Tenant to make an offer, determination of purchase price, mode of payment, etc.

§43

Summary

(1) (a) A tenant who desires to exercise the right conferred by section 41 shall make an offer to the landlord stating the price at which he is prepared to purchase the land, such price not exceeding twelve times the rent payable by him and the depreciated value of any structures, wells and embankments constructed and permanent fixtures made and the value of any trees planted on the land by the landlord after the period of the last Settlement or where no such Settlement is made during the period of thirty years before the commencement of this Act and the amount of the arrears of rent, if any, lawfully due on the day on which the offer is made. (b) Where the tenant is entitled to purchase a part of the land held by him as tenant, he shall, subject to the rules made by the State Government in this behalf, choose the area and location of the land to be purchased from the landlord and state in the offer the part which he has so chosen for being purchased: Provided that the land so chosen shall not, as far as may be practicable, be other than a survey number or a sub-division of a survey number. (2) If the landlord refuses or fails to accept the offer and to execute the sale deed within three months from the date of the offer, the tenant may apply to the Tribunal for the determination of the reasonable price of the land. 1[(3) The Tribunal shall, after giving an opportunity to the tenant and the landlord and all other persons interested in such land to be heard and after holding an inquiry, determine the purchase price of such land, which shall consist of,- (a) the price of such land determined by the Tribunal in accordance with the provisions of section 90, and (b) the amount of the arrears of rent, if any, determined by the Tribunal as lawfully due on the date on which the tenant has made an application under sub-section (2).] (4) On the determination of the purchase price under sub-section (3) the tenant shall deposit with the Tribunal 2[the entire amount of such purchase price]- (a) either in lump sum within one year from such date, or (b) in such annual instalments not exceeding twelve with simple interest at the rate of 4 1/2 per cent. per annum on or before such dates, as may be fixed by the Tribunal and the Tribunal shall direct that the amount deposited in lump sum or the amount of instalments deposited shall, subject to the provisions of section 44, be paid to the landlord. (5) If such tenant is unable to deposit with the Tribunal 3[the purchase price] in lump sum within the period fixed by the Tribunal, the tenant may deposit with the Tribunal within the said period an amount equal to one-twelfth of 4[the purchase price] and the interest for one year at the rate of 4 1/2 per cent. per annum on the balance amount of 5[the purchase price] and apply to the Tribunal for the facility of payment of 6[the purchase price] in instalments. On such deposit being made the facility shall be granted by the Tribunal. (6) During any period of which payment of rent is suspended or remitted under section 18, the tenant shall not be bound to pay the purchase price in lump sum or the amount of any instalments fixed under this section or any interest thereon, if any. (7) Where a tenant is in arrears of four instalments, he may within a period of three months from the date of the default of the last instalment apply to the Tribunal to condone the default on the ground that he, for reasons, beyond his control was incapable of paying the instalments and if the Tribunal after holding such inquiry as it may think fit, is so satisfied, the Tribunal may allow further time for the payment of the arrears and may for that purpose increase the number of instalments to sixteen. (8) On the deposit of 7[the purchase price] in lump sum of the last instalment of such price, the Tribunal shall issue a certificate of purchase in the prescribed form, to the tenant in respect of the land. Such certificate shall be conclusive evidence of purchase. (9) If the tenant fails to pay 8[the entire amount of the purchase price] within the period fixed under sub-section (4) or (7) or is in arrears of four instalments under sub-section (4) or (7) the amount of the purchase price remaining unpaid and the amount of the interest thereon, if any, shall be recoverable as arrears of land revenue and on such recovery the Tribunal shall issue the aforesaid certificate. (10) In the event of failure of recovery as arrears of land revenue under sub-section (9) the purchase shall not be effective and the amount deposited by the tenant shall be refunded to him after deducting the rent due from him for the period: Provided that if the land is situated in a scheduled area the tenant shall also be refunded the amounts of land revenue and the cesses referred to in clauses (c) and (d) of sub-section (1) of section 17 paid by him. (11) Until the deposit of the entire amount is made in lump sum or until the year in which the first instalment becomes payable the liability of the tenant to pay the rent due in respect of the land shall continue and shall not be affected. The tenant holding land in a Scheduled area shall be liable to pay the land revenue, canal revenue and other cesses referred to in section 17 due in respect of the land on deposit of the entire amount or from the year in which the first instalment thereof becomes payable. (12) Where any purchase of land becomes ineffective, the landlord shall be entitled to recover from the tenant the rent of the land as if the land had not been purchased 9[and the rent due; if not paid within the period or extended period referred to in sub-section (13), shall be recovered from the tenant as an arrear of land revenue and paid to the landlord]. The amount of rent so recoverable shall be deducted from the amount, if any, to be refunded to the tenant. (13) If within three months from the date on which the purchase of any land has become ineffective or such further period not exceeding one year as may be allowed by the Tribunal having regard to the total amount refundable to the tenant the landlord fails to refund to the tenant the amount paid after deducting any rent due to him, it shall be recovered from him as an arrear of land revenue and paid to the tenant. (14) After the issue of the certificate under sub-section (8) the Tribunal shall declare the tenant to be Bhumiswami or Bhumidhari, according as the land was held by the landlord with effect from the agricultural year next following the date of issue of the certificate. 10[(14-A) If a tenant fails to exercise his right of purchase under section 41 in respect of any land or the purchase of any land becomes ineffective, the land shall be deemed to have been surrendered to the landlord, and thereupon the provisions of sub-sections (1) and (2) of section 21 and Chapter VII shall apply to such land as if the land was surrendered by the tenant under section 20.] (15) If at any time after the purchase of land under this section the purchaser fails to cultivate the land personally he shall, unless the Collector condones such failure for sufficient reasons, be evicted and the land shall be declared as surplus land.

