Chapter 5: THE TRANSFER OF PROPERTY ACT, 1882

Chapter V: Of Leases of Immoveable Property

Section 105: Lease defined

• Simple English: This is the foundational section of this chapter. It defines what a “lease” is, who the parties are, and what the payments are called.
• First Paragraph: The Definition of a Lease
  • Legal Text: “A lease of immoveable property is a transfer of a right to enjoy such property, made for a certain time, express or implied, or in perpetuity, in consideration of a price paid or promised, or of money, a share of crops, service or any other thing of value, to be rendered periodically or on specified occasions…”
  • Simple English Breakdown:
    • What is a Lease? It’s a transfer of the right to enjoy the property, not a transfer of ownership.
    • For How Long? It can be for a fixed time (e.g., 11 months, 99 years) or even forever (“in perpetuity”).
    • In Exchange for What? In exchange for “consideration,” which can be:
      • A “price”: A one-time, upfront payment.
      • “Money”: A recurring payment (e.g., monthly rent).
      • “A share of crops”: A common arrangement in agricultural leases.
      • “Service”: E.g., a “watchman’s agreement” where he gets to live in a flat in exchange for his guard duties.
      • “Any other thing of value”: Any other form of payment.
• Second Paragraph: The Parties and Payments
  • Legal Text: “The transferor is called the lessor, the transferee is called the lessee, the price is called the premium, and the money, share, service or other thing to be so rendered is called the rent.”
  • Simple English Breakdown:
    • Lessor: The owner who gives the lease (the Landlord).
    • Lessee: The person who gets the lease (the Tenant).
    • Premium: The one-time, upfront price paid for the lease (e.g., a “salami,” “pagdi,” or a large, non-refundable deposit).
    • Rent: The recurring payment (money, crops, or service).
• Real-World Example:
  • Lessor: Mr. Sharma (the landlord).
  • Lessee: Rina (the tenant).
  • Lease: Mr. Sharma transfers the “right to enjoy” his flat to Rina for 3 years.
  • Premium: Rina pays a one-time, non-refundable “signing bonus” of ₹50,000.
  • Rent: Rina also agrees to pay ₹20,000 on the 1st of every month.

Section 106: Duration of certain leases in absence of written contract or local usage

• Simple English: This section provides the default rules for a lease’s duration and its termination notice if there is no written contract or local custom stating otherwise.
• (1) Default Lease Types and Notice Periods:
  • Legal Text: “(1) In the absence of a contract or local law or usage to the contrary, a lease of immovable property for agricultural or manufacturing purposes shall be deemed to be a lease from year to year, terminable, on the part of either lessor or lessee, by six months’ notice; and a lease of immovable property for any other purpose shall be deemed to be a lease from month to month, terminable, on the part of either lessor or lessee, by fifteen days’ notice.”
  • Simple English:
    • Agricultural/Manufacturing Lease: If you lease a farm or a factory with no written agreement, the law assumes it’s a “year-to-year” lease. To end it, either party must give 6 months’ notice.
    • All Other Leases (Residential/Commercial): If you rent a house, apartment, or shop with no written agreement (a “verbal lease”), the law assumes it’s a “month-to-month” lease. To end it, either party must give 15 days’ notice.
  • Real-World Example (Year-to-Year):
    • Ravi lets his field to Suresh for farming but they just shake hands on it. The law presumes this is a year-to-year lease. If Ravi wants the land back, he must give Suresh 6 months’ notice.
  • Real-World Example (Month-to-Month):
    • Priya rents a flat to Anand on a verbal agreement. This is a month-to-month lease. If Priya wants Anand to leave, she must give him 15 days’ notice. If Anand wants to move out, he must also give Priya 15 days’ notice.
• (2) When Does the Notice Period Start?
  • Legal Text: “(2) Notwithstanding anything contained in any other law for the time being in force, the period mentioned in sub-section (1) shall commence from the date of receipt of notice.”
  • Simple English: The 15-day or 6-month clock doesn’t start when the notice is sent, but when it is received.
  • Real-World Example:
    • A landlord sends a 15-day notice by registered post on June 1st. The tenant receives and signs for it on June 3rd. The 15-day period starts from June 3rd, not June 1st.
• (3) What if the Notice Period is Wrong?
  • Legal Text: “(3) A notice under sub-section (1) shall not be deemed to be invalid merely because the period mentioned therein falls short… where a suit or proceeding is filed after the expiry of the period…”
  • Simple English: This is a technical rule to stop tenants from delaying eviction on a minor technicality. If a landlord gives (for example) 14 days’ notice instead of 15, but then waits for the full 15 days (or more) to pass before filing the eviction lawsuit, the court will not throw out the case just because the notice was short by one day. The notice is still considered valid because the tenant in fact got the required amount of time.
  • Real-World Example:
    • Landlord gives 14 days’ notice, expiring on the 14th. This is technically invalid.
    • But the landlord waits, and files the eviction suit on the 20th day.
    • The court will allow the suit, because the tenant actually received more than 15 days before any legal action was taken.
• (4) How Must the Notice be Given?
  • Legal Text: “(4) Every notice… must be in writing, signed by or on behalf of the person giving it, and either be sent by post… or be tendered or delivered personally… or (if such tender or delivery is not practicable) affixed to a conspicuous part of the property.”
  • Simple English: A verbal notice is not valid. The notice must be a written and signed document, delivered in one of these ways:
    • By post (Registered Post with Acknowledgement Due is the standard practice).
    • Handed to the person directly.
    • Handed to their family member or servant.
    • If none of the above is possible (e.g., the person refuses to open the door), by pasting it prominently on the property’s door.
  • Real-World Example:
    • A tenant refuses to accept a notice from the landlord. The landlord, with a witness present, tapes the signed notice to the tenant’s front door. This is a valid “affixing” of the notice.

