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Home Main Story

Union Cabinet Approves the Reformed Model Tenancy Act, Tenants to Submit Two Months’ Security Deposit

The Edge Media by The Edge Media
4 years ago
in Main Story, National Edge, Social Edge
Reading Time: 1 min read
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Union Cabinet Approves the Reformed Model Tenancy Act, Tenants to Submit Two Months’ Security Deposit

Image Courtesy: Shutterstock/Telegraph India

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Wide-ranging changes would be brought about by the reformed Model Tenancy Act which has been approved by the Union Cabinet on Wednesday. This Act will safeguard both the owners and tenants. The Model Tenancy Act states that the tenants need to pay at least two months of security deposit for the residential premises. Rent of six months needs to be deposited for the commercial properties.

A written document also needs to be submitted by the tenants to the district rent authority. The rent and duration of tenancy should be fixed beforehand. In case of disputes between the owner and tenant, they need to approach the ‘Rent Authority’ or ‘Rent Court’, if needed.

Tags: Model Tenancy Act 2021Rent authorityrent courtUnion Cabinet
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