(1) (a) A tenant who desires to exercise the right conferred by section 41 shall make an offer to the landlord stating the price at which he is prepared to purchase the land, such price not exceeding twelve times the rent payable by him and the depreciated value of any structures, wells and embankments constructed and permanent fixtures made and the value of any trees planted on the land by the landlord after the period of the last Settlement or where no such Settlement is made during the period of thirty years before the commencement of this Act and the amount of the arrears of rent, if any, lawfully due on the day on which the offer is made. (b) Where the tenant is entitled to purchase a part of the land held by him as tenant, he shall, subject to the rules made by the State Government in this behalf, choose the area and location of the land to be purchased from the landlord and state in the offer the part which he has so chosen for being purchased: Provided that the land so chosen shall not, as far as may be practicable, be other than a survey number or a sub-division of a survey number. (2) If the landlord refuses or fails to accept the offer and to execute the sale deed within three months from the date of the offer, the tenant may apply to the Tribunal for the determination of the reasonable price of the land. 1[(3) The Tribunal shall, after giving an opportunity to the tenant and the landlord and all other persons interested in such land to be heard and after holding an inquiry, determine the purchase price of such land, which shall consist of,- (a) the price of such land determined by the Tribunal in accordance with the provisions of section 90, and (b) the amount of the arrears of rent, if any, determined by the Tribunal as lawfully due on the date on which the tenant has made an application under sub-section (2).] (4) On the determination of the purchase price under sub-section (3) the tenant shall deposit with the Tribunal 2[the entire amount of such purchase price]- (a) either in lump sum within one year from such date, or (b) in such annual instalments not exceeding twelve with simple interest at the rate of 4 1/2 per cent. per annum on or before such dates, as may be fixed by the Tribunal and the Tribunal shall direct that the amount deposited in lump sum or the amount of instalments deposited shall, subject to the provisions of section 44, be paid to the landlord. (5) If such tenant is unable to deposit with the Tribunal 3[the purchase price] in lump sum within the period fixed by the Tribunal, the tenant may deposit with the Tribunal within the said period an amount equal to one-twelfth of 4[the purchase price] and the interest for one year at the rate of 4 1/2 per cent. per annum on the balance amount of 5[the purchase price] and apply to the Tribunal for the facility of payment of 6[the purchase price] in instalments. On such deposit being made the facility shall be granted by the Tribunal. (6) During any period of which payment of rent is suspended or remitted under section 18, the tenant shall not be bound to pay the purchase price in lump sum or the amount of any instalments fixed under this section or any interest thereon, if any. (7) Where a tenant is in arrears of four instalments, he may within a period of three months from the date of the default of the last instalment apply to the Tribunal to condone the default on the ground that he, for reasons, beyond his control was incapable of paying the instalments and if the Tribunal after holding such inquiry as it may think fit, is so satisfied, the Tribunal may allow further time for the payment of the arrears and may for that purpose increase the number of instalments to sixteen. (8) On the deposit of 7[the purchase price] in lump sum of the last instalment of such price, the Tribunal shall issue a certificate of purchase in the prescribed form, to the tenant in respect of the land. Such certificate shall be conclusive evidence of purchase. (9) If the tenant fails to pay 8[the entire amount of the purchase price] within the period fixed under sub-section (4) or (7) or is in arrears of four instalments under sub-section (4) or (7) the amount of the purchase price remaining unpaid and the amount of the interest thereon, if any, shall be recoverable as arrears of land revenue and on such recovery the Tribunal shall issue the aforesaid certificate. (10) In the event of failure of recovery as arrears of land revenue under sub-section (9) the purchase shall not be effective and the amount deposited by the tenant shall be refunded to him after deducting the rent due from him for the period: Provided that if the land is situated in a scheduled area the tenant shall also be refunded the amounts of land revenue and the cesses referred to in clauses (c) and (d) of sub-section (1) of section 17 paid by him. (11) Until the deposit of the entire amount is made in lump sum or until the year in which the first instalment becomes payable the liability of the tenant to pay the rent due in respect of the land shall continue and shall not be affected. The tenant holding land in a Scheduled area shall be liable to pay the land revenue, canal revenue and other cesses referred to in section 17 due in respect of the land on deposit of the entire amount or from the year in which the first instalment thereof becomes payable. (12) Where any purchase of land becomes ineffective, the landlord shall be entitled to recover from the tenant the rent of the land as if the land had not been purchased 9[and the rent due; if not paid within the period or extended period referred to in sub-section (13), shall be recovered from the tenant as an arrear of land revenue and paid to the landlord]. The amount of rent so recoverable shall be deducted from the amount, if any, to be refunded to the tenant. (13) If within three months from the date on which the purchase of any land has become ineffective or such further period not exceeding one year as may be allowed by the Tribunal having regard to the total amount refundable to the tenant the landlord fails to refund to the tenant the amount paid after deducting any rent due to him, it shall be recovered from him as an arrear of land revenue and paid to the tenant. (14) After the issue of the certificate under sub-section (8) the Tribunal shall declare the tenant to be Bhumiswami or Bhumidhari, according as the land was held by the landlord with effect from the agricultural year next following the date of issue of the certificate. 10[(14-A) If a tenant fails to exercise his right of purchase under section 41 in respect of any land or the purchase of any land becomes ineffective, the land shall be deemed to have been surrendered to the landlord, and thereupon the provisions of sub-sections (1) and (2) of section 21 and Chapter VII shall apply to such land as if the land was surrendered by the tenant under section 20.] (15) If at any time after the purchase of land under this section the purchaser fails to cultivate the land personally he shall, unless the Collector condones such failure for sufficient reasons, be evicted and the land shall be declared as surplus land.

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