lease without renewal clause
Querist :
Anonymous
(Querist) 18 March 2010
This query is : Resolved
Apartment rented out on 11 months lease which has no clause for renewal.
Doesn't the lease terminate automatically at the end of it? Is it really necessary to send a notice when the lease has no renewal clause? Do I need to have a reason like I want to occupy the property, some work to be done, …… to ask/force a tenant to vacate? or tenant has no right to stay in the apartment after the expiry of lease, and has to vacate under any circumstances?
If notice is must, what should be the format and/or procedure to send such a notice.
Raj Kumar Makkad
(Expert) 18 March 2010
Notice is mandatory even if term of lease has expired.
There is no specific format is prescribed rather it is very simple. You should mention in your notice about your personal need and all other reasons leading the urgent vacation fo the rented/leased property. You can send it through registered post and if you can bear, engage a lawyer for this purpose and he shall duly draft and send the notice as required.
Querist :
Anonymous
(Querist) 18 March 2010
This is a strange law that notice is necessary even if the lease is for fixed term.
What if the tenant still does not vacate? Does the tenant has any right to live in the property in case lease has no renewal clause and notice given?
Or all rights are with the owner? Normally this should be the case. Otherwise what's the meaning of a lease if tenant can stay as long as he wants and owner has no right to get the property back.
Parthasarathi Loganathan
(Expert) 18 March 2010
Author of this post must understand the fact that once any lease document is executed it amounts to legal obligations on either side. Law is specific on this aspect. Makkadji is right to opine that Mandatory. Owner has the duty to inform his tenant about the need for termination of lease.
Parveen Kr. Aggarwal
(Expert) 18 March 2010
No. Notice is not mandatory once the term of the lease expires. The lease terminates automatically after expiry of the term of the lease.
The tenant is liable to vacate the premises upon expiry of the agreed period of lease. But if the Rent Control Legislation is applicable to such premises the tenant cannot be evicted except in accordance with the provisions of that statute.
Querist :
Anonymous
(Querist) 18 March 2010
Imagine there is no Rent Control Legislation applicable. Does the tenant has any right to live in the property in case lease has no renewal clause and on top of this notice has been given?
In the mean time I will try to find, for my knowledge sake, what Rent Control Legislation means. And how it comes into picture, in what way it is against and in what ways in favour of the lease/owner.
B K Raghavendra Rao
(Expert) 19 March 2010
Notice is not required if the lease period has expired. It is by contract agreed that the tenant shall occupy the premises only upto the period mentioned in the lease agreement. Therefore, the lease agreement is itself a notice to the tenant.
Had there been a clause for extension of lease period, then the notice is required as termination is not implied in such cases and tenant has to be evicted in accordance with law.
Heaven 2011
(Expert) 19 March 2010
You should actually follow the language of the agreement which were in force in this regard. Generraly no notice required however if the deed contain any such understanding regarding the notice period then it would come into force. The tenant has no right to stay or occupy the premises after expiry of the lease period.
Querist :
Anonymous
(Querist) 19 March 2010
* Fine. Notice of 15 days/1 month/3 months is given by registered post even if its not mentioned in the lease. Note that lease has no renewal clause and it terminates after 11 months. So, normally a new lease has to be signed if tenant has to stay for another 11 months.
* Is there any minimum / maximum notice period. Again, the lease is for 11 months fixed. What if the notice period ends beyond the termination date in lease?
* Now, after expiry of notice can the tenant still continue to stay in the premises and insist on continuing to pay the rent. And keep sending rent amount by cheque. Is it illegal? Is tenant staying illegally? Note that lease has expired and owner wants the tenant to leave. Does the owner have all the the rights to "throw out" the tenant with the help of police (of course legally)?
Parveen Kr. Aggarwal
(Expert) 19 March 2010
In case the Rent Control Legislations do not apply, then provisions of Section 106 of the Transfer of Property Act, 1882 applies which reads as under:
"106. Duration of certain leases in absence of written contract or local usage
In the absence of a contract or local law or usage to the contrary, a lease of immovable property for agricultural or manufacturing purposes shall be deemed to be a lease from year to year, terminable, on the part of either lessor or lessee, by six months' notice expiring with the end of a year of the tenancy; and a lease of immovable property for any other purpose shall be deemed to be a lease from month to month, terminable, on the part of either lessor or lessee, by fifteen days' notice expiring with the end of a month of the tenancy.
Every notice under this section must be in writing, signed by or on behalf of the person giving it, and either be sent by post to the party who is intended to be bound by it or be tendered or delivered personally to such party, or to one of his family or servants at his residence, or (if such tender or delivery is not practicable) affixed to a conspicuous part of the property."
