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Supreme Court of India 2017-03-23 allowed

Bhagirath Agarwal vs Simplex Concrete & Piles (I) Pvt. Ltd. & Ors

Bench: 2 — Kurian

In Brief

A landlord appealed against a City Civil Court order that allowed his tenant to pay arrears of rent in installments but denied interest. The High Court upheld the denial. The Supreme Court held that under Section 17(2A)(b) of the West Bengal Premises Tenancy Act, 1956, interest on arrears is a mandatory statutory right when installment payment is ordered, not discretionary. The court cannot deny interest based on the tenant's conduct or justifications for non-payment. The Court allowed the appeal and affirmed the landlord's entitlement to interest under the Act.

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Tenancy Law Landlord and Tenant Interest on Arrears Statutory Interpretation Civil Procedure

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