Section 107: Leases how made

• Simple English: This section explains the legal formalities required to create a valid lease.
• First Paragraph: Leases that MUST be Registered
  • Legal Text: “A lease of immoveable property from year to year, or for any term exceeding one year, or reserving a yearly rent, can be made only by a registered instrument.”
  • Simple English: You must create a formal, written lease deed, pay stamp duty, and register it at the Sub-Registrar’s office if your lease is:
    • For more than one year (e.g., a 3-year commercial lease).
    • A “year-to-year” lease (like the default agricultural lease).
    • A lease where rent is paid as a single yearly sum (e.g., ₹1,20,000 paid once per year).
  • What if you don’t? An unregistered 3-year lease is invalid as a 3-year lease. The law will treat it as a “month-to-month” lease (under S.106).
  • Real-World Example:
    • A company wants to rent an office for 5 years. They must execute a lease deed on stamp paper and register it. If they just sign a letter, the lease is not legally a 5-year lease.
• Second Paragraph: Leases that DO NOT need Registration
  • Legal Text: “All other leases… may be made either by a registered instrument or by oral agreement accompanied by delivery of possession.”
  • Simple English: For any other lease (i.e., leases for one year or less, like the common 11-month residential agreement), you have two choices:
    • Register it (you can, but don’t have to).
    • Make a simple oral agreement, as long as it is combined with “delivery of possession” (i.e., the landlord hands over the keys and the tenant moves in).
  • Real-World Example:
    • You agree to rent a flat for 11 months. You pay the deposit, the landlord gives you the keys, and you move in. You have a perfectly valid oral lease, even with no written agreement. (This is why 11-month agreements are so popular—they avoid the cost and hassle of registration).
• Third Paragraph: Who must sign?
  • Legal Text: “Where a lease… is made by a registered instrument, such instrument… shall be executed by both the lessor and the lessee.”
  • Simple English: If you do make a registered lease deed, it’s not enough for just the landlord (lessor) to sign it. Both the landlord and the tenant (lessee) must sign the document.
  • Real-World Example:
    • When the company signs its 5-year office lease, both the company’s director (as lessee) and the building’s owner (as lessor) must sign the deed before the Sub-Registrar.
• Proviso (Exception):
  • Legal Text: “Provided that the State Government may… direct that leases… may be made by unregistered instrument or by oral agreement without delivery of possession.”
  • Simple English: This just gives State Governments the power to create special exceptions to these rules if they want to.

Section 108: Rights and liabilities of lessor and lessee

• Simple English: This is the most important section for day-to-day matters. It is the “Tenant & Landlord Bill of Rights and Duties.” These rules apply unless your written contract specifically says something different.

