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2010 (8) TMI 935

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..... ferred to as the said `premises'). The appellants became the owner of the scheduled premises by virtue of a Gift Deed dated 30.3.2000 executed by the husband of appellant No. 1 and the father of appellants No. 2 and 3. 5. The appellants inducted the respondents as tenants on a monthly rent of Rs. 4000/- (Four Thousand Only) per month in respect of the said premises. The rent was agreed in accordance with clause 4 of the rent agreement dated 06.11.1997. 6. On or about 21.3.01 the appellants instituted an eviction proceeding being H.R.C. No. 10042/2001 against the respondents under Section 21 (1) (h) and (f) of Karnataka Rent Control Act, 1961 (herein after "the 1961 Act"), inter alia, on the grounds of default, subletting, reasonable and bonafide requirements and some other grounds. 7. In the said eviction proceeding, the respondents filed an IA being, IA 8 of 2006, wherein it was contended by the respondents that during the pendency of the eviction proceeding, under Section 21(h)(f) of the 1961 Act, Karnataka Rent Act 1999 (herein after, "1999 Rent Act") has come into effect repealing the 1961 Act and it was further contended that the eviction proceeding will have to be deal .....

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..... as if the said enactment had not been repealed;  (b) all cases and proceedings other than those referred to in clause (a) pending at the commencement of this Act before the Controller, Deputy Commissioner, Divisional Commissioner, Court, District Judge or the High Court or other authority, as the case may be in respect of the premises to which this Act applies shall be continued and disposed off by such Controller, Deputy Commissioner, Divisional Commissioner, Court, District Judge or the High Court or other authority in accordance with the provisions of this Act.  (c) all other cases and proceedings pending in respect of premises to which this Act does not apply shall as from the date of commencement of the Act stand abated." 14. The learned counsel for the appellants urged that in view of the provisions of Section 2(3)(e)(i) of the 1999 Rent Act, the decision of the Small Causes Court is bad in law and cannot be sustained. 15. In order to appreciate these controversies the relevant Section is set out below. "2(3) Nothing contained in this Act shall apply,-  (a) xxx  (b) xxx  (c) xxx  (d) xxx  (e) to any premises, deemed rent on the da .....

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..... fixtures equipment and fittings shall be included in the cost of construction of the premises as bears proportion to the plinth area of such premises to the plinth area of that building;  (c) the cost of construction shall be the actual amount spent on construction, and in a case where such amount cannot be ascertained, such cost shall be determined as per the scheduled rates of the State Public Works Department for cost of construction for similar construction for the year in which the premises was constructed;  (d) the market price of the land shall be the price for which the land was bought as determined from the deed of sale registered under the Registration Act, 1908 (Central Act 16 of 1908), if construction commenced in the year of registration or the land rates notified by the State Government or a local authority for the year in which construction was commenced, whichever is higher;  (e) the land comprised in the premises shall be the plinth area of the building and such of the vacant land up to fifty per cent, of the plinth area as is appurtenant thereto;  (f) in a case where a premises forms part of a building having more than one premises, such pr .....

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..... nbsp;(ii) to buildings which are more than 15 years old. (2) The Rent Deed is required to be in writing and registered. (3) Tenancy is made inheritable to a limited extent. (4) Provision is made,- (a) for collection of standard rent in relation to the investment on property and for enhancement of rent, and for determination of Standard Rent by Rent Controller;  (b) for registration of middlemen and estate agents;  (c) for adjudication of eviction application by Rent Courts, with only Right of Revision, but no appeal;  (d) for immediate eviction of tenants of State or Central Government Employees, members of Armed Forces, widows, handicapped persons and persons above the age of 65 years under certain circumstances;  (e) to laydown Special Procedure for trial of cases before the controllers and also the Courts so as to achieve quick disposals and negotiated settlement.  (f) to impose certain Special obligations on the landlords and tenants, etc." 23. Therefore 1999 Rent Act is a socio-economic legislative measure and is designed to give protection to certain classes of tenants. A tenant who is paying deemed rent or standard rent above Rs. 3 .....

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