(1.) THE Tamil Nadu Buildings (Lease and Rent Control Act), 1960, as amended by Act 23 of 1973 and by Act 1 of 1980, as its name suggests, is a legislation to regulate letting of residential and non-residential buildings. This includes regularising the rents by fixing a fair rent and prevention of unreasonable eviction of tenants therefrom. The present Act has its forerunner in the Madras House Rent Control Order, 1941, and the Madras Godown Rent Control Order, 1942, issued under the Defence of India Rules during the second world war. They were reissued subsequently with slight changes in 1945 to be replaced by the Madras Buildings (Lease and Rent Control Act), 1946.
(2.) WHILE enacting the 1946 Act, the statement of the objects and reasons stated therein that the conditions which compelled the passing of the Madras House Rent Control Order, 1941, and the Madras Godown Rent Control Order, 1942, had not ceased and anyway improved and "is not likely to improve for sometime to come". Hence, it was necessary to continue control of rent and eviction till such time as the situation improved. It also stated that provision had been made for increase of rents above the rates prevailing before 1st April 1940 with a view to prevent hardship to landlords.
(3.) THIS Act was subsequently replaced by the Madras Buildings (Lease and Rent Control) Act, 1949, containing similar provisions, to be replaced ultimately by the 1960 Act. The significant changes introduced in all these enactments related to the concept on the fixation of fair rent. Fixation of fair rent under the 1942 and 1949 Acts was related to rents prevailing in April, 1940 and allowed a fixed percentage of increase from 8 1/3% to 50%, and for those buildings constructed after 1st April 1940, the increase was from 37% and 75%.