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Is non-payment of rent for a certain period an automatic ground for eviction under rent control legislation?

Posted by jobseeker Lavanya Bhardwaj | Approved
Answers (2)

No, non-payment of rent is generally not an automatic ground for eviction under rent control legislation. While non-payment is a common reason for eviction, it typically requires a specific process, including a notice period and potentially a court order, before eviction can be enforced.

Answered by jobseeker Garima Rajput | Approved

A central Rent Control Act was passed by the legislature in 1948. It regulates the rules of letting out a property and ensures that neither the landlords nor the tenants’ rights are exploited by the other. It should also be noted that currently, each state has its own Rent Control Act, though largely similar to each other, they carry some minor differences.

Due to the 1948 Act being extremely stringent and pro-tenant, the real estate market has had difficulty in growing in some areas. Some properties have been let out that are still paying the same amount of rent since 1948, disregarding inflation and increased property valuations. Non-payment of rent, while a common ground for eviction, is not typically an automatic ground. Most rent control acts require a landlord to first issue a notice of demand for the arrears, and only if the tenant fails to pay within a specified period (usually a few months) after the notice is served, can the landlord proceed with eviction proceedings.
Notice Requirement: Rent control legislation, like the Delhi Rent Control Act, often mandates that a landlord issue a formal notice to the tenant demanding the payment of outstanding rent.
Period for Payment: A specific period, usually a few months, is given to the tenant to pay the arrears after the notice is served.
Eviction Proceedings: Only if the tenant fails to pay within the stipulated time frame, can the landlord initiate eviction proceedings.
Opportunity to Pay: The law provides an opportunity for tenants to rectify their default by paying the due rent, preventing automatic eviction.
Examples:
The U.P. Rent Control Act requires a notice and failure to pay within one month of the notice, while the Delhi Rent Control Act allows two months.
Consequences of Non-Compliance: If the tenant complies with the order to pay rent, the eviction application is usually dismissed. If they fail to comply, the landlord can apply for an eviction order.

Non-Applicability of the Rent Control Act
There are certain cases where the Rent Control Act is not applicable when the property has been let out. They are:

Property let out to private limited or public limited companies with a paid-up share capital of Rs 1 crore or above.
Property let out or sub-let to public sector undertakings, banks or any corporation established under any state or central Act.
Property let out to foreign companies, international missions or international agencies.

Answered by jobseeker Aanchal Jha | Approved

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