Guide to Real Estate Woos of NRI’s: Best Real Estate Attorney Advice in India
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Legal Advice & Solutions for NRI’s & their Estates & Properties in India-5: Best NRI Legal Services in India
What legal recourses does NRIs have when their tenant refuse to vacate the estate or property?
Non-resident Indians (NRIs) have long been interested in Indian real estate. When staying abroad, NRIs choose to purchase a home or other residential property that they may use to settle down if they decide to return. But, up until last year, renting out residences for overseas Indians routinely caused issues. An eviction action may be initiated if the renter refuses to abide by the legal requirements and stays in the property. The failure to pay rent and the unwillingness to vacate the premises by the end of the lease period are sufficient reasons to petition the court for eviction. One of the main challenges in renting out houses was the fear that NRIs, foreign investors, or even those who live far away had that the tenants may not leave when the lease term was over. But when India enacted the Model Tenancy Act (MTA) last year, replacing the Rent Control Act (RCA) of 1948, everything changed. As a result, there is now a clause imposing penalties on the tenant for failing to leave the premises beyond the lease time.
An NRI (Non-Resident Indian) may have access to a number of legal options if they are experiencing issues with a renter who won’t leave their estate or property. Here are a few possibilities:
1. Send a legal notice: The tenant may get a legal notice from the NRI requesting that they leave the property. The grounds for eviction and the tenant’s deadline to leave should be made crystal clear in the notice. The NRI may take legal action if the renter disregards the notification..
2. File an eviction suit: In a civil court, the NRI may bring an eviction action. The court where the property is located is where the case should be filed. To represent them in court, the NRI will need to engage legal counsel. The tenant will be required to leave the property if the court rules in the NRI’s favour and issues an eviction order.
3. File a police complaint: The NRI may report the tenant to the police if they believe they are causing a nuisance or harming the property. The police will look into the situation and take the necessary steps.
4. Seek help from a local authority: If the tenant refuses to leave the property despite numerous requests, the NRI may be able to get assistance from the local government, such as the district collector. The local government may step in and assist the NRI in evicting the property.
5. Approach Rent Control Authority: There could be rent control authorities in the state where the property is situated that can assist with eviction procedures. These agencies have the power to hear landlord-tenant disputes and issue eviction orders.
6. Hire a lawyer: It is generally essential to seek the services of a lawyer that focuses on property disputes and has expertise with such issues. The NRI can be assisted by a lawyer throughout the legal procedure to make sure their rights are upheld.
It is significant to note that the legal options open to an NRI may differ according on the nation in which the property is situated. To understand the legal choices available in a particular country, it is important to speak with a local attorney who focuses in property law.
What is the Model Tenancy Act 2020?
The Model Tenancy Act requires a written agreement for all new leases in order to reduce minor rental disputes, which implies that the rent and duration of the tenancy will be determined by mutual consent between owner and tenant through a written agreement. According to the Act, the tenant is responsible for paying the landlord double the monthly rent for the first two months and then four times as long as the landlord continues to occupy the said premises if the tenant fails to vacate the premises let out on rent in accordance with the tenancy agreement. Both landlords and tenants’ rights are protected by the Act. The Legislation intends to increase rental activity while doing away with the idea of a large security deposit. Together with other things, it details the conditions of eviction, necessary supplies for the rental space, structural repairs, and construction.
How to Evict a Tenant in India?
The following steps must be taken after determining the grounds for the eviction:
Stage I – Send a Notice to the Tenant to Vacate: The tenant must be served with an eviction notice, which must be filed in the relevant court and include the grounds for eviction as well as the time and date by which the tenant must leave the rented property. The renter must be given a fair amount of time to leave the rented space, according to the landlord. The majority of the time, tenants vacate rental property after getting a court-issued legal notice.
Stage II – File an Eviction Suit: After receiving the court’s eviction notice, the tenant has the option to refuse to leave the rental property and dispute the eviction. In this situation, the landlord has the option of hiring a real estate attorney to file an eviction complaint against the renter. The civil court whose jurisdiction the rented property falls receives the complaint for eviction of the tenant.
Stage III – Final Eviction Notice: Based on the arguments and facts presented, the court hears both parties and issues a final legal notice of eviction for the tenant. Once the court issues the final eviction notice, the tenant is required to leave the rental property.
This is how tenants are evicted in India, however doing so without a rental agreement is challenging because there is no evidence that the renter was handed a piece of property to rent.
The bona fide need of the NRI owner was not in question in the case Bachan Kaur and Others v. Kabal Singh and Anr. While the sale deeds in issue featured khasra numbers and the NRI owner had also requested more documentation, the eviction proceedings had only been dropped on this one basis: they could not be matched to the property in the action. In such cases, it was decided that the tenant was estopped from contesting the title once the landlord-tenant jural connection had been established. This aspect has already been decided against the tenants in the current case by this Court, which took note that even though the khasra numbers are not mentioned in the eviction petition, the identity of the shop has been described in detail therein, and the tenant has reversed the Rent Controller’s findings to that extent after admitting that the petitioners were the owners and that they were in possession as tenants.
The Supreme Court made the following observations in paragraph 18 of its ruling in the Baldev Singh Bajwa case: “A tenant’s right to defend the claim of the landlord under Section 13-B for ejectment would arise if the tenant could be able to show that the landlord in the proceedings is not NRI landlord; that he is not the owner thereof or that his ownership is not for the required period of five years before the institution of proceedings and that the landlord’s requirement is not bona fide.”
In the case of Ravinder Singh v. Shander Singh, the respondent Shander Singh filed a petition under Section 13-B of the East Punjab Urban Rent Restriction Act, asking for the eviction of the revision petitioner on the grounds of personal bona fide necessity to establish his business in he entire building, of which the demised shop is a part. He wanted to go back and stay permanently in India, according to the respondent-landlord. He needed the demolished business for his own use while he was now living in the United Kingdom. He had filed similar eviction applications against other tenants and wanted to launch a company for which he needed the entire building on plots no. 3 and 4, which includes the demised store.
Authored By: Adv. Anant Sharma, Vikrant Rathore & Lehar Saini
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