Understand the Indian landlords' legal rights

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Understand the Indian landlords' legal rights

The Supreme Court (SC) has ruled in favor of the landlord in a three-decade-long dispute with the tenant. The tenant has also been fined by the court. Although we frequently hear about and support defending a tenant's rights, this court decision makes clear how crucial landlord rights are as well. 

The Supreme Court (SC) recently rendered a decision in a case involving a legal disagreement between a landlord and tenant, dubbed a "classic." The top court ruled in favour of the landlord in the 1993 case that was initially brought before a civil court. In addition, the renter has been fined Rs 1 lakh by the court and ordered to pay the landlord's rent for the last 11 years. It is crucial to remember that a landlord's property rights and a tenant's rights must coincide. The Indian government's 1948 Rent Control Act outlines a landlord's rights in great detail. In In response to this law, numerous State administrations, including those in Delhi, Karnataka, and Maharashtra, Karnataka, and Delhi have enacted or altered the Act. There have also occasionally been changes made to these acts. Continue reading to learn more about Indian landlords' rights.

Important rights for Indian landlords

Considering the recent ruling, let's take a closer look at the significant rights that a landlord possesses.

Eviction rights

As the property's owner, the landlord needs to be able to kick out an undesirable renter. But because the Rent Control Act only applied to tenancies longer than a year, landlords had a difficult time getting rid of renters who had been inhabiting their buildings.

The proposed Model Tenancy Act 2020 sought to address the following problems:

  • Untimely tenant removal
  • Rent revision and mutual fixation
  • Problems with repossession

The following are some legal justifications for a landlord to fire a tenant:

  • Partially subleasing the property without the landlord's consent;
  • Rent payments are late.
  • engaging in unlawful activity on the leased property.
  • broad violation of the rental agreement.

If the tenant refuses to leave the property, the landlord may also include a provision in the rental agreement for a progressive increase in rent. Another reason for eviction is the possession of the property for habitation.

Mukesh Jain, Corporate Lawyer and Founder of Mukesh Jain & Associates discusses the Maharashtra Rent Control Act, 1999, saying that the landlord is well protected if it is taken into consideration. In a similar vein, the law likewise protects the interests of long-term tenants. Nonetheless, banks, public enterprises, and businesses that have paid a capital of Rs 1 crore are expressly excluded from the law's jurisdiction. For instance, the Act permits the eviction of a bank that continues to occupy real estate after the lease has expired.

Additionally, the landlord is fully protected against nonpayment and overstaying under all leave and license agreements. They will be evicted by the appropriate authorities, and the procedure takes roughly six months.

Right to take temporary ownership of the property.

It is perfectly legal for a property's landlord to force a renter out in order to perform maintenance and repairs. The landlord has the right to request the tenant's departure if the landlord determines that the construction, repair, alterations, additions, etc. cannot be completed without the occupant's eviction. After the repairs are completed, the renter may rent the space.

Ability to raise the rent

When it comes to increasing the rent, the landlord is legally entitled to the upper hand. Owners of real estate, whether residential or commercial, are entitled to raise rent on a regular basis in addition to collecting rent at going rates in the market.

This balance has been achieved in part by the inclusion of the rental market within the official housing sector of the draft Model Tenancy Act. Important terms in this context, including inheritance, rent due, duration, and landlord and tenant obligations, are clearly defined under the Act.

In India, rent typically rises at a rate of 10% annually. Nonetheless, certain states have regulations that are unique to them that affect rental values. For instance, only in accordance with Sections 6 and 8A of the Delhi Rent Control Act may rent be raised in Delhi.

Right to receive repair notifications

Maintaining the property in a rentable state is the property owner's responsibility as well as his duty. He keeps the right to request that the property be fixed and to be made aware of any impending repairs. Tenants may handle small maintenance tasks on their own. All reimbursements, previous authorizations, etc., meanwhile, need to be requested in writing from the landlord.

The Rent Control Act stipulates that the landlord and renter must split the cost of repairs. 

In summary, a landlord's rights need to be actively safeguarded, much like a tenant's. An encouraging move is the Model Tenancy Act which is being considered.

The Model Tenancy Act's prompt enactment and careful implementation will create a more integrated rental market throughout India. 

For Similar Blog Click Here - : https://www.bricksnwall.com/blog/tips-for-the-first-time-landlords

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