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1970 (12) TMI 89

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..... oal Co. erected buildings for manufacture of coke and also constructed office and the quarters for the staff and the labourers. On May 17, 1946 the Eastern Coal Co. sold the machineries on the demised land to the appellant and also granted' a lease of the land on which the buildings stood to him. One of the terms of the lease was that royalty would be paid by the appellant at the rate of Re 1 per ton on despatches of coke. The rate was subjected to being revised from time to time by mutual arrangement between the parties as may be justified by market condition. According to the appellant the Eastern Coal Company came to an arrangement in 1950 with him by which royalty on breeze coke was to be paid at the rate of 2 As. per ton. In. Dec .....

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..... oke. The trial court accepted the plea of the appellant about reduction of the rates of royalty in terms of the arrangement arrived at with the Eastern Coal Company., It was further held that the document Exh. A-4 in which this agreement or arrangement was incorporated did not required registration compulsorily and was admissible in evidence. The suit was dismissed. Respondent No. 1 preferred an appeal to the High Court. Although the point with regard to the admissibility of Exh. A-4 for lack of registration was raised before the High ,Court it did not give 'any decision on it. The judgment of the High Court rested on the finding that the appellant had failed to prove that the reduction in the rate of royalty had been given 'effect .....

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..... the Madras High Court in Obai Gounden v. Ramalinga Ayyar I.L.R. 22 Mad. 217 taking a contrary view has not been followed by the High Courts in India and the consistent view that has been taken is that registration ,of an agreement is necessary which reduces the rent of an existing registered lease : See Mulla on Indian Registration Act, 7th Edn. pp. 75-76. The other contentions faintly raised before us arising. out of issue No. 3 and that Exh. A-4 had been acted upon do not survive in view of the conclusions arrived at by the High Court and the view that we have taken about the admissibility of the aforesaid document. The Civil Miscellaneous Petitions which were filed in this Court shall stand dismissed as, in our opinion, no ground has bee .....

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