Bengaluru family’s eviction crisis: The risk of no formal rent agreement

Many Bengaluru landlords assume verbal agreements are sufficient, but when tenants refuse to vacate, the absence of a written contract can turn into a nightmare

A family in Bengaluru is facing a major problem. They are struggling to evict ground-floor tenants after nearly five years of paying rent irregularly. The family sent the tenants a three-month notice to leave, which they thought was fair. However, the tenants have refused to vacate the property. This situation is difficult because the family and tenants, who were acquaintances of a family member, never signed a formal rental or lease agreement.

Many landlords rely on verbal agreements, but when tenants delay rent or refuse to vacate, the lack of a written contract can quickly become a nightmare. (Photo for representational purposes only)(Pexels)

The mother of the family is the legal owner of the Bengaluru property. The family claims the tenants have often delayed rent payments and ignored requests to vacate. They continue to occupy the ground floor despite the official notice. This case highlights a big problem in Indian cities: the lack of formal rental agreements. Landlord-tenant fights are becoming common, often turning into long, stressful legal and emotional battles.

"The tenants have been living on the ground floor for nearly 5 years," the family shared on Reddit. "There is no written agreement at all. My uncle brought them to our house, and he never made any written agreement with them. They do not pay rent properly. They delay rent and give small amounts throughout the month. This has become very stressful for us.”

Eviction is hard without paperwork

The family’s experience serves as a warning for all landlords. Legal experts state that in cases like this, a landlord’s only option is to file an eviction suit. This must be done in a civil court. However, this court process can take up to two years to finish. For this to work, landlords absolutely must have proper rental agreements in place.

“Landlords often think simple verbal agreements are fine when renting to friends or relatives,” said advocate Akash Bantia. “But when tenants stop paying or refuse to move out, the lack of paperwork turns into a nightmare.”

Bantia confirmed that filing an eviction case in civil court is the only legal way forward. The process takes time, often around two years, but it is the only legal solution. He added that if tenants stay in the property just to avoid paying rent, the law could view this action as criminal trespass.

Why a rental agreement matters

Legal experts strongly recommend using a well-drafted rental agreement. This document should be renewed every 11 months. It is essential proof in court. Without this paper, landlords must try to prove consistent ownership and intent.

The Supreme Court has ruled that signed rent receipts are sufficient proof of the landlord-tenant relationship. This ruling applies under the Karnataka Rent Act, 1999. The verdict came in favour of H.S. Puttashankara, a Bengaluru-based landlord who filed an eviction case. This ruling was needed because the tenant had argued that no landlord-tenant relationship existed.

What tenants can do

Tenants can challenge an eviction notice if they hold a valid lease. “Every agreement includes a termination clause, so the landlord can legally ask you to leave,” Bantia explained. “A tenant can approach the civil court and seek a stay order, but only if they have a legal document to support their claim.”

Legal experts clarified a key point: an 11-month rental agreement does not need to be registered. The Registration Act, 1908, says registration is only needed for leases lasting one year or longer.

However, without a registered document, the experts noted, tenants find it hard to legally challenge the eviction notice.

The issue of stamp duty

For agreements longer than 11 months, registration is required. Parties often try to avoid paying the necessary stamp duty. Section 3 of the Indian Stamp Act, 1899, states that stamp duty must be paid for every legal document. Lawyers noted: "In such cases, the courts will first impose a fine on the tenants, or on both parties, before they proceed with the case."

Need for new laws

Bengaluru’s high real estate prices and informal renting highlight the need for government action. Experts call for implementing the Model Tenancy Act (MTA), which the Union Cabinet approved in June 2021.

The MTA aims to formalize all tenancies. It will regulate rental terms, create dedicated rent authorities and courts, and provide quick ways to resolve all disputes.

“The MTA could protect both tenants and landlords,” said legal experts. “It ensures every tenancy is formalized and disputes are resolved quickly.”

Land and urban development are state subjects. This means each state must adopt the Act individually. So far, only four states have updated their tenancy laws in line with the MTA.