Home / Politics / Policy /  Karnataka govt to introduce 'Model Tenancy Act': All you need to know

Karnataka's Revenue Minister R Ashoka has said that the state government is planning to introduce the Model Tenancy Act in the state, aimed at ending tenant-owner disputes.

The minister said "We are simplifying the current tenancy act. Earlier, the government had a role in fixing the rent. However, we now propose that the rent should be fixed by both the parties (owners and tenants) and after reaching an agreement, they need to finalise it legally and then upload it in the portal."

He said, in case of any dispute, the officials will resolve it in less than 60 days.

Also Read: Cities where owners prefer to keep their homes vacant instead of renting them

"We are planning that the disputes should be settled within 60 days and even if anyone plans to postpone the hearing, there won't be anything more than three chances," he was quoted as saying by his office in a release.

Noting that currently, around two to three lakh houses are vacant in Bengaluru alone, the Minister said, "we hope that once this act is implemented in the State, the owners will get their tenants while the rents may also come down."

"This is just a proposal and we are expecting feedback from the public before we officially introduce this in Karnataka," he said. The Union Cabinet in the first week of June had approved the Model Tenancy Act and sent it for circulation to all the States for adaptation by way of enacting fresh legislation or amending the existing rental laws suitably.

Highlights of Model Tenancy Act:

Deposits cannot exceed six- month rentals for commercial properties and two-month rentals for residential properties.

Without a valid notice, tenants cannot be evicted during the agreement period.

The rent agreement should be uploaded on the revenue department website and the agreement between tenant and landlord is final.

Without written permission from owners, tenants cannot make any structural changes to the property.

After the litigation, if the tenant fails to vacate the property, a penalty will be imposed which will be double the rent for firsttwo months and four times after that.

Ashoka also said that the government plans to abolish the posts of four regional commissioners and instead establish a regional commissionerate at Bengaluru.

"I have been thinking on these lines for the last six months as the regional commissioners' offices have turned out to be white elephants.For example, we have been spending crores of rupees on these offices.Each of these offices has more than 125 staff working," he said.

However, on the utilisation part, all the four regional commissioners' offices have received only 250 appeals so far, he said and added that this was nothing but wastage of resources.

"We will take a call on this in the next fortnight..if we abolish the regional commissioners posts, then we can save a lot of money and the existing manpower can be redeployed to various deputy commissioners' offices across the state which is facing a severe shortage of manpower."

Ashoka said that he has signed an order for providing financial aid of 1 lakh for BPL family members if one of their family members had died of Covid, which was announced by the Chief Minister last month.

*With inputs from agencies

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