(A) Rights and Liabilities of the Lessor (Landlord)

• (a) Landlord’s Duty: Disclose Material Defects
  • Simple English: The landlord must tell the tenant about any “material defect” (a serious hidden flaw) in the property, which the tenant could not discover with ordinary care.
  • Real-World Example: The landlord knows the flat’s wiring is faulty and dangerous, but it’s hidden behind the walls. He must disclose this to the tenant. He cannot stay silent.
• (b) Landlord’s Duty: Give Possession
  • Simple English: The landlord must hand over the property (e.g., the keys) to the tenant on the agreed-upon start date.
  • Real-World Example: If the lease starts July 1st, the landlord must ensure the old tenant is out and the new tenant can move in on July 1st.
• (c) Landlord’s Duty: “Covenant for Quiet Enjoyment”
  • Simple English: This is a promise from the landlord that as long as the tenant pays rent and follows the rules, the tenant can “hold the property without interruption.” The landlord cannot interfere with the tenant’s peaceful use of the property.
  • Real-World Example: The landlord cannot show up unannounced every day, or cut off the water supply, or try to lease the same property to someone else.

(B) Rights and Liabilities of the Lessee (Tenant)

• (d) Tenant’s Right: Accessions (Additions)
  • Simple English: If any additions are made to the property during the lease (e.g., land added by a river), the tenant gets to enjoy those additions as part of the lease.
  • Real-World Example: A tenant leases a farm. The river next to it changes course, adding an acre of land. The tenant can farm that new acre until the lease ends.
• (e) Tenant’s Right: Void Lease if Property Destroyed
  • Simple English: If a major part of the property is destroyed or made “substantially and permanently unfit” by “irresistible force” (fire, flood, storm, war, riot), the tenant has the option to declare the lease void.
  • Proviso: This does not apply if the destruction was caused by the tenant’s own “wrongful act or default.”
  • Real-World Example: A cyclone destroys the roof of a rented godown. The tenant can choose to void the lease and stop paying rent. But, if the godown burned down because the tenant was running an illegal fireworks factory inside, he cannot void the lease and is still liable.
• (f) Tenant’s Right: Make Repairs and Deduct
  • Simple English: If the landlord is bound to make a repair (e.g., a leaking roof) and “neglects” to do it after reasonable notice, the tenant can make the repair himself and deduct the cost (with interest) from the rent.
  • Real-World Example: The main water pipe bursts. The tenant calls the landlord, who does nothing for a week. The tenant hires a plumber, pays ₹5,000, and attaches the bill to his next rent payment, paying ₹5,000 less.
• (g) Tenant’s Right: Pay Public Charges and Deduct
  • Simple English: If the landlord is bound to pay a public charge (like property tax) and fails to do so, the tenant can pay it (to save the property from being auctioned) and deduct that amount (with interest) from the rent.
  • Real-World Example: The tenant receives a final auction notice because the landlord hasn’t paid property tax for 3 years. The tenant pays the ₹50,000 tax directly to the municipal corporation and deducts it from his rent.
• (h) Tenant’s Right: Remove His Fixtures
  • Simple English: The tenant can remove “all things which he has attached to the earth” (his fixtures, shelves, air-conditioners, etc.), provided he does it while he is still in possession and leaves the property in the same state he received it (i.e., he must fill any holes).
  • Real-World Example: A tenant moves out on July 31st. He must remove his AC unit on or before July 31st. He cannot come back on August 2nd and demand to take it.
• (i) Tenant’s Right: Crops on Uncertain Leases
  • Simple English: If a lease has an uncertain end date (e.g., a lease “for the life of X”), and it ends suddenly without the tenant’s fault, the tenant has the right to enter the land later to harvest any crops he had planted.
  • Real-World Example: A farmer leases land “for as long as Mr. Patel is alive.” Mr. Patel dies in July, just after the farmer planted his crop. The farmer can still enter the land in October to harvest that crop.
• (j) Tenant’s Right: Sub-let (Sub-lease)
  • Simple English: The tenant is allowed to transfer his lease to someone else (a “sub-lease” or assignment), unless the contract says otherwise.
  • Important: The original tenant is still responsible to the landlord for the rent.
  • Proviso: This right does not apply to certain types of tenants (e.g., farmers with non-transferable occupancy rights).
  • Real-World Example: You rent a 2-bedroom flat. Your lease does not forbid sub-letting. You can legally rent out the second bedroom to a sub-tenant. But if that sub-tenant fails to pay you, you still have to pay the full rent to your landlord.
• (k) Tenant’s Duty: Disclose Facts Increasing Value
  • Simple English: This is the reverse of the landlord’s duty. The tenant must tell the landlord any fact he knows (and the landlord doesn’t) about the “nature or extent of the interest” which “materially increases the value.”
  • Real-World Example: A tenant, while leasing a farm, discovers a valuable mineral deposit under the soil. The landlord is unaware. The tenant is bound to disclose this fact.
• (l) Tenant’s Duty: Pay Rent
  • Simple English: The tenant must pay the rent at the proper time and place.
• (m) Tenant’s Duty: Keep Property in Good Condition
  • Simple English: The tenant must maintain the property and, at the end of the lease, return it in as good a condition as he received it, except for “reasonable wear and tear” or damage from “irresistible force” (see (e)). He must also allow the landlord to enter at reasonable times to inspect the property.
  • Real-World Example: The tenant must fix a window he broke (damage). He is not responsible for paint fading over 3 years (wear and tear).
• (n) Tenant’s Duty: Notify Landlord of Encroachment
  • Simple English: If the tenant becomes aware of any legal proceeding against the property or any encroachment (e.g., a neighbor building a wall on the land), he must notify the landlord immediately.
• (o) Tenant’s Duty: Use Property Reasonably (Not commit “waste”)
  • Simple English: The tenant must not use the property for a purpose other than what it was leased for. He must not “commit any act which is destructive or permanently injurious.” , tenant must not r sell , pull down or damage buildings belonging to the lessor, or work mines or quarries not open when the lease was granted.
  • Real-World Example: A tenant leases a property as a house. He cannot use it as a factory. He cannot pull down walls, sell the trees in the garden, or start digging a quarry.
• (p) Tenant’s Duty: No Permanent Structures
  • Simple English: The tenant must not erect any permanent structure (like a brick wall or a new room) without the landlord’s consent. (Exception: for agricultural purposes).
  • Real-World Example: A tenant cannot build a concrete garage in the backyard without the landlord’s permission.
• (q) Tenant’s Duty: Return Possession
  • Simple English: On the last day of the lease, the tenant must hand the property back to the landlord.

