Ashis Biswas vs Punjab National Bank on 8 April, 2026

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    Calcutta High Court

    Ashis Biswas vs Punjab National Bank on 8 April, 2026

    Author: Debangsu Basak

    Bench: Debangsu Basak

    OD-14
                        IN THE HIGH COURT AT CALCUTTA
                         CIVIL APPELLATE JURISDICTION
                                 ORIGINAL SIDE
    
    
    
                                      APO/8/2026
                                   ASHIS BISWAS
                                             -Vs-
                              PUNJAB NATIONAL BANK
    
    
    BEFORE:
    The Hon'ble JUSTICE DEBANGSU BASAK
                   -AND-
    The Hon'ble JUSTICE MD. SHABBAR RASHIDI
    
    
    
    For the Appellant                 :      Mr. Pranit Bag, Adv.
                                             Ms. Mandeep Kaur, Adv.
                                             Mr. Gopal Pahari, Adv.
                                             Ms. Anouska Das, Adv.
    
    
    For the Respondent/Bank       :          Mr. Biswaroop Bhattacharya, Adv.

    Mr. Abhishek Banerjee, Adv.

    Ms. Parna Roy Chowdhury, Adv.

    SPONSORED

    Ms. Trisa Chanda, Adv.

    HEARD ON                          :      08.04.2026
    
    DELIVERED ON                      :      08.04.2026
    
    
    DEBANGSU BASAK, J.:-
    
    

    1. Appeal is at the behest of the plaintiff and directed against an order

    dated November 25, 2025 passed in IA No.GA/4/2024 in

    CS/234/2019.

    2. By the impugned order, learned Single Judge returned the plaint of

    the appellant under Order VII Rule 10 of the Code of Civil
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    Procedure, 1908 to be presented before the Commercial Court after

    returning a finding that the disputes involved in the suit were

    commercial disputes within the meaning of Section 2(1)(c) of the

    Commercial Courts Act, 2015.

    3. Learned Advocate appearing for the appellant submits that, the

    subject matter of the suit cannot be classified as a commercial

    dispute within the meaning of the Act of 2015. In support of his

    contention relies upon 2026: CHC-OS : 84-DB (Auto Fuels &

    Services vs. Amalgamated Fuels Ltd. & Anr.). He submits that,

    the suit is essentially a claim for damages for the period when the

    respondent, as a defendant remained in possession of the suit

    property after expiry of the initial lease.

    4. Learned Advocate appearing for the appellant submits that, the

    respondent entered into a lease with the appellant with regard to

    the entire ground floor measuring about 2375 sq.ft. and the entire

    mezzanine floor and the first floor of the building measuring about

    1455 sq.ft and an ATM room with one generator room measuring

    about 162 sq.ft. in the ground floor, west site of the building.

    5. According to him, the lease came to an end on March 31, 2014.

    Thereafter, negotiations took place between the parties with regard

    to the renewal of the lease. He draws the attention of the Court to a

    letter dated June 17, 2015 where the Bank, accepted an offer for a

    lease. He submits that, ultimately the respondent, executed a lease

    on December 21, 2017 in respect of a portion of the initially leased

    premises. Possession of the balance portion was made over to the
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    appellant on July 31, 2017. Therefore, the appellant became

    entitled to damages for the period from March 1, 2014 being the

    date when the initial lease expired till December 21, 2017 when

    possession of the property was made over by the respondent.

    6. The respondent is represented.

    7. We find from the records that the suit filed by the appellant

    contains a money claim. Appellant seeks a decree for a sum of

    Rs.29,63,946/- as against the respondent as pleaded in paragraph

    25 of the plaint. Paragraph 25 of the plaint gives the break up of

    the claim of Rs.29,63,946/-. The break up is the claim of rent for

    the period from April 1, 2014 till December 21, 2017 along with

    interest from March 15, 2018 to October 15, 2019 and after

    adjusting the two payments received by the appellant.

    8. Entry of the respondent into the suit property was by virtue of a

    lease deed. The claim of the appellant is that such lease deed

    expired by efflux of time. Parties entered into negotiations by which

    a portion of the initially leased property was retained by the

    respondent by virtue of a subsequent lease deed dated December

    21, 2017. The portion of the initially leased property , which the

    respondent did not retain was made over to the appellant by the

    respondent on July 31, 2017.

    9. A lessee entering into the possession of an immovable property by

    virtue of a lease, is liable to be evicted from the property on expiry of

    the lease by a process known to law. Two processes known to law

    are: the lessee being evicted through a decree of a Court, and the
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    other is when the lessee makes over possession of the property

    voluntarily. Till such time any of the two incidents occurs, the

    lessee is held to be a tenant in occupation with the right of such

    tenant in occupation being akin to a trespasser. Nonetheless, the

    lessee is to be evicted by a process known to law as noted above. In

    the facts and circumstances of the present case, the respondent as

    lessee made over possession of the portion of the property for which

    the respondent did not enter into a fresh lease on July 31, 2017 to

    the appellant. Till such time, therefore, the respondent was in

    occupation of such property.

    10. Claim for the period as mentioned in the plaint, as against the

    respondent, is on the basis of negotiations which took place

    between the parties and the ultimate lease deed which was executed

    between the parties.

    11. Foundational basis of the claim of the appellant in the suit, is the

    expiry of a lease. Therefore, there was an agreement between the

    parties relating to the immovable property concerned. It is between

    the parties to the suit. The property concerned was used

    exclusively for commerce, as a branch of a Bank was being run from

    such property.

    12. We called upon the appellant to produce a copy of the initial lease

    deed which the appellant did. The initial lease deed contain a

    clause 4 regulating the tenancy. It prescribes that the lease was

    initially for a period of 10/5 years with option on the part of the

    lessee to continue or renew for a further period of 5 years.
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    Therefore, a conclusive finding as to the expiry of the lease deed

    cannot be made at this stage, in the manner as contended on behalf

    of the appellant.

    13. Auto Fuels & Service (supra) is the following view:

    “24. Three ingredients have to be fulfilled under Section
    2(1)(c)(vii)
    of the Act of 2015 for the dispute to assume the
    character of a commercial dispute within the meaning of the Act
    of 2015. The three ingredients are :-

    i. the dispute must arise out of an Agreement
    ii. relates to an immoveable property, and
    iii. the immoveable property is exclusively used for trade or
    commerce, presently.

    25. In order for a dispute between the parties to fall within the
    meaning of a commercial dispute as defined under Section 2(1)(c)

    (vii) of the Act of 2015, such dispute must arise out of an
    agreement concerning an immoveable property used presently
    for trade or commerce.”

    14. In the facts and circumstances of the present case, in our view all

    ingredients as noted in Auto Fuels & Service (supra) stand

    satisfied. The dispute in the suit arises out of an agreement relating

    to an immovable property which was exclusively used for trade and

    commerce.

    15. Learned Single Judge, noted that the dispute fell within the

    definition of Section 2(1)(c) of the Act of 2015.

    16. In such circumstances, we find no ground to interfere with the

    impugned judgment and order.

    17. Accordingly, APO/8/2026 is dismissed without any order as to

    costs.

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    18. At this stage, learned Advocate appearing for the appellant seeks

    extension of time for the appellant to obtain the plaint.

    19. In such circumstances, the time to obtain the return of the plaint,

    in terms of the impugned order, is extended for a period of a

    fortnight from date. Needless to say, when the plaint is returned to

    the appellant, the same will be done along with the Court-fees paid

    in respect thereof.

    (DEBANGSU BASAK, J.)

    20. I agree

    (MD. SHABBAR RASHIDI, J.)

    A/s.



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