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Laws governing renting a commercial property


12-Oct-2023 (In Landlord/Tenant Law)
Hi Sir, We have a land on main road in our village (Tamil Nadu state). We want to build some shops in the land and give it for rent. But my father is very scared to do it. Becoz of following reason. One person did the same (rented his shop) in our village. After few years landlord asked the tenant to vacate the shop. But tenant refused to vacate and he said that he incurred some losses in his business so he wanted to run the shop for few more years and also tenant filed a case in court. It seems judgment came in favour of tenant. So kindly request u to provide clarification for below queries. 1. How to avoid above mentioned scenarios. (In our village, mostly we don’t use tenancy agreements) 2. What legal action we can take if tenant refuses to vacate the shop. 3. If shop is occupied by tenant for certain years, can tenant legally take the ownership of the shop? If there any Act / rule in favour of tenant side.
Answers (2)

Answer #1
824 votes
Entering into a legal rent agreement is the best way to ensure that such things don’t happen. Clearly include clauses which specify your rights to evict the tenant in case of failure to pay rent or on the expiry of the termination period. The principle of adverse possession states that if you sit on your rights for more than 12 years and don’t protest against illegal occupation, the trespasser shall become the lawful owner of the land.
Answer #2
699 votes
Well, firstly enter into an agreement with the tenant and get it registered, the registration is made compulsory as per the amended laws. And make sure with the terms and clauses for the period of tenancy, nature of business, hike in rent and to vacate the premises as per your convenience. The new rent control Act is landlord friendly so you don't have to be worried. If you want the tenant to vacate just serve a prior notice before 3 months and if the tenant doesn't respond to your request you can initiate legal proceedings and prove your claim.

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