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Section 17: Costs

Haryana Urban (Control of Rent and Eviction) Act, 1973 • Official Statutory Text & Practice Guide

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Act 1973
Section 16 All 24 Sections of Haryana Urban (Control of Rent and Eviction) Act, 1973 Section 18

Legal Commentary & Landmark Judgments: Section 17

Section 17 governs the award of costs and incidental expenses in proceedings before the Rent Controller, Appellate Authority, and Revisional Authority, establishing judicial discretion and the mandatory requirement of recording reasons when departing from the rule that costs follow the event.

  • Discretionary Power to Award Costs: Confers wide judicial discretion on rent authorities to determine by whom, to what extent, and out of which property costs incidental to any proceeding are to be paid.
  • Jurisdiction Independence in Cost Awards: Explicitly provides that the authority has full competence to award costs even where it concludes that it lacks jurisdiction to try or entertain the substantive petition.
  • Mandatory Statutory Reason-Recording Requirement: Mandates that where the Controller or Appellate Authority directs that costs shall not follow the event, it must record its reasons in writing, mirroring the statutory discipline of Section 35 CPC.
Key Landmark Precedents:
  • Tara Chand v. Smt. Chander Kanta, 1987 (1) RCR (Rent) 142 (P&H): Held that Section 17 mandates that costs ordinarily follow the event; where the Rent Controller denies costs to the successful litigant, recording specific written reasons is an indispensable statutory obligation.
  • Sanjeev Kumar Jain v. Raghubir Saran Charitable Trust, (2011) 12 SCC 397: Held that the award of costs must reflect realistic litigation expenses to deter vexatious litigation and delaying tactics, emphasizing that failure to award costs in appropriate cases undermines judicial efficacy.
  • Salem Advocate Bar Association (II) v. Union of India, (2005) 6 SCC 344: Reaffirmed the principle that judicial discretion in awarding costs must be exercised judicially to compensate the winning party and discourage frivolous or fabricated pleadings.
Courtroom Practice & Strategic Litigation Guidance:

When succeeding in defending a frivolous eviction petition or establishing deliberate concealment by the opponent, file a formal memo of costs under Section 17 detailing legal fees, stamp paper expenses, local commissioner charges, and witness expenses. Urge the Rent Controller to award compensatory costs and insist that any refusal to award costs be supported by written reasons.

Section 16 All 24 Sections of Haryana Urban (Control of Rent and Eviction) Act, 1973 Section 18