Section 386: Agreement to be concluded while renting

1) While renting a house, the owner shall enter into an agreement in writing with the tenant, setting out the following matters:

(a) Full name and address of the owner and of the tenant, their citizenship number, and passport or identification certificate, in the case of a foreigner,

(b) Place and plot number of the land where the house is located,

(c) Purpose for rent,

(d) Date of commencement of rent,

(e) Validity period of rent,

(f) Monthly rent,

(g) Time and mode of payment of rent,

(h) Liability to pay tariffs of electricity, water supply, telephone, etc., used in the house,

(i) Matter on payment of house rent tax,

(j) If the rented house is to be insured, matters relating thereto,

(k) Matter on leaving the rented house and eviction of the tenant from it,

(l) Matter as to whether the rented house can be sublet to another, and

(m) Other necessary matters.

2) Notwithstanding anything contained in sub-section (1), it is not necessary to enter into an agreement in writing with the tenant if the monthly house rent does not exceed twenty thousand rupees.

3) The tenant’s photograph shall also be affixed to the agreement referred to in sub-section (1).

4) The agreement referred to in sub-section (1) shall also be signed by at least two witnesses of each side, namely the house owner and the tenant, and a copy thereof shall be retained by each of the owner and the tenant.

5) After the completion of the procedures referred to in sub-section (4), an agreement shall be deemed to be entered into between the house owner and the tenant.