Wednesday, 2 June 2021

Press Release: CRDRCA condemns Model Tenancy Act approved by Union Cabinet on 02.06.2021

 

 

 

To

The Chief Reporter/News Editor,

New Delhi

 

The Committee for the Repeal of Delhi Rent Control Act (CRDRCA) condemns the move by the Union Cabinet approving the Model Tenancy Act on 02.06.2021. The CRDRCA has been getting frantic calls by owners in Delhi since yesterday itself expressing shock at the audacity of Ministry of Housing and Urban Affairs (MHUA) for this move which specifically ensures that owners of properties in old markets of Delhi will continue to be paid lowly rents. So absolutely no relief for such owners. Any law which excludes old tenancies is useless and will make no difference to the pendency of cases under rent control laws which are clogging the courts.

 

In a case relating to U.P. Rent Act [Civil Appeal No(s). 1082-1083/2017 Neena Jain & Ors. Versus State of U.P.] it was held by the Supreme Court on 03.11.2020:

 

“We are of the view that the State Government in any case has some guidance from this model draft legislation and has to bring forth its own State legislation so as to cover not only future but past tenancies also. We see no reason why in a federal structure and considering the requirement of each State, the State of Uttar Pradesh has to wait for the ultimate shape of this model legislation.”

 

Again in the same case an order was passed on 07.12.2020 which stated:

 

“We make it clear that the ordinance should take care of not only the future tenancies but also the existing tenancies.”

 

The U.P. Government in compliance with the Supreme Court orders subsequently promulgated The Uttar Pradesh Regulation of Urban Premises Tenancy Ordinance, 2021 in January this year which includes both existing and new tenancies in its ambit.

 

Any law which violates the orders of the Supreme Court in U.P. case is prima facie illegal and unconstitutional.

 

Brief Background of CRDRCA

 

The CRDRCA has been campaigning for the repeal of Delhi Rent Control Act, 1958 (DRCA) since 2007-08. The Committee had filed a writ petition in the Delhi High Court in 2010 challenging the constitutional validity of DRCA, 1958. Later it approached the Supreme Court in 2019 as the Delhi High Court turned a deaf ear to its prayer in the writ petition. The CRDRCA had approached three Committees of Indian Parliament viz Committee on Petitions; Committee on Subordinate Legislation and Committee on Government Assurances. Besides the then MoUD Standing Committee was apprised of the issue. Practically the entire bureaucracy in the then MoUD as also the Minister of State and Union Minister in the Ministry were personally handed over memos at the official meetings. Lastly the support of opposition members were also enlisted. A section of the media supported the demand for repeal of DRCA, 1958. Hundreds of owners had joined the campaign actively at our instance.

 

Course of Action

 

The CRDRCA appeals to all owners in Delhi to register their protest individually as collective action can take place only after the unlocking of Delhi is over. The CRDRCA will legally challenge any future tenancy law in Delhi which keeps the old tenancies out of its purview.

 

Shobha Aggarwal

President, Committee for the Repeal of Delhi Rent Control Act

Mobile: 98115 28656