It is our demand that the Government of Karnataka, headed by the Chief Minister Mr. Siddaramiah enact the Model Tenancy Act, 2011 proposed by the Central Government to govern commercial relationships between a landlord and a tenant. Under Section 12 of this Act, it is provided that no more than three months' rental amount should be collected by way of security deposit by a landlord. It is also our demand that the current loophole under Section 12 of this Act, which provides that security deposits may be enhanced beyond the 3 month rent equivalent upon mutual agreement of the parties, be closed when Karnataka enacts this Act through legislation.

It is also our demand that an effective readressal agency be created - which acts as the nodal agency for all such infractions and complaints with the State of Karnataka - and that such agency be given the power to penalize landlords who indulge in such practices. Such an agency, where structured appropriately and with the right tools could eliminate this practice within a time frame of a couple of years. 
This practice is not only unethical, it has taken the form of a social evil. It places a huge, unnecessary and improper financial burden on tenants looking to merely rent out property. A system of this nature exists nowhere else in India or the world, at least not by way of the norm. It is the duty of the government of the State to intervene and correct this practice and this abuse of power that is currently prevalent and is thriving unchecked.

Chennai -  leading by example:

Recently, Chennai court has ruled that landlords can only take one month's advance from tenants.So tenants can now breathe easy while house-owners have a tough task ahead as a XIII small causes court in Chennai in a recent order cited a 1996 Supreme Court verdict which said that a landlord is entitled to only one month's rent in advance.

Source: http://www.firstpost. com/politics/rs-1-lakh- security-deposit-illegal- landlords-can-take-one-months- rent-advance-rules-court- 2392486.html

So, we request Government of Karnataka, headed by the Chief Minister Mr.Siddaramiah to save innocent tenants from this social evil.

 

We at Flatgradings are committed towards solving problems around tenancy and real estate.

Problem:

Most of the tenants face a lot of issues regarding the rent and the security deposit. Usually landlords charge 10 month deposit at the time of transfer of property as a security deposit. As per the discussions the amount must be returned back to the tenant while vacating the property, but the landlords won’t return back the entire amount instead they deduct a large chunk of amount for some pretexts and damages made by tenants, only a fraction of amount will be returned. 

Proposed Solution:

Share your bitter experiences on the social platform 'FlatGardings - India's First Apartment Review Website'. This will help others make an informed decision. Next time owner would not dare to ask or cut too much of Initial deposit because tenants will read the reviews on FlatGardings and they would decide not to stay in the Apartment. 

These reviews will force the owner to reduce the initial deposit to 2 or 3 months to get a tenant. If not, he will end up having an empty house all for himself. 

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