Summary
The Court restored eviction orders concerning land leased for a club and pavilion. For the Haryana rent legislation, business has a wider meaning than trade and need not involve profit. Activities serving a section of the public could therefore bring the club land within the definition of rented land. Definitions adopted under taxation or other statutes did not control this inquiry. The tenants received three months to vacate; the landlords were directed to discharge all land-tax dues before using the premises.
Issues
- Whether land leased for club activities without a profit motive was rented land within the Haryana rent legislation.
- Whether outstanding property taxes prevented the landlords from obtaining eviction.
Provisions considered
- Section 2(f), Haryana Urban (Control of Rent and Eviction) Act, 1973Business was construed broadly in the context of rented land; profit was not essential and the club activities fell within the definition. (¶¶ 7, 8, 12, 13, 14)
Held
- Business is wider than trade and does not necessarily require a profit motive. The club and pavilion served a section of the public; the High Court wrongly excluded the tenancy from the rent legislation on the basis of the club’s activities. (¶¶ 7, 8, 12)
- Decisions concerning educational activity, agricultural land, taxation and essential commodities arose in different contexts and did not establish that this club tenancy fell outside the statutory definition. Definitions must be considered with reference to the enactment’s object. (¶¶ 13, 14)
- The factual eviction findings were not disputed before the Court. The landlords’ tax liability did not defeat their right to eviction, but they had to pay all land-tax dues before using the premises. (¶¶ 15, 16)
- The appeals were allowed and eviction restored. The tenants were given three months to vacate and hand over possession. (¶ 16)
Result
Appeals allowed; eviction orders restored with three months to vacate and a direction to the landlords to pay all land-tax dues before using the premises.