Written by: Varisha Jalil

Most of the times landlord face many issues with the tenants while letting their premises on rent.

These problems could be overstay of the tenant, not getting payments on time,  sub-letting of the rented premises by tenants to someone else or any other issue.  

If you are a landlord who is facing any such problem, then don’t worry Model Tenancy Act 2019 can offer some respite.

Recent effects of the Covid 19 pandemic have left us in economic and emotional stress for a long now and landlords are hit by these aftereffects too. Many tenants had left their work cities overnight during the beginning of the pandemic as they were not able to pay their rents and landlords had to suffer the financial crisis. However, this time, it is not the same as The government of India is planning to implement the Model Tenancy Act.

Key Features of Model Tenancy Act (MTA)

  • Establishment of Rent Authority

A rent authority will be appointed under this Act. The landlords and tenants will have to be presented before the rent authority to get the rental agreement registered. The authority would set up a website for the data receives in the form of a rent agreement.

  • Rent courts/tribunals to report disputes

In case there is a discontentment among both the parties, any one of them can go to rent courts formed by MTA. The resolution period of dispute is of 60 days.

  • Rent Agreement

Rent agreement has become a vital and mandatory part under MTA through which both landlord and tenant can maintain transparency.

Within 15 days one original a signed copy should be sent to the tenant registered under rent authority. Rent authority would also issue one Unique Identification Number.

  • Discouraging Overstay of the Tenant

If tenants are staying in the rented premise even after the expiry of the rent agreement, then the landlord can double the rent of the tenant for the first two months after the expiration of the duration and four times for the next consecutive months.

  • Easy Eviction of Tenant

If the tenant fails to pay the rent amount for the two months in a row, a landlord can go to the rent court for the eviction of the tenant.

  • Stopping Sub-letting by Tenants

Tenants cannot sub-let the whole/part of their rented premises without prior permission from the landlord.

Although the Act has been appreciated by many states, some states are still taking time to provide their consent. If approved by all states and implemented across India, the Model Tenancy Act can provide a huge relief to landlords as well as tenants and will make the renting process more systematic.

More Articles to Read:

1. Know Your Rights as a Tenant under the Model Tenancy Act

2. Some amazing tips to build a healthy tenant-landlord relationship

3. Beware Landlords, Don't Fall for These Rental Scams