Section 109: Rights of lessor’s transferee

• Simple English: This section explains what happens when the landlord sells the property to a new owner. The new owner is the “lessor’s transferee.”
• The Rule: New Owner gets the Rights
  • Legal Text: “…the transferee… shall possess all the rights… of the lessor…”
  • Simple English: The new owner steps into the shoes of the old landlord and gets all their rights. The tenant must now pay rent to the new owner.
  • Real-World Example: Ajay (Landlord) sells his building to Priya (New Owner). Raman (Tenant) must now pay his rent to Priya. Priya can also enforce all the lease rules against Raman.
• Proviso 1: No Right to Arrears
  • Legal Text: “Provided that the transferee is not entitled to arrears of rent due before the transfer…”
  • Simple English: The new owner (Priya) cannot demand rent that was due before she bought the property. That money is still owed to the old landlord (Ajay).
  • Real-World Example: Property is sold on July 1st. The tenant had not paid June’s rent. The old landlord, Ajay, has the right to collect the June rent. The new landlord, Priya, only has the right to collect rent from July 1st onwards.
• Proviso 2: Tenant is Protected if Unaware
  • Legal Text: “…if the lessee, not having reason to believe that such transfer has been made, pays rent to the lessor, the lessee shall not be liable to pay such rent over again…”
  • Simple English: This is a vital protection for the tenant. If the tenant doesn’t know the property has been sold and, in good faith, pays rent to the old landlord, the tenant is safe. The new landlord cannot force the tenant to pay again. The new landlord must recover that money from the old landlord.
  • Real-World Example: The property is sold on July 1st. The tenant, unaware of the sale, pays the July rent to his old landlord (Ajay) on July 5th. On July 10th, the new owner (Priya) demands the July rent. The tenant can show his receipt and refuse to pay again. Priya must get the money from Ajay.
• Last Paragraph: Splitting the Property
  • Simple English: If the landlord sells part of the property (e.g., one floor of a building), the new owner and old owner must agree with the tenant on how to “apportion” (split) the rent. If they can’t agree, a court will decide.

