See also: Arbitration clause in rental agreements and how it can help landlords and tenants Ashok owns a 2 bedroom house. He rents it with a monthly rent of Rs. 8000/- to Mahesh for a period of 11 months. The deposit is Rs.50000/-. You make a lease for a 50 rupee stamp paper. It goes up to five months. Mahesh pays the rent for up to 5 months, then he stops paying the rent and refuses to move. Ashok immediately went to court. The Tribunal requisitioned the stamp duty agreement for the deficit paid and imposed the fine of up to 10 times the stamp duty to be paid.
So what will be the fine Ashok will have to pay? Let`s do the math. Number of residents: The agreement must indicate what will happen if your family members come to see you in the future. Under the Registration Act, a rental agreement, if not registered, cannot be admissible as evidence. In other words, in the event of a dispute between the lessor and the lessee, the unreg registered lease does not contain any recognition and therefore no argument or judgment can be pronounced on the basis of an unregreged lease. For example, if you enter into a 24-month vacation and license agreement with a monthly rent of 25,000 rupees and a refundable deposit of five Lakh Rs, you will have to pay a stamp duty of 1,750 rupees (0.25% on the rent of six Lakhs for two years and interest on one lakh for two years). The rental agreement should contain the names and addresses of the lessor and tenant, the terms of the lease, the duration of the lease, the rent and the amount of the deposit, the restrictions for both parties, the conditions for termination of the contract, the conditions for renewal and details of who should bear other costs such as maintenance costs, repairs, etc. The formula for calculating the stamp duty on the rental contract is 0.25% x D, the D (monthly rent x number of months) + (pre-rental for the period / non-refundable deposit) + (10% x refund x number of years of contract). Deposit and token amount: the agreement must clearly mention the deposit and what happens to it when you leave the site.
It is also worth mentioning the symbolic amount that the owner received from you. A lease should clearly mention the following clauses: Delhi has a lot of popular residential areas like Mayur Vihar, Dwarka, Chanakya Puri, Noida, Civil Lines, etc., so houses are in high demand. When establishing the lease, it is very important to include some important clauses in the contract. Some important clauses that must be included in the deed of rental or rental are listed below: Maintenance: the agreement must clearly indicate who must pay the monthly maintenance fee. In accordance with Section 17 of the Indian Registration Act, which applies to the whole of India, any contract for the lease of immovable property must be registered from year to year or for a period exceeding one year. . . .