Here’s all you need to know about the Model Tenancy Act

The Union Cabinet, chaired by Prime Minister Narendra Modi, approved the Model Tenancy Act on Wednesday, which aims to boost private participation in rental housing as a business model for addressing housing shortage.

The Act has also set up separate rent authorities, courts and tribunals to safeguard the interests of both landlords and tenants.

Enactment of this 'model law' is up to the respective states and Union Territories.

Here’s all you need to know about this Act:

> Under this new Act, a written agreement between the landlord and tenant is a must, which has to be submitted to the district ‘Rent Authority’.

> The Act promotes uniform security deposits. The security deposit can be up to two months’ rent in case of residential premises and up to six months’ rent in commercial properties.

> The Act has divided the responsibilities of both landlord and tenant for activities towards the property unless agreed otherwise. The Landlord is responsible for structural repairs (except for damages caused by the tenant), whitewashing walls, painting doors and windows, and plumbing and electrical maintenance.

> Likewise, the tenant is responsible for socket and kitchen fixture repair, replacement of glass panels on windows and doors, drain cleaning, maintenance of open spaces around, and informing the landlord of damages immediately.

> In case the tenant doesn’t permit the landlord to make construction on the rental premises, the landlord can take up the issue to the Rent Court.

> Landlord cannot withhold essential supplies from the tenant under the Model Tenancy Act.

> If no information of rent revision is agreed by the landlord and tenant on the agreement paper, then the landlord has to give a three-month notice before revised rent is due.

> Under the Act, rent cannot be increased during the tenancy period, unless mentioned in the agreement.

> Tthe landlord has to notify the tenant at least 20 hours before visiting the rented premises.

> Tenants cannot be evicted from the premises during tenancy agreement continuation unless specified otherwise in the agreement.

> The Model Tenancy Act will not affect existing tenancies.