Where True Life Begins

Supreme Court Model Rent Agreement

It is interesting to note that the Delhi Supreme Court has already ruled, in a recent plea of forlet waiver3, that if the rental file expressly mentions the Force Majeure clause, the tenant can cancel the contract and, therefore, hand over the premises to the landlord. However, if the tenant wishes to retain the premises and there is no force majeure clause in the contract, the tenant may delay the payment of the rent, given the blockage and COVID-19, but cannot request the abandonment of the lease in such situations. During the COVID-19 pandemic, existing leases/rental contracts became more important to both landlords and tenants. Covid-19 and the blockage have an extreme impact on businesses around the world and have an impact on contractual relationships. Given the circumstances, the question arises as to whether tenants are entitled to a rent reduction across the country and whether landlords would take legal action in the event of a dispute arising from leases/ leases. The Supreme Court in a recent pioneering decision entitled Siri Chand [deceased] thr. Lrs. vs. Surinder Singh 1 addressed an important aspect related to the requirement for mandatory registration of rental/rental housing for real estate. Under Section 17 of the Registration Act, an agreement between a tenant and a landlord involving the occupancy of a tenant`s premises for a period of one year must be registered with the Lower Office. Registration of a rental agreement is optional if it is made for a period of less than 12 months. Housing.com has launched a fully digital, contactless service to create leases. If you want to complete the formalities quickly and without any problems, you just have to fill out the details, create the online rental contract, sign the contract digitally and get an electronic stamp in seconds.

The Supreme Court in Siri Chand clarifies the legal situation that in cases where the lease is not provided for the duration of the lease, there is no need to be registered in accordance with the provisions of the registration law. In addition, in the absence of a specification on the duration of the lease, the lease agreement can be considered monthly. Similarly, the Delhi Supreme Court in Ramanand has attempted, as mentioned above, to deepen the legal situation of the force majeure clause, as in rental/leasing cases, and to help resolve few grey areas for tenants and landlords. Laws are usually overturned for the benefit of homeowners. It is precisely for this reason that millennial labour is embracing the model of living with residential property, which reduces the chances of homeowners earning income from their real estate assets. Owners also do not find it lucrative enough to rent their premises, knowing that there is no authority like the RERA to regulate this segment, and disputes go further and further. The 2019 Standard Rent Act proposes to establish such authorities in the states. A lease agreement provides for a short-term lease, which will be extended later after the deadline expires. Typically, a landlord and tenant enter into a lease for an 11-month period with a regular renewal option. Since the current Rent Control Act largely applies to tenants, but only applies to leases of at least 12 months, the definition of an 11-month pact helps landlords take preventive eviction measures. Due to the archaic nature of the law, the new Standard Rents Act was recommended in 2019. The tenant must pay a stamp duty that varies from state to state with registration fees (between 500 and 1,000 Rs) when registering tenancy agreements.

In Uttar Pradesh, stamp duty on the lease is four per cent, while it is 0.25 per cent in Maharashtra. Why enter into a lease if your landlord is willing to sign an oral contract? Well, oral contracts have no legal validity and both parties may violate pre-established terms and conditions without having to face them.