livelawpk.com - Limitation Period for filing a leave to contest application

The First day of Appearance is excluded in the Ten-Day Limitation Period for filing a leave to contest application in Rent Cases

5 months
595

The First day of Appearance is excluded in the Ten-Day Limitation Period for filing a leave to contest application in Rent Cases --- Lahore High Court

Islamabad 19-07-2024: In a significant ruling, the Lahore High Court has dismissed a constitutional petition filed by M/s Phipsons Company (Pvt.) Limited, challenging the ejectment order passed by the Special Judge (Rent) and upheld by the Appellate Court. The case, W.P.No.1913/2020, has clarified several key legal principles regarding the calculation of limitation periods, the authority of Mutwallis, and the registration requirements for lease agreements.

M/s Phipsons Company (Pvt.) Limited had contested the ejectment petition filed by Zahid Moyeen, acting as a Mutwalli of Ghulam Rasool Trust. The dispute centered around a portion of the property located at 60-Shahrah-e-Quaid-E-Azam, Lahore.

The petitioner argued that the first day of appearance should be excluded while calculating the ten-day period for filing a leave to contest application under Section 22(2) of the Punjab Rented Premises Act, 2009. The Court upheld this view, citing Section 8 of the Punjab General Clauses Act, 1956.

The petitioner challenged the authority of Zahid Moyeen to file the ejectment petition, asserting that it should have been filed by the Trust itself. The Court found that the arbitration award dated 18.6.1989 empowered the Mutwalli to lease out property and file ejectment petitions on behalf of the Trust.

The petitioner claimed that a mutual agreement extended the lease to 99 years starting from 27.3.1972. The Court noted that even if this was true, the lease agreement needed to be a registered document under Section 17(d) and 49 of the Registration Act, 1908, and Section 107 of the Transfer of Property Act, 1882, which it was not. Hence, the lease would be deemed a month-to-month lease.

The Court concluded that the leave to contest application was filed within the statutory period of ten days and was not time-barred. Furthermore, the Court confirmed the Mutwalli's authority to file the ejectment petition based on the arbitration award and the factual scenario. The purported 99-year lease was deemed invalid for lack of registration, making the tenancy a month-to-month lease.

The petition was dismissed as meritless. The Court upheld the ejectment order, finding no substantial grounds for leave to contest on merits. This ruling reinforces the importance of adhering to statutory requirements for lease agreements and clarifies the procedural aspects of filing leave to contest applications.

This judgment serves as a pivotal reference for future cases involving similar legal issues and emphasizes the need for meticulous adherence to legal procedures and statutory requirements.