Rent increase
Raj kumar
(Querist) 22 November 2011
This query is : Resolved
In Supreme court judgment Mohd Ahmad v. Atma Ram Chauhan civil aoppeal No 4422 of 2011 arising out of SLP (C) No. 6319 of 2007 decided on 2011 it has been said:
" The tenant must enhance the rent according to the terms of agrement or atleast by 10% every three yrs .... If the rent is too low (in comparison to the market rent) having fixed almost 20-25 yrs back then the present market rent should be worked on the basis of valuation report or reliable estimates of building rentals in the surrounding areas, let out recently."
The question is:
1. Rent laws in many states, say Haryana, has fixed a formula for increasing rent and that too only after 5 yrs only. That is indeed very low. Now can the Landlord use the above judgment of Supreme court to get the rent increased or he has to follow the law made under the Rent Restriction Act made by his state government.
2. Since the formula for increasing rent is/was very low, though the rent may have increased every 5 yrs, it is still well below the prevaling market rent .Can the Landlord now apply that his rent is very low and should be incresaed as per the above judgment to the prevailing market rent.
prabhakar singh
(Expert) 22 November 2011
(1)To my understanding it would be not the judgement but legislated law shall prevail unless the legislation is finely tuned to incorporate the spirit of the judgement.
(2)My answer to 1 does not give birth to question 2.
Let us see what others say.
Devajyoti Barman
(Expert) 22 November 2011
The courrt has only given guidelines as in presence of existing rent laws the decision will not have over reaching effect.
Raj Kumar Makkad
(Expert) 22 November 2011
Raj Kumar G! Hon'ble Supreme Court is the guiding force which is fully empowered to define as well as frame law.
In the given matter, Apex Court has provided its verdict which has to be followed all over India as such. So, even if The Haryana Rent Control Act prescribes formula otherwise, the landlords are now free to get the rent fixed as per verdict of SC.
kuldeep kumar
(Expert) 23 November 2011
i sense some merit in mr singhs opinion.state act may be applied ignoring sc ruling.need others wat say
Advocate. Arunagiri
(Expert) 23 November 2011
The rent controller is having the power to fix the fair rent.
The above supremecourt decision is a guideline.
