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learning_member (abc)     08 January 2014

Adding this clause to rental agreement -


i want to rent out my 2bhk in banglore..please confirm if i can add the below line to my home rental agreement - "1. The tenant/owner needs to provide 2months notice for terminating the lease. In the event that the tenant stays beyond the notice period of 2months,for any reason, an additional fee of 20% of the rent will be assessed every month,in addition to the monthly rent"

i want to add the above - in the event that if i end up with bad tenants... they will atleast know the consequence of taking me for a ride to the court to delay vacating the flat.


 7 Replies

Dr J C Vashista (Advocate)     08 January 2014

When the agreement is mutually agreed you can do so, provided you are able to prove when it is under litigation

Biswanath Roy (Advocate)     08 January 2014

No you cannot put this clause in a lease agreement because lease means tenancy for a specified period .  Within that period if the lessee violates any terms of the agreement in that case you can evict him.  But  you can let out the flat on lease for a short period  giving an option for its continuance after increasing the rent to a certain sum.after that period as a  fresh lease.

learning_member (abc)     08 January 2014

sir, please read my clause carefully - it is not at all my honest intention to go for a short term lease of that sort for a higher rent. it is only, say ,when i had given a 2months notice to vacate per the agreement..and if the tenant purposely goes to court for the sake of skipping paying rent and extending his stay, then he/she needs to understand the consequence that he is  expected  to pay 20% additional rent for every month he had stayed after the 2 months notice period  in settling the rent dues, if the court order comes in my favour.

so, is the above possible?

the above clause is basically to keep those bad tenants at bay who thinks that the game of extending lease by going to court is easy... my brother recently went through a very bad ordeal with one of his looking every possible way to avoid..including doing a thorough background check on the tenant.s

Avadhesh Paliwal (advocate)     08 January 2014

Dear Rchawla 

you have add this line agreement  under the mutual consent of both the parties you  are right on your place because tenant is very painful when they are moving to court....but thing is that you can not safe because court will always in favour of always careful that you choose the right person for rented your flats.



Avadhesh Paliwal 

Biswanath Roy (Advocate)     08 January 2014

You can write a clause that continuation of the tenancy for a further period of three years shall depend upon the conduct of the tenant  and  after determining the quantum of monthly rent afresh.

Dr J C Vashista (Advocate)     09 January 2014

Extension of tenancy period can be incorporated in the agreeement.

Dr. MPS RAMANI Ph.D.[Tech.] (Scientist/Engineer)     23 February 2014

It appears to me that none of the replies except the first one of Dr. J. C. Vashista, are to the point of what the "learning member" (LM) is asking.

LM wants to rent out his flat and wants to include a clause in the tenancy agreement for 2 months' notice on either side for termination of the agreement and the tenant vacating the flat.

I think that this is fair enough irrespective whether the renting out is for short term or long term.

Now suppose the tenant doesn't vacate even after two months. LM will have to  go court for eviction. He may win the case or lose it. Neither will know the ultimate result. The Democles' sword of court decision will be hanging above both the parties.

If there is a 20% increase in rent the court will look at it only at the time of final decision. If the tenant wins the case the 20% clause will have no effect. If the tenant loses he will have to vacate or shall be forcibly evicted. At this juncture only the court has to take a decision whether 20% more has to be paid for the litigation period. So the 20% increase will be additional weight on the Democles' sword above the tenant.

At the time of signing the agreement it will be only a "yes" or "no" situation. If the tenant doesn't agree he doesn't get the flat. If no prospective tenant agrees for the clause,  LM may have to remove the clause. The validity of the clause will be tested only if the parties have to go to court.

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