What is in news : In a move aimed at protecting the interests and rights of both landlords and tenants, the Karnataka government proposes to introduce the Model Tenancy Act, circulated by the Union government, with specific features on dispute redressal.

What is in the act :

• Subletting of premises, but with prior consent of the landlord and caps the security deposit to two months’ rent in case of residential premises and six months’ rent in case of non-residential premises
• Bars the landlord from withholding essential supplies/services and the tenant cannot be evicted during the currency of the tenancy period
• In case of dispute, the tenant has to continue paying rent during the pendency of dispute. Among others, the landlord can engage property managers to manage the property.
• Rent Authority, Rent Court, and Rent Tribunal could be set up to hear complaints and appeals in case of disputes, and jurisdiction of civil courts has been barred.

WHAT IS MODEL TENANCY ACT :

The Union Cabinet has approved the Model Tenancy Act to be sent to the States and Union Territories to enact legislation or amend laws on rental properties.

Provisions :

• Mandatory written agreement between the property owner and the tenant
• Establishment of a Independent Authority and Rent Court for grievance redressal
• Limit the tenant’s advance security deposit to a maximum of two months rent for residential purposes and to a maximum of six months for non-residential purposes
• The landlord will be responsible for activities like structural repairs except those necessitated by damage caused by the tenant, whitewashing of walls and painting of doors and windows, etc.
• The tenant will be responsible for drain cleaning, switches and socket repairs, kitchen fixtures repairs, replacement of glass panels in windows, doors and maintenance of gardens and open spaces, among others.
• A landowner will have to give 24-hour prior notice before entering the rented premises to carry out repairs or replacement.
• If a landlord has fulfilled all the conditions stated in the rent agreement – giving notice etc.- and the tenant fails to vacate the premises on the expiration of the period of tenancy or termination of tenancy, the landlord is entitled to double the monthly rent for two months and four times after that

Coverage :

• Apply to premises let out for residential, commercial or educational use, but not for industrial use
• Won’t cover hotels, lodging houses, inns, etc
• Will be applied prospectively and will not affect existing tenancies