Section 110: Exclusion of day on which term commences

• Simple English: This section provides technical rules for calculating the start and end dates of a lease.
• First Paragraph: “From” a certain day
  • Legal Text: “Where the time… is expressed as commencing from a particular day, in computing that time such day shall be excluded.”
  • Simple English: If a lease is “from July 1st,” it means July 1st is excluded, and the lease starts at midnight on July 1st (i.e., the first full day is July 2nd).
  • Real-World Example: A 1-day lease “from July 1st” is for July 2nd.
• Second Paragraph: No Start Date
  • Legal Text: “Where no day of commencement is named, the time… begins from the making of the lease.”
  • Simple English: If the lease just says “a one-year lease” and is signed on March 5th, it starts immediately on March 5th.
• Third Paragraph: “For a year”
  • Legal Text: “Where the time… is a year… the lease shall last during the whole anniversary of the day from which such time commences.”
  • Simple English: A one-year lease starting on July 1st, 2024, will end at midnight on July 1st, 2025. It includes the entire anniversary day.
• Fourth Paragraph: Option to Terminate
  • Legal Text: “Where the time… is expressed to be terminable before its expiration, and the lease omits to mention at whose option… the lessee, and not the lessor, shall have such option.”
  • Simple English: If a lease says, “This is a 5-year lease, but it can be terminated after 3 years,” and it doesn’t say who can terminate it, this rule gives the power only to the tenant (lessee). The landlord does not get the option.

Section 111: Determination of lease (How a Lease Ends)

This section lists the different ways a lease agreement can be legally terminated.

(a) by efflux of the time limited thereby:

• Simple Translation: The lease ends automatically when the agreed-upon time period is over.
• Real-World Example: You sign a rental agreement for your apartment for 12 months, from January 1st to December 31st. When the clock strikes midnight on December 31st, your lease “determines by efflux of time” (i.e., it expires). No notice is required unless your agreement says so.

(b) where such time is limited conditionally on the happening of some event—by the happening of such event:

• Simple Translation: The lease is set to last until a specific event happens. When that event happens, the lease ends.
• Real-World Example: A company leases a warehouse “for 10 years, or until our new factory is built, whichever happens first.” If the new factory is completed in Year 7, the lease on the warehouse ends at that exact moment.

(c) where the interest of the lessor in the property terminates on, or his power to dispose of the same extends only to, the happening of any event—by the happening of such event:

• Simple Translation: The landlord’s (lessor’s) own right to the property is temporary. If their right ends, your lease (which they granted you) also ends.
• Real-World Example: Priya has a “life interest” in a house, meaning she can use it for her lifetime, but after she dies, it goes to her son, Rohan. Priya leases the house to you for 20 years. If Priya dies 5 years into your lease, her “interest” in the property terminates. Your lease, which was granted by her, also terminates. You cannot force Rohan to honor the remaining 15 years, as his ownership is now absolute.

(d) in case the interests of the lessee and the lessor in the whole of the property become vested at the same time in one person in the same right:

• Simple Translation: The lease ends if the tenant (lessee) also becomes the owner (lessor) of the property. This is known as “merger”.
• Real-World Example: You are renting a condo. Halfway through your lease, you make an offer to the landlord, and you buy the condo from them. The moment you become the owner, your lease is terminated because you cannot be both the landlord and the tenant of your own property.

(e) by express surrender; that is to say, in case the lessee yields up his interest under the lease to the lessor, by mutual agreement between them:

• Simple Translation: The landlord and tenant mutually agree to end the lease early.
• Real-World Example: You have 6 months left on your apartment lease, but you get a new job in another city. You talk to your landlord, and you both sign a simple agreement stating that the lease will end on the last day of the current month. This is an “express surrender.”

(f) by implied surrender:

• Simple Translation: The actions of the landlord and tenant show that they both consider the old lease to be over, usually by creating a new one.
• Real-World Example: (This is based on the Act’s illustration) You are 1 year into a 3-year lease. You want to add your new partner to the lease and get a better rent. You and the landlord sign a new 3-year lease agreement with the new terms. The act of signing this new lease is an “implied surrender” of the old one. The old lease is automatically terminated.

(g) by forfeiture; that is to say, (1) in case the lessee breaks an express condition which provides that, on breach thereof, the lessor may re-enter…

• Simple Translation: The tenant (lessee) breaks a major rule in the lease agreement that specifically says the landlord (lessor) can “re-enter” (i.e., take back the property) if that rule is broken.
• Real-World Example: Your shop’s lease agreement has a clause: “The property shall be used only for selling books. If it is used for any other purpose, the lessor shall have the right to re-enter.” If you start operating a small café inside the shop, you have breached this “express condition,” and the landlord can start the process to terminate your lease by “forfeiture.”

