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Murphy v Bajpai [1996] FJHC 30; Hbc0121j.1996s (18 July 1996)

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Fiji Islands - Murphy v Bajpai - Pacific Law Materials

IN THE HIGH COURT OF FIJI

At Suva

Civil Jurisdiction

CIVIL ACTION NO. 0121 OF 1996

BETWEEN:

BRIAN MUbr> as Receiver and Manager appointed for
J.P. BAJPAI & COMPANY LIMITED
Plaintiff

AND:

PREMA BAJPAI
Defendant

Mr. A.H.C.T. Gates for Plaintiff

Mr. D. Sharma for Defendant

JUDGMENT

On the 22nd March 1966 thentiff as receiver and manager of J.P. Bajpai & Co. Ltd. ('the company') i/i> issued a Summons under Section 169 of the Land Transfer Act (Cap.131) seeking an order for immediate vacant possession of a Crown Lease of which the company is the last registered proprietor and which is alleged to be unlawfully occupied by the defendant. The consent of the Director of Lands to the action (the necessity of which ibtful), was soug sought and duly granted by letter dated the 12th March 1996.

The action has its origins in a letter dated 8th January 1996 which thintiff addressed to the defe defendant offering him a 'monthly tenancy' over the property. There was no response to the 'offer letter' and on 15th January 1996 a further letter was sent to the defendant, this time threatening legal proceedings if rental was not paid by the following day. Again, no response was received and finally, by letter dated 29th February 1996 solicitors acting for the plaintiff gave the defendant.

"Notice to Quit and give uant possession of the said property to our client and to hato hand over the keys to our client or his nominee by 5 p.m. on 8th March 1996 failing which we shall institute evicting proceedings against you forthwith."

It is interesting to note that thicitor's 'Notice to Quit' (as with the plaintiff's affidavit) assumed umed that the defendant was occupying the premises "... rent-free on a service occupancy basis as part of his employment package with the company." Furthermore and despite offering the defendant a 'monthly tenancy', the 'Notice to Quit' gave the defendant barely one (1) week within which to vacate the premises.

Be that as it may, on the 2nd May 1996 the defendant filed an avit in which he deposed ated at para.3: "I was not occupying the house rent free and there was a tenancy agreement entered into between my wife Vineeta Shobna Devi Bajpai and the company ..." A copy of the 'tenancy agreement' was also annexed to the defendant's affidavit.

ass=MsoNormal stal style="margin-top: 1; margin-bottom: 1">

It is dated anuary 1994<1994 and has been duly executed and stampedprovides for a yearly tenantenancy at a yearly rental of $1,200 payable annually for an initial period of ten (10) year thereafter the tenant is g is given an option to renew the tenancy for a further term of 10 years at an increased rental, or alternatively, an exclusive 'option to purchase' the property for an agreed price of $60,000.

The plaintiff filed aidavit in reply on the 15th May 1996. In it, he draws attention to the numerous occa occasions when the existence of the 'tenancy agreement' could have been but was not, disclosed to him by the defendant and he doubts the validity of the 'tenancy agreement' on various grounds, but in any event, by letter addressed to the defendant's wife dated 14th May 1996, the plaintiff gave notice that he was (in his own words): "... abandoning the lease with effect from today" and also required vacant possession to be given "on or before 4 p.m. Tuesday 29 May 1996". The plaintiff ended his affidavit in reply by conceding (without any details), that there are serious issues to be tried in the action and declaring his intention: "... to join Vineeta Shobna Devi Bajpai as a party to the proceedings."

On 20th May 1996 the plaintiff's solicitors issued a Summons pursuant to Order 15 rules 4 & 11 of the High Court Rules seeking the Court's leave to join the defendant's wife as the second defendant to the proceedings. On 23rd May 1996 the application was argued before me in chambers.

I can dispose quite quickly of the piff's application insofar as it relates to Order rder 15 r.11. The 'rule' refers specifically to Actions for possession of land and provides in paragraph (1):

ass=MsoNormal stal style="margin-left: 36.0pt; margin-top: 1; margin-bottom: 1"> "... the Courtat any state of the proceedings in an action for possessionssion of land order any person not a party to the action who is in possession of the land (whether in actual possession or by a tenant) to be added as a defendant."

Then paragraph (2) provides that:

"An application by any person for an order under this rule may be made ex parte supported by an affidavit showing that he is in possession of the land in question and if by a tenant, naming him ..."

I am satisfied that this latter 'paragraph' restricts the applicant, to a person not named in the action but who is 'in possession of the land' being sought by the plaintiff. In other words, Order 15 r.11 as I read it, cannot be invoked by a person who is not in physical possession or occupation of the land such as an absentee landlord or a lessor.

