Model Tenancy Act: Karnataka to implement act soon

12 Jul 2021 CW Team

On Tuesday, R Ashoka, Karnataka Revenue Minister, told the media that the state is planning to adopt the central government's Model Tenancy Act, aimed at ending the continuous tenant-owner conflicts besides strengthening the rental housing sector.

After analysing revenue department schemes here, Ashoka informed the media that the state government aims to simplify the existing Tenancy Act.

He said that it is still at a proposal stage, and they are also anticipating feedback from the public before officially launching this in the state.

Additionally, he said that earlier, the state government had a part in deciding the rent, but with the new Act, the state government now intends to suggest that the rent should be fixed by both the parties - owner and tenant. He explained that arriving at an agreement they will have to finalise it legally and upload it onto the government's portal.

The minister said that maximum house owners, especially in Bengaluru, urge tenants to pay 10 months of rent in advance. He said that owners cannot ask for rent for more than two months in advance if the new tenancy law is adopted.

As per the minister, the Act gives supremacy to the rental agreement and specifies the formation of a Rent Authority to address conflicts.

Additionally, he said that in case of any dispute, the concerned officials would solve it in 60 days.

Ashoka claimed that the conflicts would get settled in 60 days, and in case anyone intends to delay the hearing, there won't be more than three hearings.

The minister explained that they hope that once the Act is adopted, owners would get their tenants while the rents may also decrease.

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Also read: Model Tenancy Act to make an effective rental market place in India

Also read: Model Tenancy Law opens up for NRI real estate investors

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