Worried about paying skyhigh advance amounts to the landlords while hiring a house or a commercial space? Here’s some good news. As per a 1996 Supreme Court’s order, “a landlord is entitled to receive only one month agreed rent by way of advance. Any sum paid in excess of the agreed rent of one month as advance shall be refunded by landlord to the tenant or adjusted towards rent.”
This already existing law was brought to everyone’s notice when a judge at the XIII Small causes court in Chennai dismissed an eviction petition filed by a person named Niamuthullah.
Niamuthullah, a landlord, in his petition, said that Harihara Rajan, an advocate, had taken his building on a monthly rent of Rs 2,500 exclusive of electricity charges.
Reportedly, Harihara Rajan, the tenant, willfully refused to pay the rent from March 2007 to January 2008, totalling a deadly amount of Rs 27,500, making him liable to be evicted under the Tamil Nadu Building (Lease and Rent Control) Act. Harihara Rajan countered his landlord’s petition and told the court that he paid Rs 25,000 as advance as per agreement, but the landlord had not issued receipt for the advance paid.
Harihara Rajan then sent the rental amount through money order, which Niamuthullah had not collected. Harihara Rajan then filed a petition before Small Causes court and deposited rent through court, to which Niamuthullah agreed in front of the court. The judge, after going through the petitions, ordered the landlord Niamuthullah to pay Rs 17,500 after adjusting default amount of Rs 5,000 and dismissed the petition.