1. Govt. has issued directives of delayed rental amounts and restrained from evicting tenanted premises.  However, this being an humanity matter, the same is construed to be applicable for "residential usage premises".

2. Govt. has NOT issued any directives for "setting off /waiving off" the Rent amounts and neither the landlord can be put to losses.  Note that even RBI has issued directives to defer payment related to EMI /Loan etc.... BUT has not waived off.

3. In your matter instant, all your premises are commercial in nature and does not warrant any eviction /waiver of rent /whatever.... and neither the Tenant can enforce it legally.

4. In your case, it is the landlord's discretion (on humanity ground) to waive /defer /reduce the rent amounts or provide any type of relief to the tenants. 

Rent can be paid later with interest but no waiver. Force M dose not apply on tenancy, since they are in continuous possession of property. It's still coming in use as a storage and temporary or permanent shortfall in business, no reason to waive rent. They can vacate if unable to pay rent by clearing last payment.

Maximum they can propose late payment with interest that also by request and not as a matter of right.

In your hand whether to impose interest or not.

1. A Force Majeur clause relates to extraordinary events or circumstances beyond human control such as an ‘act of god’ or a natural calamity though it may not be specifically listed but still it can be contested. Though in your case best thing would be to provide some time without any interest on mutual agreement so that there is no issue between both the parties and you receive the rent on time. You may not waive off the rent as this is commercial transaction and the premises is being used though you can on just Humanity grounds provide them with some time to pay with or without interest as mutually agreed.

2. Destruction of premises is not only sole ground in Force Majeur. 

3. The tenant in your case may not.escape the liability as that would be question of litigation as of now though mutual agreement is best way to go through at this stage.

1) retailer , restaurant can involve force majeure clause as they have directed by govt to close down operations due to pandemic 

2) tenant can escape rental payment due to force Majeure conditions 

3) you can offer to defer rentals for 2 months 

Dear Sir,

I would like to answer/clarify your questions/doubts as follows:

1. I have not agreed to waive rent in any circumstance in any of my lease deeds. Even in force majeur clause, Pandemic is not listed explicitly. Also the lockdown is only temporary in nature.

Ans: Yes Sir, You are correct. It is private contract between you and your tenant and government commitments/announcements/notifications/circulars not binding upon you.

2.How Can they invoke force majeur clause, as the premise is not destroyed / rendered unfit for usage.

Ans: The same principle applies to you and you can claim free of taxes equivalent of rents waived from the State Govt.

3.How can they claim rent waiver whilst still being operational. Because they still have their stocks , furniture, computers etc in my premises. Lockdown doesn’t affect the long term continuity of the business. Also, its the duty of every business to save for the rainy day.

Ans: Yes, you cannot starve by waiving off such rents. Many people in Benggalur city leading their evening lives only on the source of meager rents. If we compare the cost of the building and rent received, it is meager and if you would have invested such amount in Banks then you would have got 4 times of rent. Yours is a charity work to the public at large and tenant in specific.

4.We have not recd any relief from govt with respect to EMI, taxes, salaries etc. They have only deferred our payments with 9% interest. How can the tenants expect us to give relief when we have not recd any.

Ans: Right Sir. You are cent percent correct.

5.In my capacity, Can i insist on rents by providing a 2 months deffered payment with 9% interest.

Ans: Yes, you can do so.

6.What if the tenant disagrees. Is there any provision in law that the tenant can take shelter and escape rental payment.

Ans: You can get issue a legal notice under section 106 of Transfer of Property Act and ask him to vacate after clearing entire dues.

7.I have 6 tenants. 2 retail , 2 restaurant and 2 offices. Only retail and restaurant have given notice. Can the office also give notice?? Coz their business isn’t location dependent. How should I respond in such case??

Ans: Such notices are not binding upon you. You need not reply them, treat them a waste papers and start your action soon the COVID 19 situation turns normal.

Sir/Madam, 

it is true that your rent/lease deed agreement is operative and there may not be any mention of the situations as the world facing today. It is quite possible that all are suffering economic losses and your action towards your action towards the tenants will be bases on purely humanity basis. You have the legal actions to take against the tenants, if they are not paying rents but it is humble suggestion to be responsible citizen and talk to the tenants and come out with a solution which me to reduction of rent, deferment of payment, payment in future in installments etc. for the period of lockdown or the period as agreed between you and the tenants.  

legally you have very strong point if they will not pay the rent then you have all right to ask them to evict the premises.

but as the central and state Govt is requesting to all the landlord not to take rent etc, so your tenant are asking the waiver on moral and mercy ground.

its your choice , no one can compel you.

1. Well,  the issue of force majure has many facets and connotations in different circumstances. 

2. Generally force majure doesn't apply in rent law as long as the premises remains within the occupation of the tenant. 

3. However considering the overall tough times you may consider delaying the payment of rent for next few months without waiving the same altogether. 

1. you can simply defer the rent by requesting the tenants to pay the same after the situation comes under control

2. on humanitarian grounds you must not levy interest for such deferred payment

3. complete waiver is not needed

4. the premises are actually rendered unfit for use since the govt. has directed all establishments to shut. Thus it essentially comes under force majeure. In such situation you can give some relaxation instead of acting so rigid

5. even the govt. has deferred your liabilities like EMI, taxes, etc. Likewise you can give same option to your tenants who have issued notice to you

6. tenants cannot insist for complete waiver. Only rent payment can be deferred as mutually agreed between the parties

7. the tenant occupying the office may also give similar notice. How can we lawyers predict? In case you do receive such a notice, you can respond to him as aforesaid

8. you need to be a bit liberal in such situations. Completely waiver is not suggested. But atleast deferment of payment is completely possible [however without any interest since it is nobody's fault for such late/deferred payment]

See, think over these options first -

1.  Suppose there is no rental request from any tenant and they are not in a position to pay rent reason not beyond  anybody's control for two or more month, how can you dispossess them.