Section 111 of the Act reads as under:
"111. Determination of lease.- A lease of immovable property determines-
(a) by efflux of the time limited thereby,
(b) where such time is limited conditionally on the happening of some event-by the happening of such event,
(c) where the interest of the lessor in the property terminates on, or his power to dispose of the same extends only to, the happening of any event-by the happening of such event,
(d) in case the interests of the lessee and the lessor in the whole of the property become vested at the same time in one person in the same right,
(e) by express surrender, that is to say, in case the lessee yields up his interest under the lease to the lessor, by mutual agreement between them,
f) by implied surrender,
(g) by forfeiture; that is to say,
(1) in case the lessee breaks an express condition which provides that, on breach thereof, the lessor may re-enter; or
(2) in case the lessee renounces his character as such by setting up a title in a third person or by claiming title in himself; or
(3) the lessee is adjudicated an insolvent and the lease provides that the lessor may re-enter on the happening of such event; and in any of these cases the lessor or his transferee gives notice in writing to the lessee of his intention to determine the lease,
(h) on the expiration of a notice to determine the lease, or to quit, or of intention to quit, the property leased, duly given by one party to the other.
Illustration to clause (f)
A lessee accepts from his lessor a new lease of the property leased, to take effect during the continuance of the existing lease. This is an implied surrender of the former lease, and such lease determines thereupon."
Rent Control Legislations are the Statutes enacted by different state legislatures for protection of tenants and when such acts are enforced, the landlords cannot evict their tenants except in the manner provided under such Act(s).
Querist :
Anonymous
(Querist) 20 March 2010
For clarification, the topic is about residential premises.
* Does Rent control legislation apply in NCR region?
* Do you mean to say that tenant can live in the premises till he likes to? He can just keep on paying the rent and live forever.
* What is the difference between following situations/documents as far as removing the tenant is concerned:-
1) no lease. Rented out without any lease.
2) 11 months fixed duration lease with no renewal clause and no notice period.
3) 11 months fixed duration lease with no renewal clause but notice period.
4) 11 months renewal lease with notice period.
According to last reply, there is no difference between above situations because rent control act protects the tenant and there is almost no way to remove him/her. Is lease just a paper (to clean) and has no meaning? Can't be true!
* Do you also mean to say that tenant can be removed only if he does something wrong (non-payment of rent, structural changes in house, non-sense and things-like-that) or if owner needs the property for personal use.
I suggest that owners stop renting out their properties.
Kumar Thadhani
(Expert) 20 March 2010
yOUR EXPERTS HAD OPINED VERY WELL AS ABOVE.
Querist :
Anonymous
(Querist) 20 March 2010
Just sending my previous remarks and questions again......
For clarification, the topic is about residential premises.
* Does Rent control legislation apply in NCR region?
* Do you mean to say that tenant can live in the premises till he likes to? He can just keep on paying the rent and live forever.
* What is the difference between following situations/documents as far as removing the tenant is concerned:-
1) no lease. Rented out without any lease.
2) 11 months fixed duration lease with no renewal clause and no notice period.
3) 11 months fixed duration lease with no renewal clause but notice period.
4) 11 months renewal lease with notice period.
According to last reply, there is no difference between above situations because rent control act protects the tenant and there is almost no way to remove him/her. Is lease just a paper (to clean) and has no meaning? Can't be true!
* Do you also mean to say that tenant can be removed only if he does something wrong (non-payment of rent, structural changes in house, non-sense and things-like-that) or if owner needs the property for personal use.
I suggest that owners stop renting out their properties.
Parveen Kr. Aggarwal
(Expert) 21 March 2010
*Yes. The Delhi Rent Control Act applies.
* Rent Control Act provides the grounds when eviction of a tenant can be sought by a landlord. Unless permitted by law, a tenant cannot be evicted.
* 1) Does not make any difference if lease is in writing or not.
2) No agreement can override legal provisions. If Rent Control Act applies eviction can be sought in accordance therewith.
3) Notice is not mandatory if not required by law.
4) Same.
Rent Control Act intends to protect a tenant against evictions and no tenant can be evicted except in accordance with the provisions of such Act. A tenant whose term under the lease has expired but he cannot be evicted due to provisions of such Act are called 'statutory tenants' instead of 'contractual tenants'.
* Yes. In case Rent Act applies, no tenant can be evicted unless a ground of eviction thereunder accrues in favour of the landlord.
It is settled law of the land that nobody can dispossess any person from any property forcibly and every dispossession is to be in accordance with law. The history of enactment of Rent Control Legislations is traceable to about one century ago when tenants were victim of the unlawful and unjustified evictions from the landlords. But now the situtation has altogether changed and the landlords are victims of such enactments. But till the statutes are repealed or amended, the owners have no option. It is generally said "fools [owners] construct houses for wise people [tenants] to live".
Querist :
Anonymous
(Querist) 21 March 2010
* Do you mean to say that tenant can live in the premises till he likes to? He can just keep on paying the rent and live forever.
* Underwhat circumstances can the tenant be evicted, for example non-payment of rent, behaviour, complaints from neighbours, need of property by the owner (may be for short period only), alteration of property, owner wants to do some rework in his property, ...? Are all of above reason good ground for eviction?
* My tenant is paying rent but lease has expired. Should I renew the lease for 11 months or may be for few months only and keep forcing him to leave. Or shall I let him live without lease ('Statutory' as you said)and try to use the expiry of lease in my advantage? What if he does not agree to sign new lease? Does this situation give me powers to remove him?
* Is Leave and License not a better option than Lease, for owners?
* Can I force an existing tenant to sign Leave and License after expiry of Lease? Can the exisitng tenant deny? Is it not owners right that the tenant has to sign any rental agreement/document that the owner puts forward or tenant can leave the premises?