LEASE

1.    Eleven Months Lease
2.    Lease for eleven months requires no registration.
3.    Duration of Lease:
In the absence of contract, lease of immovable property for agriculture or manufacturing shall deem to be a lease from year to year. And lease of property for any other purpose shall deem to be a lease from month to month.
4.    Lease Registration
Under the registration act, any lease agreement for a period of one year or above is liable to be compulsorily registered otherwise it is invalid in law.
5.    Determination of Lease
?    By efflux of the time limited under the agreed lease.
?    On expiration of the termination notice to quit or intention to quit.
?    By implied surrender.
?    By express surrender.
?    By forfeiture in case the lessee breaks any agreed condition including non-payment of rent, if it is expressly agreed to allow re-entry of the lessor on such breach.
?    On death of a lessor having only life interest in the property.
6.    Tenancy at Will
In the absence of any fixed period of lease under valid lease deed, the tenancy shall be at Will and both the lessor and the lessee shall have the right to terminate the tenancy by fifteen days / six months notice, as the case may be.
7.    Tenant at Sufferance
After expiry of the agreed lease period, a tenant who continues without the lessor’s consent, shall deem to be a tenant at sufferance and is liable to be evicted without notice.

8.    Notice
?    Lease which do not have protection under the Karnataka Rent Act, as specified above, under Section 106 of T.P. Act any month-to-month lease can be terminated by fifteen days notice either by the tenant or by the lessor. Any year to year lease is terminable by six months notice, either by lessor or lessee.
?    Lease for fixed period under a valid contract the lease is terminated without notice on expiry of the term.
?    By agreement notice period for termination can be enhanced or reduced.

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TENANTS – BANGALORE CITY

Relevant Laws:
•    Transfer of Property Act, Chapter V, Section 105 to 117.
•    The Karnataka Rent Act
1.    Non-Residential Tenant
(+)    A tenancy of shop, godown, office, premises, etc., whose rent is above Rs.3,500/- or which measures above 14 Sq.Mts or if the building is more than 15 years old, such tenants  can be evicted after the agreed period of lease. After determination of the lease, such tenant’s possession is illegal and shall be liable for breach of contract and damages.
(+)    After the expiry of the agreed terms of the lease, the landlord has the legal right to eject the tenant after notice or otherwise as prescribed..
(+)    Tenants whose rent is below Rs.3,500/- or below 14 sq. mts. and buildings above 15 years old, are protected under the Rent Act. The agreed term of the lease in such tenancies are immaterial and the tenants cannot be evicted without eviction orders from the court on the grounds available under the Act.
2.    Residential Tenants
(+)    Rent above Rs.3,500/- has no protection under the Rent Act. Such tenants have no right to continue on the termination of the lease agreement. After termination of the lease as prescribed, the tenant’s possession is not lawful and liable for breach of contract and damages.
(+)    Hence, tenants paying above Rs.3,500/-,  must have written valid lease agreements as required with fixed period, which will ensure their occupation for the agreed term.  .
(+)    Tenants paying less than Rs.3,500/- are protected under the Karnataka Rent Act and shall continue in possession even after their agreed terms of lease as statutory tenants.
3.    Karnataka Rent Act:
:
(+)    Under the Karnataka Rent Act, the protected tenants cannot be evicted unless the landlord proves the grounds for eviction as provided therein in a court of law.
(+)    The protected tenants under the Karnataka Rent Act provides for the Rent Control to fix the standard rent etc.
(+)    Under the Act, the landlord has right to revise the rent for incurring expenditure and for improvement etc. Under the Act, it is mandatory the tenancy agreement be in writing.
(+)    Under the Act, the tenants have no right to receive any payment in consideration for relinquishment, transfer or assignment of the tenancy.

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