Increase of rent

This query is : Resolved 
 

(Querist)
01 June 2020

I am a co-owner of a building under the jurisdiction of P.S. Karaya, Kolkata. Since, last 10 years, I have not increased the rent of my tenants. Now, when I have told my tenants verbally that I want to increase the rents by 10% on the existing rent, they are not agreeing. Nevertheless, as per The west Bengal Premises Tenancy Act, Landlord can increase the rent @ 5%, after 3 years, I intend to increase the rent by 10%, as the rents were not increased since about last 10 years. Now, what maximum action can I take, if my tenants refuse to agree on the increased rent ?


Dr J C Vashista (Expert)
01 June 2020

You may increase the rent @ 5% as prescribed by the provisions of section 18 of the West Bengal Premises Tenancy Act.

Dr J C Vashista (Expert)
01 June 2020

Issue notice for vacating the premises as per terms and conditions of rent agreement, if any.

Raj Kumar Makkad (Expert)
01 June 2020

Had you executed the rent agreement? If yes then is there any term of increasing the rent? If yes then follow it and if not then the standard rule shall apply vide which you need to approach Rent Controller of your area and has to pray to fix fair rent of your rented premises. Engage a local lawyer for this purpose.

P. Venu (Expert)
01 June 2020

You may increase the rent in accordance with the legal provisions and communicate. If refused, you may seek their eviction.

Rajendra K Goyal (Expert)
01 June 2020

Rent can be increased as per law or as per valid agreement. If there is no such agreement, you can increase the rent @5% every three years if law so permit.

Raj Kumar Makkad (Expert)
01 June 2020

Section 25A of West Bengal Premises Tenancy Act, 1956 govern the Fixation of fair rent and number of lodgers
The Controlle shall, on the application made by any person interested,
(a) fix a fair rate to be charged for board, lodging or other service
provided in a hotel or lodging house and in fixing such fair rate specify separately the rate for lodging, board or other service
(b) fix the number of lodgers to be accommodated in each room specified unit of accommodation in a hotel or lodging house.
Section 25B Revision of fair rate and number of lodgers
The Contrcler may from time to time revise the fair rate or the number of lodgers fixe under section 25A.
Section 25C Notice of fair rate and number of lodgers to be displayed.
The manager of a hotel or the owner of a lodging house shall, where the fair rate or the number of lodgers has been fixed under section 25A for a hotel or lodging house display in a conspicuous part of the hotel or lodging house a notice of the fair rate and the number of lodgers so fixed
Section 25D Notice of fair rate and number of lodgers to be displayed.
Agreement for payment of charges in excess of fair rate.An agreement for the payment of any charge in excess of the fair rate referred to in section 25A shall be null and void in respect of such excess and shall be construed as if it were an agreement for the payment only of such fair rate.
Section 25E No eviction if fair rate paid
No manager of a hotel or owner of a lodging house shall have any right to evict or refuse board or other service to a lodger as long as he pays or tenders payment of the fair rate fixed under section 25A and observes and performs the other conditions of the agreement in so far as they are not inconsistent with the provisions of this Chapter:
Provided that a lodger shall not be entitled to the benefit of this section
(a) if the lodger has been guilty of conduct which is a nuisance or an annoyance to the other lodgers of the hotel or lodging house,or
(b) if the lodger has continuously been absent from such hotel or lodging house for a period exceeding two months , or
(c)if the lodger having contracted to stay for any specified period stays beyond that period unless the Controller on an application made to him in this behalf extends the period
Section 25F Punishment
(1) Every manager of a hotel or owner of a lodging house who accommodates lodgers or permits lodgers to be accommodated in a room or specified unit of accommodation in a hotel or lodging houses in excess of the number fixed by the Controller under section 25A except with the consent of all the lodgers of such room or specified unit of accommodation, shall on conviction in a Criminal Court be punished with fine which may extend to one thousand rupees.
(2) Every manager of a hotel or owner of a lodging house who fails to display a notice as required under section 25C of the fair rate or the number of lodgers fixed under section 25A shall on conviction in a Criminal Court be punished with fine which may extend to five hundred rupees.

Rajendra K Goyal (Expert)
02 June 2020

Have you got the fair rent fixed as per The West Bengal Premises Tenancy Act .

Get the fair rent fixed as per The West Bengal Premises Tenancy Act 1997 from the Rent Controller. You can increase the rent by 5% every three year.

The West Bengal Premises Tenancy Act
20. Notice of increase Of rent.—Where a landlord intends to increase the rent of any premises, he shall give to the tenant the notice of his intention so to do in so far as such increase is permissible under this Act; the increase of rent shall be due and recoverable from the month or period of tenancy next after the expiry of thirty days from the date on which the notice is given.

Raj Kumar Makkad (Expert)
02 June 2020

The author has already clarified that he has never got the initial rent fixed between the parties so there is no question of getting fixed the fair rent from the Rent Controller.

Rajendra K Goyal (Expert)
02 June 2020

Rent can be increased 5% in three years on the fair rent fixed by rent controller as per law applicable.



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