Rent - I have agreed to rent out my flat
7 months ago
I have agreed to rent out my flat at Kolkata from the month of October 2023. The matter was decided in last week of August and advance of Rs 16500 received as token money for security deposit of one month on 5th of September. At the same time I handed over the key on the request that renter shall shift her belongings. t was also agreed that security deposit of another one month and running rent for October shall be given after entering into agreement. The agreement copy was sent to renter on 25th September and now on 27th September she is refusing to enter into agreement due to some emergency of her as stated to me and asking for refund of 16500. The mutual agreement was for one month notice and same was also included in agreement clause. After my refusal to refund the said advance I am being threatened of dire consequences. Please advise
It is a small amount so you may settle the matter and be aware that they cannot be any threatening by the prospective tenant since it is a civil matter and she had violated the oral terms.
In the absence of a Rent Agreement jointly executed by the landowner and the tenant, verbal consent, and all other arguments exchanged between the parties, a landowner cannot withhold the advance or security deposit of the tenant, especially in the circumstances when the tenant neither signed the agreement nor took the possession of the rental premises that caused no financial loss to you. The Rent Control Act that governs the relationship between a tenant and a landowner provides equal rights and protection of interest of both parties. So, on denial of refund of the advance security deposit to the tenant, in the given situation, you may face legal consequences if the matter is litigated before the Authority.
You mentioned that the agreement copy was sent to the renter on 25th September. If the agreement was accepted by both parties, it would have formed a legal contract. However, it's crucial to confirm whether the renter actually accepted the agreement before taking any further steps.
The advance of Rs 16,500 received as token money for the security deposit could be interpreted as a commitment to rent the property. Generally, token money is given to show good faith and commitment to the agreement. If the renter agreed to the terms and conditions mentioned in the agreement, this money might not be refundable.
Ensure that you have documentation of all communication, including the agreement, emails, messages, and records of the token money receipt. These documents can be crucial in any legal proceedings.