Renewal of lease agreement & future eviction: 40 year old te
Karan Singh
(Querist) 15 April 2019
This query is : Resolved
Half of our commercial property (in the industrial area of the Kanpur city) is rented out to 6 tenants, since 40 years. The other half (i.e. the adjacent piece of land) is being used by us. Rental agreements have not been renewed since 20 years. The tenants are paying (often late) minuscule rents (via cheque). The rent has also not changed since 2 decades. Previous efforts to have a fresh rental agreement has been put off the table by the tenants.
How should we proceed ahead ?
a) Can we enforce the new rental agreements somehow ? e.g. electricity connections for tenants were allowed based on the written consent of my grandfather. Can that or something else be a reason to have fresh rental agreements ?
b) We would like to sell the whole property in next 5-10 years. We know the challenges in eviction of such old tenants. What would be the advised next course of action ?
Dr J C Vashista
(Expert) 16 April 2019
Put all tenants on notice through a local prudent lawyer under section 106 of the Transfer of Property Act giving 6 months time for industrial unit.
