reasonable monthly damage of
Rs.5,000/- per month is deemed appropriate from 01-11-2014 onwards till delivery of possession.
17.As regards the claim for interest @ 24% per annum, the same appears excessive and exorbitant. The Court considers it reasonable to award interest at the rate of 6% per annum on the arrears of damages from the date of filing of the suit till the date 19 of realization. Accordingly, the plaintiff is held entitled to damages at the rate of Rs.5,000/- per month from 01-11-2014 till delivery of possession and interest @ 9% per annum on the arrears from the date of suit till realization.
Issue No.3: To what relief?
18.In view of the findings on Issue Nos.1 and 2, the plaintiff is entitled to the relief of eviction and recovery of possession of the plaint schedule property. The plaintiff is also entitled to damages for use and occupation at the rate of
Rs.5,000/- per month from 01-11-2014 till the date the defendant vacates or is evicted from the property, along with interest @ 6% per annum on the accumulated arrears from the date of filing of the suit till realization. The plaintiff is further entitled to costs of the suit.
19.IN THE RESULT, the suit is decreed with costs and directing the defendant to vacate and handover the vacant possession of the plaint schedule shop to the plaintiff and in case, if the defendnat fails to do so, the Court keep the plaintiff in 20 vacant possession of the plaint schedule shop by getting the defendant evicted from it under due process of law.
Further, directing the defendnat to pay the damages for un-authorized use and occupation of the plaint schedule shop from the month of October, 2014 to January, 2015 i.e., Rs.5,000/- per month together with interest @ 6% per annum from the date of filing of the suit to the date of realization.
Further, directing the defendant to pay an amount of
Rs.5,000/- per month towards damages for the un-authorized use and occupation of the plaint schedule shop from the date of filing of suit to till the date of handing over the vacant possession of the planit schedule shop to the plaintiff and costs thereof.
Typed to my dictation by the Stenographer, corrected, signed and pronounced by me in open Court, on this the 16th day of April, 2025. Sd/B.Ramya I Additional Junior Civil Judge-cum-
Additional Judicial Magistrate of the First Class,
Vizianagaram
Appendix of Evidence Witnesses Examined
For Plaintiff: For Defendant:
P.W.1: N.Venkata Chalamaji D.W.1: P.Parameswara Rao
D.W.2: B.Prakash 21
Exhibits Marked For Plaintiff:
Ex.A.1 Copy of adangal obtained from Village Secretariat for Item No.1 of the plaint schedule property dt.18.04.2023.
Ex.A.1: Original Registered Lease Deed dated 31-10-2010.
Ex.A.2: Letter addressed by Plaintiff to Defendant dated 01.12.2014.
Ex.A.3: Letter addressed by Plaintiff to Defendant dated 11.12.2014.
Ex.A.4: Letter addressed by Plaintiff to Defendant dated 22.12.2014.
Ex.A.5: Advocate Notice issued by Plaintiff’s Advocate dated 22.01.2015.
Ex.A.6: Advocate Notice issued by Plaintiff’s Advocate dated 14.09.2015.
Ex.A.7: Reply Notice issued by Defendant through his Advocate
dated 21.09.2015.
Ex.A.8: Letter addressed by Defendant to Plaintiff dated 17.11.2015.
Ex.A.9: Reply Letter addressed by Plaintiff to Defendant dated 20.01.2016.
Ex.A.10: Postal Acknowledgment dated 21.01.2016
For Defendant: Ex.B.1: Office copy of registered legal notice dated 1.12.2014.
Ex.B.2: Office copy of registered reply notice dated 11.12.2014 got issued by defendant to the plaintiff sending account payee bankers cheque bearing No.000302 drawn on bank of India, Vizianagaram towards rent for the months of October and November, 2014.
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Ex.B.3: Office copy of registered notice dated 12.1.2015 got issued by the defendant to the plaintiff alongwith acknowledgment sending account payee bankers cheque bearing NO.000343,
dated 5.1.2015 drawn on Bank of India, Vizianagaram
towards rent for the months of December, 2014 for an amount of Rs.20,235/-.
Ex.B.4: Office copy of registered notice dated 6.2.2015 got issued by the defendant to the plaintiff alongwith acknowledgment sending account payee bankers cheque bearing NO.000392.
dated 5.2.2015 drawn on Bank of India Vizianagaram
towards rent for the months of january, 2015 for an amount Rs.20.235/-.
Ex.B.5: Office copy of the registered notice dated 21.9.2015 got Issued by the defendant to the plaintiff alongwith acknowledgment sending account payee bankers chque bearing NO.000392 dated 1.2.2015 drawn on Bank of India, Vizianagaram towards rent for the months of January, 2015 for an amount of Rs. 20,235/-.
Ex.B.6: Office copy of registered legal notice dated 17.11.2015 got issued by the defendant to the plaintiff informing that the defendant deposited the every month rent to the bank account of the plaintiff.
Ex.B.7: Downloaded copy of bank account statement dated 16.11.2021 regarding the year 2016 of defendant showing every month rent to the plaintiff.
Ex.B.8: Downloaded copy of bank account statement dated 16.11.2021 regarding the year 2017 of defendant showing every month rent to the plaintiff.
Ex.B.9: Downioaded copy of bank account statement dated. 16.11.2021 regarding the year 2018 of defendant showing every month rent to the plaintiff.
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Ex.B.10: Downloaded copy of bank account statement dated 16.11.2021 regarding the year 2019 of defendant showing every month rent to the plaintiff.
Ex.B.11: Downloaded copy of bank account statement dated 16.11.2021 regarding the year 2020 of defendant showing every month rent to the plaintiff.
Ex.B.12: Downloaded copy of bank account statement dated 16.11.2022 regarding the year 2021 of defendant showing every month rent to the plaintiff.
Ex.B.13: Downloaded copy of bank account statement dated 16.11.2021 regarding the year 2022 of defendant showing every month rent to the plaintiff.
Ex.B.14: Downloaded copy of bank account statement dated 16.11.2021 regarding the year 2023 of defendant showing every month rent to the plaintiff.
Sd/B.Ramya I Additional Junior Civil Judge-cum-
Additional Judicial Magistrate of the First Class,
Vizianagaram