My Concern is what if they refuse to evict house after receiving the Advance Amount.?

You do not refund the entire amount of advance held by you, a portion of amount shall be retained by you in order to compensate the costs for repairs and damages.

In case i return the 35% of advance amount, what should be the mode of payment (cash/cheque/DD).

You can refund the same by a crossed cheque or DD.

My Sister who is married wants to come and stay in the house, so we want the present tenant to evict the house as the rental agreement is expired on July 10th 2015,

You should not have extended the tenancy by two more months, now you settle the issue a the earliest instead of stretching it anymore.

So as said above I am ready to pay 35000 out of 84000 now and pending amount immediately after he evict and return the keys.

What is the problem to return 70,000- which is very reasonable because it will be after deductions of rent and other charges only.

The matter is well within the limit and not crossed beyond this warranting a legal action on this hence solve the issue amicably when things are not out of control.

1) take a letter from tenant that he will vacate the house on receipt of security deposit of Rs 84000

2) give demand draft of 50%to tenant now and balance at time of vacating house

3) if tenant insists on full security deposit to be paid in advance issue legal notice to tenant

4) file suit for eviction

Hi, it is better tried to settle the matter amicably.

2. If they are adamant for any sort of settlement then you have no option then go legally to vacate them as per due process of law.

1) DONT MAKE CASH PAYMENT

2) all funds transfer should be by cheque only or online funds transfer in his account

3)if tenant is willing to give in writing that he has received cash payment of Rs 70,000 ythen you may take the call .

4) obtain signature of 2 witnesses in whose presence money has been handed over

5) as one of the legal heirs sister is entitled to share in the property . and you can file suit for eviction that property is needed for her personal use

6) in any case on leave and licence agreement expires tenant is a trespasser

The tenant cannot dictate terms on youabout the mode of return of the amount, so you may return it by way of DD or inline transfer if you are desirous. You possess his money and you are in so much distress about his vacating the house(?),

In my opinion, you were supposed to return rs. 1,20,000/- but after our arithmetical calculation you have quoted some amount liable for deduction for the reasons stated against each. Therefore you are actually liable to return the balance amount as on the date of handing over the keys.

Now in the given situation you are returning only Rs. 70,000/- out your the actual refund of Rs. 83,600/- and the rent for the extended period of 15 days is also deduced in the said amount to be refunded (?), if that is so, you may refund the amount by cash (70,000 only) and get a receipt from him in a plain paper signed by him over a revenue stamp for the receipt of the amount. This will also solve the issue, there is no problem in it. You must also inform him that on failing to vacate within the said date any extension is liable to charged as rent for which you keep in reserve a month's rent. This will scare him. Do not opt for legal action, it may drag on for years.

1) 2 witness should suffice

2) you should mention that licensee undertakes to vacate within period of 15 days failing which he would pay penal rent at rate of rs 1000 per day for period he continues to remain in unauthorised occupation

3) licensee can give such a letter on his letter head . No need to write on existing rental agreement

4) you can purchase revenue stamp from

Local stamp vendor

How many witness do we need to arrange for above from both the parties(owner and tenant)?

The tenant will not agree to execute this agreement hence I dont think you would be able to execute any agreement.

I want help from you lawyers in drafting the above with correct sentenced clarity and legally acceptable format

You can engage a lawyer by paying the lawyer's fee for drafting such deeds.

Also please include any other clause or important point I need to Mention in the revenue stamp paper

There is no such a thing called revenue stamp paper, it is non judicial stamp paper.

"Apart from this, i wanted to know as per the law who should have the original rental agreement owner or tenant. In my case Tenant has the original 11 months rental agreement and I have 2 sets of xerox copies."

Both should have the originally signed copies of the agreement.

In case the tenant insist me to write the above agreement on existing rental agreement shall I go ahead and proceed with it, as last time when I spoke to them they said that they are ready to write it on existing rental agreement,

The endorsement can be made in the reverse side of the agreement also.

In my scenario which one has more validity Revenue Stamp paper or existing rental agreement?

There is no such thing called revenue stamp paper.

Do i need to buy 1 rupee or how many rupee Revenue Stamp paper?

One rupee revenue stamp affixed on a plain paper and signed by the receiver will be sufficient.

In Bangalore where should I go to buy Revenue Stamp paper?

Not only Bangalore, anywhere in India You will not get revenue stamp paper because there is no such thing.