In Brief
A statutory tenant was inducted into a commercial property in Bangalore under the Rent Control Act. When the building was found to be dangerous and dilapidated, the Municipal Corporation issued a notice for demolition under the Karnataka Municipal Corporations Act and demolished it within three days of the tenant's receipt of the order. The tenant sued for possession of equivalent space in the reconstructed building and for damages. The High Court allowed the appeal, holding the Rent Act was superior. The Supreme Court reversed this decision, holding that statutory tenants' rights are governed exclusively by the Rent Act (not the Transfer of Property Act), and the two separate statutes operate in different spheres. The Court awarded Rs. 5 lakhs in damages for loss of goods and business but dismissed the claim for repossession."
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