…or (2) in case the lessee renounces his character as such by setting up a title in a third person or by claiming title in himself;…

• Simple Translation: The tenant does something that denies the landlord is the owner. Either the tenant starts telling people that they are the real owner, or that someone else (a third party) is the real owner, not the landlord.
• Real-World Example: Your landlord, Mr. Gupta, tries to collect the rent. You refuse to pay and tell him, “I don’t recognize you as the owner. I believe your estranged brother is the real owner, and I will only pay him.” By “renouncing your character” as a tenant and challenging the landlord’s title, you have given the landlord grounds to terminate your lease by forfeiture.

…or (3) the lessee is adjudicated an insolvent and the lease provides that the lessor may re-enter on the happening of such event;…

• Simple Translation: The lease agreement specifically states that the landlord can end the lease if the tenant is officially declared bankrupt (adjudicated an insolvent) by a court.
• Real-World Example: A company leases an office. The lease has a clause: “In the event the lessee company is adjudicated an insolvent, the lessor may re-enter the premises.” If the company goes bankrupt and a court declares it insolvent, the landlord can use this clause to terminate the lease and take back the office space.

…and in [any of these cases] the lessor or his transferee [gives notice in writing to the lessee of] his intention to determine the lease:

• Simple Translation: CRITICAL POINT: For any “forfeiture” (breaking a rule, denying title, or insolvency), the lease does not end automatically. The landlord must give the tenant a formal written notice stating their “intention to determine the lease” (i.e., “I am ending this lease because you did X”).
• Real-World Example: You broke the “no-pets” clause, which was an express condition for re-entry. Your landlord cannot just change the locks. They must first send you a written notice that says, “You have breached clause 5 by keeping a dog. I am hereby giving you notice of my intention to determine your lease.”

(h) on the expiration of a notice to determine the lease, or to quit, or of intention to quit, the property leased, duly given by one party to the other.

• Simple Translation: The lease ends when the time period specified in a valid “notice to quit” (from the landlord) or an “intention to quit” (from the tenant) runs out.
• Real-World Example: You are on a month-to-month lease. Your landlord sends you a written notice on June 10th stating, “Please vacate the property by July 10th.” (Assuming this meets the 15 or 30-day requirement in your local law). Your lease legally terminates on July 10th. The same works in reverse if you give the landlord notice that you are leaving.

Section 112: Waiver of forfeiture

This section explains what happens when a landlord “waives” (gives up) their right to end a lease, even after the tenant has done something to trigger a forfeiture (as seen in Sec 111(g)).

• Simple Translation: If a tenant breaks a rule (triggering forfeiture), but the landlord knows about it and still does something that implies the lease is ongoing (like accepting the next month’s rent), the landlord gives up their right to evict the tenant for that specific breach.
• Real-World Example: Your lease has a “no-pets” rule, which is a condition of forfeiture. On March 5th, your landlord sees you with a dog. On April 1st, your landlord accepts your rent payment for April. By accepting rent after knowing about the breach, the landlord has “waived the forfeiture.” They can’t evict you in mid-April for the dog you got in March. They have essentially given you a pass for that specific instance.

Proviso 1: Provided that the lessor is aware that the forfeiture has been incurred:

• Simple Translation: The landlord can’t accidentally waive a right they didn’t know they had. The waiver is only valid if the landlord knew about the tenant’s breach when they accepted the rent (or did the other act).
• Real-World Example: You secretly get a cat, violating the lease. You pay rent for 3 months. The landlord doesn’t know about the cat. In month 4, the landlord discovers the cat. The fact that they accepted rent for the previous 3 months is not a waiver, because they were unaware of the breach. They can start the forfeiture process now.

Proviso 2: Provided also that, where rent is accepted after the institution of a suit to eject the lessee on the ground of forfeiture; such acceptance is not a waiver.

