Tuesday, July 18, 2017

Now your rental agreements have to be registered!

Chennai:
Now your rental agreements will no longer be a secretive affair between you and your landlord.

Under the new Act, each and every rental agreement will have to be registered with Rent Authority who will provide a registration number and upload it in the website within 15 days of registration.

Not only that the Rent Authority, who will be appointed by district collector, could have a say in fixing or revising of rent, on an application made by the tenant or the landlord. He will also have a power to fix the date from which the revised rent becomes payable.  

In the absence of an agreement between the landlord and tenant on rent payable, the act gives landlord the option to terminate the tenancy.

Under the new Act, the landlord will have to give a signed written receipt for the amount paid to him as rent or deposit or advance towards such rent, under the new act. He will also give a three month notice before revising the rent.

The new act also gives powers for landlord to enter the premises by giving at least 24 hours prior notice to inspect the premises or carry out repairs or any other reasonable reason. The written notice shall specify the reason for entry that too between 7am to 8pm.

Interestingly, the Act states that no landlord or tenant shall cut-off or withhold any essential supply or service like supply of water, electricity, lights in passages, lifts, conservancy, parking, communication links and sanitary services in the premises occupied by tenant or landlord. In case of contravention, it will be restored pending n inquiry by the Rent Authority.

The act specifies that a tenant will not be evicted during the continuance of tenancy agreement. The recovery of possession of premises can be done if both landlord and tenant have failed to agree to the rent payable and that the tenant has not paid the arrears in full of rent payable and other charges for two months.

Factfile:
-- Every rent agreement will have to be registered and a registration number will be assigned and the details will be uploaded in the website
--- If a tenancy for a fixed term ends and has not been renewed, teh tenancy shall be deemed to be renewed on a month to month basis on same terms and conditions as were in the expired tenancy agreement for a maximum of six months
---- After the commencement of the Act, no tenanct without consent of landlord can sublet whole or part of premises held by him as a tenant
--- After the rent of premise has been fixed, if the tenant finds a decrease or dimunition or deterioration of accommodation or housing services in the premises, he may claim reduction in rent
--- The security deposit shall be refunded to the tenant within one moth after vacation of the premises after making due deduction of any liability by the tenant

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