Landlord Need Not Disclose Exact Nature Of Business To Seek Eviction Of Tenant For Bonafide Need: Delhi High Court

The Delhi High Court has held that in today's fast-changing economy, a landlord seeking eviction of tenant under Section 14(1)(e) of the Delhi Rent Control Act 1958 for bonafide use, need not disclose the exact nature of business proposed to be carried out from the tenanted premises.Justice Saurabh Banerjee observed,“In the opinion of this Court, the nature/ purpose/ disclosure of the new business, especially under circumstances where the tenant was already in possession of the subject shop since long and depending upon the facts and circumstances of the fast-changing economy involved, may/ can be fluid.”The judge added, “The landlord is not required to spell out the exact nature/ purpose/ disclosure of the said new business and be bound by it, taking the risk of inviting an application under Section 19 of the DRC Act then.”Section 19 paves way for evicted tenants to obtain re-entry, if the landlord or the person for whose benefit the premises are sought, fails to occupy the property within two months of obtaining possession.In the case at hand, Petitioner-landlord sought eviction of Respondent-tenant for commencing his own business. He approached the High Court following denial of relief by the Rent Controller.The tenant argued that the landlord had not disclosed the precise nature of his alleged bonafide requirement, and though the landlord had pleaded an intention to run a business, the landlord did not specify the kind of business he wanted to run.It was contended that the landlord has to establish a genuine, honest and concerning bona fide requirement as also that the subject shop is the suitable space for that purpose.The High Court however noted that the DRC Act is silent about any requirement of the landlord giving the details/ divulging anything qua the nature/ purpose/ disclosure of the proposed new business. Reliance was placed on Balwant Singh Chaudhary & Anr. vs. Hindustan Petroleum Corporation Ltd (2004) where the High Court had held that it is not necessary for the landlord to plead and prove the specific business which he wants to set up in nonresidential premises in respect of which eviction is sought.As such, the Court allowed the landlord's plea and ordered the tenant to vacate the premises in six months.Appearance: Mr. Ajaya Bhardwaj, Mr. Harshit Bhardwaj and Mr. Shubham, Advs. for Petitioner; Mr. Gaurav Bhardwaj and Ms. Garima Bhardwaj, Advs. for RespondentCase title: HS Banka v. Mohan LalCitation: 2025 LiveLaw (Del) 1286Case no.: RC.REV. 49/2018Click here to read order

Landlord Need Not Disclose Exact Nature Of Business To Seek Eviction Of Tenant For Bonafide Need: Delhi High Court

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