• Simple Translation: Once the landlord has already filed a lawsuit (a “suit to eject”) to evict you for the breach, they can accept rent (or more likely, a court-ordered deposit for “use and occupation”) without it canceling their lawsuit.
• Real-World Example: Landlord finds your dog on March 5th. They send you a notice to quit, you refuse to leave. On March 20th, the landlord files an eviction lawsuit. On April 1st, you pay rent, and the landlord accepts it. This acceptance does not waive the forfeiture, because the legal battle has already begun. The court sees this as a payment for you using the property during the lawsuit, not as the landlord agreeing to continue the lease.

Section 113: Waiver of notice to quit

This section deals with “waiving” a notice to quit (the notice under Sec 111(h)), which is different from “waiving forfeiture” (under Sec 111(g)).

• Simple Translation: If one party gives the other a notice to end the lease (e.g., “I am moving out in 30 days”), but then they do something that shows they want the lease to continue, and the other party agrees, the notice is cancelled (waived).
• Real-World Example (Illustration ‘a’): You (the tenant) give your landlord 30 days’ notice that you’re leaving on May 31st. On June 1st, you are still there, and you offer the landlord rent for June. The landlord accepts the rent. By this “act” (offering and accepting rent), you both have shown an intention to treat the lease as subsisting. Your notice is waived, and the lease continues.
• Real-World Example (Illustration ‘b’): Your landlord gives you notice to quit by August 31st. You ignore it. On September 5th, your landlord, having forgotten or changed their mind, sends you a second notice to quit, this time for September 30th. The act of sending the second notice automatically waives (cancels) the first one.

Section 114: Relief against forfeiture for non-payment of rent

This section gives a tenant a second chance if their lease is being terminated only for failing to pay rent.

• Simple Translation: If the landlord sues to evict you only because you are behind on rent, you can stop the eviction. At the court hearing, if you pay the landlord the full rent you owe, plus any interest, and pay all of the landlord’s legal costs for the lawsuit, the court can cancel the forfeiture and let you stay. Your lease is then “relieved” and continues as if nothing happened.
• Real-World Example: You are two months behind on rent (Rs. 20,000). Your landlord files an eviction suit. You show up in court. The judge tells you the landlord is owed Rs. 20,000 in rent, Rs. 500 in interest, and has spent Rs. 5,000 on legal fees (total Rs. 25,500). If you pay that full amount to the landlord right there (or provide a guarantee the court accepts), the judge will pass an order “relieving” you against the forfeiture. You are no longer being evicted, and your lease continues.

Section 114A: Relief against forfeiture in certain other cases

This section gives tenants a second chance for breaches that are not about paying rent. It forces the landlord to give the tenant a “warning” and a chance to fix the problem first.

• Simple Translation: If a tenant breaks a rule (an “express condition”), the landlord cannot just file for eviction. The landlord must first send the tenant a written notice that:
  (a) clearly states the specific problem (e.g., “you have a dog” or “you painted the walls purple”); and
  (b) if the problem is “capable of remedy” (i.e., fixable), it must require the tenant to fix it.
  The landlord can only sue for eviction if the tenant fails to fix the problem within a reasonable time after getting this notice.
• Real-World Example: Your lease forbids you from making alterations. You install a new satellite dish on the roof. The landlord must send you a notice: “(a) You have breached clause 8 by installing a satellite dish. (b) This breach is capable of remedy. You are required to remove the dish and repair any damage within 15 days.”
  • If you remove the dish in 10 days, the breach is “remedied,” and the landlord cannot evict you.
  • If you ignore the notice, then after the 15 days, the landlord can file a suit for ejectment.

Exceptions to Section 114A:

• Simple Translation: This “warning notice” rule does not apply to three specific breaches:
  1. Illegally assigning or sub-letting the property to someone else.
  2. Parting with possession (letting someone else live there).
  3. Failing to pay rent (which is already covered by Section 114).
  4. disposing of the property leased
• Real-World Example: You move out and secretly sub-let your apartment to a stranger, which is forbidden by the lease. Because this is a breach of an “express condition against… under-letting,” the landlord does not have to give you a chance to fix it. They can send you a notice of forfeiture (under 111(g)) and file for eviction immediately.

Section 115: Effect of surrender and forfeiture on under-leases

This section explains what happens to a “sub-tenant” (an under-lessee) when the main tenant’s (the lessee’s) lease ends.

