Why In The News?

• Union Minister for Power and Minister for Housing and Urban Affairs, Manohar Lal,was in Guwahati on Tuesday to review ongoing schemes and proposals in the power and urban development sectors with the Government of India for Assam.
• He congratulated Assam for being the best performing state under PM SVANIDHI scheme and the first State to adopt the Model Tenancy Act in the Northeast region in 2021.

Model Tenancy Act:-

=> The Union government has approved the Model Tenancy Act for circulation to all States / Union Territories.

=> This Model Tenancy Act will act as a source of guideline for the states to frame their Tenancy law in this line.

Provisions of Model Tenancy Law:-

1. Dispute resolution

• In case of dispute between landlord and tenant, a rent authority, or a rent court would be available for speedy resolution.
• This act backs designating the district collector as the rent authority.
• Landlords and tenants both require to submit a digital copy of the rent agreement to the district rent authority.

2. Security Deposit-

• Two months rent for residential premises and six months rent for commercial premises.

3. If the tenant fails to vacate the premises on the expiration of the period of tenancy or termination of tenancy, the landlord is entitled to double the monthly rent for two months and four times after that.

4. The tenant cannot sublet a part of or the whole property to someone else.

5. The landlord cannot hike the rent in the middle of the tenure.

Assam Tenancy Act 2021:-

1. Government of Assam tabled the Assam Tenancy Bill, 2021 in the Assembly.
2. The bill to repeal the Assam Urban Areas Rent Control Act, 1972 and established a new law according to Model Tenancy Act .

Provisions of the Assam Tenancy Act 2021:-

1. Rent Authority: A rent authority to regulate renting of premises and to protect the interests of landlords and tenants.

2. A Rent Court and Rent appellate body:- To provide a speedy adjudication mechanism for resolution of related disputes and matters.

3. Rent:-  To be decided on the basis of mutual agreement between the landlords and tenants.

4. Rights of the Landlord:- Eviction of a tenant in case of non-payment of rent and dues and also non- fulfilment of the conditions of the agreement has been simplified, eliminating the fear of the landlord of losing the rights and interest over the property.