2. You would send legal notice.

3. You would file suit for possession

4. you would pay court fee

5. You would pay lawyers fee

6. Even then, I don't think you would get the decree in your favour on the ground of non payment.  Most probably, in my opinion, court would allow them to make the payment of pending rent in installments.

Now, keeping in view the above, what options you have -

1.  Your tenants are humble and honest that they are requesting you to waive of the rent for 2 months.  You may or may not be in a position to waive the payment of rent, you can defer the payment of pending rent for two months in 1/2/3 monthly installment alongwith the rent for the particular month.

2. You can take into account the previous conduct of the tenants.

3. You can contribute in building the Nation once again.

4. Don't say that I have not received anything from Govt. then why I should do that, that is a separate issue, this is regarding your landlord and tenants relationship and it is a matter of humanity at this critical time.

Under these circumstances, arrange a meeting with all the tenants who has difficulty in making the payment of rent,  listen them carefully as if you are a kind and considerate person and then allow them as discussed above and make a MOU between you and your tenant particularly for the payment of rent for two months and defer the payment of rent for 2 months provided the payment of rent is made in small installments alongwith future rent.  Request for payment of interest, if any, not advisable.

Even otherwise, you are adamant you may do whatever you like but make a NOTE, going against the wishes of your tenants at this sensitive time would go against you despite spending so much money as described above.  

Rest up to you. Good Luck.

There is no compulsion for the same but it's your discretion to do it. 

It's not a force majure. 

They cant claim it as matter of right. 

True they can't expect it's your discretion

No tenant can't escape

You can recover the same from them if not paid

This is not the case.  Only  for daily labour class govt issued instruction not to insist for the rent of the current month and give one month time for payment in installments if necessary .

Govt never asked to waive the rent. 

Even if  one is not in labour class,  some relaxation may be given if someone in financial crisis due to countrywide lock down. 

Those who are getting salary or having no financial crisis can not use this govt. Direction as tool for their undue benefit. 

In case someone is trying to take undue advantage from this current scenario , it is better to inform police rather than for insisting payment during lock down period. 

the waiver of rent will be your own discretion, the government has not instructed the private landlords to compulsorily waive the rents of the tenants.

You can give a reply notice stating that you are ready to partly accept their request i.e,. by agreeing to take the rent at a later date with 9% p.a. interest for the deferred period.

There is no force majeure nor there is any instructions from government in this regard, hence they cannot invoke the clause on their own and take shelter under this clause even if there ws a clause mentioned in the agreement.   

You can very well intimate your decision in the reply notice and can also make it clear that if they still  do not agree for the concession given by you then they may have to vacate the premises for breach of agreement. 

1. revert thier notice mentioning your stand,

2. in the given circumstances, you can claim the rebt, legally,

3. socially/morally, you can waive rent to some extent, (maybe 40, 50 or 6 percent or as you wish, with an option to make payment in 2-3 installments)

4. rest upon you, if you wish, you can completely refuse to waive the rent 

- Since the government has directed your tenant to lock down the business , hence he is not responsible for the same, even if , there is clause for the same .

2. You should give proper time to pay the rent , specially if the situation once comes under control or Govt withdraw the order of knockdown.  

3. Legally rent cannot be waived due to any unforeseen reasons even, because the tenant is still is in possession of the tenanted position. 

4. No, tenant has not right to request for waiving , because the premises is under his possession and the government order is temporary in nature. 

5. Yes,

6.As per law the tenant is bound to pay the rent to you , specially if the lease deed not contain any clause of non payment of rent. 

7. The reply as given as above.

For all above your questions answer is only "To give them extension and not waiver" or can give further installment for to cover this month rental in next six months.

Pandemic-Can be construed as Act of God listed in Force Majeur clause in all agreements. Two multi national companies have taken this defence and refused to pay rents/lease amounts, the matter is now before the high court to decide on this issue.

The state government has issued a GO post the lockdown, directing all landlords not to insist for payment of rent/s for the period of 3 months and also not to take any coercive steps for getting the tenants evicted during this intervening period. This GO applies to you as well.

Since you as the landlord or citizen have not received any benefits from the government, you are still liable to consider the request of the tenant during this period.

The best alternative would be to defer the payment of rents by 2 or 3 months for these two tenants with payment together with interest after this period. OR to reduce the rent for 2 to 3 months for these tenants by 5 to 10 % on account of their business and for this interim period only. Any other option suggested by these tenants may also be considered on humanitarian grounds. 

Many tenants might take shelter under the GO suggested by the state government, hence it is best to consult a local advocate before proceeding further.

Hi

You know very well about the situation in whole world nkw a days.

As per humanity you can waive off the rent.

Other wise they will have to pay.

Ofcourse they will be capable of paying after the lockdown is over.

You should give them a month time period to pay without applying any rate of interest. 

Thanks 

1. Yes you can deffer the rent from your tenants but it would not be ethical to charge interest on late payment due to lockdown. 

2. Till now there is no provision to evade rent due to such conditions but govt can introduce new law for deffering the rents due to lockdown. 

3. Yes they can give notice for waiving of rents due to lockdown but if business is running such as restaurants are not closed due to lockdown so you can deny waiving of rent when they are still operating from your premises.