I am fortified in my view by the judgment of Lindley L.J. in Minet v. Johnson (1890) 63 L.T. 507 when he said of the immediate U.K. predecessor of our Order 15 r.11(1) & 11(2), at p.508:

"The action was brought against Johnson to recover possession of somf some land. It so happens that Hartley was in possession, but was not named as a defendant on the writ. On principle a person in actual possession ought to be made a defendant; but where this has not been done Order XII r.25, seems to me to point out what is the proper procedure. The moment the person in possession has done as he is there directed he is treated as a defendant in the action."

(my underlining)

Accordingly the plaintiff's application insofar as it purports to invoke Order 15 r.11 is dismissed as misconceived.

Order 15 r.4 on the other hand, generally permits the joinder of defendants in one action with the leave of the Court. It is made subject however, to Order 15 r.5(1) which provides (so far as relevant):

"... if two or more defendants are parto the same action, and it d it appears to the Court that the joinder of ... parties, as the case may be, may embarrass or delay the trial or is otherwise inconvenient, the Court may order separate trials or make such other order as may be expedient."

In Payne v. British Time Recorder Co. (1921) 2 K.B.1 Scrutton L.J. said of the U.K. equivalent of Order 15 r.4 at p.16:

"... you must look at the language of the rules andtrue them liberally, and thnd that where there are common questions of law or fact involved in different causes of actions, you should include all parties in one action, subject to the discretion of the Court, if such inclusion is embarrassing, to strike out one or more of the parties.

It is impossible to lay down any rule as to how the diion of the Court ought to b to be exercised. Broadly speaking, where claims by or against different parties involve or may involve a common question of law or fact bearing sufficient importance in proportion to the rest of the action to render it desirable that the whole of the matters should be disposed of at the same time the Court will allow the joinder ... subject to its discretion as to how the action should be tried."

Is there therefore in this case any 'common question(s) of law or fact'/b> in the plaintiff's clai claims against the defendant and against the defendant's wife, which is of sufficient importance as to render it desirable that both claims should be dealt with together by way of a summary proceeding for possession of land?

Is regard the relief soughtought by the plaintiff, namely, vacant possession of the land in question, is indeed 'common'no > 'common questions of law or fact' in the plaintiff's claims albeit that it might be said that both defendants are occupants of the premises. Certainly none was clearly raised in counsel's submissions nor does any inevitably arise from the plaintiff's affidavits.

In the case of the defendant's wife, her occupation of the premises is undoubtedly based upon a 'yearly tenancy' which expressly provides that it shall be determined only 'by breach by the tenant' and/or 'by re-entry by the landlord'. [See: Clause 4(g) & 4(h).]

In my considered opinion such an agreement may not bermined by a mere 'notice to quit' as the plai plaintiff purports to have done nor, having regard to the yearly nature of the tenancy, would a fortnight's notice be sufficient. [See: Section 89(2) Property Law Act.]

Furthermore, having regard to a tenant's equitable right to obtain relief against forfeiture and the statutory restrictions on a lessor's right to forfeit a lease as contained in Section 105 of the Property Law Act, there is not the slightest doubt in my mind that the summary procedure for possession which is the nature of the plaintiff's present action against the defendant, is wholly unsuited to the resolution of any claim(s) he may have against the defendant's wife (as a lessee of the property), and in the circumstances, the joinder of the defendant's wife would be both 'embarrassing' and 'inconvenient'.

Needless to say the plaintiff's letter of 14th May 1996 'abandoningNOT disclaiming) the lease' of which the company is the lessor (NOT lessee) and wt the Court's prior leave to do so, is at best, of doubtful validity having regard to the clear terms of Section 316 of the Companies Act 1983.

In In re The Nottingham General Cemetery Co. (1955) 1 Ch.D 683,Wynn-Parry J. describedribed the statutory right of a liquidator to disclaim, in the following terms at p.695:

"The right to disclaim is a right conferred on the liquidator, as such, by , by Section 323 of the Companies Act, 1948 - a right which did not exist prior to 1929. He exercises it by writing under his hand, and he can exercise it only in relation to property which in effect has ceased to be an asset and has become a liability."

In the present case it is interg to observe that the lease which the plaintiff (as liquidator) seeks to disclaim isim is not the head lease of which the company is the lessee, but the sub-lease voluntarily entered into, of which it is the lessor.

The application is accord refused with costs.

1"> D.V. Fatiaki
JUDGE

At Suva,
18th Ju996.

Hbc0121j.96s


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