Part 1: Effect of Surrender

• Simple Translation: If the main tenant (your landlord) voluntarily surrenders their lease to the building owner, your sub-lease is not harmed. You don’t get evicted. Instead, your new landlord becomes the main building owner, who must honor the terms of your sub-lease.
• Real-World Example:
  1. Owner (A) leases a whole building to a Company (B) for 10 years.
  2. Company (B) sub-leases one floor to You (C) for 5 years.
  3. After 2 years, Company (B) goes out of business and “surrenders” its 10-year lease back to Owner (A).
  4. Your (C’s) 5-year sub-lease is safe. You just start paying your rent directly to Owner (A) for the remaining 3 years of your lease.

Part 2: Effect of Forfeiture

• Simple Translation: If the main tenant’s lease is ended by “forfeiture” (because they broke a major rule), then all sub-leases they created are annulled (cancelled). The sub-tenant gets evicted too.
• Real-World Example:
  1. Owner (A) leases a shop to Tenant (B), with a rule: “no flammable materials.”
  2. Tenant (B) sub-leases the back room to You (C).
  3. Tenant (B) starts storing fireworks in the main shop, breaking the rule.
  4. Owner (A) terminates Tenant (B)’s lease by forfeiture.
  5. Your (C’s) sub-lease is also terminated. You lose your back room, even though you did nothing wrong. Your only legal option is to sue Tenant (B) for your losses.
• Exceptions to Forfeiture: The sub-tenant is safe only if the main tenant and the owner planned the forfeiture specifically to defraud the sub-tenant, or if the sub-tenant manages to get “relief” from a court (like under Sec 114).

Section 116: Effect of holding over

This section explains what happens when a tenant stays on the property after their lease has officially ended. This is often called a “tenancy-at-sufferance” which converts to a new lease.

• Simple Translation: If a tenant (or sub-tenant) remains in the property after the lease expires, and the landlord (or their representative) knows this and accepts rent from the tenant, or otherwise agrees to them staying, a new lease is created by default.
  1. This new lease is not based on the old lease’s duration.
  2. The type of new lease depends on the original purpose of the lease (as defined in Section 106).
  3. If the original lease was for agricultural or manufacturing purposes, the new lease is renewed from year to year.
  4. If the original lease was for any other purpose (like residential), the new lease is renewed from month to month.
• Real-World Example 1 (Illustration ‘a’ – Residential):
  1. A landlord (A) lets a house to a tenant (B) for 5 years.
  2. B sub-lets the house to C at a monthly rent.
  3. The 5-year lease expires, but C (the sub-tenant) stays in the house.
  4. The landlord (A) accepts the next month’s rent directly from C.
  5. Result: C’s lease is not renewed for 5 years. It is renewed from month to month because the property is a house (residential), not a farm. Either A or C can now end the lease by giving the proper monthly notice.
• Real-World Example 2 (Illustration ‘b’ – Agricultural):
  1. A landlord (A) lets a farm to a tenant (B) for the duration of a third person’s (C’s) life.
  2. C dies, which means the lease officially terminates (as per Sec 111(c)).
  3. However, B (the tenant) stays on the farm and continues working it.
  4. The landlord (A) assents to this, perhaps by sending a bill for the next period’s rent.
  5. Result: B’s lease is renewed from year to year because the original purpose was agricultural.

Section 117: Exemption of leases for agricultural purposes

This is a very important exception that limits the scope of the entire chapter on leases.

• Simple Translation: None of the rules in this chapter (Chapter V, from Section 105 to 116) automatically apply to leases for agricultural purposes.
• Why? Because agricultural land and tenancies are deeply tied to local state laws, customs, and revenue codes, which are often very different from commercial or residential rental laws.
• The Exception: A State Government can make these sections apply to agricultural leases. To do this, it must:
  1. Publish a formal “notification” in its Official Gazette.
  2. The notification can apply all the sections or only some of them.
  3. It can make them apply to all agricultural leases or only a specific class of them.
  4. It can make these sections apply alongside or subject to existing local laws.
• Waiting Period: Any such notification only takes effect six months after it is published. This gives farmers, landowners, and local authorities time to understand the new rules.

Real-World Example: The rules about 15-day notices (Sec 106) or how to terminate a lease (Sec 111) do not apply to a farmer leasing a field. His lease is governed by his local State tenancy act. However, the Government of Maharashtra could (hypothetically) issue a notification stating that Section 116 (“Effect of holding over”) will now apply to all sugarcane farm leases in a particular district. This new rule would only become law 6 months after being published in the official gazette.