Centre put its best foot forward to resolve the disputes between land lords and tenants by issuing relevant guidelines and clearly laid out the duties of the both. It recently passed the Model Tenancy Act. The Central Cabinet approved the draft Act recently. In fact, the draft was prepared in 2019. Objective of the law is to protect the interests of the land lords and the tenants. The Centre opines that the law rent market into a unified market. The Centre will send the law to all states and union territories to make them to amend it according to local conditions.
The law provides for establishment of Rent Authority and Rent Courts and Rent Tribunals. These have to dispose of the suits that reach their table in a maximum period of 60 days. Once these cases are disposed of by these courts, civil courts would have no jurisdiction over such cases. So far, only four states have expressed their willingness to implement the Act– Andhra Pradesh, Tamil Nadu, UP and Assam. They have decided to incorporate suitable amends to the Act.
1. As per the law, houses, shops should not be let out without a formal written agreement, which should be filed before the Rent Authority.
2. Towards the security deposit, the tenant should pay only two months’ rent. In case of shops, the advance would be six months’ rent.
3. The quantum of rent and the tenure left to the discretion of the land lords and tenants. They can reach an agreement with mutual consent.
4. The land lord would have no right to ask the tenant to vacate according to the land lord’s whims and fancies. He or she is supposed to serve a notice as mentioned in the agreement. Even after the expiry of the contract, if the tenant did not vacate the land lord is entitled to have some rights. The land lord is entitled to collect twice the amount of rent in the first two months and four times the rent subsequently.
5. To enter into the rented premises of the tenant, the land lord should give 24-hour notice either in writing or electronically. Moreover, he or she is prevented from entering the premises prior to 7 am and after 8 pm.
6. To revise the rent, the land lord should serve notice on the tenant three months in advance.
7. The land lord did not have any right to stop the power supply or water supply in case of dispute with the tenant.
8. Without prior written approval of the land lord, the tenant is prohibited from carrying out any changes in the structure.
9. The house owner should immediately undertake paining, plumbing, electric wiring works other than the damage caused by tenants.
10. It is the responsibility of the tenant to get the drainage cleaned, electric switches, and repairs to the sockets, kitchen repairs and garden maintenance and so on.
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