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Rent Deed, Lease Deed, Rent Agreement, Eleven Month Rent Deed, Landlord, Tenant, Non Payment of Rent, Eviction of Tenant, Tenancy Dispute, Tenancy Termination, Rent Increase, Sub Letting, DRC Act, Delhi Rent Control Act, Eviction Petition, Suit for Possession

Rent Deed, Lease Deed
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Rent Deed, Lease Deed, Rent Agreement, Eleven Month Rent Deed Page-2


Q2. Is it necessary to hire the services of an Advocate for drafting, preparation and registration of the Rent Deed / Lease Deed?

A.
    
In our opinion, it is absolutely necessary to hire the services of an Advocate for drafting, preparation and registration, if any of the Rent Deed / Lease Deed for the following reasons: -
            Various legal issues are involved in the preparation / drafting of Rent Deed or Lease Deed which your Advocate / Lawyer / Solicitor / Attorney can take care of. There are no standard in Rent Deed / Lease Deed which various considerably from area to area, person to person, and property to property according to state laws, local laws, municipal laws, rules, regulations and ordinances.
            You can avoid unnecessary disputes between landlord and tenant by non-incorporation of important clauses in the Rent Deed / Lease Deed.
            Fees charged by the Advocate / Lawyer / Solicitor / Attorney are very small compared to the loss occasioned to landlord or tenant in case of disputes between them.



Q3. Is it necessary to pay Stamp Duty on Rent Deed / Lease Deed or the same can be prepared on plain paper?

A.
    
It is absolutely necessary to pay the Stamp Duty on the Rent Deed / Lease Deed as per law. Take the following Example: -
       Landlord X went to a property dealer and through him let on rent his flat to tenant Y at the monthly rent of Rs. 3,600/- for eleven months. To save advocate fee and stamp duty, the property dealer got prepared a Rent Deed / Lease Deed at a Stamp Paper of Rs. 50/- only through a typist, which in fact attracted stamp duty of Rs. 792/-. Subsequently the tenant stopped paying the monthly rent after six months of tenancy. The landlord filed suit for eviction before the court against the tenant for non-payment of rent. The Court immediately impounded the said Rent Deed / Lease Deed for shortage of stamp duty, and the landlord had to pay Rs. 8,165/- by way of Deficient portion of the Stamp Duty along with Penalty of 10 times of deficient portion of Stamp Duty.

     From the aforesaid example it becomes immediately clear that it is always better to pay the appropriate stamp duty on the Rent Deed / Lease Deed as per law.



Q4. Is it necessary to register the Rent Deed / Lease Deed even if it is for a period of less than a year say for eleven (11) months?

A.
    
No, it is not necessary to register the Rent Deed / Lease Deed which is for a period of less than a year say for a period of eleven (11) months. However, in our considered opinion, it is always better to get the same registered. Take the following Example:
       Landlord X went to a property dealer and through him let on rent his flat to tenant Y at the monthly rent of Rs. 3,600/- for eleven months. To save advocate fee, stamp duty and registration charges, the property dealer got prepared a Rent Deed / Lease Deed at a Stamp Paper of Rs. 50/- only through a typist. Subsequently the tenant stopped paying the monthly rent after six months of tenancy. The landlord filed suit for eviction before the court against the tenant for non-payment of rent. The tenant denied the rate of rent to be Rs. 3,600/- and came to allege that the rate of rent was only Rs. 1,000/- per month. On confronted with Rent Deed / Lease Deed, the tenant further denied his signature on the Rent Deed / Lease Deed, and alleged that his signature have been forged on the Rent Deed / Lease Deed.

     From the aforesaid example it becomes immediately clear that if the document had been registered the tenant would have found it difficult to deny his signature on the Rent Deed / Lease Deed or falsely allege lesser rent of Rs. 1,000/-.



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Last Updated: 18 July 2010