SC:Tenant can continue possession even if assignment to him was nullified

The Hon’ble Supreme Court, on 20thAugust 2019, in the matter of Tilak Raj Bakshi v. Avinash Chand Sharma (Dead) Through Lrs. & Others observed that even if it is found that the assignment of the tenanted premises by a landlord in favour of tenant, is null and void, the tenant still has the right to continue in possession unless he is evicted under the relevant law for the eviction of tenants.

The Hon’ble Supreme Court observed that:

The mere fact that a plea is not taken, that the clause in question is vague, and hence, unenforceable and void will not stand in the way of the Appellate Court looking into the contract and, if on its terms, it finds it to be vague and unenforceable, it can be so held. (Para 21)

Even if it is found that the assignment of the tenanted premises by a landlord in favour of tenant, is null and void, the tenant still has the right to continue in possession unless he is evicted under the relevant law for the eviction of tenants. (This inference has been drawn on the basis of Para 37(2))

Right to pre-emption is ordinarily born out of custom or in terms of a statutory provision.(Para 43)

A family settlement/contract can give rise to a right of pre-emption.(Para 43)

If a suit involves the right of pre-emption, and the litigant is pursuing his secondary right to follow the property sold, then, the relief would be to substitute such litigant in place of the buyer. The right of pre-emption is not right of re-purchase. (This inference has been drawn on the basis of Para 44)

A contract presupposes an offer which is accepted. (Para 52)

Copy of judgement: Judgement_20-Aug-2019

-Adv. Tushar Kaushik

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